German Government Advisor Lars Feld Tells Rundschau Greek Default Would Have "Limited" Impact

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blindman's picture
[KR186] Keiser Report – Dollar-Trapped!
Posted on September 20, 2011 by stacyherbert| 23 Comments
Stacy Summary: We interview Bill Still.

max2205's picture

This shit keeps on giving....

Matto's picture

Steve Keen talking in NY this Friday


oobrien's picture

Tyler, when's the fucking crash?

I feel litke a Jew out in the desert!

I'm about ready to worship the golden calf.

Let's get a date.

I'm crash weary.

New_Meat's picture

u might not make it to the promised land.

kurzdump's picture

What if the crash does not happen all of a sudden but instead slowly drains the wealth of our middle class to the upper 1% of the population? What if democracy slowly turns into dictatorship? Are you ready for that?

Humans tend to miss big changes if they do not happen cold-turkey. Instead we adopt to the new situation step by step.

Eventually we notice that someone pulled away our chair when we sit down.

spiral_eyes's picture

The impact would be limited to causing a cascade of defaults, and at least a partial collapse of the European (and probably also the global) banking system.

Impacted limited, bitchez. 

SofaPapa's picture

The impact would have been a hell of a lot more "limited" had they not already spent hundreds of billions trying to prevent what everyone always knew was the endgame.  These guys are really incompetent when it comes to cutting their losses.

GeneMarchbanks's picture

Limited impact, eh? Depends on your perspective. If you live in a jungle in Papua New Guinea, then maybe. But if you're in Athens, well then, ... good luck.

Germans repeating lies to convince themselves that the Euro works...

TheFourthStooge-ing's picture

...and the subprime mortgage problem is largely contained.


LookingWithAmazement's picture

Greece default - no Armageddon. Boring world we live in.

jdelano's picture

wrong.  It's just that watching Greece default is like watching The Godfather on network television.  There are TONS of commercial breaks before the big denoument and all the curse words and really gory bits are edited out.  

Irish66's picture

We now live in a world society were headlines are ignored

and the truth doesn't matter.  What headline will cause reality?

GeneMarchbanks's picture

None. There is no reality only actuality. The world is asleep.

jdelano's picture

what do you turn on when you turn on?

Jeff Spicoli's picture

Ohh wow .. LIMITED huh.  ahhhh Like huffin amyl nitrate in shit ..


dcb's picture

Man, you folks seem to have no real idea of what this is all about. If greece dafaults, and chaos doesn't happen, then the idea that other defauls would be allowed will forment in people's minds. that means the potential to endless taxpayer backstops of bankers. I'd bet that even if it wouldn't be a big deal, the traders at teh big banks would make it one, because their primary goal is to maintain the taxpayer backstop at all costs.


I am conviced the market chaos the happened afer lehman was in fact designed ( much of it by goldman as determined by prop desk trading amounts (data no longer public). Plus they had short postions on many other positions to juice.

We can all see how the US markets a keep buying the dips on the european problem, emerging markets no so. The only way to expalin the us actions is that the plunge protection team, or the big boys aren't so short anymore.

yabs's picture

bring on the crash already i'm getting bored

Silverhog's picture

Is Lars from Mars? Economy is all but at a standstill. Where is the economic engine to pull through this?

Peter K's picture

Thank God (with a capital G) that Greece made the coupon payment today :)

msmith's picture

EURUSD looks like resistance may hold to turn the pair lower soon.  The larger trend is clearly down.

Dezperado's picture

Dont they need time to print and distribute the new money?

One month is it enough?

P Rankmug's picture

Just think of the market as a modified P-51 Mustang and Greece as its elevator trim tab.

oobrien's picture

Fuck Ben Bernanke.

But in his defense, I have to say this.

If one were to adopt the Ron Paul method of government, we'd all be in an out of control deflationary depression.

Yet, if we keep printing money, we are staring down the barrel of a currency crisis.

It's a case of pick your poison.

What's a FED Chairman to do?


youngman's picture

"I fear that Greece has in fact a solvency problem."

This statement is enough for me to show me either this guy is an idiot...a professor and he does not know yet if Greece has a problem or not...or he is scared shitless and can´t tell the truth...I think he is the latter...he knows they are broke...will go broke..but he is trying to keep it calm...unfortunatly that will cost people more money in the long run..and in the short run....someone just bought 3 month notes...for 3%+...who?????  this is much much bigger than just littel GREECE....there is so many CDS that they will take down the world again..think 10 AIG´s...they saw AIG get bailed why not jump in and make the same amount of money knowing that the Fed will bail them out....if you do not think they will bail them are wrong..IMHO..Geitner will bring in a 50 page proposal not a 3 page like Paulson...

dwdollar's picture

"Restructuring Greece’s debt would cause “limited” reaction in financial markets because they have been expecting a Greek default for some time."

IF that's the case, then why try so hard to save Greece the past 2 years??? Can you explain that one Lars? Don't tell me... Only since date XX-YY-ZZZZ has the market 'priced in' a default. Yeah right... We'll see what the market does on the day that it happens and what gimmicks are used to ramp it up before and after the announcement.

fdisk's picture

My only fear is that Bernank could undershoot tomorrow and then

everything will collapse - Gold included. F* Greece "too small to

fail" :)))

jdelano's picture

Why is this so hard for so many people to understand?:  It's not happening tomorrow.  Ben cannot print with inflation rearing its head as to do so would be DIRECT DEFIANCE OF THE FED MANDATE.  He would be forcibly removed from office.  No QE until after an emergency/exigent circumstance of some sort, likely a Greece default, gives Bernk the opportunity to print under the auspicies of protecting systemic stability.  That is why the central banks banded together to provide liquidity--Greece WILL be allowed to default, and during the ensuing panic, the printing presses will be turned back on.     

dwdollar's picture

Why is it so hard to understand he launched ZIRP Forever when inflation was well above the mandate? The mandate doesn't mean shit. You think those coward politicians are going to do anything about it? Give me a break.

That said, you may be right about waiting for a panic to 'save the system' as an excuse.

Moneyswirth's picture

Limited impact?


Yes, "limited" to the final push of the global economy off the precipice.  Heckuva job guys...

cosmictrainwreck's picture

it's not the fall that kills's that sudden stop

ZeroBoBo's picture

European leadership: Unparalleled

fdisk's picture

Could FED suppress GOLD before releasing Mister-Twister program
cause second day in the row, same time same action: stuck in the
mud and then dump right in time when US Markets are open.

fdisk's picture

See what I mean? Same time, same drop out of no where.
Look at the chart.. Co-accident? :)

holdbuysell's picture

Give Greece a 50% discount on its bonds, and let's watch how fast the other PIIGS come running for a similar deal.

yabs's picture


give me deflation anyday

savers do well then

curerency crisis destroy everyone

ZeroBoBo's picture

Controlled and orderly default

This is like fighting for peace or fucking for virginity.

Problem with continental Europeans (vs. Brits and us) is like with everything else; even their bank runs are in slo-mo.