Roubini thinks Greek rescue plan will not work

Back on form as Dr Doom, Nouriel Roubini thinks the debt of Greece is too big to avoid restructuring and that markets are already pricing this into bonds.

The value of the euro is going to weaken further. Greece and Spain could leave the euro. The transition will be a ‘very messy one’.

Roubini sees the US recovery stronger in the first half of 2010 than the second half. For the next two years economic growth will be low. Thereafter the bond problems of the US will become significant.