EU is morally bankrupt and financially insolvent

Breaking news on Italian newspapers are quoting a decision of Brazil, Russia, India and China to coordinate massive purchase of Euro bonds to save Europe from assured disaster.
Although international newspapers are more sceptical of this possibility as reported by Reuters below.


From Reuters:

BRIC major emerging markets are considering ramping up holdings of euro-denominated bonds in a bid to help European countries mired in a sovereign debt crisis, newspaper Valor Economico reported on Tuesday, citing a monetary official.

Valor reported a decision could be made at a Sept. 22 meeting of finance ministers and central bank presidents from Brazil, Russia, India, China and South Africa in Washington.

Brazil's central bank declined to comment on the story. The source in the report was not identified.

It could be a trick to avoid stock collapse and earn some time as it was a trick yesterday's news of Chinese intervention on the Italian sovereign market.
True or not, this is an historic event, for the first time since Middle Ages Western powers are the rescued and not the saviours just this idea is destined to change the arrogant and obsolete mindset of the European population at last.
If BRIC countries will rescue Europe they will try to capitalize on this emergency as much as possible, they will try and pull concessions and strategic industries and infrastructure control in exchange for their money, the fire-sale of Europe will start and in a matter of few years the geography of power will be completely upturned with Europe finding itself under debt indentured service.
Interesting how Europe is getting back to the same debt dynamics of World War II, this time though not due to bombardments, war and destructions, we went into debt for villas, sport cars and luxury items we could not afford but we wanted just the same, for greed and arrogance, for short-sightedness and stupidity.
BRIC countries are aware as the ECB is aware that it is impossible to go on buying Italian, Spanish, Greek, Irish and Portuguese bond indefinitely to keep alive zombie economies and profligrate populations unwilling to pay the price of their recklessness.
Europe can posticipate the inevitable default but will be faced with an hefty bill for selling its soul in exchange for few years of mitigated decrease of standards of living.
The default will arrive maybe not this year but in 1-2 years if BRIC countries keep this insanity alive but when it will unleash Europe will be just a shadow of what is now, voided of power, wealth, dignity and prestige, just a leech.
There is another risk though which is worth consideration, as Chinese sources mentioned yesterday we do not trust buying Italian bonds if the ECB is unwilling to do it.
Effectively when the central European bank in unwilling to risk why those countries should?
The reality is that the EU has surrendered and it has effectively declared the breakup of the Euro, for the EU to leave the shielding of its periphery to external actors is an effective declaration of surrender.
It means that BRIC countries will sustain those economies until an orderly breakup can be arranged or other events will unfold.
Either way BRIC countries get access to a strategic European periphery.
Let us not forget that only 1 year ago for the EU it was a shame even to consider an assistance from the IMF on the Greek crisis, now with Italy and Spain at stake the IMF with Lagarde is silent, IMF does not even meddle anymore in this issue which gives us 1 or 2 thoughts on why Strauss-Kahn was liquidated.
With half of the developing world coming to rescue of Europe there is no embarrassment at all, either the situation is so desperate that shame is no longer in the equation or a trap is being set for the developing world to bleed assets in Europe before orderly default will occur just for strategic considerations.
Probably it is both but one thing is sure the degeneration of the EU is set to leave a very painful mark in the years to come.