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With Greece Back Down To Just €2 Billion In Cash, Zeit Suggests A Third Greek Bailout May Be Coming
Shifting away from the theatrical travesty for a moment, we move to the other such travesty: Europe, where while nothing has been fixed, despite what the BIS is trying to do with the EURUSD which is now up 100 pips in a straight line since the Dimon testimony started, we find that while the world is concerned about Greek elections, the real gamechanger may be the old and known one: Greek cash, or the lack thereof, and more specifically yet another bailout for the country. RTE reports that as of today Greece has about €2 billion in cash left, pro forma for the recent cliffhanger cash infusion from Europe which almost did not come, which is expected to last the country for just about one more month.
"Greece has about €2 billion to pay salaries and pensions until July 20, media reports said today. The finance ministry declined to comment on the reports. Greece is heading into a Sunday election which could lead to it leaving the euro zone."
Of course, there is the natural probability that this is merely electoral propaganda: "Greece's European peers have warned Athens in stark terms that further loan payments could halt if promised reforms, including an unpopular privatisation drive, falter. Should this happen, many analysts warn that Greece could be forced to ditch the euro and print its own currency to pay pensions and salaries." Oddly, this is despite Spain proving to the world that one has much more leverage when demanding bailouts in the context of preserving Europe. And the irony is that this may not be enough. As Greekreporter informs us : "Greece might soon need a third financial aid program from its Eurozone peers, the German weekly Die Zeit reported Wednesday, citing unnamed financial and government sources. As Greece has fallen behind the goals of the consolidation and reform program agreed with the EU and the IMF, especially regarding tax revenue and privatisation proceeds, discussions are underway in the EU to give the country more time to reduce its deficit, the paper said." In other words 2012 is 2011 is 2010 is 2009 is 2008: the bailout wagon rolls along, while the "other people's money" is getting ever less and less and less.
More:
In order to extend the deficit-reduction timetable, Greece would need tens of billions more in aid, Die Zeit said. The German parliament might already have to deliberate on a new program this summer.
Eurozone officials have told MNI that if the new Greek government shows sincere commitment, “some adjustments could be made to the bailout program.”
The sharp deterioration in the country’s growth outlook leaves room to extend the period for the consolidation effort, one source noted. The working scenario has been for an extension of two years, which means Greece would have to bring its deficit down to 3% of GDP by 2016 instead of 2014, the official said.
“It is a well known secret in Brussels that the E130 billion second bailout program won’t be enough,” another source said
To paraphrase: this means a third Greek bailout will be needed even if New Democracy, which too has promised to renegotiate the memorandum.
This summer will be interesting.
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Why are they sending more $ to Greece? Fk them already!
Because it doesn't go to greece but to the german and french banks at the expense of greece and the rest of europe who'll have to pay interest on it untill the end of time.
Seriously, just let me borrow another $20. I'll pay you back..
There's plenty of funny money to go around.
http://www.cnbc.com/id/47513542
"You don’t say when you are in an emergency situation, because then you make the situation worse. So I really don’t see the usefulness of being more transparent,” Luc Coene, Belgium’s central bank governor, explained in a Financial Times interview this month."
I'LL GIVE YOU YOUR 20 IF YOU GIVE ME A 100!
Okay!?
Pal?
Sounds like you need a new Contintent then. How does "Europa" sound? With "Europa bonds" and "Billy-bob bucks"? I mean if we're gonna have funny money it should at least make us laugh!
We had that in the past... We called it the New Continent...
Weird people...
They wanted to turn the sea into a big cup of tea so we said we didn't wanted to have anything to do with them anymore!
Something is rotten in the state of Denmark...
Greece has decided to implement limited capital controls to preven the average person or businessman from shipping the cash out. And it ain't pretty:
Report from Greece: Limited Capital Controls ImplementedQuoting Zeitgeist chasing liberal leaning far left speaking
Die Zeit is a first for ZH , I suppose.
Good luck dancing with the devil.
Greece needs the money to pay Douchebank
keep the lay ons coming
Bailout? I thought they were now funding Spain's bailout.
Yes, but now that Spain's been fixed, they can bail out Greece (who presumably will then be able to bail out Italy, who will subsequently be able to bail out France...)
