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PIIGS / Europe's Debt Troubles

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... A good start would possibly be to immediately liquidate HBoS, RBS, HypoReal, Commerzbank, Soc.Gen., Lloyds, BoA, AIG etc. Cut bankster bonuses and put them on welfare.

There are too many banks, and too many bankers.

They have muscled the politicians to get special favors.

 

In fact, it would be healthy for the economy, if the banks were smaller.

One of their main roles now seems to be financing, and encouraging speculative investments.

 

Do we really need them? If we do, then we need smaller banks, and fewer of them !

== == ==

 

Charles Hugh Smith talks about "De-financialization" as we move our investments AWAY FROM WALL STREET banks:

 

There’s going to be an even higher premium on really knowing where your money is and what it's doing. Because the easy returns of just anonymously tossing your money over a wall and towards a group of people who are going to manage it for you - let’s call that Wall Street for now - when things get tight one of my basic theories in life is that when there are ample resources for both Wall Street to earn its outlandish bonuses and make themselves feel good about themselves that way and for you to earn something of a return too, then you both win. When there aren’t sufficient resources for both, guess what happens? Wall Streets gets it's bonuses anyway and there is nothing left over for you. I think we are pretty close to that moment in time here. And so it's a fancy way of saying real conflicts of interest are at play – the people who work in the financial industry are often deeply conflicted in terms of what they can say and what they can’t say. They have fiduciary responsibilities and they sometimes limit themselves from telling you about the entire universe of opportunities. I know people who have been – even as recently as last week – cautioned by their broker not to go anywhere near gold. It's just a silly investment and it's not an investment, it doesn’t have any returns, etc.

 

So there’s – I think the first stage of awareness for me was understanding the extent of it. Wall Street’s interests and my own interests were not aligned, not even remotely aligned.

 

/source: http://www.financialsense.com/contributors/chris-martenson/2011/08/17/charles-hugh-smith-why-local-enterprise-is-the-solution

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Banking - a publicly owned utility, with employees at a slightly lower rank than street cleaners, as it poses less daily challenges.

 

With apologies to commercial tv for the withdrawal of the mindless cosy advertising

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Banking - a publicly owned utility, with employees at a slightly lower rank than street cleaners, as it poses less daily challenges.

 

With apologies to commercial tv for the withdrawal of the mindless cosy advertising

234895,1220884148,1.jpg - "A Banker cleaning up in the market"

And maybe dressed the same way too.

Actually, In think there's a connection between Money and Dung.

For instance, David Rockefeller has a beetle collection

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Ze final solution gets closer; with a little outside assistance.

 

http://www.zerohedge.com/news/bundesbank-mein-entschluss-anschluss-plus-germany-reveals-european-annexation-blueprints

"Unless and until a fundamental change of regime occurs involving an extensive surrender of national fiscal sovereignty, it is imperative that the no bail-out rule that is still enshrined in the treaties and the associated disciplining function of the capital markets be strengthened, and not fatally weakened."

 

EDIT: In a few decades an Aung San Suu Kyi might be needed to free the serfs

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A good start would possibly be to immediately liquidate HBoS, RBS, HypoReal, Commerzbank, Soc.Gen., Lloyds, BoA, AIG etc. Cut bankster bonuses and put them on welfare.

 

..after they had been means tested (don't want any scroungers) and their assets, horses and second homes redistributed.

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..after they had been means tested (don't want any scroungers) and their assets, horses and second homes redistributed.

 

Not forgetting who else benefits from the favours game. Quite a long list.

The latest to flash-up (yet again) being Lord Mendl of Eight (million); but isn't he a Rothslime anyway?

All tagged, inspected at 07.00 each morning. Brooms & carts ready for each day on the street.

I want the Blair person leading the way.

Next lifetime perhaps.

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Apparently the Greek economy is faltering and has limited production of Taramosalata and Tzatziki, the ongoing economic crisis, is now officially a double dip recession. The government have been criticised for making a Drachma out of a crisis...

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Italy needs to roll over a record amount this month.

 

 

http://www.telegraph.co.uk/finance/financialcrisis/8740736/IMF-global-economy-faces-a-threatening-downward-spiral.html

IMF: global economy faces a 'threatening downward spiral'

The International Monetary Fund has called on the US and Europe to abandon fiscal austerity and switch to stimulus measures

The Italian treasury must redeem €14.6bn of debts this week and €62bn by the end of September, the most ever in a single month.

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Apparently the Greek economy is faltering and has limited production of Taramosalata and Tzatziki, the ongoing economic crisis, is now officially a double dip recession. The government have been criticised for making a Drachma out of a crisis...

 

:lol: Yep, something fishy going on.

 

Italy needs to roll over a record amount this month.

 

I hear Bill G and PIMCO are now saying we have to stop the rapid cuts (hinting stimulate more) after previously saying we were a basket case and needed to cut everything asap!

 

Make your mind up guys ;)

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Greek two year bonds now at 50.37% :unsure: They just need one more bailout to save them.

Once the bonds are worth zero, they can buy them back and make a full financial recovery. ;)

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Today, the German Federal Constitutional Court has decided that the German PIIGS help so far has been constitutional.

 

However, it has also made clear that such packages have to go through the Bundestag (parliament), so there is not going to be any automatisms or lonely decisions by Merkel.

 

Furthermore, they made clear that it is the Bundestag's business (and not theirs as a court) to decide how much debt Germany can cope with.

