Today I initiated another short position -- this time in the Spanish bank Santander (NYSE: SAN). While already down about 20% from earlier this year, it is still up about 50% since last summer, when the problems that have not gone away on the Continent were front and center. In fact, in the past 2 years, the spring/summer has turned into an absolute bloodbath for Europe and its financial system. I see no reason why it will be different this year. That, and the chart also looks crumby. And I was inspired by a recent interview from Jim Chanos.
As they say, the rain in Spain falls mainly on the banks as they get squished like a bug on your windshield. Or something like that.
