Pánico en el BCE por Temor a que se PROPAGUE la Crisis Francesa a los BANCOS. José Luis Cava

Hello, how are you? Good morning from Santander. As you can see, we are enjoying a wonderful, cloudy morning today. In light of what is happening in the markets, just before my TED talk begins, which is scheduled to take place at the Magdalena Palace today, I must reach out to you. Because you have

surely noticed the lash being taken at European bank stock prices. The first question we are going to ask ourselves today is obvious. Is the debt crisis spreading? Is the fiscal crisis spreading from France to Italy and Spain? And secondly, it is clear that the European Central Bank is very worried and is considering how to

intervene, whether by buying public debt in the secondary markets or postponing that decision, because sooner or later they will have to intervene and will have to find an excuse to do so. Secondly, the home stretch has already begun. The starting gun has already been fired for the rise in the stock markets ahead of the

midterm elections. Besessen has gotten his way and we are going to see how he did it, how well he did it so you can see for yourselves. To start, I can tell you that the premium demanded by investors to buy French public debt has skyrocketed, as you can see in this chart. If you now look at the

difference between the interest rate on French public debt and German debt, you can see that it has skyrocketed; the premium is at 150 basis points. And if you look at the trend of the 10-year French bond yield, you can see that the upward trend is accelerating. France is in a debt crisis. It has begun to

spread. to see if it is starting to spread. We are going to calculate the interest rate or the spread between the interest rate the market demands to buy Italian public debt and the 10-year German bond interest rate. As you can see, there has been a notable increase in the premium that investors demand to