Spain: To Be Forewarned Is To Be Forearmed
Why read: If you participate directly or indirectly in the financial markets I suggest you read the referenced article carefully and start paying even more serious attention to Spain than you likely already are doing.
Commentary: Things can 'collapse under their own weight', and I would not want to be the Atlas holding Spain's economy on my shoulders at this point in time. As I see things:
- to date austerity has largely been a 'politician's speaking point' for some time now, with little practical resolve showing up in the Eurozone 'economic theatre', including in Spain;
- the proverbial 'lady of excessive weight' has to be on the street outside a Madrid theatre, or already standing in the wings, while the world financial markets continue to boil along. In any event, she has to be at least 'humming' at this point, if not 'quietly singing her lines'.
Topical Reference: Spanish recession set to deepen as austerity bites, from Reuters, Nigel Davies, August 28, 2012 - reading time 2 minutes