The Germans and Bank Bailouts

Guardian Live: Reports on remarks by Chancellor Merkel of Germany, the Chancellor stated that Europe would bail out the banks if the need arose. It is interesting that the Chancellor used the term EU, she didn’t say the Germans, as the UK is in the EU, is the Chancellor asking that all members of the EU bailout eurozone banks, this would cause anger on the Conservative backbenches, the UK has already given six billion pounds to Ireland, lets recall that was the same amount as the expected UK budget cuts. One can postulate that should the Greeks default the rest Portugal, Ireland, Spain and Italy will ask for more bailouts at reduce cost and less austerity. In many respects this would be gun to the head of the EU, the expected Greek default has already caused the French/Belgium Bank Dexia to go belly up, the bank carried high Greek debt, its worse with French and Germans banks. Thus what ever deal the PIGS wanted they would have to be given, as the EU could not survive if they all defaulted on their debts. Thus expect the UK to get its wallet out folks, the 2/3 trillion safety net has to come from somewhere, the Germans wont pay it all, and the UK still has its triple A credit rating, thus can still borrow large amounts from the market. This is going to cost the UK folks.

President Obama and his Jobs Plan

Telegraph Live: Reports that President Obama is calling on Congressional Republicans to pass his jobs plan. This is the usual hot air out of the STAR, even his own Senate Democrats wont vote for this class warfare tax plan, why do left wing liberals always want to tax people who have worked hard and made money, yes its easy to bash the bankers, but at the end of the day you need the bankers, yes in other walks of life they would be doing time, but this is the real world. The housing crisis that lead to 2008 banking collapse has its routes in the Clinton Administration pushing the policy that everyone should have a home even if they didn’t earn enough or barely had a job. Thus the banking and sovereign debt problem that the West has NOW comes from the selfish polices of those on the left. You don’t find the left admitting that its was its own polices that created this economic mess, and now they want to tax the rich, SORRY, but who spends on luxury goods in a recession, the poor ? NO, the better off, if you tax people for making money they don’t spend, no money in the system you have people thrown out of work, then an increase in welfare. This blog is getting sick to death of hitting the bankers, YES some could do with some jail time, but its not going to happen, so get over it YOU on the left. Its time to work with the bankers, make them want to come to the US and the UK, put away the rubbish ideology and think of new ideas, after the failure of the left they should be a lot more humble.

Printing Money and the Bank of England

BBC News: Reports on the news that the Bank of England is to pump another 75 billion in to the economy. At its most basic the Bank will buy Government Bonds from the Banks and then the Banks should buy shares in companies, invest in small business, the first two hundred billion during the Gordon Brown Era kept the UK going, but has not solved the basic problems, the Banks have been told by the Government to keep enough in the till should bad loans go bad, the banks have taken this to far, they are not giving money out to small business, even good companies with a good track record are finding it hard to get money out of the banks. In Europe it has been reported that the European Central Bank is to give long term loans to banks that require short term loans to balance their books. This should make banks leading to each other easier, but then there is still Greece, that is the black hole at the centre of the EU.

Bloody Athens - Greece ( Graphic Images of bloody Protests )

Daily Mail: Reports on the street battles between Greek Police and protesters against the austerity package of the Greek Government. The Police should read the riot act to these protesters, peaceful protest is to be supported but when protesters turn violent then the full force of Law and Order should come down on them, the Greek people didn’t protest in the good times, well its their fault if they allowed their government to lie to them, the austerity package of the Troika of EU/IMF/ECB is needed to save the banks of France and Germany. The stock markets of the EU are bonkers, they go up and down with the latest rumour, the latest was that that the EU had come up with a banking plan, thus far no banking plan, if fact NO PLAN at all, the expected green light to the next part of the Greek bailout has been placed on hold, the troika cant get in to Greek Government buildings to see the books because they are being blocked by the workers, thus how can you trust anything the Greeks tell the outside world. The Greeks are the modern Titanic, they have been cut below the water line and the bulkheads only reach E Deck, the water is close to taking down the whole ship, in this case modern Greece. Time is running out for Greece, a modern Western state that has failed. That is the fault of the politicians and the people.

The Cameron Speech - VERDICT

Guardian Live: Reports on the political verdict by writers and those that comment on politics, the Guardians Michael White writes the following, “ There's a lot of Blair in this speech….optimism.. ”. In the present economic mess the PM could hardly do a dance on the stage speech and say all was well, if you just watch the riots in Athens to see that is NOT SO, the constant Eurozone Crisis would tell you the EU and the Western economy is facing going over a cliff. Thus the PM stated that both the Government and individuals are cutting back on their debt. In broad terms the speech was a typical conservative speech, helping business, wanting public schools to be as good as private schools, but what made it a modern Conservative speech was the call to help the poor of Africa, also the support Gay marriage, it has taken PM Cameron to move the Conservative Party in the right way. The PM stressed how in many respects he is following the Blair model with liberal intervention as was the case with Libya, how it was in the national security interest of the UK. But of course the difference between Cameron and Blair is the fact that Cameron used the UN, the NATO action in Libya had UN approval, this was not the case with Iraq it has been argued with some justification, even if this blog supported the War. The speech was lot more polished than the one given by Ed Miliband the Labour leader, the PM had an attack on the view that you could decide what was good or bad business, this was a PM’s speech, the Miliband speech you would give at a seminar lecture. Thus on the whole good Conservative Party Conference, Mr Miliband will have lift his game to be the labour leader in 2015.

The Banks and the Eurozone Crisis

Telegraph Live: Reports that there is no rescue plan for the European Banks even after news reports. The rumour of a banking rescue plan is the reason for the Markets going up in the UK and Europe. At the moment the Stock Markets are running of blind rumour and fear, one minute hundred of points down, then back in the good, while this is going on Greece is going to hell, the first directly Greek affected bank, Dexia has to be bailed out by the French and German Central Banks, Italy is going to the dogs, or fast becoming owned by the European Central Bank, the US in political system is deadlocked till the 2012 election, the EU seems hoping something comes along that bail them out, so far the EU has not been that impressive, and if Greece goes under without a managed default then its game over, Great Depression, the PIIGS will bring down the EU.

Greece General Strike - Eurozone Crisis

BBC News: Reports in effect that Greece is closed down by a General Strike. The Unions are not helping their members, the public sector in Greece has to be axed and axed big time. The age of plenty is over, no more retiring at 50, no more phoney jobs in the public sector, no more lending from the money markets to keep the welfare state going, its all over folks, and Greece is the first victim, Greece either gets its head around this development or goes under, becomes the property of the EU, no government and the budget run by France and Germany. That is the price of failure in Greece folks.