Greece’s PM, George Papandreou has indicated that Greece may sue U.S. banks for their role in creating the global financial crisis.
Saying that he “wouldn’t rule out that this (legal action) may be a recourse”, well, that can only be good for confidence.
PM Papandreou made the statements during a CNN interview and come amid concerns and market jitters that despite a trillion dollar European bailout may not stem the flow of debt.
“Greece will look into the past and see how things went,” Papandreou said. “There are similar investigations going on in other countries and in the United States. This is where I think, yes, the financial sector, I hear the words fraud and lack of transparency. So yes, yes, there is great responsibility here.”
Any decision to sue U.S. banks would require Greek parliamentary support.
All this is likely to raise confidence like there’s no tomorrow, expect traders to be happy that a sovereign nation (which the U.S. is helping to bailout via the IMF) is looking into suing parts of the U.S. financial sector. In unrelated news pigs can now fly.