It is time for tin hats and duct tape in the eurozone. Confidence in the ability of political leaders to fix Greece is evaporating rapidly. Germany’s dithering has hit Greek bonds, and worries are spreading about other countries on Europe’s periphery, such as Portugal.
The chance has been missed for a swift, decisive response that would have ended all the alarm – Greece’s problems were pretty clear late last year, and four months on, the negotiations are still continuing. So, a note today from Royal Bank of Scotland on “last resort” options to end the crisis, fits the fatalistic mood. Read more