European Crisis: Your 1 Minute Update

Tyler Durden's picture


This is where we stand right about now.

  • Future of the euro area — German Finance Minister Schäuble and former ECB president Trichet float proposals on the future of the euro area – an elected EU president, political union, “federation by exception”. While more integration is likely as a response to the current crisis, progress is not likely to be quick.
  • France and the fiscal compact — German FM Schäuble and Eurogroup chairman Juncker are confident that French President Hollande and German Chancellor Merkel will find a common position on the fiscal and growth pact. New French FM Moscovici says France will not ratify the pact unless it includes ambitious commitments to promote economic growth. However, with results of the French public finance audit due on 1 June, fiscal consolidation may get more airtime in the legislative election campaign than during the presidential one.
  • EU bank resolution scheme: The head of the banking unit at the EU Commission indicated that a crisis management proposal to wind up failing banks would be adopted by the EU on June 6.
  • Spain — Economy secretary Fernando Jimenez was quoted by Reuters on Thursday saying that, with Spain having done everything necessary in terms of fiscal policy adjustments and structural reforms, "we think that there should be some type of reaction from the ECB". He denied the story run in El Pais that Bankia has lost over €1bn in deposits, around 1% of retail and corporate accounts, in the past week. LCH.Clearnet hiked Spanish bond margins (>1.5 years) on Friday. 
  • Moody's downgrades 16 Spanish banks. Spanish government approves 2012 budgets for 16 out 17 of the autonomous regions. In the process, Spain discovered that its 2011 budget deficit was not 8.5% of GDP, but 8.9%. Oops 
  • Netherlands: Some details on austerity measures. According to De Telegraaf, the austerity package will include measures worth €16bn and taking into account the impact on the economy and also €1bn of extra spending, the government will expect a reduction in the budget deficit of €12bn.
  • Greece — Fitch downgrades Greece rating from B- to CCC. Fitch said that should new elections fail to result in a mandate for a new government to continue austerity measures, a Greek exit from the monetary union would be "probable".One poll shows New Democracy back in the lead... Other poll shows Syriza still in the lead.
  • Ireland — Opinion poll shows junior coalition party Labour losing support. According to a Millward Brown opinion poll in today’s Irish Independent, the
    governing Fine Gael party is on 34% (down 2 points since the general election), but its coalition partner Labour is down four points to 15%, losing voters to opposition Sinn Fein (up seven points to 17%) or to Independents (up one point to 18%). Opposition Fianna Fail remains on 17%. Satisfaction with the coalition is at 29%, with 65% dissatisfied and 5% Don’t Knows. PM Enda Kenny’s satisfaction rating is at 42% (52% dissatisfied), while Labour leader Eamon Gilmore gets a satisfaction rating of 33% (56% dissatisfied).
  • Sweden — FSA sidesteps rules to foster corporate debt. Scandi currencies hit by risk aversion. The FSA is allowing corporate debt traders to keep daily bond and pricing data to themselves even though they are required to follow the same transparency rules, which apply to sovereign and mortgage debt, Bloomberg reports. According to the FSA, this compromise is taken out of necessity as regulators work out how to support a burgeoning market. “Sweden’s corporate bond market is pretty small with few trades and low liquidity. We would like to see a better working, more transparent market, but we do not see our job as regulating the creation of a market,” FSA said in an interview with Bloomberg.
  • Hungary — Pressure to rise before loan talks can proceed. The fact that Hungary holds up the start of the negotiations on one minor issue suggests that the government is still gambling, hoping that it can either avoid a deal or – more realistically – loosen conditions as the deepening crises in peripheral  Europe may ease international lenders’ stance towards Hungary.

The above mostly via Citi's Jurgen Michels.

  • But the most important: episodic rumors, news, and speculation about bank runs in various stable and not so stable European countries.

Heeeeere's Cramer:


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Sun, 05/20/2012 - 22:16 | 2446238 CPL
CPL's picture


Sun, 05/20/2012 - 23:21 | 2446346 knukles
knukles's picture

How about collapse of epic proportions....

From the above text:

"The FSA is allowing corporate debt traders to keep daily bond and pricing data to themselves even though they are required to follow the same transparency rules, which apply to sovereign and mortgage debt"  

Carry on, nothing to see or hear, because nobody's gonna tell you shit.
A Bid?
What's a Bid?
Some fucking German newspaper?

Mon, 05/21/2012 - 00:10 | 2446440 Alea Iactaest
Alea Iactaest's picture

The hen is interested. The pig is committed.

