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Greece Just Lost Control Of Its Banks, And Why Deposit Haircuts Are Imminent

Tyler Durden's picture




 

Yes, Greek banks may have been insolvent - something that was clear since the first bailout of 2010 - but at least the Greek state had control over them: as such it could have mandated mergers, recapitalizations, liquidity injections, even depositor bail-ins (perhaps the harshest lesson for the ordinary Greek population as a result of this latest crisis is that deposits are not "cash in the bank" but liabilities of insolvent financial organizations).

Starting on Wednesday that will no longer be the case.

Because while Greek banks will maintain their capital controls for months and withdrawals will be limited to €60 or less for months (the ECB is well aware that any boost to the ELA will result in a promptly surge in deposit outflows until the new ELA ceiling is reached, and so on ad inf) the one key change on Wednesday when the Tsipras government, whose coalition no longer has a majority in parliament and will have to rely on opposition votes, votes through the humiliating Greek "pre-deal" to unlock negotiations for the promised €86 billion in bailouts (which will be used almost entirely to repay the Troika) is that it will hand over the keys of Greek banks to the ECB.

Here is Reuters with this little known fact:

One of the preconditions imposed on Greece for a deal is that it signs into law European rules that would put euro zone authorities at the ECB and in Brussels, rather than Athens, in charge of identifying and closing or breaking up sick banks.

 

This in turn could lead to a shake-up of the sector that could see some banks close, with losses pushed onto bondholders and possibly even large depositors. In such circumstances, there would be little that Athens could do to prevent this.

 

One European official had told Reuters that the number of big banks in the country could be reduced from four - National Bank, Piraeus, Eurobank and Alpha - to as little as two.

Keep in mind the primary leverage the ECB had over the Greek government was the hint that if only Greece agrees to the terms, the European Central Bank just may be nice enough to ease ELA haircuts and eventually boost the ELA ceiling to allow the phasing out of capital controls and permit Greeks access to their savings.

This will not happen.

Unfortunatley, the moment the Greek government votes through the "deal" required by Summit document SN 4070/15, the Greek government will not only hand over sovereignty to €50 billion of Greece's choicest assets to some escrowed fund controlled by Belgium and designed to liquidate Greek assets to repay the Troika, it will also give up all control of the nation's €120 billion or so in leftover personal and corporate deposits, also known as unsecured liabilities.

And since the banks are undercapitalized by at least €25 billion, and realistically over €60 billion, if one takes into account NPLs which at 50% are a very optimistic estimate for a country in depression for 6 consecutive years, the first decision the ECB will do once it realizes the sorry state of financial affairs in Greece is to do precisely what the government could have done but did not have the guts when it still had control: overnight it will out about 50% of Greek depositors.

In other words, Greece is about to hand over the keys to the only thing that is forcing it to hand over the keys.

Unfortunately for Greece, there will be absolutely nothing its government can do to avoid this because on Wednesday, the Greek government will vote to hand over its sovereignty to Europe for, sadly, absolutely nothing in return.

Our only question, one we first asked in April, is whether as part of the deal, the 112.5 tons of official Greek gold will also be handed over to Frankfurt, Berlin or Brussels. Recall back in 2012:

Ms. Katseli, an economist who was labor minister in the government of George Papandreou until she left in a cabinet reshuffle last June, was also upset that Greece’s lenders will have the right to seize the gold reserves in the Bank of Greece under the terms of the new deal.

Since this bailout has the most draconian terms yet, we wonder just what the fate of Greek gold will be?

 

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Mon, 07/13/2015 - 16:08 | 6307741 Meat Hammer
Meat Hammer's picture

The referendum was used to maintain the illusion of democracy.  If the bank-owned pols were to just rubber-stamp through every bankster whim on the first "vote", someone might start getting suspicious.  

Mon, 07/13/2015 - 16:16 | 6307795 centerline
centerline's picture

Greek votes got analyzed only for "pitchfork" potential.  Not quite fully cooked yet.  Some good old divide and conquer, stuffed full of misinformation and distractions, ought to buy some time.

Mon, 07/13/2015 - 20:27 | 6308654 bid the soldier...
bid the soldiers shoot's picture

No, the referendum was used to shift the responsibility of the decision from Tsipras to the people of Greece.

That's what Tyler meant when he said last week: "Tsipras expected to lose."

Tue, 07/14/2015 - 06:51 | 6309930 Grumbleduke
Grumbleduke's picture

So at that point I had to get up and say “Well perhaps we should simply not hold elections anymore for indebted countries”, and there was no answer. The only interpretation I can give [of their view] is “Yes, that would be a good idea, but it would be difficult to do. So you either sign on the dotted line or you are out.”

 

http://www.newstatesman.com/world-affairs/2015/07/yanis-varoufakis-full-...

Mon, 07/13/2015 - 16:02 | 6307715 johnlocke445
johnlocke445's picture

Did someone tell Tsipras that all this is not real money? So he traded worthless paper for priceless Greek islands. Brilliant!

Mon, 07/13/2015 - 16:02 | 6307720 Consuelo
Consuelo's picture

I wonder if some 'rebels' in Greece might be able to convince Vlad to send 'humanitarian aid' - you know, sorta like another set of Western actors did in Ukraine when they installed Porky...?   Turnabout is fair play after all, isn't it...?

Mon, 07/13/2015 - 16:03 | 6307721 Victor999
Victor999's picture

The Greeks should vote it down just to see the looks on those Euro fucker faces when the reality hit that they were so close, yet so far from, total annihilation of the Greek state.

Mon, 07/13/2015 - 16:03 | 6307728 Cold-Pragmatism
Cold-Pragmatism's picture

Once again....I told you so.

It was better to get kicked out, Greece. Now you greeks are going to lose up to 100% of your savings! And you people believed in 100,000 Euro guarantee. BWHAHAHA!

GREECE:

You are better off, leaving the Euro. Pay off your debts by selling your assets, then reconstitute your economy as you see fit. Now you are going to lose everything and start from the Stone Age again.

Brilliant! We can now add moron to your list: Greeks are greedy, selfish, arrogant, lazy, stupid and now morons.

What an exchange, 86 Billion Euros of aid, for 120 Billion Euros of savings for ransom!

YOU ARE DUMB GREEKS, JUST PLAIN DUMB!

Mon, 07/13/2015 - 16:08 | 6307750 dexter_morgan
dexter_morgan's picture

What ever happend to the Russian courtship of Greece?

Mon, 07/13/2015 - 16:15 | 6307793 Cold-Pragmatism
Cold-Pragmatism's picture

You really think the Russians are that stupid?

News Flash: Nobody as stupid as these Greeks...NOBODY!

We are now talking about really idiotic thinking here by the Greeks. They gave up their last shred of cash, for a sucker gambit.

Mon, 07/13/2015 - 16:21 | 6307814 Anopheles
Anopheles's picture

What?  Do you think the Russians will simply hand over billions of dollars/euros with nothing in return? You think the EU is being tough with Greece?  Hahahhaha

Greece is a deadbeat and Russians will call out the deadbeat to his face.  The EU on the other hand simply ignored that Greece is a deadbeat and continued shoveling money to them.  

Mon, 07/13/2015 - 16:22 | 6307818 El Vaquero
El Vaquero's picture

That would be a piss poor investment on Russia's part at the moment.  Wresting a NATO country away from the US would have consequences for that country.  The people in charge over here do not care how much blood would get spilled to stop that from happening. 

Mon, 07/13/2015 - 16:28 | 6307845 monad
monad's picture

Perhaps there aren't enough Russians in Greece.

Perhaps.

This can be fixed. But its not the problem. The CB is the problem.

Right now I have this gorgeous Chinese woman chasing me. I'm undocumented PTSD because I don't want to be docked. I know the price. I will not bend. My brothers are all dead. Forever.

They paid. Not for nothing.

Mon, 07/13/2015 - 16:38 | 6307895 Volkodav
Volkodav's picture

the 86 billions, or whatever amount it is, Greeks will never see,

same as before, while new and heavier yoke in real.

