Greek Tragedy: Pension Pandemonium Sparks Bank Crash, Stocks At 26 Year Lows

And you thought Greece was "fixed"...

 

The last 3 days have seen Greek bank stocks cut in half...

 

Which has slammed Greek stocks to their lowest since December 1989...breaking below Draghi's "Whatever it takes" lows...

 

And Greek bond yields are back above 10% - the highest since last year's crisis...

 

Greece is no longer "fixed" as it appears the troubled nation is once again facing a funding crisis (looming in June) unable to meet "Europe"'s demands on its pension reform and refugee aceptance. As MNI reports,

Greece's negotiations with international creditors could take months if Athens does not cooperate fully on its fiscal consolidation plan and officials are not expected to return to Athens before they receive concrete and acceptable proposals, Eurozone officials told MNI Monday.

 

Furthermore, the officials warn that any attempt by the Greek government to politicise the negotiations in order to get relaxation will not be tolerated by the majority of the currency area member states.

 

One high-ranking official said that "the talks carried out last week were just exploratory" and that the institutions "did not make specific demands" as they lack hard data, despite leaks from the Greek government on potential taxation increases and pension cuts.

 

"There is still a big gap between what we ask and what the Greek government has submitted so far. We have not defined yet the fiscal gap for this year, which is a crucial component for the evaluation," the source said.

 

Another source said that despite the goodwill expressed by Greece's European creditors - the European Commission, the European Central Bank and the European Stability Mechanism - to discuss counter-measures to offset certain unpopular ones such as cutting further primary pensions and the minimum wage, "Greece seems unable to deliver such measures."

 

"There is a lot work to be done. We agreed to disagree. Judging from (last week's) talks, the negotiations could drag for months. Anyway, I don't see any real funding needs for Greece until June," the official claimed.

 

The comments come amid massive reaction in Greece by farmers protesting potential tax increases and social unrest for the formation of immigration camps in certain islands and the north of Greece.

In other words - prepare for another ATM-halting, crisis-confronting Spring and Summer in Europe as Schaeuble goes to war with Tspiras once again... obver pension reforms and refugee concessions.

 

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