Friday, October 28, 2011

Listen to the Guru

On the problem of leveraging up the European Financial Stability Facility (EFSF) I like the analogy given by Cullen Roche.

"This is like having 10 mortally wounded gunshot victims rushed into the ER and using the 9 to transfuse new blood into the 1 victim on his/her deathbed. And when you realize he/she can't be save you use the 8 to help the 1. So on and so forth until you recognize that the victims need is an outside blood transfusion".

The next question is whether Europe is able to entice Asian and Middle East investors to put money into investments that are linked to the bailout fund.

To read a Guru's comment on the newly formulated plan click Europe buys some time


Friday night with Sarah Brightman










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