Well I’d like to write. “With ESFS III” we are now on our way to correct things.
Unfortunatly one can not write anything about that. It’s not that we started making less debt, au contraire. It is tried again to fix something caused by debts to cure with more debts
The voluntary “cut” of the banks of around 50% is absolutly open. I very depends what positions the banks take. If they think they can gain more by a open default of Greece, then they will follow that path. Anyway the problem is every bank will have to decide for themselves.
Because of the CDS we don’t know how bad it would hit the banks. Maybe they are on the side of getting th assurances. Than the problem will be of their counterparts. I just know if anything would come from any government I would be very skeptical about any advantages supposed to hold for me.
Just remember last year the governments actively asked the banks to “invest” in Greek bonds. Well if you’ve done that you’d have to bear quite a loss now. There won’t be any advantage.
And see that the bonds of states were treated as if they do not have any risk. And so they are treates nearly as equity. Not it turns out they are everything but risk free. And now the states require higher equity to back up their bonds. So you can see, the states do everything they can to get more under their control.
If you give into the sirene songs, you are in deep trouble. So I just can recommend the same as for ages. Do not hold any bonds of states or you will be sorry sooner than later.
will be a catastrophe.
I don’t know how many times we now have to read about “saving” Greek and the szenarios get more devastating with evey try. Just for the flat lie: “We must save Greece otherwise hell will break loose”
There is not other word for that than black-mailing. I wrote about it yesterday and now it’s that all politicians do it. And that is so disgusting, that no word really is unfriendly enough to describe that.
The possibilities are obvious. Given another round of this time more cheaper credits to “buy” older more expensive credits back. Even that can not work. If one does not sell one’s bonds, one has will get back 100% of it, but in a default. One can say well if I can sell now for 50% of it’s value I’ do that. So be it but there will always be people not doing it. So what?
So in fact there is no way to get out of it without defaulting. But even then the papers still are “valid” claims. So Greece will not get any money from the capital markets and still is unable to get along without any other debt. They will need transfer payments and this just is illegal. There’s not legitimated government in Euro land and sorry, we see it everywhere transfer payments simple do not work. The only way for the Greek is, cutting down their expenses to their income. Anything which does not follow that is just stealing. We will not help them while taking more of their expenses on our invoice.
I’d put no pressure in any way on the Greek. I just would deny them any further credit. There is no “right” to get credit in any law. We can help if they want but for that they have to take the first steps, we just have to wait. If the actions will be sound, people will invest in Greece if not, so be it. It’s their land, ain’t it?
Here’s what I think will come from it. They will tell us Greece will get the hardest imaginable conditions, and that it’s our duty to help. Otherwise Greece and short after EU will get to hell. We’ll offer another few hundred billions for them and will hear there’s no choice. We’ll hear that the private sector will have to bear some of the costs also and they will look into the camera with puppy-eyes like a dog. And say we fight for the EU citizens against the speculates. We have to ..
The have to because they are absolutly clueless or even worth they do not want to miss one strip of their power an dictatorship. Bastards is much to friendly phrase for them, they are looters, and sorry I can not help it assholes.
Greece finance minister warns, if the EU let Greece down.
Guess what Greece alone has 330 billion of debt. and if they fail the end will come. Well hell one might think “Finally”
All EU countries have debts beyond imagination and beyond anything in history (even after wars) and they are “suprised” that this won’t work.
That it could work is as likley as extinguish a fire with a flame-thrower. I’m really getting mad about this Bastards. They have accepted all kind of debts for
the most stupid things one can imagine. They tooks tons of money for other things from th e EU. (I bet no street was build on Greece costs alone the last 10 years)
They made working for the government profitable as nothing else, all in the clea knowledge they do not have the money to pay that all.
So in fact they’ve lived beyond any limit on the costs of all creditors, just to rip of everyone in that country. I’m so angry, that I’m not even able any more to
write anything decent. I wish all the Politicians and Bureaucrats over there a hell of time. Take that you looters.
English banks reduce their exposer to EU risks:
1:100 that Merkel and Sarkozy will name them speculates. Or traitors or such
Greeks history is near record breaking for defaulting. Just read “This time is different” and you’ll see I’m taking this out of the blue.
Much more interesting is that defaulting seems to correlate very nicely with corruption. For this beeing able to read German check:
Togehter with this time is different you’ll see the probabiltiy of Greek defaulting is very high and because of the sell of of bonds one can see, all but the deledefs think a default is inevitable.