Just about every Western government has way too much debt. We’ll see which of their bond markets cracks first, or perhaps they’ll all crack together. From Thomas Kolbe at zerohedge.com:
French Prime Minister François Bayrou failed a parliamentary confidence vote, bringing his government to an end. While markets largely remained calm, this does not mean France’s debt crisis has been postponed.
After only nine months in office, President Emmanuel Macron’s fourth government has collapsed. Prime Minister François Bayrou lost Monday evening’s confidence vote on his austerity budget by 364 to 194 votes. Bayrou announced his resignation for Tuesday.
Bayrou Acknowledged the Severity of the Situation
Bayrou took responsibility for the dire state of French public finances and attempted to impose a fiscal consolidation program. With public debt at 114% of GDP and a net borrowing forecast of 5.4% for this year, the plan included €44 billion in spending cuts, frozen pensions, and the reduction of two public holidays—measures intended as a lifeline for the struggling economy.
Both the parliamentary majority and broad segments of French society fundamentally opposed the reform program. Another general strike is already looming.
With Bayrou’s resignation, the wavering Emmanuel Macron faces the task of appointing a fifth prime minister in two years. Until the upcoming elections in April 2027, any government, regardless of composition, will confront the same problems. Any form of fiscal consolidation will be torpedoed by entrenched political factions. France is stuck in a political deadlock, making debt consolidation seem impossible.
Macron the bankster is no good with finance?
WAR always happens when the banksters are in too deep.