¡ Wall St will ignite, but not before more pain !
This was the title of an article by D. Ambrosio, who often appears in these pages. It appeared in the British newspaper The Telegraph, owned by Barclays Bank. They own The Spectator, The Business (the first is a political and cultural weekly, the second a failed business magazine) and also this newspaper.
Very clever of Barclays Bank, this way they can influence the English speaking world with commentaries and slanted business news. Especially important in their struggle against European banks, especially Banco de Santander (Abbey National) the powerful Spanish competitor in the British market.
D. Ambrosio is especially scathing against Spain and the Spanish economy. It is normal in any economy in any year that some business will fail, for example Inmobiliaria Colonial, badly mismanaged. When the normal happens D. Ambrosio says it shows that the housing and building industry in Spain is going bust and pulling the country down with them.
A few weeks ago D. Ambrosio made some predictions in the article that heads this note.
One of them:
Spain’s Zapatero government crashes in March.
Of course, the euro collapses as it has been doing since it began and it was worth 75 cents, now it is worth 1,5 dollar. But collapse it must: Barclays Bank says so.
«The deflating housing bubbles in Spain, Ireland, parts of France and Italy, and soon Greece, expose the fault lines of monetary union as 2008 unfolds, and start to render the euro-zone’s one-size-fits-all system unworkable.»
Yesterday Zapatero and the Spanish socialists won the elections.
rojos y colorines
Today they implement strong economic measures to improve the most dynamic economy in Europe. The Spanish economy grew 3.8% last year, the best in Europe. It created in 2006 and 2007 600,000 jobs every year.
And the euro is in ruddy good health.
It is not only D. Ambrosio, a doomer who spreads despondency in the English press about Europe and its economy preaching to the converted, the Eurosceptics.
The day before the elections, The Guardian, the nearest thing to a liberal left newspaper they have in this country, dismissed both candidates to the Spanish elections as «mediocre politicians».
Indeed they are. They have had to stand for the election by the voters. Not like Prime Minister Brown.
There you have a brilliant British, not a mediocre Spaniard. He’s been made Prime Minister without being put to the inconvenience of an election.