Tue, 07/14/2015 - 15:37 | 6312026 itsallgreektome
itsallgreektome's picture

News Flash: Almost no Greek has 100k in bank.Even the mighty few that had amassed them escaping with teeths and claws the current 5 year tax hurricane that is hitting relentlesly every Greek even those with no income but a derelict shack in their name, even those bastards have pulled it all off in the least covert but slowest bank run of 'em all. Really if they wanna impose a savings haircut on 100k tough luck,I 'll laugh my a*$ off.
Even if they drop it to 50k again ,tough luck. Half the population lives on a day by day basis, and i dont know how much better off is the other half. 

Mon, 07/13/2015 - 16:05 | 6307732 Jack Burton
Jack Burton's picture

Things may be bleak for some, but the financialized economy rewards those who work hard and create wealth. These Canary Warf flats, in the heart of London's Banker district show strong demand from among the job creators and finance capitalists.

"Buyers snapped up £140million worth of luxury flats in just five hours yesterday in the latest indication that London's housing market is continuing to speed ahead of the rest of the country.

Half of the homes in Maine Tower, near Canary Wharf in east London, went to overseas buyers who are keen to grab a slice of the British property boom.

More than 200 flats sold at an average cost of £673,000 each - even though the skyscraper is still not completed, and will not be ready to move in to until 2019."

Mon, 07/13/2015 - 19:15 | 6308416 MEFOBILLS
MEFOBILLS's picture

 

Jack, I hope you are joking.  I think you are:

 

Things may be bleak for some, but the financialized economy rewards those who work hard and create wealth.

 

Finance doesn't create, it re-allocates wealth and takes for itself.  There is little relation between finance and true industry.  In most cases, industry is not related to finance.  That industry that is related, has been financialized and may either be in debt, or may be directly owned by finance.  Some extreme schemers will have industry create bonds that have long maturity date, to then go on the ledger at a bank, to then be monetized.  In this way, private credit can work directly with a favored industry in order to take rents.  Standard Oil did sneaky tricks like this in order to become a monopolist, and also worked with the rail roads to control distribution, thus jacking up prices.

 

In a two loop economy, the bottom loop of laboring producers are in continual drain, as their transaction medium is siphoned away toward finance.  The upper loop is finance and it tends to drain the lower loop.  In between the two loops are private credit making banks.  These banks control an interest rate valve, which in turn then controls the drain rate from bottom to top loop.  The interest rate valve indirectly controls money supply volume and the Types of loans that are made.  For example, if the system favors real estate it will direct credit in that direction; in fact private bank credit DOES tend to go to real estate,  NOT INDUSTRY.

The upper loop is then funded to grab resources and goods at a cheap price from the producers.  In this way, the upper loop money rains back down, but the relation is still one of usury.  Think hard on this, people live in real estate that is overpriced, and are under paid, and then have to sell their goods and services to finance for cheap.  

Finance gets first seigniorage on credit money, then that credit gets to be held by finance.  When it is held it has no compunction to vector to a debt instrument.  Again, it is under no velocity pressure at all.  When people pay their loan,  the interest passes through to banker especially in the beginning payments.  Banker may then spend some of his ill gotten gains, but mostly it is pure profit and can be held.  Some of the profit heads upwards into the pyramid as usury has to pay usury.  Small banks have paper they have to pay interest on, to the bigger TBTF banks.

In this way, usury on credit  acts like Gold did in the past, and it can retreat till labor and producers give up their wares for cheap.  The usury agregates into finance and then centralizes toward Wall Street in America.  The City of London is Oz, where all financial roads pointed in the past. London still has a big footprint for finance. 

Those houses in London banker district represent a wealth shift from the producers of the world, toward finance who made their easy usurious gains through complex rent schemes.  These rent schemes are designed to harvest the sheeple;  the sheeple are easily duped because they think money magically just appears when they work.

The tragedy is, that money can only be in supply unless somebody it willing to take out a loan.  Work, Labor, and Goods of the Earth have only a very oblique relationship to private banker credit.

Usury used to be considered murderous sin; that is until Calvnanism and certain corrupt Popes.  

And yes, we can find our friends ONCE AGAIN, those who have the J attached to their name, as the leading proponents and agents of this monetary corruption.  

Rothschild said that a Goyim bright enough to figure out the scheme, is by that time profiting from the scheme.

 


Mon, 07/13/2015 - 21:21 | 6308839 Escrava Isaura
Escrava Isaura's picture

 

 

Ouch!!!

 

Mefo,

 

How about SDR?

 

And the World Bank?

 

Tell us because I am right next to them, here.

 

By the way, you Rock!!!

In my opinion.

 

 

Tue, 07/14/2015 - 09:24 | 6310444 J Jason Djfmam
J Jason Djfmam's picture

I don't know what this guy is talking about.

It really wasn,t me. I'm innocent.

Tue, 07/14/2015 - 00:13 | 6309470 exomike
exomike's picture

Are you dispassionate, serious, sarcastic, ironic or a troll? Identify and state your purpose

Snipers Forward! We'll wait for confirmation. On my command only.

Mon, 07/13/2015 - 16:11 | 6307759 HTZMR
HTZMR's picture

Time to stop borrowing. You really want to hurt the banks? Dont lend any money from them - that will do the trick. I dont own a house, i rent, so i can pick up and move any time i want

Mon, 07/13/2015 - 16:32 | 6307862 p00k1e
p00k1e's picture

Technically, renting is just handing the bank’s payment to a middleman for a skim, before the bank gets the actual loot. 

Mon, 07/13/2015 - 16:39 | 6307901 J Jason Djfmam
J Jason Djfmam's picture

That is the price you pay for freedom to move around.

Mon, 07/13/2015 - 16:14 | 6307781 Atomizer
Atomizer's picture

Hopefully Greece has planted a Trojan Horse in this poker match. I would love to see Brussels have a aneurysm. 

Mon, 07/13/2015 - 18:22 | 6308261 itsallgreektome
itsallgreektome's picture

would hope so too, but it just doesnt add up. We faked the plan B,there was no plan B all along.

Mon, 07/13/2015 - 16:26 | 6307794 Caleb Abell
Caleb Abell's picture

Once the EU gets done using all the marble in that silly Acropolis thing to build swimming pools in Germany, they can use the vacant land to built something economically useful ... like a new Disney theme park.  Disney can build a fake ancient Greece out of styrofoam and make a fortune selling tickets to German tourists.  

They can even give a job to Tsipras.  It wouldn't cost much, only thirty pieces of silver.  They can dress him up like Alexander and let him be a tour guide.  The German tourists would get a chuckle out of watching Tsipras pretending to be brave.

Mon, 07/13/2015 - 16:19 | 6307806 john milton
john milton's picture

long on molotov ouzo cocktails

Mon, 07/13/2015 - 18:25 | 6308278 itsallgreektome
itsallgreektome's picture

I would not recommend that, it will mess the molly up.

Mon, 07/13/2015 - 16:20 | 6307807 WTFUD
WTFUD's picture

I feel bad for folks who go through a divorce, even amicable, if children are involved as it gets very messy all told, emotionally, economically not to mention starting over with all the uncertainty. What Greece is going through is a lengthy divorce , possibly over decades. Time to stand up and fight this shit head on, starting in Parliament when voting on Sovereignty. Deal or No Deal? To be or not to be . . . Kick Servitude Out!

Mon, 07/13/2015 - 18:29 | 6308301 slightlyskeptical
slightlyskeptical's picture

Would you be willing to go hungry for a little while, just to make sure the bitch never gets paid?

Mon, 07/13/2015 - 16:20 | 6307813 timehill
timehill's picture

Without a shot being fired (as yet) and with no historic military blitzkrieg actions, Germany just overthrew an independent country and capitulated their economic structure against the will (vote) of the people.

Aren't central banks wonderful?  Who's next?

