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'Black Friday' Blame-Game Escalates As Spain Is Out Of Money In 40 Days
With Valencia bust, Spanish bonds at all-time record spreads to bunds, and yields at euro-era record highs, Spain's access to public markets for more debt is as good as closed. What is most concerning however, as FAZ reports, is that "the money will last [only] until September", and "Spain has no 'Plan B". Yesterday's market meltdown - especially at the front-end of the Spanish curve - is now being dubbed 'Black Friday' and the desperation is clear among the Spanish elite. Jose Manuel Garcia-Margallo (JMGM) attacked the ECB for their inaction in the SMP (bond-buying program) as they do "nothing to stop the fire of the [Spanish] government debt" and when asked how he saw the future of the European Union, he replied that it could "not go on much longer." The riots protest rallies continue to gather pace as Black Friday saw the gravely concerned union-leaders (facing worrying austerity) calling for a second general strike (yeah - that will help) as they warn of a 'hot autumn'. It appears Spain has skipped 'worse' and gone from bad to worst as they work "to ensure that financial liabilities do not poison the national debt" - a little late we hesitate to point out.
Franfurter Allgemeine: Now Burns Spain
(Via Google Translate)
Spain has no "Plan B" more. The money will last until September. Then you have to spend the Treasury after a break in August and again fresh government bonds. However, if the interest and the risk premium on the record highs of the past "Black Friday" hold, is the fourth largest economy in the Euro zone - to Greece, Ireland and Portugal - the fourth rescue candidate.
How much has shaken the unrelenting storm in financial markets and alarmed the country's government can be seen in an almost desperate sounding aggressive opinion of the Spanish foreign minister. At a conference with other European leaders in Palma de Mallorca attacked José Manuel García-Margallo, the European Central Bank (ECB) with unprecedented severity as Tunix bank.
García-Margallo accused the ECB, which has reportedly bought for five months, no more Spanish government bonds and thus the pressure on Spain not reduced before, to keep "hidden". Literally, he added. "It does nothing to stop the fire of the (Spanish) Government debt," his claim on the ECB in the sign of European solidarity now to intervene in favor of his country, was not all. When asked how he saw the future of the European Union and its common currency, he replied that it could "not much longer go on," that countries such as Germany, debt free could, while others such as Spain standing water up to his neck.
What had happened 20 at that July 2012, the Black Friday signaled as early as the Thursday night by the images of nationwide protest rallies "Greek standards." Here, the organized power of protests by the unions were run primarily employed by the public service with the exception of a few final acts of violence in the capital peacefully everywhere. But the union leaders called the warnings of a "hot autumn", wants a second general strike this year wore on waking certainly not to reassure international investors in regard to the soundness and solvency in Spain.
Then came the early afternoon of the next big bang: Valencia asked the first of the seventeen regions of Spain for help from the newly created National Salvation Fund (FLA), because it has serious liquidity problems. Since it did not help that a quarter of an hour later from Brussels came the news that the Euro Group have released the more than 100 billion euros to recapitalize ailing Spanish banks and the first installment of disposable 30 billion for the already partly nationalized banks until the end of July were.
The faces of government officials fossilized
Of this and of the parliament on Wednesday adopted drastic austerity program of 65 billion unfazed, overthrew the Spanish stock market fell by almost six percent. At the same time increased the risk premium on Spanish government bonds already well above the Greek-Irish-Portuguese rescue addition to a record level of 610 basis points above German reference value. The interest rates for ten-and thirty-year bonds ended the trading day at around 7.3 percent is also acute in the danger zone.
The faces of government officials who had to announce on Friday itself even more bad news fossilized rapidly. Even the hard from her left Façon to be brought Deputy Prime Minister Soraya Sáenz de Santamaría called it "incomprehensible" that the markets in Spain punished in such a way where his government produce it for six months in the timing of the reform and austerity at a time.
In desperation sought the Deputy Prime Minister verbal refuge with federal Finance Minister Wolfgang Schaeuble said, "I fully agree with him. The situation we are experiencing is so because of the large uncertainty that exists in the euro zone. "Then dodged all questions, whether on the bank bailout now inevitably will come to the whole country, but closed already no longer sufficient. At the two major ghosts in the background, namely the possible insolvency of Spain or a breakup of the euro, was at that time then stir no more.
