US Debt Ceiling, the Oval and the Congress

The New York Times: Reports that President Obama and the Republican House Speaker John Boehner are close to deal that could see three trillion worth of cuts and the closing down of tax loopholes to raise some revenue. This sounds likes a good deal folks, first because the Democrats on the Hill have gone bonkers about cuts, also its been leaked to the liberal NYT, in other word liberals are trying to scupper their own President. Lets see the details folks, the devil is in the details folks, there should be no tax hikes.

Greece Defaults = EU Review

Guardian: The left wing Guardian has the following editorial on the Greek Default, “ ..Greece cannot pay its bondholders back in full on time, and so must default;….enough to quell the panic….Probably not;…” but the papers thinks the EU is heading in the right direction with its new bailout for Greece. This is the problem folks, you have the politics and you have the real world, in the politics of the left and Europe, the defence of the Euro must be done at all costs, no matter about the d-m tax payer or that that Greece, Ireland and Portugal will never be able to pay back their debt, the EU has just spun to give it a few more weeks or months breathing space, the EU will be back in crisis mode within short time folks. Never trust pro European papers or Governments, they will sell you down the river and smile at you while they watch as the Euro burns.

Greek Default

Telegraph: Reports the following on Greece and the Euro “ eurozone's first-ever default ” and that private investors will lose up to 50 billion from this new EU plan. This is advice to private institutions that hold the debt of the PIGS, sell boys, the EU has in essence stated that the economic word of the PIGS can not be trusted, if the private investors give to the PIGS they are throwing money down the toilet and hitting the tax payer. When the EU goes all lofty I hide by wallet folks, this does not deal with the problem that Western Europe is in fact broke, tax revenue does not match spending, also with the banking crisis of 2008 and other flaws the EU countries just have debt that is growing and not going down, the Germany tax payer will one day say NO, the politicians of Germany and France seem to care more about the Euro than their voters, shame on Europe.

2nd Greek Bailout and the EU = DEFAULT

BBC News: Reports that the Greece will get a second bailout of 96.3 billion pounds, that Greece will be given more years to pay it back, nearly 40 years and that private investors could give Greece another 50+ billion euros. Folks this is a Greek DEFAULT, its simple, Greece can not pay its debts, those that have invested in Greece will get a reduced rate if ever back, private investors are expected in fact to write off Greek debt. The EU has changed rules mid flow, is that even legal, could this be challenged in the Courts. Also the deal from first reading does nothing about the debt of Italy and Spain, it’s a temporary bandage folks, we will be back in here in a few months, it will either be Greece again, or Ireland or Portugal. The EU has failed and it just might have destroyed the Euro in the process.

Euro Crisis and the UK

Daily Mail: Reports that homeowners and UK business face an increase of banking costs due to the raising debt structure in Europe, the costs of borrowing from Europe by UK banks will be transferred down the food chain. Thus folks my original argument that taxing Euro banks although no UK banks will still be damaging, one way or another the UK will get shafted, all banks are inter connected, thus UK investors will end up paying European taxes for a Euro currency that the UK is not part off, that is how insane the present crisis is at the minute folks. Should the UK really be in the EU.

German/France and the Greek Debt

Telegraph: Reports that Germany and France are close to a deal on the Greek default crisis. The article notes that the Greek bailout would be paid by a tax on Eurozone banks, this is bonkers folks, if the banks have to pay more tax they will lend less to small business and people, thus the cut off of money back in to society. The biggest argument from small business of late is that banks wont even invest in good companies, well the banks can now argue that they have to take in account taxes from the EU, and with all taxes they will go up, thus less money in the banks, less investment and then recession, France and Germany GROW UP.

EU Summit and Greece

BBC News: Reports on the EU Summit on Thursday that will deal with the Greek debt crisis and its effect on other Euro Countries, the Summit is expected to green light a 2nd bailout of Greece. Folks this Summit has to get real results, if the only answer from the Summit is to throw money at Greece then it has failed. The Summit has to deal with the Greek debt itself, it would be better for the EU and Greece if Greece was allowed to default and then the EU and the IMF could really help Greece with a bailout to transfer Greece back to its natural currency and keep the Country afloat. If the Summit tries to get the banks to write off Greek debt the credit agencies have stated that they will see Greece as in default. Thus the wrong policy announced could be as bad as no policy. Lets be honest here folks, the PIG countries should be allowed to default and restart, otherwise its good money down the toilet to save the might ambitions of European politicians.