Prepare For a Run on the Banks
I love when people who rule the world retire and (have the guts to) say what they’ve wanted to say all along.
This would be Robert Zoellick, a 1%-er if ever there was one:
The head of the World Bank, Robert Zoellick, is about to step down after a 5-year term.
That means he can say what he really thinks.
Here, via the Daily Mail, is what he really thinks about what’s going on in Europe and the global financial markets:
- financial markets face a rerun of the Great Panic of 2008.
- It’s ‘far from clear that eurozone leaders have steeled themselves’ for the looming catastrophe amid fears of a Greek exit from the single currency and meltdown in Spain.
- ‘Events in Greece could trigger financial fright in Spain, Italy and across the eurozone. The summer of 2012 offers an eerie echo of 2008…. ‘If Greece leaves the eurozone, the contagion is impossible to predict, just as Lehman had unexpected consequences.’
‘There will not be time for meetings of finance ministers to discuss the outlook and debate the politics…. ‘In panicked markets, investors flee to safe assets, sparking other flames.’