What a day!
US 10 year bond yielding 2.11% but the French 10 year is at 2.00%.
Market anomalies like this one come once in a blue moon.
France is in a recession; France has a Socialist President who has lowered the retirement age to 60 from 62; France has the largest and least productive public sector of any first world country; its industries suck and are non-competitive; etc. etc., ad nauseam, obiter dicta, hallelujah, amen.
It is headed down the cra**er.
Is any one paying attention to this low hanging fruit?
What happens when France gets screwed? When there is only Germany left?
What about the ESM? Remember that? Bet you don't. The Big Bazooka that made everything AOK in Euroland a few months ago, the Salvation of Euroland? Bet you don't.
Here you go: event the NYT gets it, sort of. nytimes.com
Big Honking Chunks of Euros to stash away and make things OK? Contributions by the biggies to fund a Big As* Fund to make sure everyone was warm, toasty, fuzzy and slept well at night?
The ESM isn't happening, boys and girls. It is not funded, will never be funded as intended. And when it well and truly hits the fan as France implodes, whatever amounts are there are going to look like any one us spitting on a 10 ft. bonfire in an attempt to put it out.
Yep, the Bazooka is a cap gun: it has 48 bn euros in its accounts. France has paid not much, but is subscribed for 162 bn euros, and if you believe it can pay full freight, then you believe in the tooth fairy.
Global chaos, that's what's coming.
Chaos on a grand scale.
But the folks who make markets in the French 10 year think France is better off than the US.......
What a good laugh.
The pump is slowly getting primed.
Big chunks of moolah to be made.
Use your brain and profit.
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