Open Europe Summarizes What To Expect From Today's European Summit

Tyler Durden's picture

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Mr Lennon Hendrix's picture

Expect chaos, bitchez.

slaughterer's picture

With €2-3 trillion they can kick the can on all of EZ for 2-3 years. Maybe that is all the market needs right now to see this Euro-summit as a "success."

redpill's picture

It's starting to get entertaining, they are at each others' throats!  No, really!

Mark123's picture

Hilarious!  where is the video?

SheepDog-One's picture

Ive been hearing 'they can kick it 2-3 years', for 3 years now.

Crisismode's picture

And you will continue to hear it for another 3 years from now.

Richard Chesler's picture

Fraudulent accounting practices - Proudly serving eurozone leaders since 1999.


I am a Man I am Forty's picture

Can't find the video yet, but Russell Simmons gave an excellent interview on CNBC today, hope ZH posts it for those who missed it.

SRV - ES339's picture

You are so right... hit every attempt to brand him a hypocrite out of the park... great interview!

SeverinSlade's picture

So in short, expect none of the problems to be solved.

GeneMarchbanks's picture

'However, no matter what the details look like, the insurance plan is fundamentally flawed, given that guarantees may not be viable when they are most needed and 20% wouldn’t be enough to calm markets any way (see here for a full breakdown of our thoughts).'

Don't know what you're talking about the 'markets' have never been calmer...

SheepDog-One's picture

Markets seem to be fully dosed with any sign of a break down at all, markets suddenly jump up and dance around the mental ward throwing sparkle confetti in the air. 

s2man's picture

We're in for a world of hurt.  Pun intended.

Segestan's picture

The only result will be an wakening call.... that the dream... well it was just a dream.

Manthong's picture

Maybe the plan all along was to let some fireworks happen before the G20 in order to bolster global participation in the Euro CF.

midgetrannyporn's picture

The banks and insurance companies sell copious CDS then the politicians do their damnedest to make sure they never have to pay off. What a racket!

Crisismode's picture

Each other.


You see, it all balances out.

CrimsonAvenger's picture

Fancy political talk aside, here's what's going to happen to the taxpayers:

Mark123's picture

What I don't understand is the ECB buying of PIIGS that not the same as QE?  Whatever, if and when they stop buying then most if not all of the PIIGS will be locked out of the real bond markets or pay crazy rates.  This whole EFSF concept just seems to defer the date at which the ECB has to make the final decision on bond buying.


There is a good article from Ambrose Evans-Pritchard in the Telegraph about some of the debate in the German parliament (except for his conclusion that the ECB should do more QE like the UK and USA).  Why don't we hear the same from our politicians?  Because they are ALL bought and paid for by the same crooks.

Tao 4 the Show's picture

Yes - The arguments are moot. Whether they leverage funds, sell bonds backed by German taxes, or follow various other paths, it all amounts to money creation, at least in the short run. To pretend it is not printing is disingenuous.

But the most surreal aspect is hearing all this about the current emergency, creating all sorts of gymnastic distortions of reality, without dealing with the fact that the problem is ongoing. Bailing anything out now solves nothing for next year or even the coming months, unless the PIGS governments are taken over and a MASSIVE military effort is initiated to enforce slave-level tax collection with martial law.

Either there are revolutionary changes being planned behind the scenes or the level of stupidity and denial are monumental.

Uchtdorf's picture

@Tao 4
"Either there are revolutionary changes being planned behind the scenes or the level of stupidity and denial are monumental."

Yes and yes.

BillyTheBlade's picture

Who needs soap operas and reality tv when you can watch this train wreck!

Unprepared's picture

Seriously. I turned off my TV, canceled cable and sold all my fiction novels about 4 years ago.

Since then I had enough entertainment, thrills, twists and turns, drama, tears and laughter just following the political and economic joke the world is becoming.

Very cheap entertainment.

digalert's picture

What to expect from summit?


