Skip to comments.Eurozone finance ministers to meet amid Greek and Spanish crises
Posted on 05/14/2012 12:06:13 AM PDT by Olog-hai
Eurozone finance ministers will meet in Brussels today amid Greek political chaos and fears over the health of Spain's banking sector.
Ministers from the 17 countries that make up the EuroGroup are to convene at 4pm GMT for talks that one senior EU official told the Wall Street Journal would be "very political".
Events will be dominated by the ongoing problems in Greece, which once again failed to form a coalition government on Sunday. Talks in the country will continue today, but reportedly without Alexis Tsipras, the leader of far-left party Syriza. He has said he wants to keep Greece in the euro, but the bailout must be torn up. European leaders say that would require them to cut off funding, allow Greece to go bankrupt and eject it from the European single currency.
While Greece remains the short-term problem, EuroGroup ministers will also be looking for answers from Spain.
Last week the country was forced to nationalize crippled lender Bankia. The move caused Spanish bond yields to jump above the 6-percent danger level. Although they have fallen back below this level since last Wednesday's action, the yields remain dangerously close.
"A prompt and profound reform of the banking sector is a cornerstone of Spain's crisis response and its overall reform strategy," said (EU Economic and Monetary Commissioner Olli) Rehn.
The EU has set Spain a target of a public revenue shortfall equal to no more than 3 percent of gross domestic product by the end of next year. However, the EU has already relaxed this year's target to 5.3 percentand EU forecasts suggest the country will miss this.
(Excerpt) Read more at telegraph.co.uk ...
I think the end game has begun.
The Euro rate by July will be $1.15 to buy a Euro....instead of the current $1.25. Whatever investments you had in Europe....just got tossed for a loss if you sold and tried to bring the money back.
A trade in-balance will suddenly occur, with more items being bought by Americans from Europe, and less items from the US going to Europe.
Finally, people will start looking at Ireland, Portugal, Spain, and Italy. Any of these could falter over the next year and bring the Euro closer to one-to-one....which means massive losses for some investors. If you ask me....from July of this year....through the end of 2013....it looks like another recession.
And what do you see as the end game?
“This is not the beginning of the end. It is, however, the end of the beginning.”
For the better part of a half century European politics has been dominated by the false god of the European Union. While the intellectual leaders have adopted this goal the vast numbers of private citizens haven't. What happened in the Balkans in the 1990s stood out as a clear warning of impending failure.
The impending collaspe of the Euro and the various financial markets that are supported by it and support it marks the final rejection of a transnational Europe.
Your desires and dreams cannot change cultural heritage spanning centuries of common experience. Wonder if the LMSM and the its supporting/supported liberal-progressive-socalist-dimocrat cabal will ever learn the same lesson?
Hang on folks it is going to get rough in Europe (the beginning of the end) shortly before it gets rougher here (the end of the end).
The EU still has a little bid of road which to kick the can financially. The political road is coming to a dead end though.
Fly on the wall here:
“Gentlemen, gentlemen, we have to do something to protect our cushy jobs here.”
Harrumph, harrumph, harrumph.
“I didn’t get a harrumph outta that guy”
think blazing saddles.
The European Union elites are fanatics. Expect anything out of them. Their “beneficial crisis” is meant to push the populace to the brink so that they will acquiesce to a strongman to lead the whole continentthat’s what all the talk about a “super-president” is all about.