Six other regions are in need of help
The bad news flipped finally on his own Finance Minister Cristobal Montoro. He admitted that the recession will extend to a negative growth of an estimated 0.5 percent of gross domestic product (GDP) in 2013 for one year. Given falling tax revenues and rising social expenditure - unemployment is expected later this year rising to over 25 percent - is no longer with the previously approved mini growth of 0.2 percent expected. This year it will just as it has several foreign analysts, including the International Monetary Fund (IMF), have predicted to go down significantly: minus 1.5 percent.
Then had Montoro, the best pen-pushers in the cabinet of Prime Minister Mariano Rajoy, another piece of bad news: Because of rising interest rates and unemployment benefits would have to increase government spending in the coming year and by 9.2 percent. As an upper limit for the next budget, he called 126 billion euros (116 this year) and estimated the proportion of debt service on up to 39 billion. So this would be the largest budget item in general.
As the Minister of Foreign Affairs in Palma went out of his skin diplomats and deposed the emergency call to the ECB, the swirling dust of Valencia had not only not set, but spread to other regions. The six other candidates are called rescue Catalonia - the former "engine" of the Spanish economy alone corresponds approximately to the volume of Portugal - Balearic Islands, Canary Islands, Castile-La Mancha, Murcia and Andalusia may have. It is the largest and most populous region. You scrape all of the insolvent and can along without help from the central Wages Liquidez Autonómico (FLA), neither their use nor pay for the bonds maturing their suppliers.
Monti comes to Madrid
18 billion euros to put the government in the FLA pot. Of which 6 billion a called dormant "advance" the government agency with the best credit rating: the National Lottery. Valencia, a stronghold of the conservative People's Party, whose representatives are there over the years contributed megalomaniac buildings and even a new airport, which is never a plane has landed, is expected to require first aid as two billion. In Catalonia, there should be a bit more expensive. Perhaps the most obvious may be the last three decades Socialist-ruled Andalusian black hole, no one even dares to predict.
Prime Minister Rajoy also remained true to its strategy over the weekend not to step into self-publication. But it became known that he for the second Mario Monti, has been invited to Madrid - august his Italian neighbors - and co-conspirators against Chancellor Angela Merkel at the last European summit in Brussels. This will enable the two friends in Berlin alone at the thought of causing goose bumps "Euro Bonds" on a common approach and probably speak a new attempt to lure the ECB from its "hiding place". Some doubt now, though, that Monti wanted to identify themselves too closely with the Bredouillenspaniern, yet there is Italy, the 'risk premium' now suspended well.
Vice Premier Sáenz de Santa María was meanwhile from the exchange. "Now we need to work to ensure that the financial liabilities (the banks) do not poison the national debt" That's easier said than done if the EU and the ECB is not Spain under the arms . access Brussels to act from the perspective of Madrid always a snail's pace, where the Spanish crisis but is now viewed primarily as a "euro crisis" for which one - need new, credible supporting stability mechanisms - with central bank help. Be if Spain, which this year will have around 60 billion euros to repay loans due rescued, would have, there are two variants: the already "traditional" with loans to macroeconomic conditions and visits to the "Men in Black" or the use of Other funds from the bank bailout fund.
In almost all European capitals, including Madrid, has been in the past week vehemently denied that the 100 billion euros would be used not only to clean up the banks. But somewhere in the agreements is a smooth passage in which this kind - would allow - after approval of the euro group, and probably also of the German Bundestag. Perhaps as soon as a Foreign Minister García-Margallo hard to knock.
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this shit is getting old,,,,,
US Post Office says this is great news --- because they're out of fucking money TODAY.
... in wind, or rain, or sleet, or snow...
Oh no problem. We'll just make Italy loan money to Spain, just like the last time. Works wonderful!
Italy's debt? EEErrrr, deficits don't matter?
