Because it ain’t even close, according to Citgroup’s chief economist.
The experience with the first Troika programme in Greece over the past 18 months has shown that a solution to the challenges Greece faces cannot be imposed from abroad. It would have to be supported by a broad coalition of the willing in Greece, of which there is little evidence. But until such a coalition materialises, Greece will at best live from review to review in the eurozone. Over the next few days and weeks, investors will undoubtedly greet signs of a greater likelihood of a final signing off on the 2nd bail-out agreement and a completion of the debt swap with minor relief rallies, while retreating at each sign of possible breakdown.
You’ve heard me make the point in bold thousands of times…We’re merely kicking a very dented can just a short way down the road…
