Southern Europe markets bear market territory

The markets are in retreat, centered around the PIIGS of Europe. MarketWatch has a good article that was just posted.

You can say this again:

Stocks across the so-called PIIGS region — an unloved acronym that refers to the five countries that makeup the troubled second tier of euro-area members — are down more than 20% from highs reached in April, with the exception of Greece, which hit its bear market earlier.

Think about this point being made:

Korean tensions and worries over Spanish banks were the trigger for Tuesday selling. The Bank of Spain took over a savings bank, CajaSur, over the weekend, followed by news Tuesday that four other savings banks would merge…

Lars Christensen, chief analyst at Danske Bank in Copenhagen, said news of CajaSur — though a small lender — is still unnerving markets.

“In another environment it wouldn’t have changed anything, but in this environment it is a reminder about problems of the financial sector and of Europe.”

You’re telling me! The US has 7 or 8 banks taken over on a weekend with 10% of US banks are on the “watch list” and stock analysts are spewing about how “we are in a bull market”. Please remember: Don’t look now! 775 Problem Banks and Stock Market ‘Worse Than January’


For the rest of the article: EU miracle…PIIGS become Bear!


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