Posted on 04/08/2010 11:15:18 AM PDT by Cheap_Hessian
In an interview with Bloomberg's Tom Keene, Richard Clarida of PIMCO has pretty much sealed the fate of Greece: "I don’t think that [7%] would be an attractive enough yield. Greece is sort of like the Titanic. Eighteen things went wrong, and when they go wrong at once it’s problematic." Of course, with this kind of rhetoric the 10 Year will be trading at 8% tomorrow, followed up by Clarida saying not even 9% would be attractive, and so forth. When you have the world's largest bond fund say it is not touching Greece with a ten foot pole essentially no matter what the yield, you get an idea of why Greek 1 Year CDS is trading 600/700. In the meantime, stocks continue to be blissfully unaware of what the surge in the dollar will mean to Obama's export-led US manufacturing utopia. Oh well, at least we can continue to export "advanced" Wall Street services to Greece (and most other European peripheral countries) post default, courtesy of every domestic restructuring firm which is currently brushing up the "sovereign reorganization" tombstone pages in its pitchbooks.
(Excerpt) Read more at zerohedge.com ...
Hell, US Govt bonds would need to be paying 15% or more for me to consider loaning Uncle Sam money for more than 12 months. Anyone who thinks that 4.75% is a good deal for giving the US Govt your money for such a long period as 30 years is a fool.
I always take with a grain of salt experts who get on TV and tell what they think. It is possible that Clarida is jawboning the yield up, and then he will buy.
Exactly, which is why pretty much nobody is loaning money to our government any more other than the Fed. It’s an absolutely absurd situation.
The US isn’t far behind. Our $1.6 trillion budget deficit accounts for 12% of our $14 trillion economy. Our level of debt is therefore at about the same level as Greece’s.
BTW Here is a joke I heard:
If Turkey is attacked in the rear, will Greece help?
The Titanic is for sure not Greece..but the whole fake one world corporatist secularist order that Greece bought into and is now reaping the fragments of promises that were lies.
Greece can survive by getting out of this ponzi scheme. I hope we have the guts to do so too. I fear it’s too late.
The VAT is being touted as the way for us to get out of debt. What rate do the Greeks pay in VAT?
I don’t know precisely. I do know that in Europe, generally speaking, VAT taxes are quite high. I don’t see why Greece would be an exception.
It seems that our policy makers in Washington are adamantly determined to take us down the same path as Greece and most other European nations as well.
They are just pushing it up and the suckers will buy.
19%
VAT-generally 19%
— Greeks hate it.
Corporate tax 35% - outrageous
in Germany 15% - smart krauts but they hold lots and lots of debt. I’d love to see them end up getting smoked by the time this is over.
in Russia - 20% - keep it there or lower it Vlad...sooner or later you will win...not a bad idea.
Exactly, which is why pretty much nobody is loaning money to our government any more other than the Fed. It’s an absolutely absurd situation.
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Expert analyst JasonC will tell you that you are wrong ,, the bond sales are going swimmingly ,, we aren’t buying bonds from ourselves...
Thanks for your replies. I have yet to see any honest reporting about this stealth tax. Commentators routinely refer to it as a national sales tax, yet politicians know they could never sell a sales tax high enough to do any good. That is why they prefer a tax that is added in increments along the way from raw materiel to finished product.
Pretty damned high if you ask me. And that dumbkopf, Volcker, wants the same insidious tax imposed here in the US. I can only think of a firing squad at times when I think of what
is in store. Obamacare and the Porkulus was just the start. Next is new draconian financial regulations, unilateral disarmament, Crap and Tax, and amnesty.
Contrary to popular opinion, BHO is not stupid and incompetent. I wish he was. He knows exactly what he’s doing and exactly where he wants to take the country. He has already achieved many of his objectives and is focused like a laser beam on implementing the rest of his radical left agenda. I, too, read Rules For Radicals, so I know exactly the game plan and I am well familiar with the battlefield.
danka.
Q: What’s the difference between California and the Titanic?
A: At least the Titanic had lights on when it sank.
that is PER MONTH.
“It seems that our policy makers in Washington are adamantly determined to take us down the same path as Greece and most other European nations as well.”
Idiot RATS worship Europe, and no moreso than when they lamented for 6 years during the Iraq war about ‘what Europe thinks of us.’ IDIOTS! So you want to be like ‘em?
“He has already achieved many of his objectives and is focused like a laser beam on implementing the rest”
I don’t want to underestimate maobama who passed the health scare fraud, but with 55 to 65% of the country now opposing him, do you really think even laser focus will bring in cramnesty and crap and tax? I believe his power will evaporate on 11/2010 and 11/2012.
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