El Arian Smells the Coffee

Bloomberg headline: Europe Close to Banking Crisis: El-Erian. Close? Europe is "close to a banking crisis?" Where has this guy been for the last month?

One need look no further than the first paragraph of the piece to see what's on El Arian's mind: he's just another mouthpiece for IMF head Christine Lagarde:

Pacific Investment Management Co.’s Mohamed A. El-Erian said organizations such as the International Monetary Fund need to act with European banks at risk of being engulfed in the region’s sovereign-debt crisis.

The bottom line on all this is that "cooperation" of the "greater","more aggressive" and "broader" variety, with copious amounts of Geithner's "political will" is to be encouraged, persuaded, and eventually enforced to make it look as though everyone's debt is no longer going to swallow all the wealth the human race has ever and will ever create. As Geithner intimated, the "rich nations" are going to have to bail out "the weak ones." We're talking, for the record, about unified, global socialism, full-blown and out of the closet, as if that needed to be pointed out.

We foresee things getting messy, ugly, confusing, and nonetheless resulting in such "cooperation" and "unity" and a new financial order as described elsewhere in this venue.