And after that Greece can bailout Italy!
http://www.youtube.com/watch?v=y7C3037GqsI&sns=em
If it was the U.S., that money would be gone by lunch.
Yep, you guys ARE THAT GOOD!
Bon appetit! Like the french would say'!
You mean for lunch, right? I love two billion dollar lunches.
And 98 billion tips...
collapse excellerating faster that bailouts can keep up..
Gold just crashed $10
Yeah, wow, that is a dramatic plunge. Let's see, 10/1600 is about 0.625%. That would be the equivalent of a 60 cent "plunge" in oil. Time to bug out to my survival bunker .....
".....RTE reports that as of today Greece has about €2 billion in cash left...
Can Zero Hedge just pass the hat for Greece?
Do you mean "bread helmet" to protect from falling bails of fiat from the Bail-o-copter?
or even falling bales of bailing spooks while out on bail?
anyhow, i'magittin me a spaceway sour-dough round and will have guacamole frag balloons and banana clips of non-fat toasty chips when our belovedPrez0 sends out the checks!
slewie on a cruiseMissileSchwinn, armed with direct deposit! L0L!!!
Hell knows why you hold our helicopter saviour in such contempt. Who cares about rain or shine seriously and
even though I reduced my crops substantially I still have
a 200% surplus to make up for natures whims, excess gets fed
to the livestock. What you want the fiat weather man to do?
If all fails, he could try to drop gold bars on you doubters
heads instead of a comet`s worth of paper gold on so called exchanges .
And imagining myself up there in his tiny little thing
made in Torrance, CA, I would feel save and sound because
if all else fails, just quickly go into AUTOROTATION.
torrance = jumping off a surf-crashed cliff w/a kite strapped onto yer back
nice and quiet, too
maybe some golf and water sports
lunch w/ robo? you can buy & i'll autorotate a zigZag or 3
jobs? inTorrance? priceless!
With all the Heavy hitting-high-rolling Bitchez here, it should take 2-3hrs...at most!
Ponzi-up Bitchez!
CD, a hat won't do.
We need a meteorite crater, preferably around 100m diameter.
With a big hole in the middle.
ELE
Extinction Level Event
http://www.youtube.com/watch?v=O3OgeVbABNY&feature=related
http://www.youtube.com/watch?v=I3nFqHlC3Zc
Yeah, Americans make impressive movies.
And then they pay to get scared and eat popcorn.
Call Dimon, it's chump change for JPM
"Daily withdrawals have increased to the upper end of a 100 million-euro ($125 million) to 500 million-euro range this month, one banker said, asking not to be identified because the figures aren’t public. A second banker said the drawdown may have exceeded 700 million euros yesterday. An official for the Bank of Greece (TELL), the Athens-based central bank, declined to comment."
http://www.businessweek.com/news/2012-06-12/greek-bank-deposit-outflows-...
EUR is up because the Dutch parliment voted in favor of the Spanish bailout. Big whoopdeedoo. Algos following, market moves.
Perfect fade.
EVERYTHING written or reported in Greece these days, is propaganda for the elections, one way or the other. There's a ban on polls, but the political parties are allowed to conduct polls and keep the results for themselves. So they have a better idea of the expected result, and play games in order to swing the vote.
I do have a feeling that Syriza will win, because the moves of New Democracy in the last few days show despair. I am inclined to short the Euro at the close on Friday evening.
Do they use electronic voting machines?
No.
How's the "I love Germans" party doing?
The vote is likely to make this speculation irrelevant...
L0L!!! antonioSam + V-man = the criscoKid & pancho?
this is a re-post>--> slewienimics 2E4UQT pop quiz! Q1: who tf sed:
huh? that is from yesterday as is Q2: who tf sed:
answer to Q1 here
answer to Q2 here
everyone is completely shit-faced! and that was only tuesday!
bong-ho, BiCheZ! and keep buying tyler more drinks!
Tell you, Tyler, don't start down this route. By the end of the year, you'll be filling the blog with fourth, fifth, sixth bailouts for Greece, eightth for Ireland, elevnth and twelfth for Portugal, third, fourth and fifth for Spain, seventh and eighth for Cyrpus, second, third and fourth for Italy and France will be asking for a bailout.
