Wednesday, April 28, 2010

The Collapse of the Eurozone is On

April 28, 2010


—With the chaos they have unleashed in their attempt to force through a so-called Greek rescue package, the British have pushed the Eurozone into a terminal collapse.

Interest on two-year Greek treasury bonds shot up 3 percentage points Monday to 13%, and yesterday another 2 percentage points to 15%. These are highest rates for short-term bonds in the world, according to Brown Brothers Harriman as reported in the Financial Times. "Contagion" is now spreading, with Portuguese two-year bond yields having shot up from 3.051% to 3.985%. The FT article has graphs underneath the article to show the rise of Greek bond yields, the Portugese bond yields, and the Euro-dollar rate — not set in years, months or days but set in hours over the course of Monday, as if it were Weimar Germany, 1923.

The system can't stand this sort of wrenching strain. The present Eurozone crisis has justly been compared to the Kreditanstalt collapse of 1931, in its unleashing a next yawning gulf of collapse in the trans-Atlantic system.

It is clear that the issue is not whether the deal will go through, but that even if it does go through, it will not solve the problem, since Portugal, Ireland, and above all, the main act, Spain and Britain, are waiting in the wings.

Bloomberg reports that credit default swaps for Portugal's sovereign debt are trading at rates worse than those for Lebanon and Guatemala. While Portugal's public debt is 77% of GDP, its private debt is 236%. This compares with 205% in Italy, and 195% in Greece. Only 17% of its public debt is held by Portuguese; the rest is held by foreigners, a huge amount. The country also has had virtually no growth in the past 10 years and has no prospect for growth in the future.

Bloomberg also reports that not only are credit default swaps for Portugal, Spain, and Ireland increasing, but the crisis is having a spillover effect on the commercial bond market where CDS rates are also rising.

In an effort to convince the Bundestag to fork over EU8.5 billion for the EU45 billion cement-shoe "rescue" package, International Monetary Fund Managing Director Dominique Strauss-Kahn and European Central Bank President Jean-Claude Trichet have been asked to address the Bundestag tomorrow.

6 comments:

宛蓉 said...

85cc片觀看,77美女dvd影片,熊貓貼區,ut網際聊天,一葉情,av,嘟嘟,影音live秀,a片,做愛影片,視訊做愛,美女短片,78論壇,ut聊天,打飛機,a片,免費視訊,免費視訊,成人影院,性愛小說,辣妹視訊,網路交友,捷克論壇,h影片,色咪咪,免費影片85cc,kiss911,後宮,a片,影音視訊聊天,交友,免費聊天,聊天室交友,做愛影片,線上a片,美女影片,免費影片下載,免費聊天室,視訊做愛,美女視訊聊天

玄雨 said...

I do like ur article~!!! ........................................

韋于倫成 said...

淫慾淫亂淫婦淫妹淫叫淫水淫女情慾情色做愛限制級波霸口交18禁貼圖寫真視訊援交露點爆乳潮吹裸體裸照裸女愛愛無碼尋夢視訊聊天a漫a片a圖一夜情一葉情人妻

517SeritaG_Jamar0 said...

go2av免費影片sex 0401 影音 live 秀視訊聊天交友 色美眉台中援交aa 片試看 a免費視訊聊天網 情人34C波霸美女 香蕉鮑魚俱樂部,免費av 免費線上 aa 片試看 g點無碼a片 性愛姿勢 辣妹sex story 視訊聊天室 sex888免費看影片波霸美女寫真 視訊美女pixnet 成人交友hibb 4u成人視訊 情人080視訊網 私密論壇sex888免費看影片論壇 Show-live視訊聊天室 辣妹貼圖a片天堂 a片免費看 情色視訊禁地論壇 日本 a 片,無碼影片,美女,sexy,a片天堂 小魔女免費影城 視訊美女sogo 色論壇 s38live秀 卡通aa片免費看自拍天堂 洪爺免費線上歐美A片段觀看 亞洲東洋影片 0941 影音視訊聊天室 18成人85cc影城0204movie 成人漫畫區月光論壇 a片-情色成人影片 免費視訊toolbox 707網愛聊天室 1111辣妹貼圖,寫真集辣妹 av無碼月光論壇辣妹視訊 視訊辣妹主播脫衣秀 aio性愛dvd辣妹影片直播 黑澀會美眉 mv 高雄視訊,qq 美女貼圖片區 5i176 免費視訊秀 168論壇視訊辣妹 a片天堂s383視訊 bt電影下載,aa 片 sexy girl video movie 080cc成人色網 後官0951主入口 視訊聊天評比 視訊交友聊天室 no8 sogo論壇視訊辣妹

俊達 said...

婚姻對男人來說是賭他的自由,對女人而言卻是賭她的幸福。..................................................

玉鳳玉鳳 said...

死亡是悲哀的,但活得不快樂更悲哀。...........................................................................