Italian government *bond risk is at its highest since before the Referendum *as the constitutional court modifications push Europe's troubled country closer to early elections (and the potential for 'Italeave').
While it is no longer clear precisely on what side of the anti-establishment divide 5-Star leader Beppe Grillo can be found after his recently rebuffed attempt to merge with a pro-Europe federalist in the European Parliament, should the 5-Star movement win in the upcoming elections, *Europe will be one stop closer to the populist tipping point*, especially since that will likely mean new all time highs in global markets.
And it appears the bond market is starting to realize...
And while peripheral European bonds have been a bloodbath recently,* Italy is the notable outlier...*
At its *highest risk over Spain since the European crisis.* Reported by Zero Hedge 2 hours ago.
While it is no longer clear precisely on what side of the anti-establishment divide 5-Star leader Beppe Grillo can be found after his recently rebuffed attempt to merge with a pro-Europe federalist in the European Parliament, should the 5-Star movement win in the upcoming elections, *Europe will be one stop closer to the populist tipping point*, especially since that will likely mean new all time highs in global markets.
And it appears the bond market is starting to realize...
And while peripheral European bonds have been a bloodbath recently,* Italy is the notable outlier...*
At its *highest risk over Spain since the European crisis.* Reported by Zero Hedge 2 hours ago.