You won't have the manpower to cover anything else.
The intersection of "Triumph of the Will" and "Financial Stand-up Comedy" is a strange place indeed. "whatever you do don't look inside the box."
Why are we surprised by this? Greece will never be able to raise money on its own, and it's citizens have stopped paying taxes. Every Euro the country uses to operate from now on will need to come from Europe.
And your point is?
Neat...
And now you know the difference from a mere "bank run" and a run on an entire country's finances. Greece would need at least a trillion "to make it." and remember that the next time you spent 10 cents on a Greek olive people! That thing COULD have cost 11 cents but for the Germans!
Greeks pulled their cash out of the banks and stocked up with food ahead of a cliffhanger election
...afraid a new government might change the rules...
http://www.reuters.com/article/2012/06/13/us-greece-banks-idUSBRE85C0E72...
It doesn't really matter if they run out, as it has been posted many times on ZH, a lot of people in Greece have not been paid for the last 12 months +... so no big deal.
DUUUUHHHHHHH!!!!!!!!! as if they will ever pay back these three bailouts and start getting ahead one day. I feel like i am taking crazy pills
The difference between being merely "funny" and "truly hysterical" is not just a question of semantics. (and let this be a lesson for those who think there is no truth in the world.)
And that's positive for the euro why? And negative for gold why?
Bankers/traders have no clue and that leads to the bankruptcy of countries and continents. It may be time to fire teachers and economists and replace them with people who actually have a clue.
There is almost no correlation between macro-economic information and the markets right now. The correlation began to break down around the time that Bernanke announced QE I at Jackson Hole. Since then it has only decreased to the point where it's at today which is about 90% irrelevant. Think of the markets, currencies, equities, commodities whatever, as a dinghy that has been seperated from it's ship and is now being played with by a mighty whale. The distraction will continue until the whale is ready to move on at which point it will simply smash the little boat and it will sink to the bottom. Until that time riding in the little dinghy can be very exciting. Wear a life jacket though.
spain,greece,italy,us. wHEN DO I GET A TURN?
http://govtslaves.info/
".. but ... but ... nooo! ... really? ... more? ... faaaarrrck!"
- Germany
(The IMF would comment, but they are out of other people's money)
.....bullish??
Everybody gets a free ride [nepotism/ crony socialism?] that knows someone! Sound familiar?
Greece has an over-burdensome Value-Added-Tax [VAT], period!
The Greeks spend alot on Defense - Why? Their Merchant Marine Shipping Industry pays zero in taxes which employs ~200k and adds to the GDP ~6.7%.
The Greek Orthodox Church pays squat, even though the largest landowner. Why are they reluctant to pay-up for their countries needs in desperate times! Why?
ref: 'Cameron says Greeks can cut down on Defense Spending' http://www.denismacshane.com/?p=2130
http://livingingreece.gr/2010/07/01//vat/-fpa-taxes-greece/ sorry bout link - plug in search box 'Vat' :-(
http://www.worldwide-tax.com/greece/gre_other.asp
jmo
if the new Greek government shows sincere commitment,
Great plan. Why can't I get a loan when I go to the bank by just being sincere about it again? Oh yeah, because that's fucking retarded.
Greece will spend more than they borrow, hence why they continue to borrow to spend. The funny part about all of this crap is that they're borrowing money from countries that too need bailouts.
This circle jerk has to end soon, right?... RIGHT?!
SO... who are the guys who actually have some money, who've actually lent out hard, cold cash and will exert their right to a pound of flesh? Who is lining up to be the last man standing? The whole world prints, everyone gets paid. Only problem is that Euro/Dollar/Yuan/Pound will buy everyone less and less.
If inflation isn't coming I'm finally, officialy, truly mad.
Is it what the definition of mad,... mad is - is?
Years ago I remember an Israeli bank was in trouble (this could have happened anywhere) and they needed $50million to avoid collapse.This money was to come from the USA.So,a group speculated on the bank (that the bailout was as good as done deal),the money arrived,the bank collapsed anyway,and then they were on the phone,"we need another $50 million to recapitalize the bank".All of this within a week. Silly me,I used to think that was a pile of money.The bank welfare program has got to stop.Let businesses fail,go through bankruptcy,and start again if viable....
