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Greece's Tsipras Calls For 'Drachmatization' Instead Of TROIKA "Longer Rope To Hang Ourselves"

Tyler Durden's picture




 

EURUSD is down over 50 pips from Friday's close, about to test a 1.20 handle for the first time in over 25 months, as headlines pour from the beleaguered disunion. The AP reports of the German vice-chancellor's "more than skeptical" view that Greece can fulfill its obligations; after which "there can be no further payments" seemingly confirms our earlier note on the IMF's reluctance (and dismisses any hope that the IMF's call for more ECB 'assistance' will go unheeded. More worrisome is the Athens News story on Alexis Tsipras (leader of the Greek Syriza party) forecasting that the government will "soon present a return to a national currency (drachma) as a national success." He went on to state rather honestly for a politician that any payment extension (of the already re-negotiated TROIKA deal) is "essentially a longer rope with which to hang ourselves." The elite-perpetuating status-quo-sustaining unreality is summed up perfectly as he notes the Greek finance minister is the definition of a finance minister that the TROIKA would have chosen. Germany's Roesler adds a little fuel to the conflagration by adding that "for many experts,... a Greek exit from the eurozone has long since lost its horror."

 

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Sun, 07/22/2012 - 17:11 | 2640932 Nussi34
Nussi34's picture

Finally we will see this crappy Esperanto "currency" fall apart. Happy to pay with real money soon!

Sun, 07/22/2012 - 17:19 | 2640951 noses
noses's picture

Real money? Do you own any? If so: Go and help ruining Spain instead of dreaming of things getting better... 8-)

Sun, 07/22/2012 - 17:35 | 2640993 Nussi34
Nussi34's picture

Yes, but the real REAL money you do not use to buy stuff. You keep it.

Mon, 07/23/2012 - 06:39 | 2641793 MillionDollarBoner_
MillionDollarBoner_'s picture

"Real money? Do you own any?"

Then "you didn't earn that" ;o)

Mon, 07/23/2012 - 07:16 | 2641835 Mountainview
Mountainview's picture

The countdown for Greece's back to the Drachma is running... My guess: Next weekend (28th of July) will be it...

Sun, 07/22/2012 - 17:44 | 2640992 Peter Pan
Peter Pan's picture

Looking into my crystal ball i would like to tell ZH readers that five years from today the drachma will be alive and well but the euro will be history. Damn it, I knew those Greeks could produce something after all. This must be the ultimate irony.

Sun, 07/22/2012 - 17:37 | 2640996 epi_tis_thalassis
epi_tis_thalassis's picture

"Real money"... sounds even more romantic than "real love"

Sun, 07/22/2012 - 23:56 | 2641612 FL_Conservative
FL_Conservative's picture

Yes, because real money lasts forever.

Sun, 07/22/2012 - 17:14 | 2640933 vmromk
vmromk's picture

Oh Oh, Bernank has fallen asleep at the printing press.

Print you MOTHERFUCKER, print.

Why retun to Drachmas, when you can use Bernanke bucks.

Sun, 07/22/2012 - 17:54 | 2641028 financial apoca...
financial apocalyptic contagion's picture

It's all priced in though

Sun, 07/22/2012 - 21:10 | 2641397 Aguadulce
Aguadulce's picture

Speaking of bernanke bucks...check out the usdchf...approaching 1.00!

Sun, 07/22/2012 - 17:14 | 2640938 toady
toady's picture

The horror ... The horror ....

Marlon Brando, Apocalypse Now.

Sun, 07/22/2012 - 19:04 | 2641140 Optimusprime
Optimusprime's picture

The horror ... The horror ....

 

Kurz, Heart of Darkness...

Sun, 07/22/2012 - 20:34 | 2641355 Treeplanter
Treeplanter's picture

Joseph Conrad, Heart of Darkness.

Sun, 07/22/2012 - 17:15 | 2640940 JamesBond
JamesBond's picture

done deal, bitchez

Sun, 07/22/2012 - 18:16 | 2641075 RiverRoad
RiverRoad's picture

We are watching the implosion of a farce. 

Sun, 07/22/2012 - 17:20 | 2640953 zilverreiger
zilverreiger's picture

I will be surprised if they don't retract their turtle necked turd before it's out.

Sun, 07/22/2012 - 17:22 | 2640955 Xibalba
Xibalba's picture

So how much do we rally this week??

Sun, 07/22/2012 - 17:27 | 2640966 slaughterer
slaughterer's picture

ES 1400 here we come.  