Little John's picture

Oh what a tangled web weave when first we practice to deceive fractional reserve banking.

Little John's picture

Oh what a tangled web weave when first we practice to deceive fractional reserve banking.

Rhone_Ranger's picture

The banks better take the haircut...  Otherwise, they may have to accept a full blade shave and possibly one of those Brazillian Jobs?

Mark123's picture

So, ECB buys PIIGS bonds, and USA/UK has their central banks buy their government's debt.  What's the diff?  Both just keep the government pork barrel full of goodies.

Some country somewhere could do really well if they issued a real currency.  In Canada the Royal Mint came out with a silver $20 coin - limit 3 per household. Sold out immediately.

Flounder's picture

Harmony in the Eurozone?

"Germany paid Greece $67 million in war reparations in the 1960s and has since refused to pay any more."

...don't give us a bailout, give us reparations for what you stole during WWII...

Segestan's picture

Greece was also invaded by Italy. Greece has fought other wars, but they don't seek payment. Typical BS .

YesWeKahn's picture

Anglo-saxon isn't even in the Euro.

Mugatu's picture

Excuse me here, but wouldn't it be easier for the EFSF to do the obvious - buy Credit Default Swaps for Bonds on the open market for 20% of a country's issue. It does the same thing, and it does it cheaper.  It also would not increase their contingent liability.  

Ohhhh!  But that would expose their hypocracy about their attack on the CDS market.

earleflorida's picture

{"What structure could the banks recapitalization take?" - ,... with target tier 1 ratio at 9% (not clear on which set of Basel rules this measure will be based),... - some guarantees of bank liabilities (or bank bonds) may also be required to allow banks access to funding and to stop their shrinking balance sheets (* meaning that they could stop lending money to, say, small businesses)}

Question: "With Basel Rules ?" Basel #1;  Basel #2;  Basel #3 or a triptych collage of all "Basel Trident's", laying to rest the EU, USA, and BRIC's?

Please answer me this,... and why it has so much to do with the mess were in - yet, falls upon deaf ears: ref:

"Current Bank [Regulator's] / Regulation cause criminal harm to the Economies"___ by Per Kurowski

thankyou tyler 

Caviar Emptor's picture

Here's the disconnect: Going "Anglo" with complex instruments, taking the Ponzi to higher order of derivative, asserts faith in the whole Keynesian "system" and back your banksters at the expense of citizens (and perhaps your nation's future). Alternative? 5 Trillion currency Bazooka with TARP-like legal cover to bail everyone out. Or put ALL toxic assets on Fed's balance sheet and call it a day. Or declare debt jubilee and send your banksters to work a real job in Iceland 

Mark123's picture

Merkel is so pathetic....time to thaw out Hitler?


He was frozen in Argentina right?

Mark123's picture

Since 2000 global debt has increased by about $25 trillion (per the debt clock on Economist website).  This does not include any unfunded liabilities.


As far as |I know, the only country that has significantly increased it's reserves is China....maybe by $2 trillion at most?  So all this growth in fiat debt is leveraged about 10 to 1 at least.  Sooooo....if global debt is written down bu 10% then the entire system blows up?

Uchtdorf's picture

“France is totally mobilized and engaged in the success of today’s summit,” Mr. Sarkozy’s budget minister, Valérie Pécresse, was quoted as saying by Bloomberg News in Cannes, France, where she was preparing for a Group of 20 summit there next month. (NYT article)

Fricking Cannes. I bet they are staying at the Motel 6 there to save money though, brave, true, moral, and economical leaders that they are. Heroes, everyone of them. It's fricking 1984.

htp's picture

The problem in both US and Europe is most people don't think it's a real currency crisis, or else they'd be buying precious metals en mass.

With this much attention on the euro, hopefully more Europeans will wake up. When they do, they'll find the solution naturally -- do away with fiat currency and all these ills associated with it.

Thus the best politicians can do right now, is not to "solve" the crisis, but to let people know there is no solution. Merkel is doing a fine job.