Italy’s yields head towards 8%

Italy’s yields are heading towards 8%, which is about the same as South Africa. And South African inflation is flirting with 6% while Eurozone inflation is looking more like 1%.

Europe is in serious trouble and very few South Africans have yet woken up to exactly how serious this trouble is.

[update: intrade betting has it more likely than not that at least one country will leave the Euro by December 2014. If one goes, it’s likely more than one will.]

Published by David Kirk

The opinions expressed on this site are those of the author and other commenters and are not necessarily those of his employer or any other organisation. David Kirk runs Milliman’s actuarial consulting practice in Africa. He is an actuary and is the creator of New Business Margin on Revenue. He specialises in risk and capital management, regulatory change and insurance strategy . He also has extensive experience in embedded value reporting, insurance-related IFRS and share option valuation.