Complete Statement By Euroheads And IIF Press Releases On European Bailout

Tyler Durden's picture

For those who may have missed the official statement by the Euroheads and the two official IIF press releases, here they are again. The irony is that far all the pomp, circumstance, and posturing, nobody has any idea how to implement this massive bailout package. And furthermore, if the EURUSD can only ramp to sub 1.44 on this Bazooka plan, the EUR is in very deep trouble.


Complete Statement

IIF 1:


IIF 2:


And Golum's personal announcement:


Golum Statement

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MiguelitoRaton's picture

so they are solving a structural problem with a response suitable only for a liquidity problem...this will end well...not

TruthInSunshine's picture

California caught a hint of the success of the Euro Summit that took a few hours to "fix the economy and solve all sovereign debt/derivative/banking crises," and they are not sitting still.

Hence, California has a bridge to sell to you:

07-21 15:33: California Treasurer seeking bids for USD 5bln in bridge loans due to Federal turmoil
Cognitive Dissonance's picture

Excuse me, but I seem to be in the wrong room. Is this where they announce the non default default?

TruthInSunshine's picture

This is the non default partial default, but not really, okay, maybe sort of room.

Is that the room you were looking for?

Cognitive Dissonance's picture

Yes. No. Maybe. You know something? At this point, does it really matter? 

Actually I'm now looking for the Blue Velvet Room. Any suggestions? I'm snorting whatever Dennis Hopper is snorting.

FinalCollapse's picture

CD - you are entering the wrong room. It is the print room. The door is slamming on you. If you are naked, please watch your body parts.


Cdad's picture

That's a "transitory default" Cog...which is the funniest thing I have heard these market puppets say yet.

Cognitive Dissonance's picture

How much is that doggy in the window? The one with the (non) defaulted Greek bonds.

How much is that doggy in the window? I do hope those (non) defaulted Greek bonds are for sale.

Cdad's picture

Pattie Page?  And you called me old, brother Cog.  I suspect your colon has not only swallowed your liver, but also your pancreas and your spleen.  You better teach that thing to speak soon, or your muse is going to need to learn sign language.

Cognitive Dissonance's picture

We need to teach the younger generations (which means everyone at our age) what real class looks like. :)

And I don't worry about my internal organs anymore. They have all sort of congealed into a Jello like substance and don't bother me much except for the gas.

Doña K's picture

Nice presentation to show that you are in control. Sorry! But people can sniff what's real and what's not.

Let the periphery go. You have lost  control and you know it. It's going to explode in your face.

Cognitive Dissonance's picture

Yes but.....

The time value of non defaults means that a non default today is worth more than a non default in the future.

dead hobo's picture

long time reader - occasional poster

I just read this thing. It reads like a declaration of Hopium sprinkled with "we're Serious!!! I really mean it!!!!" The EU must be desperate as this looks like a bluff of an impending threat of a Hail Mary pass, suckers with money please line up over here to finance this turkey stench. Stocktards are lining up for this???

Cognitive Dissonance's picture

It's a Travshamockery.

It's a papered over excuse to paper over the problem until the toilet paper dissolves. But whatever you do, don't rinse because they will dissolve the toilet paper too quickly.

Then repeat.

Everyone knows what's going on. And everyone has agreed to play their part in the Travshamockery because it extends the pin ball game play.

dead hobo's picture

But if the ECB doesn't print as required then the countries are financing deadbeats who won't even say thank you. the TARP analogy is inaccurate unless France, Germany and the rest vote to gift the Greeks. Some idiot hedge fund might use OPM, but even that is doubtful. Where's the money coming from? The Fed? DOA with a flourish.

FinalCollapse's picture

CD - this European restroom has run out of the toilet paper, but the shit is coming. Now the fun part begins...

Lord Welligton's picture

Your in the wrong room.

The FED bought all the Euro strippers.

Cognitive Dissonance's picture

That's the problem with bidding against the Fed. They don't have an upper limit. 

Contra_Man's picture

Introducing your new credit ratings level: Sustainable Default (SD)

hedgeless_horseman's picture

Thank goodness they haven't been slapped with Sustainable Transitory Default (STD). 

Go Long PCN (Penicillin) just in case.

Cheesy Bastard's picture

It's easy to implement.  Get a helicopter, a whole lot of euros, a shovel...

km4's picture

The ponzi global elites say

let's make transitory sovereign defaults the new black

let's Greece it first
then do Spain, Italy, Portugal, Ireland, UK

Cdad's picture

 the EUR is in very deep trouble.

Yep yep...look for dislocations in the AH.  She looks topped out to me.

TruthInSunshine's picture

But, but...the EUR can't get into deep trouble, because then the USD would rise on a relative basis, and that would cause stocks to plunge...


...Hey! They're working on a way to have both the EUR & USD plunge in synchronization!

We're saved!

