what alternate world are you living in zomg?
there are no concessions coming, instead we're being hammered by all sides in europe. france, germany, holland. there's talk of us being punished by removing the rebate, the ecb head said we were to wrong to veto any deal, people in the city are also coming out and saying the use of the veta was misplaced.
so please tell us, where are you getting the information that europe will make concessions? your sources who happen to know every little detail thats happening behind the scenes?
youll forgive me if i dont put any stock in those sources.
as for the italian bond prices, those are irrelevent until italy has to sell bonds, so constantly bringing them up is pointless and twisting facts to fit your agenda. come back and complain about the bond prices when italy actually decide to sell bonds at that price.
I live in the real world, unlike you it seems.
Hammered by who, a couple of Eurocrats and MEPs, big fucking deal. They wield no power. The people that matter, the German Finance Minister - Wolfgang Schauble, has said we would be welcomed back to the table and there is time for our conditions to be met. Rumpy Pumpy, Barrosso and one French MEP doesn't constitute being hammered from all sides.
I work in the City, believe me there is a sense of relief that Dave used the veto, not just because he has protected Britain from some of the crazier proposals (EU oversight of national budgets) but also because now the EU knows that Dave will stand up for Britain's national interest. Previously under Brown and Blair they knew this wasn't the case and would just railroad changes that were bad for us knowing that the sitting PM wouldn't bat an eyelid.
On my sources, the only one that is self sourced is the rumour about the Bundesbank, and that comes from a German fellow who used to work for the Buba until last year so he is very well linked with the current Buba leadership. The rest are from statements from EU leaders. Finland are now out is the latest we have heard on our wires
http://www.yle.fi/uutiset/news/2011/12/pm_finland_must_have_a_say_in_bailout_fund_3100771.html so 26 becomes 25.
On bonds, you mean like a couple of hours ago? Italy had to get away a few billion worth of 5y debt, they needed to give the highest ever interest rates (6.47%) since the beginning of the Euro. If this continues for more than a few months Italy will truly be insolvent as their interest payments top 10% of GDP. Putting that into context, the UK sold £3bn worth of long 10y debt and investors were given just 2.2% interest. Today's spot rates are 2.11% for Uk 10y and 6.75% for Italian 10y.
Italy's debt maturity average has gone down since last year from 13 years to about 8 years, UK debt maturity average has gone up from 17 years to 20 years over the past year as the Treasury has taken a very cautious view of the near future and funded long terms at super low interest rates. It means that Italy are being forced to sell short term debt (1-5 years) to keep the interest rates low, but all that does is pile up the pressure for the future. In 2015/16 Italy has a predicted net cash requirement of 12% of GDP, the UK has a predicted net cash requirement of just over 4% of GDP in the same year.
, If they had better weather i would be tempted to move, but its miserable enough here in the 'sunny' south east.