Quick comment from Germany:
That Irish Bail-out ... looks like those feeble bank "stress tests" might themselves be put to the test. And still they resist increases in CapAd requirements.
In the circumstances of mid 2010 it was always fatuous to simulate exposure to PIGS sovereign risk with a haircut alone, as we argued at the time, and may shortly discover for real.
It all depends on how quickly events develop. So far, Drew's Law of Slow-Mo Dominos is holding ...