Italian PM designate Enrico Letta needs answers on jobs and poverty
Enrico Letta has been put called in by president Napolitano to try to broker the formation of a government. He will be replacing Mario Monti in the vacated hotseat.
- Will begin talks to form government on Thursday
- Will only be formed if conditions are there. Will not be formed at all costs
- European economic policies have been too focused on austerity
- Must reform electoral system
- Political forces must recover credibility to resolve crisis )good luck with that one)
The long running Italian saga continues and the market is more or less discounting any news from it. Most news is just white noise. What is surprising is that bond yields had a field day the last two days of which none of the moves were attributed to the Italian political situation.
Should our Roman cousins finally form a government we may get a small relief rally. It depends on who joins with who under what conditions.