In a show of his unbounded generosity, Timmy! (AKA Rodney Dangerfield) has agreed with Spain that Germany should lend directly to Spanish banks, thereby avoiding the untidy strings that come with a bailout of the Spanish government, a la Greece. (Yes, the loans would come from the ESM, but we all know who is on the hook.)
The US and Spain agreed that European banks should be able to “go directly to obtain funds without any state intervention, without any conditionality”, Ms Santamaria said.
Go ahead!, sayeth Timmy! Give them the money. No conditions!
The Schäuble smack down coming in five, four, three . . .
PS. Timmy had been on one of his extended disappearances of late. He is the Major Major Major of the Obama administration.