The eurozone is quickly descending into a crippled and dysfunctional entity, shunned by investors and ridiculed by outsiders. When rating agencies started to downgrade member states because of the reckless scale of indebtness, the EU began to lambast the messenger instead of reminding its members to abide by the rules set up to protect the eurozone before its creation in the first place.
The bond market, as the ultimate judge on the insane and chaotic measures taken by EU officials, pummels sovereign debt of eurozone members, going beyond Greece and Italy now. Within days the whole eurozone will be dragged down, with bond prices (and therefore the cost of new debt) soaring and making the survival of the eurozone impossible. Just as I predicted back in 1991...
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