Mon, 05/21/2012 - 05:15 | 2446675 The Alarmist
The Alarmist's picture

Interesting? The Reader's Digest version is,

"Europe saved. Nothing to see here. Risk-on. Have a nice trading day!"

Sun, 05/20/2012 - 23:56 | 2446410 Bunker Boy
Bunker Boy's picture

That is all you have to say? Interesting? The financial world is falling apart and it is interesting! Must  be a university economics prof with tenure. Funny thing about  tenure, the salary will dissolve with the break-up of society. Then you will be truly interested.

Mon, 05/21/2012 - 00:53 | 2446492 TBT or not TBT
TBT or not TBT's picture

In a word, popcorn!

Mon, 05/21/2012 - 00:19 | 2446453 Peter Pan
Peter Pan's picture

A one minute summary is good but a one minute resolution to this whole bloody mess would be better and more productive.

Mon, 05/21/2012 - 00:56 | 2446496 TBT or not TBT
TBT or not TBT's picture

Even suppressed orbit ICBM's can't be that quick.   We are still dependent on newtonian physics here.   SLBMs would take many minutes to launch all tubes, and eight to twelve minutes in flight with detonations staggered.   Gonna say it can't be done.

Mon, 05/21/2012 - 05:42 | 2446691 mvsjcl
mvsjcl's picture

Newtonian physics? Wasn't that made optional on 9/11?

Sun, 05/20/2012 - 22:16 | 2446239 AC_Doctor
AC_Doctor's picture

Cramer is usually a douche nozzle but seems to nail one finally...

Sun, 05/20/2012 - 22:25 | 2446256 CPL
CPL's picture

He's unfortunately historically late to the party...repeatedly.

Sun, 05/20/2012 - 22:38 | 2446281 Ragnar24
Ragnar24's picture

He "nailed it" only to foment sheeple into "begging for more printing".  it's an emergency! we must act! print for the children (or rather on the backs of future children)!

Sun, 05/20/2012 - 23:02 | 2446326 Harlequin001
Harlequin001's picture

It would all work if it wasn't for the Germans...

Yeah Jim, course it would. If only the Germans would print more money, we'd all be saved...

Sun, 05/20/2012 - 23:10 | 2446334 Michael
Michael's picture

Lots of nice high quality colorful pictures of 4,300 tons of gold in London, no one knows who it belongs to.

Stash of £156BILLION in gold bars"Found" Stored Underground in London Still Not Explained

Read more:

Mon, 05/21/2012 - 00:51 | 2446486 FeralSerf
FeralSerf's picture

Yamashita gold.

Mon, 05/21/2012 - 01:04 | 2446510 francis_sawyer
francis_sawyer's picture

Yup ~ That foto isn't of gold below London (look at the posters on the wall)... It's supposedly Yamashita gold (& I think that warehouse is in the Philippines)...

Anyway, it's an old foto...

Mon, 05/21/2012 - 04:22 | 2446634 Disenchanted
Disenchanted's picture




Even if that gold were under London it wouldn't be benefitting the people or the country. From Michael's link:


Cash-strapped British people will breathe a sigh of relief when they see these impressive treasure troves.

Despite the financial crisis, it seems the country still has some money left in the Bank of England's vault beneath London.

Read more:
Mon, 05/21/2012 - 09:09 | 2447062 The Watchman
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"Nailed it" but how many innocent people have been led to tie their soon to be vaporized money in shit because of this A-HOLE.

Sun, 05/20/2012 - 22:45 | 2446298 navy62802
navy62802's picture

Still a douche nozzle. Even a broken clock is right twice a day.

Mon, 05/21/2012 - 00:19 | 2446454 shuckster
shuckster's picture

When he's on record, he has to trumpet the usual dialogue, when he's off, he speaks his mind. Stating that he sees bank runs, that's unusually candid 

Mon, 05/21/2012 - 00:37 | 2446467 redpill
redpill's picture

Yes but he only says that couched in warnings over lack of "coordinated action" (read: money printing).  So he may be right about the bank runs, but he's only saying it to goad central bankers into printing money.  Not exactly the most admirable of motivations.


Mon, 05/21/2012 - 09:12 | 2447071 The Watchman
The Watchman's picture

That's my read too. It's time to scare the sheeple into calling their congressmen begging them to print, print, print.

Sun, 05/20/2012 - 22:20 | 2446249 barliman
barliman's picture


Oh goody!!!

Jim Cramer is the economic adult at the table.

I'd be curious if the other participants had any questions or insights but then I remember this is NBC and all curiousity vanishes.