Y'know what's funny? We can say the same friggin' thing about everybody's rich uncle... Germany. I mean, they ain't exactly "in the black" either. They only look good 'cause while they are in debt up to their necks, the rest of 'em are in debt up to their eyeballs.
http://www.youtube.com/watch?v=Vkvoicv5TfQ
Even Willie clinton says europe has 1-2 months left and that was last month.
http://www.youtube.com/watch?v=jd7GdHRmRXc
Soros says 3-4 months
remember soros broke he bank of england with his bet that Uk bank will have to break away from beta version of Euro in the 90s.
"perhaps the most obvious may be the last three decades Socialist-ruled Andalusian black hole, no one even dare to predict." IIIIIIIIIIIII like it! Prolly shoulda left it in Spanish tho. And we'll be lucky if we have "1-2 months left".
I can't see what everyone is getting so worked up about. Spain is running out of money. So what? Larry Summers and Paul Krugman have clearly explained the advantages of taking on more debt, indeed that the solution to debt is more debt.
So, Spain just needs to borrow another few zillion. Doesn't even matter what the interest rate is, because they can borrow some more in order to make the interest payments.
In fact I'm a bit surprised that I haven't read any op-eds by Summers or Krugman explaining what a fabulous success story Spain is.
Yet if a regular schmuck wants to kite credit cards, he goes to jail.
Don't worry it's in the mail...
...Can I have fifty pounds to mend the shed?
http://www.youtube.com/watch?v=4W9p_NFm6qk&feature=fvwrel
Plenty for wars and for banks, but no money for the US postal service -- the USA has become a terribly bad joke.
It is odd that a Constitutionally required service, that could actually be profitable, is going bankrupt, and unconstitual bank and private corporation bailouts are not seen as a problem! How much does GM owe still, 35 to 40 billion FRNs or something like that? How far would that go in helping the post office? How much do the banks still owe us the taxpayers? Around a 100 Billion FRN not counting the GM money I already mentioned.
The destruction of the Republic continues.
... in wind, or rain, or sleet, or snow...
we're out of money...where did it go?
That's what happens when people don't deal with their problems, they hang around, get worse, and ultimately take you down.
bottle it and label it chateau Draghi. It'll make a fortune!
Jumping the queue here to post this link w/ some good videos. In one, a guy in a Civil Guardia shirt is shouting to the protesters, "We are equals!"
There's also has a link from the Unified Association of Spanish Military (AUME) with a press release supporting the protests against the measures taken by the Government.
http://stillwandering.multiply.com/journal/item/2424/Madrid-Firemen-Teac...
On edit: Apparently there is a possible rift growing between the Defence Sec who is usually a party hack and UAME.
http://translate.google.com/translate?sl=es&tl=en&js=n&prev=_t&hl=en&ie=...
It's getting interesting in Spain as an Aljazeera reporter has mooted an "ungovernability" meme.
Considering that despite all kinds of fail Greece still has the political freak show inside the parliament (via Neonazi and Stalinist parties) Spain could pass directly into fullblown political collapse.
so the ecb prints; what's the big deal !
L'euro est "irréversible" et la BCE n'a pas de tabou, selon Draghi
Nothing is taboo to the ECB according to Draghi. He is open to ALL eventualities! AS the EUro is "irreversible". Said from the Horse's mouth!
He may be open to all eventualities, but he cannot stop them.
Old cherokee proverb: in land of few horses left, must beat current horse to death before saddling new horse.
Surely the horse must be dead before you beat it.
Maybe you can get a room and tenpan can show you exactly how he beats it.
Thats funny!!
your midget porn download is probably finished by now so you can retire to your usual venue.
I may be a trollop and a whore, but I would never stoop so low as to work for the SEC.
do you still beat your wife, though?
Lizzie Warren, Cherokee, is attempting to do that as she speaks. - Ned
Did the horse expire on a government street or bridge?
Then we didn't do that!!!
Surely the answer to all these problems is more 'firewater'...
Absolutely...cuz they don't make that ;-)
the union crooks are just as bad as all the other crooks.
Unions are people too. - Ned
Fetuses, corporations, Terry Schiavo...fuckin' A...perhaps we can just save time and list the things that aren't people?
