The worst of all possible worlds

The Greek election has, in terms of the Eurozone crisis, produced the worst possible result. If the Interior Ministry’s initial projections are accurate, New Democracy has come first. But it is hard to see how they can form a coalition given that PASOK, the party of the establishment left, have said they won’t go into coalition without Syriza, the anti-bailout party.

PASOK’s ambivalence is understandable given that any party that goes in with New Democracy is likely to be wiped out at the next election. But the coming Greek stalemate is likely to make life particularly difficult for central bankers: do they act before tomorrow morning or wait for the aftermath of the third Greek vote?

Tonight’s result, though, confirm the Syriza Tory analysis that without some dramatic event, the Eurozone crisis will just continue draining confidence from the global economy for years.