FAST FIVE: The Eurozone's Financial Disintegration
But since the Lehman crisis, and more noticeably the last eurozone crisis, capital flows appear to have gravitated from Portugal, Italy, Greece and Spain (the PIGS – remember them?) to principally Germany, Luxembourg, Netherlands and Finland in that order.
As far as the ECB is concerned, the role of the commercial banks is to act as agents in its funding of member states' budget deficits.
We should be in no doubt the financial system of the eurozone is heading towards an eventual crisis which will destroy it.
Similarly, we see Spain's private sector contracting by 22.5%, and France's by 24%.
This strength comes partly from its moderate international trade surplus compared with the enormous US trade deficit, and the fact that the dollar is over-owned by foreigners while the euro is not.