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Meanwhile, Someone Forgot To Invite France To The Party
With Italian bonds giddy at the prospect of changing one worthless political muppet with another, if only for a few hours, and especially with the stern and long overdue assistance of the ECB (we will find out how many bonds Mario Draghi bought this week to preserve the price stabeeleetee next Monday - we expect the SMP cumulative total to pass €200 billion, a number which will delight Germany), it is becoming increasingly clear that France needs to be urgently added to the list of countries eligible for ECB secondary market "sponsorship", because while Italy yields are gapping in, Franch Bund spreads have since blown out back to record levels, following some modest tightening earlier in the morning. And unlike yesterday, this time there are no downgrade rumors to be blamed. At least not yet.
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Well it's Friday so at close we get that much awaited degrade-a-thon. AAustria, FrAA-nce, etc etc
It is Friday.
I'm skunked on Soju.
However, I have to work a half-day tomorrow.
So what's a boy to do?
http://fucklloydblankfein.blogspot.com
Mohamed El-Erian--the pimp from PIMCO--is on CNBC.
He's a genius. At least that's what it says on the side of the box.
Perhaps he'll educate me.
http://fucklloydblankfein.blogspot.com
Your blog sucks, and replying to yourself to pimp it twice at the top of the thread is tasteless. Please die.
On the bright side, Becky Quick is back.
Perhaps I'll masturbate tonight.
http://fucklloydblankfein.blogspot.com
Give him some Milk, Doc.
You are one fucked up dude, but you are funny as hell so you get a green.
The ECB does not publish the bonds traded but settled up to the set deadline. Therefore, we will probably *NOT* see the volume of bonds traded today and yesterday on next Monday, but only a week later.
Instead of changing political muppets, the people need to get up and take back what is theirs. The The Party failed, and OWS will probably do the same. However, the existence of both of these movements shows there is an anger that overlaps both parties concerning the way government is owned by the elite(this is a worldwide anger). This sentiment can and should be used to leverage a true revolutionary movement. It must start with decentralized organizations. With that, I leave this brief, but very insightful, read for everyone to give consideration to over the weekend.
http://www.scribd.com/doc/10521739/The-Starfish-and-the-Spider
Watching another Zombie movie is bad enough. Reading about the making of one doesn't sound anymore entertaining.
I need to check my Zombie Apocalypse kit.
If the French want to be invited to things, they need to tell their ladies that shaving is NOT optional. Then, and only then - can they come to our rockin' global default party.
Golly, more fans of underarm hair than I would've guessed...but I stand by my statement.
I saw the exposure of her banks to the rest of the Eurozone analysed well here.
"As we look at the French banking sector we can see that the sovereign debt crisis has caught it on the hop and left it looking rather exposed and vulnerable. The Bank of Italy measured exposure to 6 troubled Eurozone countries (the obvious plus Belgium) and pointed out this.
Now not all this exposure was by French banks but of course worries then come about for other French financial institutions as well. The Bank for International Settlements also published figures suggesting that France had exposure to some 300 billion Euros of Italian debt which in her current problems is an unsettling amount.
So the financial future for France has the shadow of its banking sector hanging over it with investors wondering if other banks will go the way of Dexia and need support from her taxpayers. Accordingly she is weaker for this. And in an example of the way contagion happens at these times the banks themselves are weaker. For example a year ago the share price of Credit Agricole was 11 Euros and now it is 4.9 Euros."
http://tiny.cc/2invr
FED was prob involved too, as much as ECB in the intervention of the Italian bond auction.
Isn't a large part of Northern Europe GDP derived from Southern Europe (SE). If austerity is expected in SE over the next 5 years, how does Northern Europe expect to maintain output. Most developed nations are experiencing stock (liabilities) problems, and developing nations consumption rates are not as high as developed countries. So whom will they export to? It seems that net export will be continue to slide, and the NE will face contracting GDP, so with less flows, how will they support their huge liabilities?
The problem is that French & German banks lent to Souther Europe, which bought NOrthern goods & services, so Northern Europe increased capacity. But the growth in demand was not sustainable because it was fueled by credit. This is credit-overcapacity is symptomatic through-out advanced economies. Credit expansion led to phantom growth, because there comes a point when the credit can not be rolled over. So by solving a credit crisis with more credit expansion leads to more overcapacity. So when the credit flows stop, you'll have all this overcapacity to contend with. And the logical way to use up all the overcapacity is to convert it to a war apparatus.
Or world government can bio-engineer a virus pandemic with dna markers (They have the genome for all human races) to wipe out huge swath of the world's population . But this only solve unemployment, and you still have overcapacity, because capital goods aren't destroyed by viruses.
The EZ is a lost cause. Use this time to get your house in order, if you live there. There will always be Europe. But it's unlikely there will be a Euro in 12 months.
If you believe as i do that Europe is history's largest trading bloc the answer is brutally simple: "you'll have to sell to the Americans at below cost." But they'll need to "giddy-up" on that one: Fukushima means Japan has to do the same thing. Needless to say "the US consumer is supposed to be tapped out."
http://www.youtube.com/watch?v=PqLC-3EKZg4&feature=player_detailpage
And where did all this unproductive originate from? M--F--- banks.
#occupywallstreet.
Don't forget Austria:
*AUSTRIAN-GERMAN 10-YEAR YIELD SPREAD WIDENS TO EURO-ERA RECORD
*AUSTRIAN-GERMAN 10-YEAR YIELD SPREAD WIDENS 7 BPS TO 163 BPS
ALLEZ LES BLEUS!!
God damn the French. Have they no respect?
stabeeleetee- Tyler you are so funny!
Its like a jam packed stadium of paupers.
Hey!...lets get the wave going!...lol.
How about a reality TV show with all of the former European Primeministers Bunga Bunga, G-Pap, Merkel (soon), Sarkozy (Sooner), Joepa (he was the PM of Penn Staet) and that Portugeuse guy that had his hand out this morning.....
I would include Barry, but his re-election looks almost a certainty with the possible field against him.....
I bet they all start a big consulting firm....."has the phone rung yet?.......any client interest.....nope"
France was downgraded "mistakenly" briefly by S&P, why isnt ZH reporting this?
http://www.spiegel.de/wirtschaft/soziales/0,1518,797209,00.html
Clearly you have not been doing your prescribed reading. This was all over ZH yesterday.
You keep repeating this wrong info that french Govt bonds are ineligible for ECB intervention, that's not what the ECB's internal guidelines state :
http://www.ecb.int/ecb/legal/pdf/en_dec_2010_5__f_sign.pdf
Article 1
Under the terms of this Decision, Eurosystem central banks may purchase the following: (a) on the secondary market, eligible marketable debt instruments issued by the central governments or public entities of the Member States whose currency is the euro;
Article 2
Marketable debt instruments shall be eligible for outright purchase under the programme if they are all of the following: (a) denominated in euro; and (b) either: (i) issued by central governments or public entities of the Member States whose currency is the euro;
Clearly, French Govt bonds are as eligible as any other Eurozone Govt bonds under the SMP!
The EU has invented a new game called Whack-A-Bond. Those damn rates just never seem to stay down!
it's a giddy risk-0n morn!