Well, according to "progressives" corporations are not people.
Which puts the New York Times in a pretty weird position...which is absolutely normal for them I guess when you think about it...lol.
Easy. Anyone over the age of 55 without $10 million or more in "the market".
Don't worry. CNBS will tell us Monday that this all priced in. Time to buy Chipotle.
Shares or Boooritos?
The can is disintegrating and can be kicked no further.
The can, if kicked further, will circle around and nail the kicker in the head.
The Road Bernanke paved is a mobius strip. The can can be kicked infinitely.... Print on..... There is no inflation /Sarc
More bullish news for the markets. The Dow should be ready rocket at the open.
It's amazing how long these markets have held.
Earnings are slowing with pockets of outright top / bottom line deterioration. Mixed bag, leaning negative until prices come down. Ahead of our skiis for sure.
No it is not amazing. The stock"market" is being monetized on a daily basis by the Fed via the NY banks.
In the last 130 years of the NRA's existence, how many gun rights have you lost? How many rights has the NRA compromised away? Stop being fooled by this fake gun rights organization and join Gun Owners of America - they don't compromise!
In the last 130 years, how many times have you actually needed a firearm to defend yourself from foreign invaders or resist your government?
Shit or get off the pot.
By "foreign invader" do you mean non-citizen burglar or home invader?
I actually meant an attempted occupation of the US by a foreign power (I know it's difficult to get used to that happening the other way around...it's been 200 years and all), but why make distinctions when you live in the free-fire zone called Florida?
The US is already occupied by foreign powers, but there will be no revolution before it is time. It's almost time.
None because we ALREADY HAVE THEM in the first place...
Fat lot of good they're doing for you too.
Heckuva job, Brownie!
In other words: just roll over and grovel like a good progressive.
I am soooo happy that I the article in the original language read can. Google translate really needs to restructure the sentences better when translating.
Funny that was.
To be reading that is having then been at a cake that is in pieces.
Is that you Yoda?
I was particularly fond of the part where the dude came out of his skin. Classy. Perhaps we could skin a few of our own politicians as well. Spain has set the standard here.
Minister of Affairs in Palma went out of his skin...
Hmm. Must be one of those lizard people Ickes is always going on about.
Was the final print of the Dodd-Frank bill translated by Google?
I think the article and FD both were translated by An Anonymous.
They just deleted the US citizenisms.
Even in the current state, the Spanish banks face realistic losses of €250bn. They have about €100bn of loan loss reserves, meaning the proposed bailout is not enough. Add to that, the federal government is out of money and the autonomous regions are in a huge hole, with a collapse in revenues and too many debts obscured over recent years. A full 50% of state spending comes out at the regional level, so the Spanish people are going to feel the consequences very soon.
In my view, there is not enough capacity in the EFSF even to cover Spain.
Since the inception of the Euro, the nation has gorged itself on cheap debt, which combined with a construction boom hid the fact that what little industry there was has been destroyed by the rise of the emerging markets. The productive economy was withering on the vine, while the country enoyed a debt fueled consumption boom. They cannot pay yesterday's bills and eat today. Of course, they will blame foreigners, blame bankers and especially the Germans, but the real problem is the corrupt and bloated public sector, who won't fix the problem because they can't accept it is them.
As for the solution, I genuinely don't see one. The warning signs were ignored by the European Union, the IMF, everyone went along with the fantasy, because it was so much easier to overlook. Even now, they somehow think you can stabilise real estate prices and allow banks to clear their books in an orderly fashion. The reality is, nobody wants to buy an unfinished apartment in the desert next to a golf course that was never built, especially someone with no money and no job. And without the cosy relationshp with the Cajas, the insolvency of the local governments is going to be quickly revealed.
And what everyone forgets is that Spain, until 1975, was still a fascist dictatorship that had never fully recovered nor solved the divisions from its civil war. Hell, as late as 1981 there was an attempted coup!
This situation is a powder keg, particularly with hard leftists, Basque separatists, and old school fascists ready to duke it out again at the drop of a hat. Add to that 50% youth unemployment, and it is one hell of a volatile mix.