Mon, 07/13/2015 - 16:23 | 6307819 Cone of Uncertainty
Cone of Uncertainty's picture

On 21 April 1967, just weeks before the scheduled elections, a group of right-wing army officers led by Brigadier General Stylianos Pattakos and Colonels George Papadopoulos and Nikolaos Makarezos seized power in a coup d'etat.[14] The colonels were able to seize power quickly by using elements of surprise and confusion. Pattakos was the commander of the Armour Training Centre based in Athens.

The coup leaders placed tanks in strategic positions in Athens, effectively gaining complete control of the city. At the same time, a large number of small mobile units were dispatched to arrest leading politicians, authority figures, and ordinary citizens suspected of left-wing sympathies, according to lists prepared in advance. One of the first to be arrested was Lieutenant General Grigorios Spandidakis, Commander-in-Chief of the Greek Army. The colonels persuaded Spandidakis to join them, having him activate a previously-drafted action plan to move the coup forward. Under the command of paratrooper Lieutenant Colonel Kostas Aslanides, the LOK took over the Greek Defence Ministry while Pattakos gained control of communication centers, the parliament, the royal palace, and — according to detailed lists — arrested over 10,000 people.[15]

By the early morning hours, the whole of Greece was in the hands of the colonels. All leading politicians, including acting Prime Minister Panagiotis Kanellopoulos, had been arrested and were held incommunicado by the conspirators. At 6:00 a.m. EET, Papadopoulos announced that eleven articles of the Greek constitution were suspended.[15] One of the consequences of these suspensions was that anyone could be arrested without warrant at any time and brought before a military court to be tried. Yannis Ladas, then the director of ESA, recounted in a later interview that, "Within twenty minutes every politician, every man, every anarchist who was listed could be rounded up...It was a simple, diabolical plan".[15]

Mon, 07/13/2015 - 16:56 | 6307952 Cold-Pragmatism
Cold-Pragmatism's picture

Interesting historical note, but....

If that happened today, well lets get this right, if it doesn't happen within the next 48 hours, a coup d'etat will have ...

- Zero money in all the banks in Greece, because the entire 126 Billion euros will be under the auspices of the ECB in Brussels,

- They will have no way to print money for the greeks have only one 10 euro printer, which means nothing

- EU markets will be completely closed to them

- Russia will run for the hills, for there is absolutely no way they can support a coup d'etat greece in their present financial situation.

- The military would have to reintroduce the draft, that will just start a wave of greeks fleeing to the everywhere.

 

Those days are gone, especially now that the greek military are heavily indebted to modern western weapons systems, and they would never get anything ever again if they coup d'etat.

Its a different world Cone of Uncertainity, the 60's are dead. Coups work only today if you use extreme brutality. Greeks can't even muster up a No vote that works, you really think they can get brutal with a coup?

Let it be CoU, let the sin's of the 60's stay in the 60's. It was a crazy f***** up time, let it stay there.

Mon, 07/13/2015 - 16:23 | 6307823 debtor of last ...
debtor of last resort's picture

Those lamppost posts were right in the end.

Mon, 07/13/2015 - 16:25 | 6307829 p00k1e
p00k1e's picture

Grecians should try micro lending before Sally Struthers shows up with food baskets.      

Mon, 07/13/2015 - 16:27 | 6307837 The Delicate Genius
The Delicate Genius's picture

When Zionist shill Roger Cohen starts to bash Germany...

http://www.nytimes.com/2015/07/14/opinion/roger-cohen-the-german-questio...

It is time to start looking at who else is to blame

Mon, 07/13/2015 - 16:29 | 6307846 Herdee
Herdee's picture

Greek Gold will all end up in Germany's hands no doubt.

Mon, 07/13/2015 - 16:35 | 6307880 p00k1e
p00k1e's picture

A few months back, Germany said they want their gold back from the U.S.  

U.S. told them, it's in Greece.

Mon, 07/13/2015 - 16:31 | 6307854 Chuck Knoblauch
Chuck Knoblauch's picture

People should burn the banks in Greece.

No balls, all cunts.

Mon, 07/13/2015 - 16:30 | 6307855 diging deep
diging deep's picture

agh finaly the truth .....or is it ? hmm better check this vid  to find out......back down the rabbit hole i go

 

http://www.jimstonefreelance.com/isismccainhackrussia.mp4

 

 

Mon, 07/13/2015 - 16:31 | 6307858 The Duke of New...
The Duke of New York A No.1's picture

I smell a French style revolution with Guillotines et all.

Mon, 07/13/2015 - 18:34 | 6308319 itsallgreektome
itsallgreektome's picture

i can assure you there are many that would love that, albeit with no guillotines involved (the one we have -an original one- gathers dusk in a mostly closed museum)
but stability and a glimmer of hope stands above that.That is what 6 years of depression, 5 prime ministers, failed reforms, along with all the other goodies do. The powder kegs are there, no joke, but i dont think anyone would like to approach them with a spark.

Mon, 07/13/2015 - 16:34 | 6307870 Dodgy Geezer
Dodgy Geezer's picture

For you, Greece, ze crizis is over...!

Mon, 07/13/2015 - 16:35 | 6307878 Cone of Uncertainty
Cone of Uncertainty's picture

People of Greece, it is not too late to save your country.

Activate the Hoplites! 

 

Mon, 07/13/2015 - 19:58 | 6308583 bid the soldier...
bid the soldiers shoot's picture

release the Krackheads

Mon, 07/13/2015 - 16:40 | 6307905 marts321
marts321's picture

What happens when we all run out of assets and have nothing left to pay with? We pay directly with our time and labour, and so move closer to modern day feudalism. Greeks are just a few steps ahead is all.

Mon, 07/13/2015 - 17:21 | 6308045 Cold-Pragmatism
Cold-Pragmatism's picture

For every buyer there is a seller, as in the stock market.

You can't have all sellers, to sell you must have a buyer. Its the same with debt, someone must not be in hock!

For every borrower there has to be a lender. So you can't have everybody running out of assets. For somebody will have them.

And that's he problem. The rich are getting richer and the poor are getting poor, and the middle class is disappearing.

The wealthy are accumulating wealth, and they are doing it illegally, and with the protection of governments. Communistic governments like France, Spain, Italy and Greece protect certain parts of the economy. For example, Spain protects the Royal Family, Italy has protection laws and gate-keeping laws for pharamcies (you can only be a pharmacist if you have a parent that is one), the same goes with France and Greece. Then these countries crush anyone who is successful with taxes. But the established elites of society never suffer, they are always protected.

If you want a healthier economy marts321, we need greater movement of money from not just low to high classes but from higher classes to lower classes. Let me give you an example:

Home Mortgages. When somebody borrows money from a bank for a home loan, the bank has a right to your home in case you do not pay your monthly mortgage payments. Now if you lose your job, what happens ? You lose the house. Fair enough. But now think of the reverse, if the bank is in trouble, or the financial house you borrowed your mortgage from is in trouble, what happens? They can terminate your mortgage and call in the loan. That's wrong, if you can lose your home if you don't pay, why don't they lose their right to your home if they can't honour the debt arrangement? It is things like this that cause wealth to continuously flow up to the elites which is wrong.

It is things like this that need to be fixed, but how do you fix them, when the politicians are in that very same class of elites that benefit from the corrupt system?

First we need to fix the central bank system. Right now, private banks, own every single central bank in the world. Any bank that is a shareholder of a central bank, like JP Morgan is of the FED, will never go bust. Is this fair? Isn't this an unfair advantage? Of course it is. And when central banks print money, doesn't this mean that all these central bank owners, like JP Morgan, control the money supply and at the same time do business with the public? This corruption, this is a conflict of interest. This must end.

Central Banks must not be private banks, owned by other private banks. Central Banks if they exist at all, must be independent of the financial system, and run by the people, not by bankers, if central banks exist. But do we need cenral banks? That's a question for another time.

