By John Galt
October 21, 2011 – 05:30 ET
What a week.
The markets started with the promise of a Eurozone solution by Sunday and finish the week with a promise to discuses a promise to promise an announcement on Wednesday’s meeting by Sunday.
The funny thing is the PPT and Bubblemedia have some morons actually believing that the Europeans have learned how to create solvency. The proclamations the world has heard thus far are as productive and logical as the guy in Ireland setting his house on fire to transform crap into gold. He did not succeed and it is seriously doubtful the European Union has solved the centuries old problem of alchemy either.
The chart to watch for the markets is the EUR/USD chart but the future of the Euro is being predicted by the Euro-Yen most accurately:
Another break below 104, which seems inevitable will be the warning that another breakdown in the markets is about to occur. More this afternoon as I return to focus on the credit markets which are forecasting some seriously bad things in the near future. Also watch our old friend, GS, as its trading has been very choppy with little conviction beyond the dead cat bounce it has experienced recently and looks weak and ready to breakdown once again.