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Italy's Political Upheaval Stokes Banking Crisis

The resignation of Italian Prime Minister Matteo Renzi following Sunday's no vote in a referendum on constitutional change has dealt another political blow to the European Union. Fears are growing that the political uncertainty could worsen the chronic problems of Italian banks and spread to other parts of Europe; but, many analysts say the referendum result was about domestic issues — and markets have given a muted response to the upheaval. Several Italian banks were struggling...

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