In short, marts321, it doesn't have to be the way it is. But we need to get control back, governments have too much control and they are too corrupt. Left/Right, or as I see it, Communism/Fascism doesn't work. We need more open responsible government, something we all need to start talking about.

 

Mon, 07/13/2015 - 18:36 | 6308329 itsallgreektome
itsallgreektome's picture

well they gotta have a labour intensive economy if they suck up all capitals from Greece,no? Or they could well ask for every Greek Kidney, yesterday they stopped short of that.

Mon, 07/13/2015 - 16:56 | 6307954 Inthemix96
Inthemix96's picture

There you are once again my Grecian friends, we all have this coming mind, there are no political solutions to our sometime seemingly insurmountable problems.  I am truly incandescent with rage the way they are treating the folk on the street who had no hand in this, wait till it comes here, right fucking here.

For worthless filth printed from thin air?  Its about time you Greeks hoisted the fucking petard and started slitting mother fucking throats.  This is beyond all fucking sense.  This is a criminal fucking heist, stop them.

At the least get a Barrnet Diablo with 300 pound strings and a big fucking bucket of quarter inch ball bearings.

This is insane

Tue, 07/14/2015 - 05:18 | 6309820 css1971
css1971's picture

Hoist the Jolly Roger. A petard was a bomb used to blow open doors. Being hoist by your own petard was blowing yourself up.

Forget slingshots and look at slings instead. A Balaeric slinger using a short sling is capable of throwing a ~150gram rock at ~120mph. It gives the rock about 200 Joules of energy. Around the same amount of energy as as a 38 special pistol. A long sling will impart more energy.

example:

https://www.youtube.com/watch?v=ZJuWEVeLYS0&t=12m

If you up this to a staff sling, as they used during medieval times you can throw bigger projectiles, 500 grams or so and get the energy levels up past 300 Joules and into 9mm handgun ranges. Throwing half bricks and so on. Even better you can also sling containers of fluids. With ranges up to a couple of hundred yards, depending on the projectile. The world record is 400 yards, (for a 50g lead sling bullet). The Romans had special tongs for removing these sling bullets from flesh.

Not bad for a stick, a bit of string and the application of maths. Maths and history are good to learn.

Mon, 07/13/2015 - 17:00 | 6307967 CHC
CHC's picture

All of this is pure fucking bullshit.  Greece - the PEOPLE - need to take their country back from their own government and the EU and tell them all damn bets are off - they're leaving the EU and going to do this on their own.  Greece can make it - it'll take a while - but believe me - investors will line up to jump in on the ground floor of what could easily become one of the world's greatest tourist attractions.  Screw the EU!

Mon, 07/13/2015 - 17:05 | 6307987 marcusfenix
marcusfenix's picture

and this is how the new world order works...

really a fine piece of sick, evil, satanic genius this is. let the sheep vote, let them vote in a national referendum to decide whether they are ok with being eternal debt slaves to a banking cartel or not. let them decide whether or not a third bail out complete with harsher austerity rules in order to continue paying back the first two bail outs is a good idea.

there choice, the fate of their country is theirs to decide, a no vote means a tough, unpredictable road ahead and who knows what happens next? maybe they fail miserably as a people and as a nation, maybe they drown in the storm that follows...or maybe they awake to some new nationalist spirit, maybe the new challenges invigorate them to aspire to something greater knowing after decades of servitude to a failing kleptocratic "union" they are free to steer there own course. or maybe they find some middle road...

so the peasants grab this opportunity, this referendum, the very same one they were denied a few years ago and deliver a very clear, unambiguous no vote. the people have spoken and their government is now bound to honor their decision and to forge a way ahead based on that decision.

cheers all around. no insanely absurd third bail-out that will only drive them further into debt serfdom.

then here comes the kick in the balls that most probably never saw coming.

the bankster overlords, without pity, mercy, or even a basic respect for humanity simply crush the peasants, steam roll right over their vote, their voice like it was nothing.

because it was nothing.

and what's more still the current deal is far worse than what was originally voted against. this will drive the people even further in slavery and destitution all while they watch their country get sold off piece by piece to the highest bidder. 

this deal is their punishment for daring to defy their overlords, for daring to express a desire to be free from them. this was the perfect way to extinguish whatever hope remained in hearts of simple people just trying to make their way through life.

how many Greeks do you suppose will ever vote in another referendum knowing it is utterly hopeless? and the message to the rest of us?

don't bother.

evil. satanic. brilliant.       

Tue, 07/14/2015 - 04:44 | 6309800 css1971
css1971's picture

Now you understand "representative" democracy and the importance of voting.

 

Maybe if they had guns they could enforce the will of the people.

Mon, 07/13/2015 - 17:05 | 6307992 cinderalle
cinderalle's picture

you mean there are still people who keep their money in the bank, why cant people learn from other people mistakes, where were greeks when these thieves were stealing cypriots bank ac.

Mon, 07/13/2015 - 17:09 | 6308008 Hongcha
Hongcha's picture

Eurobank EGFEY $.06

Piraeus BPIRY $.66

AlphaBank ALBKF $.38

Natl. Bank of G NBG $1.20

The National Bank of Greece is the only one traded on the NYSE; the others are otc bb.  All are penny stocks.  I think NBG is the only one not halted right now.  It might be an interesting side bet to buy shares in all 4, gambling that two of them get reconstituted and the shares (a) stay public; and (b) recover in price.  I traded NBG twice in May-June, it's liquid enough.  Can't speak of the other two.  It would just be roulette anyway.

Mon, 07/13/2015 - 17:09 | 6308009 Ted Baker
Ted Baker's picture

Now you know why gold price has sunk

Mon, 07/13/2015 - 17:10 | 6308015 are we there yet
are we there yet's picture

Such financials as Goldman Sacks, the central banks, and the corrupt greek government have been stealing Greece blind, until now the robbers are fighting among themselves for more scraps. So many layers of corruption and crime are difficult to fight. Such hopelessness in a population could produce a radical demigod leader as happened in Gremany 70 years ago.

Mon, 07/13/2015 - 17:18 | 6308040 yogibear
yogibear's picture

The vampire squid boyz  (Draghi included)  are lighting their cigars with Euros.

The Greek people just became debt slave to the banksters of the nth degree.

Mon, 07/13/2015 - 17:21 | 6308046 Omega_Man
Omega_Man's picture

gone gold

Mon, 07/13/2015 - 17:23 | 6308064 Panic Mode
Panic Mode's picture

Germany also needs to take responsiblity because they welcomed the Greece to join the EU. If they want to rip the bad banks apart, fine by me. Germany also need to take haircut on their Greece bonds holdings. Of course, it won't happen because their boss, the banks, need to grab everyone by the balls.

Mon, 07/13/2015 - 17:32 | 6308071 tahoebumsmith
tahoebumsmith's picture

Pretty fucking sad to see a COUNTRY! Yea a Country that won the popular vote against the ECB and the IMF just fucking bend over and take it up the ass the way they just did!!!Might just as well get use to it because it's coming to a Country, State, Municipality or town near you... We can thank the SQUID for that!! Wait until the Cali deal starts crumbling in it's debt...Greece X46

 

Mon, 07/13/2015 - 17:38 | 6308110 Rev Kuhlaid
Rev Kuhlaid's picture

It looks like the Germans will get their turn too

 

 

http://img01.lachschon.de/images/154620_WahlkampfShirtsbei3Dsupply_1.jpg

Mon, 07/13/2015 - 17:38 | 6308119 jmcadg
jmcadg's picture

What's hugely sad here is the people didn't bend over they said NO.

It's their govenment that has folded like a cheap suit. This is tragic.

It's one thing trying to cutely try to get some extra funds printed out of thin air. It's completely another to give up all your assets to get it.

This is so sad.

Mon, 07/13/2015 - 17:45 | 6308138 Cycle
Cycle's picture

What is the "Cali deal?"

