Leaders from the so-called “red states” have made quite a show lately of fulminating against the power of the federal government. But not even they think that pounding their chests about sovereign states’ rights will ever cause the disuniting of the United States.
By contrast, leaders from the so-called “PIGS” (namely, Portugal, Italy, Greece, and Spain) have been arguing that the sovereign debt crisis that is threatening to plunge their respective countries into bankruptcy is a burden all of Europe should bear. And everybody knows that a default by any of these PIGS will cause the disunion of the European Union.
Therefore, non-swine EU countries, like Germany and France, must have felt their financial foundations shake yesterday when leading credit rating agency Fitch downgraded Portugal’s credit rating; especially since this comes as an aftershock of its downgrading of Greece’s just months ago.
Meanwhile, there’s no greater indicator of cracks developing all over Europe than the way the euro plunged after news about Portugal’s rating broke.
Timberrrrrrrrr….
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