Italy: Il Tempo editor calls for Banking Separation

Aug. 4 – The editor of the Italian conservative daily Il Tempo, Mario Sechi, pushes for banking separation today in the lead editorial, entitled “Separate now speculators from investors”. Sechi’s reaction to both Draghi’s non-show at the ECB and the market down-and-up reaction is: “The financial system today is mainly populated by speculators and not by investors. This dominance is the result of thirty years of galactic bubbles and baloneys (“bolle e balle”) which have turned into grandiose rip-offs, uncovered financial leverage and confusion between the roles of traditional bank and investment bank”.

Sechi mentions the case of JPMorgan’s Macris policy to increase derivative trading to effect the market value. “This form of financial gangsterism not only undermines the credibility of an industry which is indispensable for capitalism, but aims it guns  against States sovereignty. Politics has shown an embarrassing ignorance on how the game works.”

Sechi goes on saying that speculation is positive (sic) when it accepts and pays for risks. “But there are those who want to win all the time. And we reached the point that banks have manipulated (see Barclays and others) the Libor rate. In other sectors, we would have already mass arrests. Here we have Peg Leg Pete who cashes super-bonuses.”

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