Bring out your dead. UBS is now warning that the Euro should not exist because under its existing structure and with its existing membership, the Euro just doesn't work. Either the current structure will have to change, or the current membership will have to change, which means countries will have to leave the Euro. The whole system was based on a lie. What's scarier is that UBS warns that the prospect of any country leaving the Euro would result in sovereign default, the collapse of the banking system and civil war.
Deutsche Bank CEO Joseph Ackermann has just given a frightening speech in Frankfurt. It's in German so let me translate it. He says that European banks have lost one third of their value. They are close to collapsing.
World Bank president Robert Zoellick says we have now moved into a dangerous period. Markets will be hammered. Europe's politics are going to get ugly. It's getting worse.