Stock markets are down—and Italian bonds and the euro are in retreat—at polls today showing that Silvio Berlusconi’s coalition has narrowed the lead of front-runner Pier Luigi Bersani to within the margin of error.
The euro debt crisis calendar according to Italy provides yet more evidence that the summit of European leaders that begins tomorrow is make or break for the euro. By this calendar the technocratic government of Mario Monti has only a month to head off early elections that could sweep anti-euro politicians into power in Rome
This morning to follow the Italian debt crisis you’ve got to juggle the results of today’s auction of Italian government five-year bonds, the progress of Mario Monti in forming a new government, the push back from the down but clearly not out Silvio Berlusconi, and the odd long-term focus from EuroZone leaders such as Germany’s Angela Merkel.
