Posted on 06/18/2012 5:48:51 AM PDT by Qbert
NEW YORK--U.S. stock futures fell Monday, erasing earlier gains, as initial relief over the pro-austerity party's narrow victory in Greece's elections gave way to increasing worries about Spain.
Dow Jones Industrial Average futures declined 52 points, or 0.4%, to 12658, erasing earlier gains of as much as 92 points.
Standard & Poor's 500-stock index futures lost 5 points, or 0.4%, to 1332 and Nasdaq 100 futures slipped 3 points, or 0.1%, to 2561. Changes in stock futures don't always accurately predict stock moves after the opening bell.
On the economic calendar, the housing market index for June is due out at 10 a.m. EDT, with economists surveyed by Dow Jones Newswires expecting a decline to 28 from 29 in May.
European markets were mostly up but well off earlier highs, as the New Democracy party's slim victory in Greece and Spain's brewing crisis sapped the initial excitement over the Greek elections. The Stoxx Europe 600 was up 0.2%, but was trading up 1% soon after the open.
Although New Democracy's victory assures that Greece will stay in the euro for now, there was some worry about the party's ability to form a viable coalition.
Separately, the yield on 10-year Spanish bonds rose above 7% and IBEX-35 stock index slumped 1.6%, as investors worried that Spain would soon need a bailout of its own, after the country's banking sector already received a bailout offer from European partners.
(Excerpt) Read more at nasdaq.com ...
SUPPER?
The French also elected a socialist government
I’m sure that’s going to really boost the market
The sad truth is that the Greeks are non productive, have squandered immense capital with three generations of deficit spending to maintain a faux life style. That lifestyle can only be maintained with German financed bailouts or charity. Greece is only the opening act. Now comes Spain, then Italy and finally France. The German economy is weakening from these bailouts which squanders more capital. The Germans simply do not have the wealth to save bankrupt Europe. Things will get ugly. The US is not in much better shape.
It’s all Greek to me.
They sell olive oil, olives and tourism(the latter is probably dying a slow death).
The Greeks have had it...one way or the other.
-Rex
Basically the Moose gives more and more of himself, and more and more moochers nest in his antlers, get him to perform for them, etc... all until he can do no more, and the hunters arrive for his head for their wall.
(He then sheds them all, escapes across the river, and the moochers are left to the hunters wall.)
If playing political musical chairs makes them feel good let them do it because it changes nothing in regards to their financial situation.
The PIIGS are toast and so is the Euro.
As long as oil keeps going down, I’m happy, and that’s my selfish take on the stock market these days. Up two hundred today, and down two hundred tomorrow, all the while there are no jobs, no growth, just tax dollars easing the risk, covering for bad decisions, and helping to create more debt based wealth in an ever diminishing circle. Europe is going to come apart, but good news today, bad news tomorrow, keeps the little monkeys on Wall Street scrambling. ...The right tax and pro business policies could create trust in the dollar again, bring businesses back to America as China loses them, and we could quit this game of weeping over the EU, but Obama fiddles with himself.
Winning a narrow election victory is one thing.
Putting together a ruling coalition under the Parliamentary System is something else again. Better than even money that they fail, especially once the riots start up again.
Of course the stock futures are going to fall. And they will continue to be weak until there is a plan under active execution.
Some people in the stock market have finally figured out that none of the previous “plans” to solve Greece’s financial disaster are worth the paper they are printed on because they were never followed through with polices being followed.
Finally a degree of rationality has broken out.
Now, if the same logic would be applied to the American markets......
Seems to me that if the Germans are going to have to support Continental Europe, they ought to be allowed to take it over and own it again.
I found it ironic Obama was begging the Greeks to elect a conservative government so Greece would not default on it's debt and throw the world into financial chaos. All the while he is surpassing Greece in piling up toxic debt the US can never repay.
When the drunken soccer party Greeks sober up, there will probably be serious riots in the streets when the new party tries to bring reality to the Greeks.
Two things happened to help the “win” in the election.
1. Greece beats Russia 1-0 to earn quarterfinal spot.
2. So the entitled party soccer goons across the Greece party until the next morning and beyond.
In this election, they had to go to where they were born to vote. The hungover Greek entitled party boys/girls apparently didn’t want to drive to vote.
When the new government tries to get these entitled bozos to give up their entitlements, Greece will look like Watts did decades ago.
Then, the new government will ask Germany, the UK and Uncle Sam to support their entitled life style.
We can kiss the Euro Trash nations good bye as their sense of entitlement increases and their growing population of Islamofacists grows every day.
That always works out so well. It is certainly about time for Germany to start another world war.
It makes me flinch when Obama gets involved in telling Europe what to do about debt and spending. He has no real humility and shame if he can’t see how stupid he looks for doing that on the world stage after what he’s done to our debt.
Obama relies on people being stupid. He has seen plenty of it. Like when people clap for him saying we need a domestic security force just as large and as well funded as the military, or that he will control the level of the oceans.
Most people are not as dense and unworldly as the crowds he organized on the South Side of Chicago.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.