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Today, the German Federal Constitutional Court has decided that the German PIIGS help so far has been constitutional.

 

However, it has also made clear that such packages have to go through the Bundestag (parliament), so there is not going to be any automatisms or lonely decisions by Merkel.

 

Furthermore, they made clear that it is the Bundestag's business (and not theirs as a court) to decide how much debt Germany can cope with.

 

Hmmm, so they got away with it then. This time!

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The German ECB "rats" are leaving the sinking ship: first Weber, now Stark (ECB chief economist). Both did not like the European version of QE which will end in the fiscal Italianization of Germany.

 

ECB Dealt Blow as Board Member Stark Resigns

http://www.bloomberg.com/news/2011-09-09/ecb-executive-board-member-stark-resigns-three-years-before-end-of-term.html

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Oh dear!

 

With Greece having been bailed out at least twice and now Cyprus apparently needing a bailout, can I suggest a new acronym to be the CIG PIIGS? With it looking increasingly likely that the ECB is going to inflate is it worth moving money out of Germany towards Eastern Europe, particularly the Czech Republic?

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Italy needs to roll over a record amount this month.

 

 

http://www.telegraph.co.uk/finance/financialcrisis/8740736/IMF-global-economy-faces-a-threatening-downward-spiral.html

IMF: global economy faces a 'threatening downward spiral'

The International Monetary Fund has called on the US and Europe to abandon fiscal austerity and switch to stimulus measures

The Italian treasury must redeem €14.6bn of debts this week and €62bn by the end of September, the most ever in a single month.

As I recall Italy has a surprisingly large amount of gold...guess they will have to sell if the ECB doesn't roll those presses for them.

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So does anyone know what the results of the "make your mind up time" was for Greek creditors?

 

It was meant to be decided by Friday last, wasn't it?

 

I assume Finland kept their deal (guarantees linked to assets etc).

 

Did everyone else demand the same? Or actually go for haircuts and renegotiated payback periods (AKA DEFAULT) :blink: .

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Proposal: This thread title is out of date. Iceland out? Belgium & France well overdue to be in?

So could admin please revise the title to say? FIB-PIGS? - Or should there be a new thread?

 

& BTW Soc Gen are ok, because Soc Gen say so:

 

”In the current uncertain and sometimes irrational environment, it is necessary now more than ever to understand the hard facts. Societe Generale’s foundations are solid. Its exposure to GIIPS sovereign debt is low and very manageable in any final scenario. The Group’s businesses are profitable, its liquidity situation is very much satisfactory and so are its shareholder equity and solvency levels. Based on its strengths and with the conviction that a new environment has started to emerge after the summer of 2011, the Group has decided to accelerate and to adapt the execution of its strategic plan. It will therefore be able to meet the new regulatory requirements with a Basel 3 Core Tier 1 well above 9% by the end of 2013 with no capital increase."

 

http://ftalphaville.ft.com/blog/2011/09/12/674441/socgens-hard-facts/

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Proposal: This thread title is out of date. Iceland out? Belgium & France well overdue to be in?

So could admin please revise the title to say? FIB-PIGS? - Or should there be a new thread?

 

& BTW Soc Gen are ok, because Soc Gen's CEO say so:

 

”In the current uncertain and sometimes irrational environment, it is necessary now more than ever to understand the hard facts. Societe Generale’s foundations are solid. Its exposure to GIIPS sovereign debt is low and very manageable in any final scenario. The Group’s businesses are profitable, its liquidity situation is very much satisfactory and so are its shareholder equity and solvency levels. Based on its strengths and with the conviction that a new environment has started to emerge after the summer of 2011, the Group has decided to accelerate and to adapt the execution of its strategic plan. It will therefore be able to meet the new regulatory requirements with a Basel 3 Core Tier 1 well above 9% by the end of 2013 with no capital increase."

 

http://ftalphaville.ft.com/blog/2011/09/12/674441/socgens-hard-facts/

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Proposal: This thread title is out of date. Iceland out? Belgium & France well overdue to be in?

So could admin please revise the title to say? FIB-PIGS? - Or should there be a new thread?

 

Indeed.

 

And come on Eire, sort yourself out

 

ECB's Stark tells Ireland to ramp up austerity

 

DUBLIN (Reuters) - Ireland (Berlin: IIK.BE - news) 's government should cut public sector pay again to get its budget deficit under control, the ECB's departing chief economist Juergen Stark said in an interview published on Monday.

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REMINDER: Here's Who Gets Crushed If Greece Goes Bust

 

Greek, German and French banks will come off worst if [cough, when] Greece defaults. More info in the link.

 

Greek prime minister George Papandreou passed new measures that cut wages and raise taxes, to help Greece meet deficit targets necessary for its next tranche of loans.

 

Protestors took to the streets to oppose the measures, but ECB president Jean-Claude Trichet announced that Greece most likely will receive the next round of funding but European markets barely reacted to the news.

 

But the rest of Europe still needs to approve the new bailout agreed to in July. If there is no consensus, Greece will likely be unable to pay its bills, and will default on its debt.

 

but-banks-in-europe-have-been-working-to-cut-their-exposures.jpg

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From Someone in Greece:

 

"They are now discussing the probability of an internal suspension of payments (ie. wages and pensions) whereas the external obligations (loans and interests) will be paid normally!!!"

Is this why we calculate the potential $US value of gold using external debt?! :)

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