Wall Street Breakfast: Must-Know News

Berlusconi considers resigning as bond yields hit more highs. Italian Prime Minister Silvio Berlusconi is meeting family members to discuss whether he should quit, The Wall Street Journal reports. The speculation comes as Berlusconi continues to hemorrhage support ahead of a key budget vote tomorrow. Italian 10-year bond yields hit another new euro-era record of over 6.6% today, rising ever closer to the 7% at which other eurozone nations sought a bailout.

Will Prime Minister George Papandreou last long enough to even get a vote on the referendum he wants?

SINCE Greek Prime Minister George Papandreou declared his intention to hold a referendum in his country on the recently negotiated rescue plan, the situation in Athens has been somewhat volatile.

Greek prime minister George Papandreou has called for a voter referendum in early December. However the wording of the referendum is still in question.If Papandreou is smart, he will stick it Angela Merkel and Nicolas Sarkozy with two distinct questions, the first on the Eurozone, the second on terms of the EFSF bailout.

Greek prime minister George Papandreou pulled a second major surprise move in two days. Yesterday he rattled the markets with a bombshell voter referendum proposal on the EU bailout (see EU Deal Unravels from Many Sides; Italy, France Bond Spreads Hit Record High vs. Germany; Bund Yield Drops Most on Record; All Out Bond Crisis).Greece Replaces Top Brass in Army, Navy, Air Force in Surprise Move

Cowards Win For NowWe will not get to see the precise wording of Prime Minister George Papandreou's referendum because enough cowards in the Greek parliament in conjunction with blackmail by Merkel and Sarkozy have put an end to Papandreou's regime.Thus, the on-off on-off Greek referendum is once again set to "off" this time permanently.Equity markets reacted positively to the referendum cancellation and also to the surprise rate cut by the ECB, but the euphoria will not last (except perhaps for gold).

Greek Prime Minister George Papandreou secured the unanimous backing of his cabinet for a referendum on the eurozone debt rescue plan, government spokesman Elias Mossialos said early Wednesday.The cabinet also approved Papandreou's decision to hold a vote of confidence in parliament on his government, Mossialos told reporters."The referendum will be a clear mandate, but also a clear message inside and outside Greece on our European course and our euro membership," Papandreou told the cabinet meeting.