Sun, 07/22/2012 - 20:36 | 2641366 Treeplanter
Treeplanter's picture

Club Med trouble says sell, sell, sell. 

Sun, 07/22/2012 - 17:23 | 2640959 Ted Baker
Ted Baker's picture

Nice

Sun, 07/22/2012 - 17:27 | 2640965 cornflakesdisease
cornflakesdisease's picture

Wow, I found some old film footage of Timothy Geitner as a kid:

 

http://www.youtube.com/watch?v=Q5UG7ISJfP0

Sun, 07/22/2012 - 17:27 | 2640967 resurger
resurger's picture

So which one is the ugliest slut in the brothel, the EUR or the USD!

Sun, 07/22/2012 - 17:27 | 2640968 Kimo
Kimo's picture

"a Greek exit from the eurozone has long since lost its horror."

What?  Is that what the Eurocrats say?

Sun, 07/22/2012 - 17:39 | 2640997 Nussi34
Nussi34's picture

If you were a Eurocrat anything but looking in a mirror would have lost its horror!

Sun, 07/22/2012 - 17:41 | 2641002 Peter Pan
Peter Pan's picture

That is all the rescue package was about. Save the banks and get Greece to sign a new deal that would enable creditors to strip Greece of her assets under English law rather than Greek law which would have entitled her to pay her loans off with newly printed drachmas.

Sun, 07/22/2012 - 17:46 | 2641009 lolmao500
lolmao500's picture

Well it can't get much worse in Greece... people have not been paid for over a year, they can't pay their electric bill, they don't have enough meds, etc...

Greece is already pretty much near rock bottom.

Sun, 07/22/2012 - 20:00 | 2641231 agent default
agent default's picture

What goes around comes around.

Sun, 07/22/2012 - 20:22 | 2641312 smiler03
smiler03's picture

The US should be sitting pretty then ;O)

Sun, 07/22/2012 - 17:27 | 2640969 RobotTrader
RobotTrader's picture

U.S. Treasury holders laughing all the way to the bank.

Sun, 07/22/2012 - 20:02 | 2641235 agent default
agent default's picture

All bubble holders think they are laughing their way to the bank until they become bag holders.

Sun, 07/22/2012 - 20:16 | 2641260 Doña K
Doña K's picture

Too early to tell. You can lose half of your money in two days. No so fast. Those of you that hold treasuries consider yourselves warned.

Sun, 07/22/2012 - 17:28 | 2640973 Atomizer
Atomizer's picture

 A little humor for the hacks attempting to control their fate. Hahahahahaha

 

Photoguy vs. Fedguy: The Pud has a strange interlude with Ben Bernanke 

Jump, jump, jump, Jump, jump, jump, Jump, jump, jump, Jump, jump, jump... 

Drug Money Bulk Cash Helicopter Drop / HSBC 8-12 Victoria St Bank Fraud Case|

Sun, 07/22/2012 - 17:29 | 2640976 RobotTrader
RobotTrader's picture

What is the CDS spread between Spain and:

 

Corporate debt of IBM, Coca-Cola, Proctor & Gamble, Johnson & Johnson, etc.?

Dow will clear 13,000 easy on this news, unless its dragged too far down by the "natural resource" names like XOM and CVX.

Sun, 07/22/2012 - 17:44 | 2641005 Tijuana Donkey Show
Tijuana Donkey Show's picture

Yes, and if a corporation defaults in the woods, does the counterparty make a sound? 13,000 only if inflation blasts out of the park, all of those names are fucked with earnings. Since 2008, all they did was squeeze everything, and make all their staff contractors. Now their hitting bone, at least XOM has something physical to back some numbers, P&G bet the farm on those stupid fucking pods, thinking people would spend 30%+ for pods? The only two products that will always sell out are drugs and pussy, everything else has a limit. Thats why pussy and drugs don't have a marketing department, and the fortune 500 do. 

Sun, 07/22/2012 - 18:07 | 2641053 SqueekyFromm
SqueekyFromm's picture

Close. How about Sex And Gasoline:

http://www.youtube.com/watch?v=RVl_e_eKo4A

 

Squeeky Fromm, Girl Reporter

Mon, 07/23/2012 - 07:22 | 2641847 BruntFCA
BruntFCA's picture

In his case, he forgot the third item in the list, Viagra.

