When markets closed this Friday, European leaders sat down and decided to show their muscles (read my last post). Their statements were suggesting they are only next to God and can control markets, particularly that of Mr. Sarkozy. They speedily drafted a 'bailout' package to not only 'cure' Greek Debt Crisis but also their language suggested how angry they were on Euro sellers. What more, the Iron Man Mr Trichet (ECB) also had an about turn on his recent statement of not buying Greek Debt which shows how 'independent' is European Central Bank! Indeed! the 'announcement' of a massive rescue fund did have its effect but for how long? 24 Hours or even less! Euro is back to the territories (in fact below) where it was before the announcement. No wonder I had my doubt on the 'effect' of this 'package'. Also, I read this interesting piece on Bloomberg by John Glover who terms it as "Ponzi Game at the Highest Level". Here is a link to that article which I recommend highly.
Now, it seems all the euphoria that made almost all stock markets around the world and Euro to rally like no tomorrow was in fact an expected short squeeze and now it looks like all that is going to reverse. Interesting times we have! Let us wait and see how and what these leaders decide as their next step(s).