In what may be an unexpected development, following yesterday’s news that Renzi would hold off resigning for the immediate future as per the president’s requst, moments ago the Italian prime minister tweeted that he would formally resign at 7pm local time, well ahead of expectations, following passage of the budget bill.
Legge di bilancio approvata. Alle 19 le dimissioni formali. Grazie a tutti e viva l’Italiahttps://t.co/PLsLxcrPGS
— Matteo Renzi (@matteorenzi) December 7, 2016
The resignation may precipitate new elections, and potentially lead to an outcome in which the anti-Euro M5S party ends up in the driver’s seat, pushing Italy further into political limbo.
Italian bonds are selling off modestly on the news.
More as we see it.