Spain the NEXT Bailout

Telegraph Live: Reports that the incoming Conservative Government is looking for a loan from either the EU or the IMF, before the Markets make that decision. This is wise from the new Conservative Government, getting ahead of the market, but that has not stopped Spain 10 year bonds from reaching 6.67%, close that the end of cliff 7%. Any bailout would come with tough strings, the EU/IMF has been burned by Greece, they will want to make sure all Spanish political parties support such a bailout. Thus more endless meetings folks.

10 Year Italian Bonds - Record HIGH

BBC News: Reports that Italy had to pay a record high to shift its 10 year bonds, the rate was 6.504%. As the article notes this is double the last sell off of 10 year bonds, what is also alarming is the fact that two year Italian bonds are now at 7.814%, in essence the Market is telling the new Italian Government it does not have in till 2013 to solve the economic problems of Italy, it does not have that time to reform the public sector, the Market expects quick action, otherwise the 10 year bond price will go up again past 7%. The ECB is only buying these bonds on the secondary market, and Germany is still saying no for the ECB to issue Euro bonds or print money. Are we seeing the slow death of the Euro, the contagion like cancer might have gone the point of no return folks.

France = AAA ?

Guardian: Reports that Fitch the credit agency has stated that the triple A rating of France was under risk, the article states the following on the view from Fitch, “ ..France no longer has the capacity to absorb any more shocks - as its current austerity measures probably aren't enough to bring its borrowing into line. ”. Thus after Paris and Berlin bullied Greece and Italy, the foot is on the other foot, the Germans could not sell all their 10 year bonds, the French it can be predicted will lose their AAA rating, thus a new French President next year. At the heart of the problem folks is the Euro, how many EU politicians are going to fall on their sword for a fraud of a currency. It will be interesting to see when a leaders just says NO. This blog doubts the world will fall apart, the EU elite have allowed themselves to be taken in by a major con, they are on a class A drug, someone with a brain needs to see the cliff and say no more, the Euro will just have to be flush down the toilet. The elite never suffer folks, its the great unwashed that takes the hurt, from Athens to Rome, well its time for the great unwashed ( This blog is founding member! ) to say NO to the Euro.

German Bonds and the Eurozone

Telegraph Live: Reports that the German Government could only sell half of its six billion bond sale, the article states the following, “ IF Germany can only manage this sort of participation, what hope for the rest. YIELDS are at completely the wrong level. ”. In other words PEOPLE the firewall is starting to breach, if the Germans can only sell three billion of their bonds, the very foundation of the Euro is at risk in the long term, either the Germans allow the European Central Bank to print money, with the danger of inflation or the PIGS get the hell out of the Euro. The article notes even the French triple A rating has come under threat, the austerity package of the French Government has not impressed the markets. Something has to give folks, this kind of nosedive in the market confidence cant be allowed to run and run, its not suppose to be a soap opera.

Gingrich on Immigration

BBC News: Reports on Newt Gingrich’s stand on a humane Immigration policy at last nights Republican Debate. It was interesting to see the former Speaker take a stand that should not go down well with the Republican base, but it was done more with a great political skill, the Speaker called for a humane Immigration policy, that allowes those that have come to the US illegally from between 25-20 years ago but had been a positive to the community to gain a route to legal standing, not citizenship but out of the shadows. Those with no links would be thrown over the border. The Speaker was clever he recalled Reagan had granted citizenship to over three million illegal immigrants but had only done with the condition that tougher reform and enforcement would remove the issue, of course the second part of the plan never happened, thus the Speaker wanted a humane policy but a tough policy. This might cause problem with the Conservative base but could work very well in a General Election, as Nixon went to China, Gingrich reform of immigration would allow him to become another Reagan.

Talking Points for the Oval and the Democrats - NYT

The New York Times: Has an Editorial that is a talking point for Democrats when discussing the failure of the Super Committee, the article states the following on the failure, “ ..because Republicans refused to raise taxes on the rich…calling for the Bush tax cuts to be permanent… ”. The bloated liberal NYT will never support cuts in the welfare state of the US, its base is Hollywood liberals who have more money that real world experience, they think if you tax the rich just a bit more then a bit more all the problems of the world will go away, well PEOPLE that’s BS, it always was, at the end of the day its the Middle Class that gets the hit, and it’s a basic reason folks, there are more people in the Middle Class, thus can sustain high taxes, the American ideal is about becoming rich, Hollywood liberals just want themselves to get rich by acting, hardly your local small business, or your inventor, all actors have to do is hit their marks, not hit the set, and be semi sober or not on drugs on set. The art of acting is making something real, after a time liberal actors start to believe the rubbish they say, then never meet real people, to many YES men around or women. Lets recall PEOPLE the NYT covered for Stalin, it lost its Judgement a long time ago folks.

Egyptian Spring or Army PR ?

BBC News Live: Reports the Egyptian Army has stated it will hand power over by July of 2012. Also there are protests beyond Cario, in Alexandria and Suez. If this blog was a protester it would not be happy, as the liberal NYT reported yesterday the Muslim Brotherhood has been slow to support the protesters as they expect to WIN big in the upcoming Parliament Elections. Thus in the interest of the Army and the Brotherhood one way or another for the protesters to hold off, the Army as the can make sure than any power transfer is a symbolic and NOT substantive, as the BBC’s Jeremy Bowen reports the Egyptian Army controls 40% of the economy of Egypt, thus the elites are not going to give up power without a fight. The Brotherhood wants political legitimacy, they want to be the largest Party in the new state, even if the Army prevents them having real power.