Of course, not only is Greece similar to this, but it also has one of the highest military expenditures in the world. They have arms, and the military, when the government doesn't do what it thinks is right, uses them.
Things are going to get very very ugly.
Although there won't be [much] external money to feed into Spain for arms excepting:
Who knows? Where did the true Spanish heroes go?
- Ned
{are the Jesuits around?}
{{does Cordoba flip? again?}}
You're on a roll Ned ;-)
Clearly, a new caliphate needs to be established to instill some sort of "discipline" to this untidy "democracy" thingy...bring on the Moors!!!
Spain news update:
Gen. Francisco Franco is still dead.
He's just sleeping.
Viva Franco! Or, as one of his generals said, "Long Live Death!".
Check this link out and the press release from AUME.
http://stillwandering.multiply.com/journal/item/2424/Madrid-Firemen-Teac...
The "hat" dropped several years ago. What, do they need to dig a hole and then drop it even further?
Greece spends enough on military to keep out the Turks, at least in their minds. I hear the EU may sell Greece to the Turks anyway if only they assume the debt. /sarc
Will Spain be selling their gold? 280 tons I hear. Not that that will change anything.
"Will Spain be selling their gold? 280 tons I hear. Not that that will change anything."
China nabbed that stack months ago...
The rumour they are selling will be used by TPTB to manipulate the price down for a while.
As for a soulution, we could build a pirate ship and attack the tax havens, like the Cayman islands, British Virgin islands and other places where the super rich are allowed to hide money.
http://www.guardian.co.uk/business/2012/jul/21/global-elite-tax-offshore...
How is it that the rich somehow always end up with all the money created but the opposite part of that creation, the debt, seems to land on our sholders with all the austerity and crap that comes with it.
Give me control of a nations money supply, and I care not who makes it’s laws
What are we going to get when we raid it ? Digits? We better take plenty of thumb drives instead of chests.
We'll monetize Mittens' tears.
Treasure ain't what it used to be arggh.
Maybe like this:
http://www.youtube.com/watch?v=errwLVgHpXY
Sure it is from "the bleak days of 1983", but....
We Brits have never been averse to sponsoring "privateers".
Anyone up for a bit of pillage and plunder?
Avast there, ye tax evaders!
"are all Caja's created equal?"http://ebook.law.uiowa.edu/ebook/content/spanish-financial-crisis. that's a lot of "small banks." some of those banks probably have no trouble making loans...depending on where they are...who they are...etc, etc. Some of these Spanish cities are RICH. For example...VALENCIA. If they need to raise capital to support a bond offering such that VALENCIA can say..."guarantee a shipment of" such and such...well, perhaps an American or British Bank can make that happen. Perhaps a US or BRITISH CENTRAL Bank can then "stand behind said bank." Yes? No? "You're a lunatic because you think there are work-arounds to the End of the World"?
It's funny how back in March/April 2010 everyone thought Ireland was not going to be a problem, because they were supposedly, "doing the right thing", making cuts, winding down excesses, blah-blah-de-blah-blah, ... and people were trying to argue that Italy was not really all that indebted, so was not really one of the PIIGS, so should be OK, ... and other people were asserting that Spain would not become like Greece (no serious logic was offered for why though, it was a belief-thing, apparently).
And I keenly remember it being pointed out during early 2010 that if Spain ever did run out of money, and could not fleece-the-world, or at least Euroland, with its Govt bonds, then this would be the sure-end of the Euro system.
So here we are a bit over 2-years later, and the truth is being revealed - and so it will be.
The ESM is just the latest hopeless layer of ejaculating centralist state denial-ism, and the pitiful and absurd truth of it shall also be revealed, not by mere words, but via deeds.
Germany doesn't actually offer any answer/solution, via fiscal and let's not forget political centralist-Union (as this is actually just the Empire of Hope-ism), because Germany simply wants to be in control of the rudder on the lifeboat as the Euro ship sinks out of sight.
And then it will be, "Oh look, all we have left now is a nascent centralising European Empire dominated by Germany ... oh well, ... let's go with that ... oh, ... and we'll need a new reserve (Master) fiat system, to finance and to trade (row the boat) within it ... right fellas?".