Cdad's picture

The US is fixed...the US is not fixed...the US is fixed...

espirit's picture

Truth - Your last statement may be right on the real money. 

hugovanderbubble's picture



Till 1.10

Mae Kadoodie's picture

My doctor just confirmed I have a non-malignant malignant cancer.  Should I continue to pay my mortgage?

Cheesy Bastard's picture

Yes, but pay for it with illegal legal tender.

carbonmutant's picture

What we have here is a shortage of credibility

"Non standard weaponry"...?? -Trichet

A Bazooka by any other name...

Neezer's picture

I thought they banned shorts on credibility!

zebra's picture

so who is gonna pay the bill? just name it.

LawsofPhysics's picture

BRICs?  They will get the American assets and labor cheaper later.

LawsofPhysics's picture

Dear ZH,


Please help, my paper is going worthless and I don't have enough physical.  How does one short the EURO with the american paper they have left?  If possible, please provide specific instructions using free software for trading.

Thanks in advance,


P.S. 10% of the take will be donated to ZH (just like all the those ES spread basket cases we bet on earlier).

unky's picture

buy EURUSD put options, but first learn about options trading otherwise it could ruin you (financially)

LawsofPhysics's picture

Are these contracts generally cheaper than outtight shorting?

Internet Tough Guy's picture

The euro isn't in any trouble at all, as you will realize as the dollar hyperinflates.

FOA, 1998:
"Basically, this is the direction the Euro group is taking us. This concept was born with little regard for the economic health of Europe. In the future, any countries money or economy can totally fail and the world currency operation will continue. What is being built is a new currency system, built on a world market price for gold.


LawsofPhysics's picture

Yes, lots of upside in silver and gold.  Especially once the U.S. capitulates and raises the debt ceiling.

tmosley's picture

Sorry, you don't know what you are talking about.  The Euro is a fiat currency, one that will now be printed without restraint.

This time won't be any different.  It can happen here, and there, and anywhere else.

Gold will be fine, but the Euro is NOT gold backed, as you claimed earlier.  In fact, that is an out and out lie.  I DARE you to prove otherwise.

Internet Tough Guy's picture

You dare me to do what exactly? Go in any european bank with euros and buy gold. The euro is not gold backed, but it is exchangable into gold. Do you understand why the ECB marks its gold to market? When you understand that you will understand why the euro will not fail. It doesn't matter if it is devalued, all fiat is made to be devalued. The euro will continue to function as tranactional currency. That is all it is designed to do. You are a sheep who ate too much propaganda.

ANOTHER: Your question of Euro gold backing? The Euro will not be backed or fixed in gold. It will be the first "modern currency" to hold true "exchange reserves" in gold. It is important to understand that "exchange reserves" of gold are much more powerful a tool for currency defense than gold backing!


LawsofPhysics's picture

Seems like an accounting gimmick since you admit that it will take more EUROs in the future to buy the same amount of gold.  All fiats doing this, why not simply hold your own gold then and be your own central bank? 

Internet Tough Guy's picture

Holding gold is good, but transacting is easier in fiat. Yes, euros devalue against gold, but not against all real goods. Euros have credibility of covertability to gold. Can the dollar do that? Or will value run from dollars into any real good? Dollar will hyperinflate.


China knows this is no gimmick. As euro devalues against gold what happens to ECB balance sheet gold?

LawsofPhysics's picture

Conversely, I will have no problem converting my gold to EUROs or whatever the "fiat du jour" is. I have lived in Europe, bullshit the EURO doesn't depreciate against real goods.  Real goods are all priced in one thing - the cost of the energy to produce and deliver them.  The dollar may inflate faster than the EURO but don't bullshit me.

Internet Tough Guy's picture

I never said would not depreciate, fiat is made to depreciate; but will not hyperinflate against real goods. All that value will run into gold. You can save in gold (wealth reserve) and transact in fiat. Best of both worlds? I ask again, as euro depreciates what happens to gold on ECB balance sheet? Does the euro maintain credibility? Now what about the dollar? Where will value go?


You cannot break the euro be printing it because euro does not have to store value, only transact. The dollar cannot survive the same thing, dollar has to store value too!

LawsofPhysics's picture

In regard to your last statement "As euro devalues against gold what happens to ECB balance sheet gold?"

The answer is; the SAME thing that happens to all the gold on MY balance sheet and the balance sheets of the Federal Reserve banks, the treasury, and the primary dealers.  What is your fucking point?  A circular argument leading right back to the golden rule - he who has the gold, has purchasing power.

Internet Tough Guy's picture

LOL. Really? I didn't know the us marked gold to market, I thought it was still valued at $42 per ounce. Can I convert my dollars to gold at the fed window too? I am done with you, stupid sheep. Just keep waiting for the euro to fail.

LawsofPhysics's picture

I have no problem converting gold to fiat of any flavor.  Troll away idot.

Ghordius's picture

He is making the difference between the short term transactional currency and the long term store of value. Days and weeks vs years.