Shane Ross: Kenny waves the white flag
Published 30/10/2011 | 05:00
EUROPE'S bankers were given their 'get out of jail' card. Ireland's Government opted for further captivity. Ireland's taxpayers remain incarcerated.
There are few worse omens for ordinary punters than the spectre of a recovery in bank shares. Last Thursday's spike in global bank indices was ominous. The 10 per cent rise in eurozone bank shares signalled that the bankers had once again triumphed in Europe.
Bank shares had their fifth-best day since 2004. The recovery was a relief rally. Bankers had won the tussle with governments over the size of recapitalisation. Independent observers had anticipated a far higher figure than the finally agreed €108m. The market spotted that bankers had won the day, wiping the governments' eyes.