Mon, 07/13/2015 - 18:35 | 6308317 tahoebumsmith
tahoebumsmith's picture

When Cali was issueing IOU'S to pay their bills conviently JP Morgan And the Squid came forward and bailed them out with a Bond Pkg. Showed Chen the way the deal was going down and poof! That little chinese never came out of his office again. Another way to kick the can using financial instruments and interest to own Cali

 

Mon, 07/13/2015 - 20:58 | 6308747 Cycle
Cycle's picture

Thanks.

Mon, 07/13/2015 - 17:34 | 6308100 jmcadg
jmcadg's picture

Fuck me. Greece needs a Coup D'Etat TOMORROW!

Is Tspiras serious??? He'll be the biggest sellout in the history of Europe. He'll make Samaras (and his lightbulbs) and Papandreau look tough! And they were sellout cunts.

Oh fuck me, if I was Greek I'd be livid and down at Syntagma Square pronto.

Mon, 07/13/2015 - 17:36 | 6308108 dogbreath
dogbreath's picture

so what happens to the pipeline deal

Mon, 07/13/2015 - 17:38 | 6308118 markar
markar's picture

So am I to assume Golden Dawn and their armed supporters in law enforcement are just going to sit out this latest ass raping?

Tue, 07/14/2015 - 00:39 | 6309523 RaceToTheBottom
RaceToTheBottom's picture

Hello Portugal, Ireland, Spain...!!!!!

You getting this?

Mon, 07/13/2015 - 17:48 | 6308147 PoasterToaster
PoasterToaster's picture

This is an lesson in just how important it is to vote.  Why, if you don't vote, your voice won't be heard.

 

Mon, 07/13/2015 - 17:57 | 6308182 KCMLO
KCMLO's picture

Wish I could give more than +1 for the excellently executed sarc.

Mon, 07/13/2015 - 18:17 | 6308236 directaction
directaction's picture

Damn!
THAT is the very best posting we've read here in a long time. Beyond Outstanding!  

Mon, 07/13/2015 - 18:22 | 6308259 mog
mog's picture

Why, if you don't vote, your voice won't be heard.

Well you can't be writing about Britain.

That might apply in some democracies but it certainly doesn't apply to Britain where the electoral system is a sham and fraud.

4,000,000 went out and voted alright.

Voted UKIP and for Nigel Farage.

We got one seat in the house of commons out of 650.

With 4,000,000 votes in a fair system we should have had 83.

David Cameron stole the government.

His is a regime built on a non democratic voting system to shame Zimbabwe.

Just over a third of votes and took over half the seats.

He has no elected authority at all.

So you can vote until you are blue in the face in Britain and the corrupt political elite laugh in your blue face.

And ignore you.

Tue, 07/14/2015 - 04:41 | 6309794 css1971
css1971's picture

The UK and US electoral systems are well designed, and they work exactly as intended.

It is designed to keep power in a very limited set of hands. It's easier to corrupt 1 or 2 political parties than it is to corrupt 10, though corrupting the leadership of 10 is by no means impossible. You just get a better Return On Investment if there is only 2.

Only a direct democracy even remotely represents the electorate.

Mon, 07/13/2015 - 21:00 | 6308754 Kprime
Kprime's picture

In Greece they voted NO.  Their voices were not heard.

Tue, 07/14/2015 - 00:41 | 6309524 RaceToTheBottom
RaceToTheBottom's picture

Oh, they were heard.

They were just not listened to.

Mon, 07/13/2015 - 17:49 | 6308154 Paracelsus
Paracelsus's picture

I don't see how the borrowing costs of Spain and Portugal and Italy cannot rise.The cost of CDS insurance against sovereign default must go up.There must be a risk premium to be paid or investors would shy away.In a free market system this would be the case...

Mon, 07/13/2015 - 17:51 | 6308158 Amun
Amun's picture

"Are they expecting something to happen?  

European Union says that any nation within the EU that does not enact “bail-in” legislation by August will face legal action.  The countries that are being threatened in this manner include Italy and France. 

The article “EU regulators tell 11 countries to adopt bank bail-in rules” reported how 11 countries are under pressure from the EC and had yet “to fall in line”. The countries were Bulgaria, the Czech Republic, Lithuania, Malta, Poland, Romania, Sweden, Luxembourg, the Netherlands, France and Italy.

France and Italy are two countries who are regarded as having particularly fragile banking systems.

But why only two months to get this done?

Could they be anticipating that this legislation will need to be put into use very soon?"

 

http://theeconomiccollapseblog.com/archives/why-is-the-eu-forcing-european-nations-to-adopt-bail-in-legislation-by-the-end-of-the-summer

 

Mon, 07/13/2015 - 18:07 | 6308209 shovelhead
shovelhead's picture

OMG!

NOT THE DREADED LEGAL ACTION!

"Process Server...Open up.

"Dave's not here, man."

Mon, 07/13/2015 - 18:50 | 6308367 Anunnaki
Anunnaki's picture

I'll take Cheech and Chong quotes for a trllion drachma, Alex

Mon, 07/13/2015 - 21:16 | 6308826 GoldenDonuts
GoldenDonuts's picture

So the powers that be in Europe want to make gold and silver the saving vehicle for hundreds of millions in their little domain?  These dumb cunts are too stupid to run a country.   Too corrupt, too evil, too greedy, too inbred .......

Tue, 07/14/2015 - 08:33 | 6310239 itsallgreektome
itsallgreektome's picture

just FYI it is easier to pass shady&shaky legislation in summer cause parliaments need less quorum.for Greece,but i suspect it is the same deal to Italy&Spain so it's now or never for EU to tighten the rope, whilst adjusting the trap-door beneath their feet.

Mon, 07/13/2015 - 17:51 | 6308159 RSDallas
RSDallas's picture

One of the preconditions imposed on Greece for a deal is that it signs into law European rules that would put euro zone authorities at the ECB and in Brussels, rather than Athens, in charge of identifying and closing or breaking up sick banks.

 

So this is how the EU eventually gets their federal banking system.  They will take over the banking system of each country as they get sicker and sicker.  This is diabolical, to say the least!  That would be.......

di·a·bol·i·cal ?d???bäl?k(?)l/ adjective  
  1. belonging to or so evil as to recall the Devil.
Mon, 07/13/2015 - 18:05 | 6308201 cart00ner
cart00ner's picture

Meanwhile on msm we are being told the exact opposite.

http://www.news.com.au/finance/economy/greece-has-a-scary-24-hour-to-do-...

Wtf?

Mon, 07/13/2015 - 18:37 | 6308328 lakecity55
lakecity55's picture

MSM: Greeks are quietly adapting to the New Normal.

There is no violence as they accept their Fate.

Mon, 07/13/2015 - 18:09 | 6308215 Chuck Knoblauch
Chuck Knoblauch's picture

Force, or threat thereof, backs all fiat money.

Mon, 07/13/2015 - 18:13 | 6308226 shovelhead
shovelhead's picture

So, does half of NATO go to war with the other half?

 

Mon, 07/13/2015 - 18:27 | 6308292 Chuck Knoblauch
Chuck Knoblauch's picture

You're not willing to do what is necessary.

You're too comfortable.

Mon, 07/13/2015 - 18:34 | 6308321 lakecity55
lakecity55's picture

No, GLADIO overthrows the Greek Government. Shit, be patient.

Mon, 07/13/2015 - 18:17 | 6308239 JohninMK
JohninMK's picture

So this could be goodbye to TurkStream.

Good job they have just signed the deal to double the capacity on another pipeline.

What a stroke of luck, its in Germany, NordStream.

Mon, 07/13/2015 - 18:23 | 6308269 Bankster Kibble
Bankster Kibble's picture

It will go back to the original plan: Turk Stream pipeline to the Greek / Turkey border and then it is up to Europe to connect on their side.

Meanwhile, gas flow stops in Ukraine in 2019 and the only gas to Europe will come through Germany.  Even with double capacity, that will not be enough.  The clock is ticking, Europe.  Start building that southern pipeline, or else you're going to freeze in 4 years.