And the answer will be, "Of course, ... once more, for the Fatherland!".
Or in the immortal words of Timmah, "No chance of that!"
Meanwhile, back in the real-world in the interim; this is all a delusion-by-design, because this entire system is fractionating--not combining. So a political union is now rendered impossible, thus Germany has no answer either, as fiscal union is not going to occur sans a comprehensive centralising political union, when all it is really is so far is a failed fiat union.
So the Govts proposing that will be swept aside by the populist backlash, and no amount of systematic and systemic denial and propaganda will reverse that, to herd and corral the Europeans into the proto German-esqe Empire, 'feed-yard'.
It's just an attempted (and soon to be obviously failed) take-over of a weakened entity. So trying to be the captain of the lifeboat is all Germany will in fact get ... they will still be in a lifeboat though, ... and in need of an actual ship.
Down-sizing bitchez! ...
You can imagine what happens in the life boat after that; "let's draw straws to see who we'll eat next" ... i.e. real austerity, and what follows on from it. Large-scale Balkanisation, as each people, and each relict post-euro pseudo-Sovereign realises that it is just someone else's lunch, ... unless they act independently to ensure their own needs and security.
The question then is; is the USSA (centralising genuinely fascist anti-people outrage, called Washington, District of Columbia) going to do the same thing?
Right now I can't see how it won't, as the tighter Washington DC tries to hold-on, via propaganda, obvious rediculous levels of ludicrously unbelievable lies, every form of intimidation and coercion, and actual violent force, backed by absurd levels of police and imprisonment, and a central defacto 'OK' to torture and murder anyone, anywhere, without actual evidence of any wrong-doing or judicial review, the more the US people's minds-and-hearts will slip forever out of Washington's grip, and demand its complete overthrow.
I don't see a viable centralist and patriotic, "New Deal" option emerging from that.
USA persons will split into regions.
Working regions will thrive, welfare regions will be wastelands.
USA persons = US citizenisms???
Whatever you do after reading this.. be careful shorting US stocks. You will get squeezed out.
If the point is to make money - it just seems so much easier (for now) to make money on the long side than on the short side. Just as an example - S&P went from -0.3% to +0.6% on Wednesday between 9:30 and 10 am ET on Wednesday and ended the day even higher on nothing (maybe Bernanke Testimony to the house?) despite bad news from intel the day before. so over 1% gain on the day for nothing and Spanish yields going well above 7% takes it down less than 1%!
Newsflow for Wednesday here
http://seekingalpha.com/currents/all/2012/07/18
S&P chart (4 hr bars, Time as PT) here
http://twitpic.com/aa89ip
point well taken. i lost faith fundamentals mean a thing 6/28 6/29 when Brian Sack gave his gift to the hedgies. And POMO isnt a funnel from the middle class to the elite. NO market comes from 180 down in the dow (like it matters) on no news to finish green... I find Seeking alpha just a site for Jim Cramer wannabees. Seems the financial literacy there is lacking .. some good stuff. but way too much permabullshit where people think technicals and earnings matter. If your a charter. check out www.etfdigest.com "daves daily" i think this guy is great. Youll laugh at his snarky commentary but its true. Hes really good. Just MHO
I just picked up newsflow from SA because it is easy to access a specific day's news. My twitter stream for that period would totally diverge from the "reality of the stock market" during that period
Thanks for the link.. here is one back at ya (nice if you trade more than just stocks, I do more futures)
http://hedgefundmgr.blogspot.com/
I'm going to one up Faber and say 12 WEEKS!
noted.
- Ned
{although I do recognize that Saturday Night Chemically-Altered-Mind-Thinking-Process-Fuck-Up-Disorder will get you off the hook}
The market will only crash when the global banking cartel wills it to happen. 12 months? 12 weeks? 12 days? There is no telling.
The chick is better than Maria Barfaroma or the Chinese transvestite.
the new is getting old and old is getting new?
SPY is breaking out in many of the world's currencies, more Spain problems mean more clamoring for US blue chip stocks and Treasuries.
