Stock Markets TODAY and the Eurozone Crisis

Guardian Live: Reports that the FTSE - 100 in the UK fell by 2.6% today, while French and Germans Markets fell between 2% and 3%. Thus the EU Finance Ministers have pressed the delay switch for the next patch of Greek bailout, the markets are tanking, the French/Belgium Bank Dexia could go under, one has to wonder what other banks could be taken down, its misery every day on the Market folks, the Markets want stability, thus the grand plan of 2-3 trillion euros to bring stability to the economic system, the building up of European banks and the managed default of Greece has to be bought forward, an investor would have to be stark raving bonkers to invest in the present market, people can make money in such market, betting on a banking collapse in Europe, but its not nice and not very smart in the long term, if the whole system goes then forget economic growth or major profit for a long time, think 1930s Great Depression but worse, its that bad folks.

The Greek Crisis and European Banks

Telegraph Live: Reports that the French/Belgium Bank Dexia has needed to be backed by the Central Banks of France and Germany. The Contagion of the Greek crisis has started folks, the Stock price of the Bank has fallen over a cliff and taken bank shares will them, if and when Dexia goes down what other banks will it take with it, are there other debts that is held by the bank that is now known, all important question folks. Its about time EU got off its backside and developed a plan, the PIIGS are finished, Italy and Spain need to be saved, the rest might have to be thrown to the wolves, otherwise the DEBT just grows, and grows, the austerity packages get tougher, more people need welfare, thus the reduction in GDP, a very vicious paradox folks, the need to pay the debt, but the very fact of paying back the debt makes a solution impossible. Cold days ahead folks, its that gloomy folks.
　

The Greek Bailout - Eurozone Crisis

BBC News: Reports that EU Finance Ministers have delayed giving Greece its expected eight billion Euros bailout. The simple fact is folks is that Greece has not meet its austerity targets, the latest Greek plan to tax property through the electric bill is facing resistance from property owners and the tax collectors. In essence folks you asking a State that does not tax its people to start taxing everyone at a very high rate, also the State in Greece is a major employer, thus the scandal of people retiring when they are in their 50s. The problem with Athens to Dublin is the fact that the EU has a welfare state, you have a growing older population and a small pool of younger workers. Also in the UK the 65 pension age for workers has been axed, thus workers have the legal right to work past 65, thus less job for younger works. The whole contract between the citizen and the state since World War Two is breaking down folks, thus far no grand solution by the EU, or the UK, thus when the Western economies do go over a cliff it will be the rich with the parachutes.

30,000 Greeks to get the BOOT - Eurozone Crisis

The New York Times: Reports that thirty thousand Greek public sector workers are to lose their jobs. The has been the idea for weeks folks, if not months, and they still have not got around to giving anyone the boot, its about time the Greek Government woke up, it should be making deeper cuts, the Greek public sector is bloated, worse that the liberal NYT, the Troika should demand at least 40,000 in the public sector get the boot, and no redundancy pay either, that comes out of the taxes paid by the rest of the EU. The Greeks will get OUR money because otherwise the Banks of France and Germany would default, in some respects the Greeks have a loaded gun at the head of the EU. At what point does the EU/IMF/ECB say to Greece grow up, that’s for the Government and the people, you have lived off the wealth of others, well its over, either make cuts or the EU will cut bait, this is harsh folks but life is harsh.

Greece and the Markets

Guardian Live: Reports that Stock Markets in the UK, France, Spain and Germany are down between 1% and 2%. The lack of a clear plan on how to deal with Greece is starting to have a corrosive effect on the Markets, also Greece is not hitting its austerity targets, thus the contagion that the bailouts were planned to stop has failed, it does seem it will be sooner to a Greek default, the only question will it be managed or unplanned, thus far hard to say folks.

Republican Calendar - South Carolina

The New York Times: Reports that the State of South Carolina will have its Primary vote for the Republican Nomination on January 21st of 2012. As stated in previous post on this subject folks the Christmas holidays are over for politicians and reporters following the campaign. As the article notes Iowa could vote on January 3rd, thus the winner will not have much time before New Hampshire votes to build a path to victory from Iowa. But for us political geeks its heaven folks, seeing politicians in the snow of Iowa and NH begging for votes, there is no more rush if your in to politics folks.

The FEAR of a GREEK Default - Eurozone Crisis

BBC News: Reports that Greece will miss its planned deficit targets, banking stocks have taken a hit in Europe. The one thing you can count on folks is that Greece will get the next package of the planned bailout, the 8 billion is going to European banks, if the Troika of the EU/IMF/ECB failed to deliver the money it can be stated that major banks in Germany and France would be hit hard, even some could default. Thus the Greek figures do not match expectations, but it does not matter, the EU and the rest of the World can not afford for Greece to default outside a managed default. The sock markets are over reacting but Markets live and die on rumour, thus expect some heaving trading over the next few days.