Don't Make Me Pull This Global Financial System Over

With the promise of unprecedented global financial action resulting from the G7 meeting today giving a last hour boost to the Dow and basically being the last shot we have to stave off disaster, odds are already looking pretty grim as Italy has already said that it won't sign off on the deal.

Finance ministers and central bankers from the Group of Seven nations met for crisis talks in Washington amid an unprecedented public split over what to say in their joint statement.

The draft communiqué under consideration is ``too weak'' and fails to reflect the gravity of the financial turmoil, Italian Finance Minister Giulio Tremonti told reporters in Washington before the talks began. ``We won't sign it.''

While Britain has pushed for a coordinated agreement to guarantee loans between banks, one official from a G-7 member said it was unlikely the G-7 would endorse their proposal. Two European officials said earlier that the group was considering saying that no systemically important bank would be allowed to fail, and laying out principles for all nations to follow.

G-7 economic leaders ``have never released a statement that they have not reached consensus on,'' said Jenilee Guebert, senior researcher at the G-8 Research Group at the University of Toronto. ``It would be unique. At this stage, however, for him to be saying this doesn't necessarily mean it will transpire.''

In one reversal earlier today, Italian Prime Minister Silvio Berlusconi said governments may shut financial markets, only to take back the remark later. White House spokesman Tony Fratto said there would be no interference in market openings or closings.

The G7 are hoplessly split at this point. Nobody wants to admit that if the US economy collapses the rest of the world will go into a depression...but nobody can afford to bail us out. Nobody wants to be the sacrifical lamb to save America, but if America's economy is not bailed out, the game ends for everyone.

We're counting on a miracle that will not happen.