If this planet is to survive we need to start paying attention to the canaries in the coal mine.
Any real ClubMed should have Israel as his founding member.
Applications from the European shore should be held for a
20 year grace period and France should be excluded for life
if it were to survive the grace period.
the big problem is how to stop this...Greece wants billions more..Spain..Italy..Ireland...and why not France and Germany too....if you are giving it away...then do so...no one has time to audit these bailouts..its getting into the crooks/ politicians hands and for sure going overseas somewhere...yes the Bankers are criminals too...the world is penalizing the saver...the debtor.....gets rewarded over and over again....a very bad fairy tale to educate your kids with
'why the present,... when the future has all the time in the world to deal with it?'
Re: procrastinator`extraordinaire
It's all fiat electrons anyway. What a joke. The greatest, most complex robbery in the history of the world, and it's all playing out in broad daylight while we watch, sipping on slurpees, cleaning our shotguns and watching Kim Kardassian's nipples harden under her blouse.
Therefore, I have decided to create my own currency. It will be called the "Neitheradollarnoraeurobe", or the "Neither" for short. Because of the well-known hazards of fiat currency, it will be pegged to the value of a street hooker blow job. This peg will be responsible for another feature of my currency - it will be printed on mylar, so that it can be easily cleaned. It will be the first currency pegged to a service, not a commodity, and I will take it as a given that it will be immediately popular with politicians.
I see it becoming the world's reserve currency in less than a year.
Sorry, but your currency is doomed to fail. As we slide further into a depression, the number of street hookers will increase dramatically, reducing the cost of their oral services, and thus the value of the Neither.
And "Contagion" will be more visceral and physically painful.
Rally Warning Continues...
SPX bullish daily chart & USDX bearish daily chart strengthen.
Significant equity / EURUSD upside & USDX retracement ahead.
http://www.zerohedge.com/news/2012-12-24/market-analysis
Well, this can't go on forever. And it won't. There's not enough money in the world to bail everybody out. Let it all fail, and then eventually we'll start anew with a hopefully better system. And in the meantime, we'll have some civil unrest and the 1% will be hiding from the 99%, but we'll find them eventually. They can run, but they can't hide. Heh heh.
A country in the outmost Southeastern part of the EU has grasped the headlines for quite some time. With only 2% of the EU's economy and just 2.5% of its debt it became the "Witch" that is haunted by puritan Northern Europeans. It is claimed as the epicenter of laziness, lust and unproductively for the whole of the Continent, a bad example that pious Northerns should be feared and loath at the same time.
This country is Greece and it must be punished! But is it really the witch hunt that has started in 2009 the most stupid move ever made in the entire European history? Is it worth to blame Greeks for the lonely dark winters up in the North and for the depression syndrome that cripples the lives of dozens of millions northern Europeans, as if Greece makes the weather?
In reality the Northern Europeans risk of pushing Greece into the broader global community where it is going to be free from investing heavily in its defense of the Eastern gates of Europe and it will bring about the greatest change in the balance of powers that Europe has felt since the collapse of the Berlin war. This time Germany will not be re-united, rather it will has to pay a dear price for its energy security. Netherlands will not become richer; rather it will have to pay from its own pocket in order to save itself from the flood of narcotics and Asian immigrants.
Austria will not be greater, rather it will have to deal with powder-keg named "Balkans" that has markets Vienna's history.
How Northern Europe shoot its leg, in order to satisfy the populist sentiments of an electorate being used to the fairy tales of "bad witches and pious farmers".
Panagiotis Traianou answers to many of the aforementioned questions and gives a proper solution on his article entitled “GREECE RANKS AMONG THE WITCHES OF SALEM”
http://eamb-ydrohoos.blogspot.com/2012/05/greece-among-salem-witches.html
Greece was forced from the so-called Troika (EU-ECB-IMF) to get loans from them and only from them, while prohibiting them to get any external bi-lateral agreement with countries such as Russia or China.