February 10th, 2013
With the the U.S. economy having once again dropped into negative recessionary growth, currency wars around the world heating up through direct and indirect devaluations, and trillion dollar fiscal deficits piling on, how is it possible that the stock market, a key measure of economic health for many Americans, is touching near all time highs?
Marin Katusa, Chief Strategist at Casey Research, suggests that this effect can be traced to [...]
Remember Greece? It’s going to need a third bailout, according to senior IMF official Thanos Catsambas. It’s estimated, he says, the country met only 22% of its fiscal reform commitments in 2011. The Troika is in Athens at the moment to asses whether to release the next tranche of the country’s 2nd rescue loan.
Fresh out of the flashing red headline-a-tron:
IMF OFFICIALS SAY GREECE WILL NEED A THIRD BAILOUT
IMF SAYS GREECE [...]
The absurdity of the Greek “bailout” setup is in the news once again. The New York Times reports Athens No Longer Sees Most of Its Bailout Aid
Greek banks have been shut off from regular ECB liquidity operations due to lack of sufficient collateral. Today the Banks have that collateral thanks to a disbursement of funds from the EFSF which in turn will be used as collateral for more loans from the [...]
Unlike Eurocrat rhetoric, which is increasingly full of lies (thank you Jean Claude), prevarications, and half-truths, math is simple and binary. There either are enough numbers, or there aren’t. In the case of the European firewall, there aren’t (and that is even assuming the IMF somehow manages to convert all the money pledged for a European bailout bailout into money available for disbursement… because there is a world of difference between the two).
Source: Deutsche Bank
Update: some additional color from MNI, as Europe scrambles for damage control:
“The European Financial Stability Facility (EFSF) is expected to approve an E18 billion recapitalization disbursement for Greek banks within the next four days, and the banks should get the money within a week, a senior Eurozone official told MNI Wednesda.
Earlier today MNI reported that the European Central Bank was growing nervous about delays in the recapitalization program for Greece and was [...]
With so much fear and uncertainty in markets around the world, today King World News reached out to Ben Davies, CEO of Hinde Capital. Davies told KWN that “Bank capital is scarce” and “the ECB will react with a 3rd LTRO as their is no alternative for them.” He also said, “the FED will power up the US dollar Swap lines.” Davies also discussed gold, but first, here is what [...]
(Reuters) – Greece will have to slash a further 5.5 percent of GDP in government spending in 2013 and 2014 to meet agreed fiscal targets underpinning the second international bailout for Athens, a European Commission report said.
The Compliance Report by the European Union’s executive describes the progress of Greek reforms necessary for the release of new euro zone money to Athens and recommends the first disbursement be made as soon [...]
by Simone Foxman
Markets are rallying in the wake of Greek parliamentary approval for a new round of austerity measures that would trim €325 million ($430 million) from the government’s 2013 budget, reduce minimum wage by 20%, cut 15,000 public sector jobs, and draw down medical spending and benefits from pension funds.
However, the real hurdle is still ahead for the disbursement of Greece’s second bailout—private sector involvement.
Negotiations between Greece and its private sector [...]
Italian Prime Minister Mario Monti at a finance ministers summit at the EU council headquarters in Brussels on Tuesday on a day when Italy was forced to pay a crippling 7.89pc – the highest level since 1996 – to raise €3.5bn of three-year debt
By Louise Armitstead, Chief business correspondent
11:50PM GMT 29 Nov 2011
Mr Schauble said eurozone finance ministers, who are meeting in Brussels, could not agree on the terms of the European [...]
The German constitutional court has already played a substantial role in the country’s participation in the European bailout. Back in September when noting the first participation of the court in the European rescue machinery we noted that “giving the Bundestag’s Budget Committee the final say over the use of the bailout fund is welcome from a democratic point of view, but will add another element of uncertainty to the eurozone [...]
Yesterday we made an amusing contrast between the lies of European insolvent state annexator general Olli Rehn who said that “Greece’s debt is on a “durable declining path” and new projections will show that the second rescue program reduces net liabilities, European Union Economic and Monetary Commissioner Olli Rehn said” and the truth uttered by Greek budget committee head Stella-Savva [...]
Greece’s finance minister has warned the country is sinking deeper into recession, with revised forecasts indicating negative growth of close to 5 per cent this year.
The new projection came as experts from the European Union and International Monetary Fund started assessing progress with fiscal and structural reforms before a decision is taken on releasing another €8-billion slice of bailout funding.
Evangelos Venizelos said in an interview [...]
Text of euro-zone deal to help Greece (2 Pages)
“2. We agree to support a new programme for Greece and, together with the IMF and the voluntary contribution of the private sector, to fully cover the financing gap. The total official financing will amount to an estimated 109 billion euro. This programme will be designed, notably through lower interest rates and extended maturities, to decisively improve [...]
(Reuters) – Euro zone finance ministers have approved a 12 billion euro ($17.4 billion) installment of Greece’s bailout, but signaled that the nation must expect significant losses of sovereignty and jobs.
Ministers in the Eurogroup gave the go-ahead for the fifth tranche of Greece’s 110-billion-euro financial rescue agreed last year, and said details of a second aid package for Athens would be finalized by mid-September.
The highly anticipated report on Greece from the Troika (EU/ECB/IMF) has been seen by Der Spiegel, and the outlook is bleak…
Here are the key details… :
Greece won’t be able to return to the market in 2012, as previously hoped.
GDP will continue to shrink for the rest of this year and next.
A new bailout will be needed, but this will violate current IMF rules, which stipulate that there has to [...]
As of now, surface contamination is very high as far as 70km outside of Fukushima Daiichi, and in fact, ground level contamination is higher than CHERNOBYL HOTSPOTS were 40km outside of Fukushima Daiichi.
Experts are already warning of widespread contamination 200 kilometers from Fukushima Daiichi, and that zone will only grow given that the Reactor at No 2 has been breached, there are 6 to 8 core [...]