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Contagion Continues: Italy, Spain Stocks Tumble To Post-Greferendum Lows
Having bounced midweek on 'hope' of a deal and 'faith' in Draghi's containment, European stock markets are tumbling back to the post-Greferendum lows of Tuesday. Italy and Spain are now down 5.5 to 6% and as the European close nears - and the realization thanks to The IMF that the vote is a simple Yes/No to debt haircuts - stocks are being sold and volatility is picking up. Bond spreads are leaking higher but it is clear that what Draghi really 'contained' was EURUSD which remains only marginally lower on the week.
European stocks' downside appears to not be 'contained'...
but EURUSD remains well 'managed'...
Charts: Bloomberg
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Won't be long before people start withdrawing cash from banks. The contagion is just starting.
He who panics first, panics best.
Three quarters of business leaders think Greece will be forced to leave the eurozone in the next 12 monthsThe Institute of Directors, an industry group, carried out a survey of its members which showed that 73pc thought Grexit was "likely" or "very likely".
62pc said that Grexit would lead to a messy default and exit which negatively affects financial markets and leads to pressure on other Euro members, and 45pc also think there was a risk of widespread bank runs in other southern European countries.
http://www.telegraph.co.uk/finance/economics/11715198/greece-crisis-live...
What cash? The problem is that most people nowadays have no ready money, no pensions and are taxed to the max to pay the salaries of POS politicians like Draghi.
We have a debt based monetary system that has an inherent feature to grow debt faster than the currency supply and underlying economy. This will always result in unpayable debts. Here is a first step in a plan back towards a sound monetary system that wouldn’t result in tipping over the fiat apple cart, ie chaos.
Exactly. Greek debt per taxpayer is $65,000. US debt and unfunded liabilities per taxpayer over $1,400,000. Kotlikoff has it over $1,725,000.
Since ’07, $11 trillion of global QE, $57 trillion of more debthttp://investmentwatchblog.com/since-07-11-trillion-of-global-qe-57-tril...
You better have your Bitcoins ready....
Brother, can you spare a bitcoinReuters reports on a canny way to ship your euros out of Greece and protect get around capital controls: bitcoin.
Although absolute figures are hard to come by, Greek interest has surged in the online "cryptocurrency", which is out of the reach of monetary authorities and can be transferred at the touch of a smartphone screen.
New customers depositing at least 50 euros with BTCGreece, the only Greece-based bitcoin exchange, open only to Greeks, rose by 400 percent between May and June, according to its founder Thanos Marinos, who put the number at "a few thousand". The average deposit quadrupled to around 700 euros.
Using bitcoin could allow Greeks to do one of the things that capital controls were put in place this week to prevent: transfer money out of their bank accounts and, if they wish, out of the country.
http://www.telegraph.co.uk/finance/economics/11715198/greece-crisis-live...
What if Spain/Italy/Portugal team up and head to Brussel's?
Time for a new 4th of July holiday Golden Jackass interview on TFMR
Turd and the Jackass for 1.5 hours...what could possibly go wrong? haha :-)
It's on the house, so if ya wanna kill some time and hear Jim Willie's thoughts on the geo-political and economic collapse underway as we speak, there here's the link:
http://www.tfmetalsreport.com/podcast/6968/jackass-our-own-yankee-doodle-dandy
Enjoy this 4th of July, folks. Think about what it means and what it stands for. The future of freedom not just in America but the rest of the world hasn't been in this much jeopardy since WWII. The new threats to freedom and liberty are hitting us from all angles. Get prepared. By this time next year the scumbags in charge will be banning the 4th of July just as they're banning everything else and driving us into another world war situation.
https://www.youtube.com/watch?v=WdrSP0V-KLg
Yeah, you better have your Bitcoins ready...to be stolen by corrupt government agents.
http://www.baltimoresun.com/news/maryland/bal-prosecutors-exfederal-agen...
Oh but the btc crowd says btc is secure. That cannot happen.
LalalalIalalcan'talala la la lhearalala la la lalyouala
About the Bitcoin and security confusion......lets put it this way....there is a way, and there is a smarter way to secure yourself. Bitcoin takes a little effort to understand, so if ur not a friend of technology, don't bother too much.
Those who are careless are inviting to be taken advantage of. Goes without saying for anything, really.
Yeah and how exactly would the corrupt governments do that? Please explain in detail. Anxiously awaiting...
Corrupt Government Agent : (Takes out handcuffs) "Give me the passwords to your Bitcoin wallets or I'm going to arrest you, right now, motherfucker."
You : "You can't do this! This is illegal!"
Corrupt Government Agent : (Takes out pistol and points it at your head) "Give me the passwords or I'm going to shoot you in the head and claim you were resisting. Now, motherfucker!"
Yeah... really likely fantasy you've got going there. Just trying to match a Bitcoin address to a real person is difficult enough. But you don't understand any of this, never having owned Bitcoin or having a frigging clue about what you're talking about.
So how did these two guys manage to steal the Bitcoins?
http://www.baltimoresun.com/news/maryland/bal-prosecutors-exfederal-agen...
It was another case of an online wallet being compromised. In other words, nothing any sane Bitcoiner needs to worry about....
Never been raided by an alphabet agency have you ?
Count yourself lucky, you ignorant fool.
When you look down that barrel, tell us you won't hand over your key.
