EU nervous about inconclusive Italian election results

A majority of Italians who went to the polls rejected the austerity program initiated by former Prime Minister Monti. This is about the only clear result from the election and will probably mean that the austerity program is dead. This has a huge impact on the eurozone because of the move last September by the European Central Bank, who virtually guaranteed the debt of countries who followed ECB guidelines on austierty. If Italy abandons those guidelines, they would be ineligible for a bailout if their costs of borrowing began to skyrocket again. Comic turned politician Beppe Grillo told supporters on his Facebook page that he would not participate in any government formed by mainstream parties of the right or left. As the third largest vote getter in the election, Grillo's protest voters hold the key to a stable government. He wants new elections - he probably won't get them because former prime minister Berlusconi will probably be able to cobble together a coalition himself....(Read Full Post)