European President Herman Van Rompuy announced that the EU will provide debt-ladenÂ Greece with “determined and coordinated action if needed,” with details to be provided in the next few days. Let the ouzo flow – the big fatÂ Greek bailout is on! Â Â Jill Schlesinger from Econ Watch has the story>>
The euro crisis is far from over. Markets are reacting with skepticism to the largest bailout ever â€“ an attempt to prevent the bankruptcy of Greece. Former Eastern Bloc countries, such as Slovakia, are now expected to bailout Greece. On Sunday the IMF and the 15 other Eurozone countries â€“ the member states of the European Union (EU) which, together with Greece, use the euro as their common currency â€“ agreed to bail out Athens with bilateral loans totaling â‚¬120bn ($160bn) over the next three years. Many of these 15 countries, however, have huge debts themselves. They have agreed to help Greece, hoping that someone (read: Germany) will come to their rescue, too. Will Berlin and the IMF be able to save them all? Â continue reading/Brussels Journal
Germans cue up to buy Gold, Silver
Germans don’t trust the Euro and vote with their feet: long lines in front of a gold-dealer…. PI has more
The â‚¬ is heading south and all will have their feathers plucked. Pursued illusions are not at the end of a free ride.
1.The economic ignorance that, fortunately for certain groups, prevails even among the educated, cannot save Greece or a titillating “who is next” from the quickly changing headlines. Here again, we have a generally ignored country propelled to the top of the totem pole of attention. Although one likes to talk about Athens, this economic earthquake might only prove to be the beginning of the parade to follow. Several countries, all with failing public finances that hope to remain undiscovered, are lurking in the shadow cast by the spot lights that are now focused on the Greeks. Â Â continue reading/BJ
It would have been better toÂ Let Greece Have Its Default
Greece is rightfully making headlines these days, hovering on the edge of what would be a quite embarrassing default â€“ an open admission that the country will not be able to pay back its staggering debt.
While such an admission would cause turmoil, and probably a career change for several politicians, it remains the least harmful of available options. Â continue reading/BJ