Sun, 07/22/2012 - 17:56 | 2641033 Atomizer
Atomizer's picture

 

 

We sure will. Let's drop the DXY down to February 2012 levels. Hope your right Robo, I'm betting on the entire serf economy to financially retract @ 13,000 Dow index levels.  

http://www.barchart.com/charts/stocks/$DXY 

O'Bummer cannot decide if he wants higher market equity prices or more food stamp [SNAP] enrollments. Oh the irony..

 

Sun, 07/22/2012 - 18:20 | 2641080 RiverRoad
RiverRoad's picture

I'm packin' for Santorini; might as well throw in the Riviera too. 

Sun, 07/22/2012 - 17:30 | 2640977 Kimo
Kimo's picture

CDO drivers, start your engines!

Sun, 07/22/2012 - 17:32 | 2640981 Jason T
Jason T's picture

Should we have do glass steagal?

Sun, 07/22/2012 - 17:32 | 2640982 disabledvet
disabledvet's picture

Please to meet you...won't you guess my name. Don't mind hustling you with the...nature of my game.

Sun, 07/22/2012 - 17:36 | 2640994 johny2
johny2's picture

Well done Greece, but do get ready for the invasion by the Turkish army coming to liberate you in the name of the freedom and democracy, supported by Germany, USA, Saudi Arabia and Iran.

Sun, 07/22/2012 - 17:41 | 2641001 cossack55
cossack55's picture

You forgot Qutar and Bahrain

Sun, 07/22/2012 - 19:18 | 2641164 johny2
johny2's picture

how could I forget those bastions of human rights, freedom and democratic values.

Sun, 07/22/2012 - 17:55 | 2641030 Peter Pan
Peter Pan's picture

Turkey does best what she always does best,........shows herself to be uncivilised. If in doubt look at her unbroken litany of human rights abuses, threats, entering Greece's air space literally daily as well as the systematic pogrom against the Greeks of Turkey that has reduced them to a few thousand whilst the Muslim population of Northern Greece has grown at a rapid and unhindered rate.

Sun, 07/22/2012 - 18:08 | 2641057 johny2
johny2's picture

The peace doves in Washington and human rights champions in Berlin will make sure the greeks pay dearly for exiting the euro, so the spanish and italians accept the debts shoved upon them and their decendands, while having their living standard drop suitably to the level of the china and india.

Sun, 07/22/2012 - 19:51 | 2641218 Bobbyrib
Bobbyrib's picture

"...while having their living standard drop suitably to the level of the china and india."

All the countries in the West are already heading in that direction.


Sun, 07/22/2012 - 20:15 | 2641255 francis_sawyer
francis_sawyer's picture

poverty is blobbing up all over the place...

Sun, 07/22/2012 - 21:19 | 2641444 johny2
johny2's picture

all part of the plan.

Mon, 07/23/2012 - 07:20 | 2641843 Mountainview
Mountainview's picture

Greece will be the Guinea Pig... If it works out relatively well, the rest of the PIGS will follow soon...

Buy the EURO on the news...

Sun, 07/22/2012 - 17:45 | 2641003 MsCreant
MsCreant's picture

If I were to design the longest, most horrific rollercoaster I could, I might call it "Exit From the Euro." At the start, you give up all your money to get into faulty little cars with holes in them. There are no safety belts, you just think there will be because that's what the carnival barkers/bankers claimed. They take measurements to make sure you are fit to get on the ride, but when you are found to be over weight or too short, they hide your weight in offcoast(er) vehicles and/or put platform shoes on you. In truth, none of the gaily painted cars could pull their weight any way because each would be designed with the idea in mind that the other cars would actually help them pull their weight. No sense in over building when you can depend on others, right? Surley all the cars on the ride would not fail at the same time, right? 

Then...

Sun, 07/22/2012 - 18:10 | 2641061 ZeroPower
ZeroPower's picture

I like the analogy, but:

they hide your weight in offcoast(er) vehicles and/or put platform shoes on you.

They, the EU, didn't exactly hide it. It was the nations themselves wanting to become part of this (dis)union which persuaded them to use shady mechanics in "achieving" said goals.

This is evidenced by the now well-known fact that Greece used x-currency swaps in the early 2000s which have most recently been dragging the country into even more debt, and by the less well-known fact behind the Italian treasury's IRS portfolio which has been documented since 2003 but hasn't been making too much news yet.

Sun, 07/22/2012 - 18:22 | 2641087 RiverRoad
RiverRoad's picture

They knew damn well what they were doing; they all happily ran around with blinders on.

