I didn't check caller ID and it was Massimo. I just hate it when he's right because I have to listen to at least five explanations as to why he is the smartest guy in Italy, and damn it, he was right. The Italian auction was a full success today and as far as I can determine, although the ECB was standing there ready and waiting both maturities were well-bid and in relatively firm hands. Or so a couple of traders tell me. But this is Italy of course and as I have said once before, "Strange things are done 'neath the midnight sun," so with Massimo and his boys you are never really sure. We'll keep watching the secondary to see how real this auction really was but then again, these bonds could wind up in even safer hands without ever seeing the light of day.
And that was pretty much it. The French and Spanish finance ministers met today to tell Germany to bail out Europe. Germany politely declined...at least for the time being...but confidence abounds that in time Germany will do the right thing. It abounds outside of Germany I might add.
The Greek PM told the world that Greece must carry out "harsh reforms" in 2013-14 in order to stay in the Euro. The world answered, "We know."
The stock markets treaded water on both sides of the pond.
The extent to which all eyes were turned to Wyoming where tomorrow the Speech of Speeches will be delivered by Mr. Bernanke is quite remarkable. It is though events were occurring in slow motion all overshadowed by Jackson Hole and surreal in their existence. I find it quite disturbing the extent to which Central Banks dominate the financial and political landscape, highlighting the almost complete abdication of elected officials on two continents. Two men astride the world. How the hell did this happen? Oh well, we'll be back with a major report tomorrow. And oh, sorry for the absence yesterday. I'm still trying to learn new things with this machine and really buggered it yesterday. I dare to say, with my skill set it may happen again.
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