Italian bond prices movin’ on up – from the BBC:
Italy has had to pay much more to borrow than a month ago as investors continue to worry about its huge debts.
Italy had to pay an interest rate of 4.8% to sell 3.5bn euros ($5bn; £3.1bn) of three-year bonds – up 1.1 percentage points from June.
Despite multiple attempts to contain the Greek debt crisis spreading, Italy and Spain have seen their borrowing costs rise in recent weeks.
Italy has the largest sovereign debt of any European country…
They can keep plugging the leaks. They can keep on printing Euros to buy worthless “PIIGS” bonds. They can razzle and dazzle and have conference after conference – but at the end of the day, Portugal, Ireland, Italy, Greece and Spain owe more than they can ever possibly repay. Default is inevitable. Wiser heads are now just looking for the safest place to crash the plane…because crash it must.
Debt is poison – and piling on more debt to discharge old debt is economic suicide. Keep that in mind as our Democrats try to sucker us in to believing that the only way we can avoid default is to go further in to debt.