Shares Slide on Greece Risks; Euro Hits 4-Month Low

By Peter Boone and Simon Johnson In every economic crisis there comes a moment of clarity.  In Europe soon, millions of people will wake up to realize that the euro-as-we-know-it is gone.  Economic chaos awaits them.

This is the second post on today's release by the IMF of the 2013 Financial System Stability Assessment Report for European Union report.The first post - summarising top-line conclusion from the Technical Note on Progress with Bank Restructuring and Resolution in Europe is available here:

Today, European data shattered two long held beliefs by Markit and in general, unthinking economists everywhere. Shattered Myths European recession would be mild Germany would continue to diverge from the rest of Europe Markit reports Eurozone sees stronger rate of decline at start of second quarter

Authored by Lars Seier Christensen, CEO Saxo Bank via his blog, The real problem is not Cyprus, it is the Euro. After a few disturbing weeks, I would like to wrap up my comments on Cyprus and, hopefully, turn to other issues going forward. It is astonishing that a EUR 10 billion bailout can keep the world spellbound for so long. But then again, while the amount is not staggering, some of the implications are mind-blowing.

By Russ Koesterich: Now that a second Greek bailout deal has been reached, I’m getting lots of questions from investors about my outlook for the euro currency. The questions run the gamut from whether Greece will remain in the euro bloc to how the euro will likely perform going forward.

The International Monetary Fund and World Bank wrapped up their annual spring meeting this weekend in Washington, drawing into relief the eventful six months that passed since the two organizations met last October in Tokyo. From the continuing civil war in Syria, North Korea’s threats of nuclear aggression, the continued evolution of the Cyprus bailout and political instability in Italy, investors and world leaders alike have plenty of geopolitical concerns to think about.   Here’s our take on the hot-button issues:   The Euro Zone