Mon, 05/21/2012 - 00:33 | 2446462 upWising
upWising's picture



Mon, 05/21/2012 - 04:46 | 2446652 Disenchanted
Disenchanted's picture








Mack (see Urban Dictionary)




with Howdy Doody hosting...

(Howdy Doody - wooden headed puppet)

Mon, 05/21/2012 - 07:01 | 2446766 lakecity55
lakecity55's picture

Nothing But Communists.

Sun, 05/20/2012 - 22:21 | 2446251 The4thStooge
The4thStooge's picture

Cramer is bearish? Fuck so this is the bottom then?

Sun, 05/20/2012 - 22:28 | 2446261 JackT
JackT's picture

Isn't that what they want you to think?

Sun, 05/20/2012 - 23:32 | 2446371 hedgeless_horseman
hedgeless_horseman's picture



They don't want you to think, just buy FB.

Sun, 05/20/2012 - 22:33 | 2446274 fourchan
fourchan's picture

yea btw what happened to cramers housing bottom countdown calendar?

Sun, 05/20/2012 - 23:29 | 2446364 Money 4 Nothing
Money 4 Nothing's picture

Who gives a fuc what Cry-more thinks, housing hasn"t bottomed yet to this day.

Sun, 05/20/2012 - 22:34 | 2446275 fourchan
fourchan's picture


Sun, 05/20/2012 - 22:27 | 2446260 JackT
JackT's picture

He's about a week behind. 

Sun, 05/20/2012 - 22:32 | 2446271 ihedgemyhedges
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Think you meant to say he is a weak behind...............

Sun, 05/20/2012 - 22:33 | 2446276 Dapper Dan
Dapper Dan's picture

What worries me is what are Cramers handlers  planning now,  how can this new direction benefit them?



Sun, 05/20/2012 - 22:36 | 2446279 Whoa Dammit
Whoa Dammit's picture

It's half time in Italy...See the second slide in the photo gallery below. (not making fun of the earthquake by any means, but this photo is surreally appropriate.)

Sun, 05/20/2012 - 22:42 | 2446284 SDRII
SDRII's picture

card game?

Mon, 05/21/2012 - 01:46 | 2446541 waylon153
waylon153's picture

Krugman was right!  Think of all the jobs and materials Italy needs now.  Bullish and we should see a nice boost to Italy's GDP. 


Or, was this "planned" by too many bunga bunga parties "accidentally" shifting tectonic plates?  Huh, huh?  You be the judge.....  /sarc 

Sun, 05/20/2012 - 22:38 | 2446280 q99x2
q99x2's picture

Who spiked Cramer with truth serum?

Sun, 05/20/2012 - 23:08 | 2446332 Gidas19
Gidas19's picture

Cramer found this website called ZH

Sun, 05/20/2012 - 23:25 | 2446355 knukles
knukles's picture

Krugman tipped him off.

Sun, 05/20/2012 - 22:38 | 2446282 SDRII
SDRII's picture

Serbian election: pro Euro Tadic loses in "stunner"





Sun, 05/20/2012 - 22:40 | 2446283 williambanzai7
williambanzai7's picture

He actually said something that surprised me today: Romney is a job destroyer, not a job creator.

I know Romney is a job destroyer, I was just surprised Cramer said it.

Sun, 05/20/2012 - 23:05 | 2446308 Dr. Engali
Dr. Engali's picture

Why are you surprised? he has been on Obama's band wagon from the beginning. Didn't junk you by the way. Just asking.

Sun, 05/20/2012 - 23:26 | 2446356 Xkwisetly Paneful
Xkwisetly Paneful's picture

As much of a job destroyer as aged satirists who post pics on the internet.

What is it that you actually do know?

Job killer, absolutely hilarious, since egregious capitalists by nature exploit human labor,

it is fairly fucking hysterical reading one is a job killer.

Oh the folks who make $240/month possess the same lack of unique or valuable skills that the locals do so the jobs were exported?   It's hard to exploit labor when the largest exploiter-the government charges 35% on full time hires and the education system puts out people who don't even have enough skill to be exploited.


Mon, 05/21/2012 - 02:02 | 2446552 PhattyBuoy
PhattyBuoy's picture

... guess that makes you "unemployed" .

Sun, 05/20/2012 - 22:40 | 2446285 Cabreado
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Beware the all-purpose Tool.

Sun, 05/20/2012 - 22:41 | 2446289 otto skorzeny
otto skorzeny's picture

in cramer we trust- his "Housing has bottomed" call years ago was spot on

Sun, 05/20/2012 - 22:47 | 2446301 midgetrannyporn
midgetrannyporn's picture

i can't watch that ass clown.

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