The Greek Implosion In 3-D

With 3D being all the rage, just like in the 50s (when is Amazon releasing a 3D Kindle? nobody reads those things anyway, but at least wearing stereoscopic glasses when reading a book will make you look really cool), below is a fancy way of demonstrating what happens when a country goes the way of Lehman. The chart from Bloomberg shows the shift in the GGB curve from steep to inverted over the past month. As we have long claimed, an inverted curve is the death knell for any company, let along a country. The only question now, as John Taylor asks, is what the final outcome will be: civil war due to austerity or civil war due to the inability to fund anything, and a confiscation of deposits (and gold, if there was any left to be confiscated).

Comments

[Cookie]

Watch the price of air tickets departing Athens soar

[ArkansasAngie]

By golly if I was paddling on a white water river I'd been going ... shaatttttttt.

[hedgeless_horseman]

Here are some better looking 3D curves:

http://msp293.photobucket.com/albums/mm53/livolay/eva_green.jpg

[gmrpeabody]

+100   Bravo!

[hedgeless_horseman]

Somebody junked Eva!  My Lord, the world is ending.

[Mercury]

She reminds me of the 70's Oil of Olay lady

[sgt_doom]

Great metric, dude!  Definitely go loooong on Eva...

[Bear]

Is she Greek?

[pdr]

Greece will ask for 50bn on monday guys  from the IMF and all this crap will seem like a bad dream...Close your shorts

[nedwardkelly]

Will it be showing at IMAX?

[Overpowered By Funk]

Bob Pisani just said that Trichet said everything's gonna be ah'ight. He (Pisani) even quoted a few Greek banks stocks that are up on JC's calming words. So, don't worry - be happy. Just don't spill the kool-aid.

[Oso]

Completely unrelated (though very cool 3D imagery there).  PROOF THAT THE US IS INCAPABLE OF BUILDING ANYTHING OF USE ANY MORE.

NYT: "China Offers High-Speed Rail to California"

http://www.nytimes.com/2010/04/08/business/global/08rail.html?ref=business

LMFAO.  except not.

[Jason T]

That's what happens when your nation blows out its manufacturing base to British Free Trade policies..  30% of your students don't graduate from high school with Bush's no child left behind policy and only 1 engineer graduating from collage for every 20 that graduate in China.

[Postal]

Several posters on another site were commenting on the "lack" of engineers, and we shared the same observation: There's not a lack of engineers (or engineering students), there's a lack of engineering JOBS. Many students posting comments to this other article pointed out that while they would love to go into hard sciences and engineering, the fact is those jobs are outsourced to China, India, and the like. It's basic Econ: Why spend thousands of dollars for a degree that's moving overseas in a few years? Better to get a degree in Chinese, international law, or something similar. But hard sciences? No.

I have a degree in EE, and while I'm glad to have my technical background, it really hasn't been overly helpful for employment.

[Psquared]

Graduate schools grow based on the job market. There has been little job growth in engineering but huge job growth on Wall Street. So MBA and JD programs abound and there are waiting lists to enroll. Meanwhile, money and incoming students for engineering schools dwindles and interest is scant. If you go into the engineering school at our local University it is remarkably quiet, but the business and law schools are bustling. It is a shame really.

My brother, God rest his soul, had a Masters in EE from G. Tech. He ended up changing jobs so often that he went back to school to get an MBA at Rice. Had he lived he would have been engineering derivatives instead of high speed trains.

[divide_by_zero]

"30% of your students don't graduate from high school with Bush's no child left behind policy"

The NEA is firmly in charge of dumbing down the student population, no child left behind, just keeps the crap from moving on. But Obama is gonna dumb that down too, so no worries.

[Oso]

all truths.

i have to say, i am heartened to see various technical backgrounds actively posting here.  Diversity of thought is paramount, lest we become the sheeple we so despise.

[Bear]

You know we bears eat sheeple ... eventually

[Zé Cacetudo]

I saw that this morning as well.

Possibly the most telling part of the article:

China is offering not just to build a railroad in California but also to help finance its construction.

and:

The [California High Speed Rail] authority’s plans call for $10 billion to $12 billion in private financing. Mr. Crane said China could provide much of that, with federal, state and local jurisdictions providing the rest. Mr. Zheng declined to discuss financial details.

China’s mostly state-controlled banks had few losses during the global financial crisis and are awash with cash now because of tight regulation and a fast-growing economy. The Chinese government is also becoming disenchanted with bonds and looking to diversify its $2.4 trillion in foreign reserves by investing in areas like natural resources and overseas rail projects.

“They’ve got a lot of capital, and they’re willing to provide a lot of capital” for a California high-speed rail system, Mr. Crane said.

So basically, we're going to be paying the Chinese interest on their investment in the CA HSR project. Why can't we finance this ourselves? Because the state is broke, the federal government isn't far behind, and the Chinese have all the money.

Hopefully the payments will be denominated in dollars!

[sgt_doom]

Well, the Chinese have much of the money, that was "earned" by those debt-financed billionaires who looted and pillaged, peddling their debt on everyone else, while dismantling and cannibalizing the American (and Latvian, and Icelandic, and...) economy to enrich their criminal class.

[wagefreedom]

Hey will my balcony seat at 'my' hotel in Thira be cheaper in New Drachmas than it was in Euros? (Jaysus I hope so...) Will I have to go to Germany to sit and watch my Santorini view? How will they fit that caldera into the Pergamon Museum? Or when the IMF makes it all better will they drag the bastard to a cove off Long Island?

I'd appreciate some answers. efharisto

[Alexandra Hamilton]

Right on cue, thanks. Is there an animated version, kind of osciallating. Would be way more dramatic.

[glenlloyd]

first, "getting Greece through may" as stated in the other article, will do nothing to resolve the underlying problem, it's merely an extend / pretend tactic. borrowing more from imf / eu to fill the gap only means taking on more debt which will have to be repaid at some point, even if in the future, and we all know pull-forward dynamics work in the end, at some point you truly have to recognize the problem.

of taylor's choices I would say all three could occur, and the climate will be filled with spasms and arm flailing from all quarters as reality sets in. if I were a grecian my bank account would be empty, that's all i know.

please proceed to the exit in an orderly manner.

[SgtShaftoe]

Robotrader should post some charts and 3D images pertaining to this.  Bueller...?

[Cyan Lite]

The rally to S&P 1200 resumes!  We hit it by tomorrow's close!

[BlackBeard]

Cool.  It's like surfing...into a black hole!

[TheGoodDoctor]

Thank God FlashForward is on tonight. At least I'll have an hour to forget about this crap. Too bad some of us didn't have a FlashForward to see what was going on in the market in six months. LOL.