We wont believe you, but if it makes you feel better, go ahead.
The only question unanswered t will be whether the Govt. gets the money, or the agent.
What part of the Law of the Jungle do you think doesn't currentley apply.Its the only
law left.
Retrieving a wallet file and the private keys together with a person is not as easy as you make it sound. We will see who the "fool" is, won't we?
And teh we has had many guns pointed at him as a youth, from LEA and others....
And we will see who is still cocky,after a close encounter with the thugs they hire as Federal agents
these days.Its a feature, not a bug.Have some Depends handy.
best of luck to them finding anything...
you people need to stop counting the 'unfunfded liab' crap. those exist due to current 'law' and said laws can be rewritten at any time. the govt can cut what it pays, how it decideds any increases, or even who needs/deserves/has earned said benefits with a stroke of the pen.
existing outstanding bonds and bills, and explicit guarantees THEN factor in continuing deficits and you get a debt level that has to be managed. probably more like 50T. $60,000 per us resident. but when has one's own printing press, like japan; it is very different than greece. buy debt of a country with its own press and you will be paid interest and face value at maturity. what those currency units buy inthe world is the unknown part.
given that the amount of currency is a tiny fraction of the value of things, when many things are sold at once, demand for currency climbs and prices gap down. if one can borrow (create new currency) to buy things it eases a bit but prices still get way in front (down) of any new credit availbility
When one has one's own printing press the $60K (plus interests that we have to print moar to pay) suddenly grows and grows and grows.
Come up for air scuba"pro".
You cannot pay off your debt by borrowing (printing) moar. All you can do with this system is borrow more. There is no paying off the debt. It is impossible. You borrow a dollar (the very first dollar) into existence and have to pay it back plus interest. Where does the interest come from when only the first dollar exists? You borrow to pay the interest and the debt grows.
Impossible to payoff = perpetual debt.
Perpetual debt = slavery.
Every company must count unfunded liabilities as per GAAP. They are important for so many reasons, one being that people depend on those benefits as if it were money in the bank lol I mean gold in the safe. The realization when will not be pretty because of other debt those dependants hold, their mental state when is vanishes, the political divide it will cause, as well as a laundry list of other issues when those benefits disappear.
So YES unfunded liabilities do matter, maybe not as much as the official debt but they can not be discounted and are certainly worth discussing.
Having a printing press only can solve a liquidity crisis not a solvency crisis. Not having a printing press only forces a voluntary abandonment of credit expansion causing a small crash. Having a printing press only allows extension of the credit created boom to a higher level eventually being rectified by a larger crash due to a total catastrophe of the currency system involved. I'm glad you brought up japan because they will be a perfect example of how a printing press doesn't fix a solvency crisis over the next decade.
Alllrightttt...keep the momentum going.
So you haven't started pulling money out of the bank? This is an ongoing process where I'm at.
Certainly in Europe this appears to be true as they continue an 800 year old historical anomaly of pouring everything they have and own into Swisss Banks.
Talk about a vote of ZERO confidence!
The fear of course is that other exchanges start closing "Continent. wide...
Even if Greece votes "yes," there's no guarantee the EU will keep them. The closer to 50% the vote is, the more meaningless the outcome because it only takes a few percentage points of defection to swing the national mood. Who thinks the Greeks will enthusiastically support severe EU-imposed austerity once it starts?
... a short note to the citizens of The Hellenic Republic ... :
... The best part of waking up is opening your eyes ...
vote 'No' ... and thank me later ... :)
When the press throws up the first transgender ethnic dying of fright in front of an empty ATM,
The world will take notice.
Contagion is spreading in Michigan too.
Since Detroit dead-beated on their bills the county Detroit resides in, Wayne, has revealed they are broke. Can’t pay and need a bailout. They will dead-beat. This comes after the county levied a special “one-time” pension tax on all the houses.
Recently we voted “NO” on a proposed Republican tax-hike to fix the roads. Well, the Michigan Republicans decided to jack us 15 cents a gallon anyway.
"Big Government Republicans."
Do they come any other way?
Sadly..."coming to more than just Puerto Rico now" too if that's any consolation...which it isn't.
States should be required by law to have ZERO DEBT in my opinion...not worthless "balanced budget amendments" which the Banks just steam roll over.
I guess Vermont at least is honest and gladly acknowledged they have no intention of ever repaying...let alone paying...for anything.
"Going bankrupt up as a State is perfectly legal up there...
And you're surprised? This is what happens now that Detroit's statists have finally ran out of other people's money.
Spain , Italy and France are truly BASKET CASES who just happen to supposedly represent the 4th, 3rd and 2nd strongest economies in the EU.
IT'S ALL OVER BAR THE KILLING.
"Greferendum"
Is it so hard to say "Greek referendum?"
Clearly not a huge fan of the GRE-PREFIXIFICATION?
Language is gettin lazy these days.
The banksters will keep their rates for Eu indebted countries low as long as they obey and keep relinguishing control to the private sector,meaning no government,one that becomes a toothless , sticktly symbolic entity.
If you are Greek and have a nice little stash of gold that you set aside as invetment and safety funds. Well, you have fewer worries about getting by! Where you in Ukraine, and kept your savings, not in a bank, but in gold in the backyard, six feet down, the recent devalutaions mean nothing.