Mon, 07/13/2015 - 19:36 | 6308523 bid the soldier...
bid the soldiers shoot's picture

Why goodbye?

Does the Eu decide what projects Greece can participate in?

Mon, 07/13/2015 - 18:32 | 6308273 Amun
Amun's picture
"the moment the Greek government votes through the "deal" required by Summit document SN 4070/15" The BAIL-IN (sequestration) of greeks' cash deposits is coming. The implementation of the BRRD is a precondition of the deal - page 2 of the Summit document SN 4070/15": "by 22 July

the transposition of the BRRD with support from the European Commission."

BRRD (EU Bank Recovery and Resolution Directive) clearly says http://europa.eu/rapid/press-release_MEMO-14-297_en.htm: "What resolution tools will be needed? (iv) bail in creditors (mechanism to cancel or reduce the liabilities of a failing bank, or to convert debt to equity, as a means of restoring the institution's capital position). "   BAIL-IN and sequestration of cash deposits is effectively essential part of the 3d deal.
Mon, 07/13/2015 - 18:27 | 6308287 lakecity55
lakecity55's picture

But...I Worked for that Money!
Sorry,it's all mine.
Hey! Your're Corzine! What are you doin' in Greece?
My name is Varoflakis. I just resemble him."

Mon, 07/13/2015 - 18:32 | 6308304 lakecity55
lakecity55's picture

1942: GREECE FALLS TO GERMANY.
2015: GREECE FALLS TO GERMANY.

 

"...These struttng German soldiers.. I want to get rid of them Varos"
"Patience."

Mon, 07/13/2015 - 18:34 | 6308322 quasi_verbatim
quasi_verbatim's picture

There's one good thing about all this shit. Brexit is slam dunk.

Mon, 07/13/2015 - 18:42 | 6308337 Lostinfortwalton
Lostinfortwalton's picture

Schadenfreude Is not a Greek word, is it?

Tue, 07/14/2015 - 08:37 | 6310257 itsallgreektome
itsallgreektome's picture

nope ?????????? is the greek equivalent word. Feeling happy for someone else's trouble.(Pronounced he-re-ka-ki-a)

Mon, 07/13/2015 - 18:40 | 6308338 stocks up every...
stocks up everything else down's picture

Stocks are up, what is the problem?  Equity markets are telling us the world is saved, and that is good enough for you.  Now go shopping like a good patriot.

Mon, 07/13/2015 - 18:40 | 6308342 GRDguy
GRDguy's picture

Highly appropriate that you show a picture of Draghi laughing, as that's the feeling financial sociopaths get after bullying others. It's uncontrollable when you're doing God's work.

Mon, 07/13/2015 - 18:44 | 6308349 Anunnaki
Anunnaki's picture

How is default worse than this?

Mon, 07/13/2015 - 19:24 | 6308481 bid the soldier...
bid the soldiers shoot's picture

default isn't that bad.

it's the day after default that's sketchy.

Mon, 07/13/2015 - 18:57 | 6308377 Anunnaki
Anunnaki's picture

Are theGreek people just standing by and letting this go down without a fight?

Mon, 07/13/2015 - 21:25 | 6308406 newworldorder
newworldorder's picture

If they have become Europeans rather than remained Greeks, - your answer is YES.

Mon, 07/13/2015 - 19:15 | 6308394 tahoebumsmith
tahoebumsmith's picture

Lets not forget what's happening right here in the USA...MUST WATCh>>>> How do you respond to this Banker owned Bitch?

https://www.youtube.com/watch?v=6fUmFBMVWNI

And please read chapter 2 ...Thax Michelle for setting Matt the cat straight

https://www.youtube.com/watch?v=rmnOAtTPGMg

Mon, 07/13/2015 - 19:06 | 6308401 gwar5
gwar5's picture

What happened to Greece was a message from the bankers to the rest of the world that they shall not be denied!

Mon, 07/13/2015 - 19:13 | 6308434 newworldorder
newworldorder's picture

Merkel and Draghi need to start nationalizing Deutsche Bank and a few Italian Banks First. They have more derivatives than sound money.

They raped Cyprus, they will rape Greece, - who is next on the docket?

Hint - The Basque People had better get the hell out of Spanish Government first.

Mon, 07/13/2015 - 19:21 | 6308473 bid the soldier...
bid the soldiers shoot's picture

I think we should wait until the vote in Parliament before dividing up the booty.

Only around 100 votes out of the 251 that Tsipras just won for the EU have to vote 'no' instead of 'yes.'

Stranger things have happened.  America elected a man with an IQ under 95 as president.  Then they elected a Negro.  

I'm not kidding. 

Mon, 07/13/2015 - 20:54 | 6308736 Kprime
Kprime's picture

you seem mixed up, IQ under 95, then a Negro?  That's the same guy.

Tue, 07/14/2015 - 02:30 | 6309685 bid the soldier...
bid the soldiers shoot's picture

 I made a double entendre.  

 Thanks for the heads up.

Tue, 07/14/2015 - 08:41 | 6310275 itsallgreektome
itsallgreektome's picture

i ll take the bet anytime,Government may "bleed" but the legislation will be passed.The vast majority of the 100 extra you think might have second thoughts are a staunch proEU oposition that would have signed with two hands anything offered even if it included ceremonial burning of first-borns in a pyre outside Bundestag.

Tue, 07/14/2015 - 08:41 | 6310276 itsallgreektome
itsallgreektome's picture

i ll take the bet anytime,Government may "bleed" but the legislation will be passed.The vast majority of the 100 extra you think might have second thoughts are a staunch proEU oposition that would have signed with two hands anything offered even if it included ceremonial burning of first-borns in a pyre outside Bundestag.

Mon, 07/13/2015 - 19:25 | 6308483 monad
Mon, 07/13/2015 - 19:28 | 6308495 Spiro The Greek
Spiro The Greek's picture

What Greek banks?

As I have demonstrated before, NONE of the banks operating in Greece are owned by Greeks, they are owned by others including Americans, so if the Germans close banks, YOU will be loosing , not the Greeks.

What deposits?

One minute your media tells you that we (The Greeks) can't afford food and medicine and the next minute we have money in the bank that will be "haircut"?? Which one is it boys and girls?

 

Remeber...The Fat lady has not sang yet !!

xox

 

Mon, 07/13/2015 - 19:33 | 6308504 Spiro The Greek
Spiro The Greek's picture

And for those of you that think "we have been defeated by the Germans" please refer to your history books again...

Greeks were the ONLY ones that fought seriously against the Germans during WWII, Greeks were the ONLY ones that liberated themselves (unsupported) from the Nazis . Greeks were there side by side with all allies in ALL battles, including Normandy..Omaha beach and else where.

Greeks know how to defeat Germans!

Tue, 07/14/2015 - 07:11 | 6309973 redd_green
redd_green's picture

That's nice. Well, the Greek citizens did not trust their government to manage their monetary system. So, they lept at the chance to ditch the drachma and get the Euro.  Now that pensions and savings are all in Euros, going back to the Drachma would cause every citizen except for the handful of filthy rich to lose.  Only continuing to allow foreigners to step in and dictate what happens to what is left of Greek public jewels, Greek infrastructure amounts to the exact same loss.  Only instead of having their savings and pensions inflated away by a crooked Greek government, they are having their savings and pensions stolen by foreigners.   Different side of the same turd. 

Tue, 07/14/2015 - 10:37 | 6310733 DaemonMe
DaemonMe's picture

True, but not entirely.

Yugoslav Partisans or the National Liberation Army, officially the National Liberation Army and Partisan Detachments of Yugoslavia, was Europe's most effective anti-Nazi resistance movement, often compared to the Polish resistance movement, albeit the latter was an exceptional, non-communist autonomic movement. The Yugoslav Resistance was led by the Communist Party of Yugoslavia during World War II. Its commander was Marshal Josip Broz Tito. (more: https://en.wikipedia.org/wiki/Yugoslav_Partisans)

Mon, 07/13/2015 - 19:33 | 6308512 bigkahuna
bigkahuna's picture

This deal goes down in flames over the weekend at the latest.

