From ZeroHedge, a very interesting article by Raoul Pal looking at the supposed recovery in world finances and how it looks very much like a depression that can only head deeper.

The interesting quote for me is the following bit on the UK :

I have noticed that since the Cameron government came to power and unveiled its new austerity plan, that markets have greeted it with glee.

By most accounts analysts and market participants have lauded the measures, and markets have rewarded the UK with a stronger currency and lower CDS prices.

…

There is a lot of hope riding on the UK.

…

But lets not forget that the UK is the single most indebted major nation on earth if we take into account total debt. It is in fact 475% of GDP in debt.

Hope indeed – but he goes on :

The UK will eventually default.

There is no other achievable option.

Followed by an very interesting critique of our austerity plans and treasury projections.

I certainly recommend reading the full article.