From Greenspan’s slight smile to a simple gesture from Draghi…

Wednesday, August 1, 2012

Do you remember the effect that a smile from the impenetrable Mr. Alan Greenspan used to have on Wallstreet? If he looked serious, stock prices fell. If he smiled, stocks rose in proportion to the breadth of his grin…  

As was to be expected, the result wasn’t at all good: the catastrophe of 2008.  

Now, in Europe, our stock market fluctuations and risk premiums depend on a simple word or gesture from Mr. Mario Draghi, President of the European Central Bank.   

The BCE “sells” to national banks at 1%, to later “buy” Spanish debt at a much higher interest rate. This is intolerable.   

We demand radical changes and we don’t want the European and Spanish economies to be managed by “gestures”, but rather with well-founded actions.   

We’ve had enough nonsense!