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Macro
Michael Platt, founder of the $30b hedge fund BlueCrest Capital Management LLP, said most of the banks in Europe are insolvent and the situation will worsen in 2012 as the region’s debt crisis accelerates. Austerity will ultimately lead to slower growth in Europe, making the region’s debt woes even worse, he said. A solution will come when the European Central Bank pumps significant amounts of money into economies, something it lacks a mandate to do.
Comment: Seems that either way, European markets are gone. This is gradually being priced into the market through the selling of the EURO. The worst has not been fully priced in yet
Sources: Bloomberg, Reuters, WSJ, The Business Times, Analyst Reports, Company Announcements
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