Economic data and technical data out coming out of Spain is telling us point blank that disaster is looming and will trigger the dominoes to fall across Europe. The perfect storm of an economic collapse fueled by a all out housing and mortgage crash, a souvereign debt crisis, and a run on the over-leveraged unregulated Spanish banks is hammering Spain right now.
The IMF and ECB knows that Spain is too big to bail out which is really bad news. Spain has banned all cash transactions over 2.500 euros. 65 billion euro left the Spanish banking system in March 2012 alone. The total Spanish banking loans are equal to 170% of the Spanish GDP. Spanish banks are drawing a record 316 billion euro from the ECB (up from 269 billion euro in february).
iNews – Crickey Amigu di Natura Foundation 2006.