Mon, 07/13/2015 - 19:51 | 6308566 Chuck Knoblauch
Chuck Knoblauch's picture

Greece is going to look like Ukraine soon.

Mon, 07/13/2015 - 20:00 | 6308588 Wahooo
Wahooo's picture

Who is actually making money from this mess and how much are they making? Doesn't seem like there are any winners.

Mon, 07/13/2015 - 21:41 | 6308919 caribbeanbarry
caribbeanbarry's picture

The vampire squid and other big banks will make money.  They could care less about long term soverign debt, they are all in it for the fees.  The fees they charged running up all of this debt, and the fees they charge for unwinding this mess onto the backs of reqular taxpaying "folks".  Its always about the fees....  Debt is for the little people....

Mon, 07/13/2015 - 20:01 | 6308590 Last of the Mid...
Last of the Middle Class's picture

This deal smacks of someone's balls being in a vice. Who's balls, we know, exactly what the vice was. We may never fully know.

Mon, 07/13/2015 - 20:20 | 6308636 MollyHacker
MollyHacker's picture

America is insolvent! When a mile underground tunnel is built for one person in the cartel to walk out of a maxi security prison, I have to wonder how easy it would be to tunnel 5mi to Fort Knox and clean out the vaults!!!

Mon, 07/13/2015 - 22:26 | 6309089 Crocodile
Crocodile's picture

The vaults were cleaned out by the Clintonistas; so tunnel away...you might find some fine tungsten with a golden coat, but that would be about it.

Mon, 07/13/2015 - 20:52 | 6308729 asfffasfff
asfffasfff's picture

STORY OF THE JEWS, WHO STOLE GREEK BANKS 

 

https://www.youtube.com/watch?v=Go_LIz7kTok

Mon, 07/13/2015 - 21:35 | 6308896 Crocodile
Crocodile's picture

This whole thing with the creation of the EU is to "divide and conquer" Europe till no hard assets are left in control by any institution other than the "Western Banking Cabal & Associates".  Portugal will be next, then Spain, then Italy and then France.  It will takes several more years, but more taxes and less benefits to have people thinking only of basic survival.  Agenda 21 and what the Bible has said will happen and therefore it cannot be stopped til God intervenes on His time-frame.  His patience is your opportunity; do not waste it.

-------------------

Good bye gold; you will never see it again unless you heist it away now.

https://www.youtube.com/watch?v=NMlv21zGARM

Mon, 07/13/2015 - 21:41 | 6308920 Crocodile
Crocodile's picture

In addition, the North American Union is taking hold as well since you cannot have "Homeland Security" while you actively seek to open the southern border.  If you oppose, then you are a terrorist, which is why the "War on Terror" is the largest hoax played on all societies, for it is the war that never ends, has no face and is fought everywhere and anyone's face can be deemed the terrorist by the one's who created the monster.  Since Bush 1 and accelerated during the Clinton, Bush II and on steroids with Obama; many military generals and other high ranking officials have been replaced, over 800 of them, so do not count on the military; they are the enemies strong-man along with the Langley mercenaries.  Anyone who encourages their child to enter or doesn't do everything to prevent them from joining is drunk on the past, ignorant of the present and we should pray for them.

Mon, 07/13/2015 - 21:41 | 6308923 newworldorder
newworldorder's picture

With the punishment meeted out to Greece, NATO is in serious doubt. Why should an ounce of Greek blood be spilled defending the interests of Germany and all the other banking elite? 

 

The only alliegence left from the Greeks is to the US, not Draghi or Merkel.

Tue, 07/14/2015 - 06:51 | 6309931 SmallerGovNow2
SmallerGovNow2's picture

thanks for the inspiration...

Mon, 07/13/2015 - 21:38 | 6308905 newworldorder
newworldorder's picture

Greek Gold had to be stolen at all costs to fiat guaratees by Merkel and Draghi. Next on the docket is Spanish and Italian Gold. 

The Chinese, Russians and Indians. are however, not likely to give theirs up to the Merkel/Draghi front men cartel.

Mon, 07/13/2015 - 21:40 | 6308913 bytebank
bytebank's picture

I posted a couple of weeks ago that the EU would never let Greece get away with anything. It was all down arrows.

My point however was that the EU, Troika etc are all the same. They do the US bidding and Greece will be raped. The first non state in the EU.

Next non states are Italy, Spain, Portugal.

The goal is to get rid of local government. Goal accomplished.

Mon, 07/13/2015 - 22:21 | 6309068 Crocodile
Crocodile's picture

Many people have posted the same and without "all down arrows"; it is Hotel California where you can check out anytime, but never leave.  To much is at stake, other than the small debt..the carry trades, credit & interest rates swaps are too profitable and important to allow it to implode & expose massive corruptions.  Portugal will be next in the firing line; let us see how long it takes before their assets are bargained away; if the time period is within 6 months, then we will see more and more volatility throughout the entire Euro-zone and world.

Mon, 07/13/2015 - 21:49 | 6308947 Heterodox economics
Heterodox economics's picture

I have a bad feeling about this, that the chances of civil war, or guerilla warfare against the EU, has increased.

All well meaning people do not want war.  But it might come to that.

 

Mon, 07/13/2015 - 22:02 | 6308985 The Greek horse
The Greek horse's picture

I have diarrhea now... The new finance minister is a puppet. Tsipras is a Greek clown that should be in the circus.. Once VAROUFAKIS got demoted Greece lost a big player that would not play ball with the International Mafia federation/ EUROZONE... GREECE only hope is GOLDEN DAWN now and the media is bought and payed by these bankers just like the good old USA..  

Tue, 07/14/2015 - 08:48 | 6310300 itsallgreektome
itsallgreektome's picture

Golden Dawn are a bunch of neonazis that are trying hard to delete their hitler-loving past. It would be a strange ally in a "fight" against german financial imperialism. But Greece is the last one of the Surrealist States.

Mon, 07/13/2015 - 22:06 | 6308986 The Greek horse
The Greek horse's picture

DAM IT they had them against the ropes... PROVES to me just like my idol GEORGE CARLIN would say there is no such thing as elections but rather selections... 

Mon, 07/13/2015 - 22:09 | 6309014 UniqueSnowFlake
UniqueSnowFlake's picture

Does Greece actually have physical gold? Not so sure.

Mon, 07/13/2015 - 22:16 | 6309047 The Greek horse
The Greek horse's picture

UNIQUEsnowflake.. Greece has plenty of Gold and untapped OIL u know what is next Confiscation begins!! I know i have family down there... 

Mon, 07/13/2015 - 22:19 | 6309048 The Greek horse
The Greek horse's picture

GAME OVER for the GREEKS

Tue, 07/14/2015 - 15:44 | 6312066 itsallgreektome
itsallgreektome's picture

i cant remember the number but yeah we have physical gold,half in Greece,the other half divided between US and Germany.Last I checked we had a pretty decent silver deposit also if it is any good,higher than pretty any other european nation for some reason.

Mon, 07/13/2015 - 22:25 | 6309083 q99x2
q99x2's picture

Gold's in the hands of Ms. Katzeli. Gold's gone.

Mon, 07/13/2015 - 22:30 | 6309101 xray vision
xray vision's picture

The Greek people voted against taking on this debt so this debt can be considered "odious" and illegal.  Score the 86 Large (very large)  and simply not pay it back.  Mr. Panos is right.

https://www.youtube.com/watch?v=Zvl9N9GdraQ

https://en.wikipedia.org/wiki/Odious_debt

 

Mon, 07/13/2015 - 22:33 | 6309115 UniqueSnowFlake
UniqueSnowFlake's picture

The real issue is... why the hell is there a Greece rally in US markets, who the hell is buying up stocks? Makes no sense. 