The safety investments will break hard when they do break but there is no nanosecond level stress on them now. Where would you want your money, in a Spanish bank or in the S&P? I know the correct answer is gold but not everyone else understands that. Be careful with your short positions until we break out of this absurdly steep upward trend.
This just in from the California Real Estate recovery:http://www.youtube.com/watch?v=zVay-RfNGv8
Not En Vogue? Sorry!
http://www.youtube.com/watch?v=yvFuVSPr0e0&feature=related
We all repatriate after our own fashion.
(not very patriotic)
EFSF transfers to ESM who transfers to FROB who trickles money to the Spanish Banks.. Thus squeezing more blood from the turnip just prior to August 30,2012 deadline.
http://www.efsf.europa.eu/attachments/fi/efsf_presentation_en.pdf
We’re rich bitch!!
/sarc
Don't worry... Italy will bail out Spain with it's $139 Billion contribution to EFSF.
** I Wonder why Italian yields went up Friday?
True, but give people some slack. They want to spend NOW, and blame somebody else for their decisions. Preferably foreigners. Letting at least some banks fail would make things better, as some debt would be destroyed and bought cheap. I agree with previous poster about bloated public sector as big part of failing. Countries with more than 10% of GDP spent on public salaries are the ones failing at the moment.
Then there is Sweden ... countries with poor trade balance are failing and failing in ways far worse than they would have failed had their debts been in their own currency.
There is no replacement for sound governance, whether that governance be in favour of a mixed economy or social darwinism with nearly no government except for law enforcement.
jmgm, what a drama queen. the can it will be kicked.
Yeah, Spain is definitely not the last stop for this train...
Banco Santander (SAN) has a divi of 10.60% with a weak eur/usd to boot. BTFD anyone?
Banco Santander (SAN) owns Sovereign Bank in these-here parts.
http://www.sovereignbank.com/
- Ned
Espana esta JODIDO.
Putas todas.
Que se jodan!
FAZ.net .....hahahaha .... how appropriate
September, around the same time we hit our debt ceiling in the US
I'll be out of money in three fucking weeks..........
You didn't borrow and spend that money Spain. Somebody else did that for you.
Of course, it was Germany who spent money. And Germany should pay more reparations for uh, helping Franco. At least one trillion, but being modest Spain will take 500 billion only. As war veteran said last week, Germany should have more responsibility!
Peas in Europe!
November Spawned a Monster
If a fat lady sings and the algos have no ears to hear her, does she make a sound?
If she shits in the woods, will any breathing humans stick around?
No, and no. She'll just be fucked. As will the local folk in the village over there. - Ned
Batman did it.
Both Batman and Bane are people, too. - Ned
And the Joker picked the wrong movie. He wasn't in this edition.
Note to readers: "Tunix" is the german phrase (actually "tue nichts") for Do-Nothing.
If Spain erupts into civil war, that would make the Olympics sort of interesting. Oh nevermind, I'm not watching the Olympics either way.
But TPTB have already planned a war on Iran by blowing up the olympics, according to the conspiracy sites.
Someone is plaing my tune :p
I for one welcome our new Caliphate overlords.
Und vere are Hans und Franz ?
"Vere here to pomp you UP, you Spanish girly-banks".
40 days? That's almost a (metric) month.
Anyone care to share what their credit card interest rates are? I think mine are around 20%. So what is the big deal that Spain has to pay 7%-8% interest?
9.15% not that I would ever have a balance for more than a day.
Does not matter if you don't go past the "grace period".
Subtracting all the Banker Bonuses and commissions and Miscellaneous bribes and kickbacks, the actual amount that trickles down to the people is probably less then $42.87.
Oh well. There is more on the way.....
Oh, btw:
"Falling property prices, a weak pound, and fears over job security are forcing those living abroad to rethink the move.
Britons residing in Spain are suffering the most financially, with four in five complaining that the drop in the value of the pound against the euro has left them worse off.
For many of the estimated one million Britons living in recession hit Spain, where unemployment stands at almost 20 per cent, the dream has turned sour.
