European Central Bank
Believe it or not: GREECE AID TO BE EXTENDED UNTIL YR-END W/O IMF: DIE ZEIT
... NOT! GERMAN NEWSPAPER ZEIT REPORT ABOUT CONCESSIONS MADE TO GREECE BY CREDITORS HAS NOTHING TO DO WITH REALITY, SUCH A PROPOSAL WOULD DEFINITELY NOT FLY - EU DIPLOMATS
European creditors will reportedly consider writing down their Greek debt in order to get the IMF back to the table and make the country's long-term prospects more sustainable. Meanwhile, Greeks are taking to the streets and one portfolio manager warns of anarchy.
"Greece not only does not have the ability to pay this debt, but also should not pay this debt first and foremost because the debt emerging from the Troika’s arrangements is a direct infringement on the fundamental human rights of the residents of Greece. Hence, we came to the conclusion that Greece should not pay this debt because it is illegal, illegitimate, and odious."
The tension in the Eurosystem is getting unbearable...
Greek 10Y yields are breaking back above 13%, bonds ar trading at 50 cents on the dollar, Greek stocks are near multi-decade lows, and Greek bank bonds have collapsed amid the ever-more-likely Grexit (or at least redenomination amid capital controls). But, there are some very smart chaps who must know something Tsipras, Merkel, and the rest of the world does not... because they are spending "Other People's Money" to buy the dip in Greek stocks and bonds. From Allianz and PIMCO (the world's lagest Greek bondholder ex-ECB) to Putnam and Wilbur Ross, it seems more than a few American investors will be impacted should Greece really implode.
"Forget the 1930s; inflation is different this time," says Saxobank's Steen Jakobsen, warning that while there may be a summer of growth in Europe, hell will come afterwards, "European 'cost advantage' is disappearing fast and furiously – enjoy the summer of growth – afterwards, you can expect: zero growth, zero reform and higher inflation 'expectations'... The credit cycle has peaked... and Gold will be the best performer in commodity-led rally - we see 1425/35 by year-end."
With both sides digging in and unwilling to budge, will Europe revert back to its strategy from day 1, namely creating a slow initially, then fast bank run in Greece, one which leads to gradual then sudden capital controls, resulting in civil discontent and disobedience and ultimately, a violent overthrow of the Greek government.
On the heels of what appeared to be an ultimatum from EU creditors, Greece remains defiant on pension cuts and a VAT hike, testing the troika's resolve as the countdown to the next maybe-deadline continues. Meanwhile, Germany warns that Grexit could embolden EU "separatist" movements and Dijsselbloem reminds Tsipras that noncompliance isn't an option.
"Greece was warned by a group of European Union officials in Brussels it had less than 24 hours to come up with a serious counter-proposal," Bloomberg says. Meanwhile, Reuters reports that Germany is "holding 'concrete consultations' on what to do in the case of a bankruptcy of the Greek state."
As unemployment rises to near 27%, a new poll shows more than half of Greeks support giving in to creditors "if they insist on it." Meanwhile, anti-austerity protests are back, with communist-affiliated union members demonstrating at the finance ministry in Athens.
Central banking has truly taken over the entire planet. At this point, the only major nation on the globe that does not have a central bank is North Korea. Yes, there are some small island countries such as the Federated States of Micronesia that do not have a central bank, but even if you count them, more than 99.9% of the population of the world still lives in a country that has a central bank. The global elite dominate us because we allow them to dominate us. Their debt-based system greatly enriches them while it enslaves the remainder of the planet. We need to expose their evil system and the dark agenda behind it while we still have time.
From Greek lobbyists to Silicon Valley VCs and from Goldman BSDs to FT reporters, The Bilderberg Group will meet later this week in Tirol to discuss what happens next to the rest of the world... here are the participants...
Greek PM Alexis Tsipras "hasn’t made a good impression on me in the last few days,” an official from Germany's Social Democrats (Angela Merkel's junior coalition partner) says, while a senior lawmaker from the Chancellor's Christian Democratic bloc contends that Greece "is not serious at all."
"Not Credible" Is Europe's Response To Latest Greek 3-Page Proposals As Greek Islanders Threaten ReferendumSubmitted by Tyler Durden on 06/09/2015 07:42 -0400
In attempt to bridge the gap between a proposal submitted by Greek PM Alexis Tsipras last Monday and a draft agreement devised by creditors the following day, Athens has reportedly submitted a "revised" proposal to creditors. Unnamed officials say the new draft is "not credible" and represents but "a vague rehash" of last week's effort. Meanwhile, Athens is looking to tap ESM emergency funding to pay the ECB.
Every great con game eventually comes to an end.