Tue, 07/14/2015 - 00:35 | 6309510 sidney sloth
sidney sloth's picture

QE, yo. It's the future. And the present!

As I understand the reasoning, it goes like this:

IF I print a shitload of money and buy shares in the market, this will keep the price of shares high and so everyone who has their life savings (a quaint concept from the good old days: people once earned enough to save a thing called "cash") invested in pensions funds will not freak out.

To be clear, pension funds are the nexus of capitalism and communism. We are required by law to have them, and the state makes the rules about how they are managed (i.e. communism), but at the same time it is OUR money being invested in the FREE market (i.e. capitalism).

What could possibly go wrong?

What can go wrong is that pension funds managers can be forced to ivnest into things called "blue chip" stocks. A blue chip stock is a stock that the wise menTM have declared to be risk free. Risk free, and yet profitable. So, you know, basically magic. But that is why we depend on wise menTM from political parties to tell us the future of market based stocks. I mean, am I right? It worked for the Soviets. Sort of.

Of course, it didn't work out for their penison plans, but that is what it means to lose the cold war. Duh! You haven't lost shit if you haven't lost "your" 'life savings'.

So QE works because it keeps share prices high, and so that protects the market from the dawning realization of the middle class that risk is risky, and that markets can't be predicted by wise menTM from political parties. Cause if they could be, they would be planned economies (Hi Europe) and not "free markets". Again, duh!

The only down side with QE is that you are essentially nationalizing the economy. We tend to think of nationalization as a forced policy, with victims, but in essence nationalization means that the state is taking ownership of the economy. Sure, a nasty state might force owners to sell, but a friendly stte might offer to buy assets from owners and those owners might agree to sell, without any bad feeling or coercion of any kind. This is especially true when the asset is a POS worth nothing and the friendly gubment chump is offering huge money to buy it from you. You might, as an owner using the parlance of modern bail out economics "run to the bank" with the cash.

Of course, if you are a pension fund, you can't do this. You are required by law to stay invested in the blue chipTM stocks that have been blessed by the wise menTM. Remember, this isn't market planning, it is the free market in operation. The fact that we can plan free markets and yet remain free of a planned economy is very difficult for ordinary people to understand, but rest assured it is also why the wise menTM get paid so much money. If you think it is hard to understand how you plan a free market, imagine how hard it is to explain it to people. It's serious work, for serious people. Hence the big bucks in compensation. A person can get a sweat up just thinking about the work involved.

So the net result of QE is that governments buy all the worthless stocks, and end up sharing ownership with pension funds. This is a very neat result, because the governments and the people who electedTM them are all joint owners of the massive bag of shit left behind by the canny free marketeers who were not limited by the rules governing pension funds. Those folks get cash money for (literally) nothing, and they can go spend that on something sensible, like a chinese communist factory full of slaves.

And this is where we come full circle, and we meet the oriental version of the communist capitalist, except over there they have everything arse about, so they have capitalist communists. The order of the words is critical, if you stop and think about it for a little while. In the same way as an anarchic conservative (an eccentric) is very different from a conservative anarchist (a punk), the communist capitalist (the free west, you and me baby!) is someone who understands the glory of markets but who also cares about people. Whereas the capitalist communist is a slave owner who oppresses his people with ideology but who really wants to achieve wealth for himself.

This distinction is importnat if you wish to understand the difference between communist bankers and western bankers. The former get rich by telling lies and exploiting people. The latter get rich by accident, while they go about performing altruistic works for their community.

So, in a nutshell, the answer to the question of who is buying this worthless shit we call Greek stocks, is quite neat and tidy:

You are.

Mark it in your Happy Meal calendar. If you don't know who is buying a worthless POS, it is nearly always you.

 

Mon, 07/13/2015 - 22:42 | 6309146 remoran
remoran's picture

KJWqonfo7 is spot on. The Greek people are not going take this betrayal without a fight. 61% vs 39% is a landslide. The next 60 days will be most interesting without question.

Mon, 07/13/2015 - 23:18 | 6309212 Die Weiße Rose
Die Weiße Rose's picture

Pride and Dignity is all that is left now !

Gold is very save, better than fiat...

Tsipras and Varoufakis have hidden all the greek Gold in their private bunker underground -

near the Acropolis, so Merkel and Schäuble can't find it so easy.

Whatever happens, Tsipras and Varoufakis have made billions out of the Greek Crisis.

Not bad for marxist anti-austerity leftwingers, robbing the Greek middle-class of all their assets and Gold.

Greek conservatives never managed such a good Job, stripping Greece of all it's wealth.

Very Impressive the way Tsipras and Varoufakis conned all the gullable Greeks -

and left them with nothing but national Pride and Dignity.

Pride and Dignity is all that is left now !

I am sure Tsipras and Varoufakis are very proud of their coup now,

and all the Greeks look more and more dignified,

taking another 60 Euros out of the ATM,

to save their families from homelessness, hunger,

and suicidal poverty.

Tsipras and Varoufakis are the architects of all that misery for the Greek People !

These two vultures jet-set around the world between their Holiday-homes in Luxury.

and dream about their Gold and new-found wealth with a lot of left-wing Pride and Dignity.

Absolutely fabulous ! A great anti-austerity Coup !

(what was an experiment in economic Game-theory by the chosen few -

has now become severe austere reality for so many, now blind and faithless.)

WR;)

Mon, 07/13/2015 - 23:17 | 6309295 honestann
honestann's picture

The Greek government is completely insane.
No way this better than declaring 100% default.
Also, this will now be done to every western nation.

Anyone who leaves savings (or bonds, stocks, other investments) in banks or financial institutions at this point is STARK RAVING OUTTA THEIR FREAKING MINDS INSANE.

The predators are starting to strip everything from everyone who still has any savings, any financial wealth.  Only those who keep their wealth in real, physical goods well hidden and under their own control will have a dime after another year or three.

Be one of the less than 1% who get out before you are destroyed.

Mon, 07/13/2015 - 23:37 | 6309367 22winmag
22winmag's picture

Greece July 2015... how to snatch a butt-raping defeat from the jaws of victory.

Mon, 07/13/2015 - 23:56 | 6309424 Mediocritas
Mediocritas's picture

Digital information management. That's all modern banking requires.

So pay Silicon Valley to set up an entirely new transfer system in Greece and bypass the Euro entirely. Keep the govt as out of the loop as much as possible and it can be set up fast.

Seriously, they can do this in KENYA FFS, they can do it in Greece. See M-PESA: http://www.economist.com/blogs/economist-explains/2013/05/economist-expl...

What sits under the transfer hardware could even be a cryptocurrency if you want. Not technically difficult.

And if the ECB would stop being such utter cunts there is NOTHING to stop them authorizing the Greek branch to print Euros up to 100% of existing deposits (100% reserve). This is not inflationary in any way as no new money has been created. Paper certificates have simply been created to represent existing digital money.

This services the demand for Greek depositors to have their money in a paper form rather than a digital form. When the paper is taken from the bank, the digital count decreases so no net money has been created.

Besides, the process can be easily reversed as each note has a serial number than can identify those of Greek origin. When such a note is deposited elsewhere in the banking system, the digital version is incremented and the paper version can be destroyed. What's the problem?

This way, for a time, Greeks can have a dual currency system. Their Euro-denominated deposits will be 100% backed by paper money therefore eliminating bank-runs and providing peace of mind. If they wish to withdraw as paper then so be it but they'll not feel the need if they believe there is no risk of confiscation.

Meanwhile the M-PASA / BitCoin type alternative is getting up and running. The govt eventually transacts only in this currency (taxes and payments). Greeks have two accounts, one in Euros and the other in the new currency with a choice of which to use when they wish. Over time, Euros will eventually be consumed on imports at European prices and then it's the other currency. This avoids a sudden devaluation shock.

There is no technical reason why this can't happen. The restriction is that the ECB is playing politics and CAUSING bank runs in an attempt to undermine the Greek govt.

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