The poll commissioned by Moneycorp, the UK foreign exchange specialist, found that 74 per cent of those living in Spain are considering repatriation."
http://www.eyeonspain.com/blogs/spainnews/2818/three-quarters-of-british...
Where is that ZH contributor who always brags about the joys of living abroad?
Ya, but that Spainish broad is spent, just like the Italian, and Greek broads.
After a few pints, the Ugandan broad is looking mighty fine...hic..
Cc.
I really don't "get" it. Huge unemployment in Spain should drive down prices, making a fixed income person from abroad better off there. High employment generally means rising prices, making it more difficult for fixed income from abroad.
Where is a sovereign man to run to?????????????
Does he have a free report about this situation?
The quoted article however seems to be mostly confused bullshit:
"Our research shows that British expats have had a tough time and the findings reveal that no country has escaped unharmed from the economic downturn," he said.
"Brits living in Europe are feeling the effects of the weak pound as they are more likely to be reliant on income from their British property, UK pension and other regular sources of funds."
Those that own property abroad have seen the problem compounded by a dramatic fall in the real estate market, particularly in Spain, where prices on the Costas have dropped as much as 65 per cent.
"Brits living in Spain are particularly affected by the struggling property market with many owning holiday homes and letting out their Spanish properties," explained Mr Kerns.
But he said that British expats could do more to protect their income and avoid "nasty surprises" due to currency fluctuations.
The Brits living in Europe part makes sense, if the pound has been dropping against the Euro, and you rely on pound income.
Those that own property abroad part makes sense, if THEY DON'T LIVE THERE! Brits living in Spain let out their Spanish properties? Where do they live then, a tent? Look, if you own a property in Spain [you, not a bank] and live in it, what the fuck do you care what property values are? Who are they talking about, the idiot time share crowd?
Brits go to Spain to retire because it is cheap and warm.
They are leaving because it is getting cheaper and warmer [if you are a member of the church of global warming]?
WHAT THE FUCK?
Old news. Sterling is at around a 4 year high against the
Euro.
Spain will come up with the money before time is up. The real collapse will come after the US election.
GOOGLE TRANSLATE, weakness issu8e dominate causality from future present cannot make sentence write right...right?
Translation: google tranlate is having a bad day
All for the Good and Glory of the King:
Many Spaniards were dumbfounded when news broke in April that the king had made a secret journey to hunt elephants in Botswana even though it was widely known he was president of the Spanish branch of the fund.
Such an opulent indulgence also angered Spaniards at a time when national unemployment hovers around 25 percent, the economy is contracting and there are fears the country may need an international financial bailout.
http://www.msnbc.msn.com/id/48271859/ns/world_news-world_environment/#.U...
This is the natural outcome of voting yourself benefits you cannot afford... note to socialists of Europe...times up, last call...and oh settle up with the barmaid.
It's now time for the Spanish Inquisition . . and the comfy chair . . Confess!!!
Socialism es muerte.
The choice is a market economy or...... how shall I put this: Maybe it's time to "de-mothball" the old Franco statues. Peace and prosperity of over a quarter of a century.
Just sayin.....
Franco brought neither. Re-read your history please.
It is not I who needs to re-read their history books, sir:)
Saw a program on TeleCinco yesterday about how the Cajas fooled savers (a majority being old people and people with disability) into a scam called Participation Preferentes. An interest rate product with a nice little twist, the only legal buyer was the issuer, the cajas themselves. You guessed it the banks pulled the f#%^!$ rug out in concert and pulled the bids from 100 to 20. 700,000 savers affected and an estimated 30 bn Eur lost and everyone knows the rest, no one in jail, money evaporated.
I agree with ALL of you.
SP500 downleg expected to continue next week onwards.
http://www.zerohedge.com/news/2012-12-24/market-analysis
Not surprising. Spain is in dire economic condition. Those housing bubbles are murder when combined with Socialism (the PM who looked like Blackadder).
http://confoundedinterest.wordpress.com/2012/07/22/6-spanish-regions-may-request-bailout-spain-entering-third-leg-of-sovereign-yields-high-unemployment-crashing-home-prices-and-large-budget-deficits/
And a real nutter to boot:)
40 days is generous