EU

We have the odds of an EU meltdown at 20%. More likely will be a death by a thousand cuts, something the mkt can handle. Either way it won’t survive.

World investors put the pain to Italy last week so she now pays double for 10 yr money vs the Germans.

There may not be substance to the run on Italy but it is self fulfilling. And the current EU rescue package can’t handle Italy too.

Glance at the US 10yr, last 2.97% vs a 3.03% close Friday. Safe haven flows this am are the reason why.

　
Robert Craven