Sun, 07/22/2012 - 17:44 | 2641006 lolmao500
lolmao500's picture

Syriza for the win.

Sun, 07/22/2012 - 17:48 | 2641015 Peter Pan
Peter Pan's picture

A Greek exit may have lost its horror unless Spain and Portugal see that an exit is actually helping Greece get on top of her problems in which case the horror will reveal itself in all its glory.

Sun, 07/22/2012 - 18:48 | 2641113 tok1
tok1's picture

Equites will remain firm tres/ bunds will ralley
so it works out well for the US and Germans.
Again as they take capital ext from periferial which
will never return once the devalued currency occurs .

So the periferIal collapse is a means to fund US
welfare state .. With US divide and conquer tactics
benifitIng the Germans ( ahh but ZH won't like that
analogy to think this is all for them would be unpalatable .

Sun, 07/22/2012 - 18:54 | 2641125 dcb
dcb's picture

greece will be allowed to leave the eurozone once the bankers have sucked everything they can out of the country. until then it will be save the euro mantra

Sun, 07/22/2012 - 19:31 | 2641185 worbsid
worbsid's picture

One thing about it, when they go back to the drachma the tourist trade will increase.  Though I do think they wasted a full summer season messing around with the Euro feces.

Sun, 07/22/2012 - 20:41 | 2641339 itstippy
itstippy's picture

Herman Van Rompuy must not allow this unforseen Greek development to adversely affect implementation of the historic European Fiscal Compact.

The European Fiscal Compact is the single greatest political achievement since the Munich Agreement of 1938.     

Sun, 07/22/2012 - 21:17 | 2641442 surf0766
surf0766's picture

That resignation letter on Friday said it all. Europe is important but the dollar is on the brink and they know it. This is all bullshit to allow them time to prepare.

Sun, 07/22/2012 - 23:12 | 2641572 jonjon831983
jonjon831983's picture

""for many experts,... a Greek exit from the eurozone has long since lost its horror.""

 

Throwing down the gauntlet eh? Perhaps it is time to call his bluff.

Mon, 07/23/2012 - 00:01 | 2641614 JOYFUL
JOYFUL's picture

He[ Alexis Tsipras (leader of the Greek Syriza party)] went on to state rather honestly for a politician that any payment extension (of the already re-negotiated TROIKA deal) is "essentially a longer rope with which to hang ourselves."

Yes he did...but yu won't read anything of the kind in the one-sided agit-prop of our in-house top-banner teutonic knight! Testosterone Pit...where truth in journalism goes to be tortured and die.

All Greeks, all bad, all the time...the Wolf Ritcher Catchement....reapeated ad nauseum...mix n match for any other southern European nation, then repeat.

TestosteronePit ...dropping journalism to new lows, one post at a time.(Speaking of time...it's time to drop the silly shill from his top banner perch Tyler[s]...no matter how much he pays for the privileged position...Drop the Flop!...n everybody's a winner....except the loser in lederhosen!)

Mon, 07/23/2012 - 03:14 | 2641710 slackrabbit
slackrabbit's picture

The Syriza  party was the only one with their heads straight. A pity the Greeks didn't vote for them, but then common sence doesn't appear to be too common in Europe at the moment....well apart from a particulary large country with historical issues.

Mon, 07/23/2012 - 07:44 | 2641880 Joe A
Joe A's picture

Actually, more Greek voted for anti-austerity parties than for the parties that currently form the government. Except in Greek democracy, the biggest party get a free bonus of 50 seats in parliament. How about that for not allowing things to change?

Mon, 07/23/2012 - 05:04 | 2641752 FunkyOldGeezer
FunkyOldGeezer's picture

Wait a mo'. Total Euro sovereign debt is less than US debt, isn't it?

If the Euro is 'esperanto currency' what does that make the USD????

 

Mon, 07/23/2012 - 06:05 | 2641776 Offthebeach
Offthebeach's picture

US is one country with a single treasury with a long history. Europe is a airport bus size clown car.

Mon, 07/23/2012 - 07:57 | 2641913 Joe A
Joe A's picture

Bill Clinton has gone to Greece to head a group of business people who want to attract investments into Greece. They are f*cked now. The Greek oversight on the financial system will be relaxed even more and every hobo in Greece should get the right to own a house. But the Greek are lukcy: The last time Clinton intervened in the Balkans it reignited a war which was about to end.

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