So there you are europhiles, the disgusting scraps of vouchers in your pockets have depreciated an average of 12% against a basket of third world pesos.And destroyed 30 plus % of the SME base of southern Europe and impoverished tens of millions and destroyed the futures of hundreds of millions.
A voucher, a pathetic little coupon that the citizens of Europe are so desperate to get rid of and turn into anything resembling a real currency the will covert it Danish Krona and leave in a safety deposit box because the government cant afford to exchange more of those useless vouchers for real cash to deposit in the Danish banks. A voucher the Swiss shun by refusing to allow its own currency to appreciate any further because so much of this toilet paper is infesting its banking system... A voucher so worthless that Chinese people openly laugh and mock its status, and refuse to allow any Chinese department to deal in it. And are flushing as much of this toilet paper as possible down the drain and into the ECB whence this filthy coupon originated.... A voucher so worthless a financial director would be instantly sacked if he made a mistake like signing a long term contract or sanctioned such a contract denominated in such pathetic stamps that should rightly be stuck to the back of cut price generic baked bean cans. A voucher so utterly without credibility that every major corporation with European offices repatriates these food and bus ticket coupons stamps and vouchers back home safely converted to real currencies, EVERY SINGLE DAY... How the hell can you run 17 economies based on degenerate worthless stamps and coupons set up under a gigantic Ponzi scheme that every EU citizen takes such extraordinary measures to divest themselves of?... I would rather carry used toilet paper from a bucket outside Puramindas Vindaloo takeaway in my wallet.
I am sure its worth more despite them stinking in different ways to high heaven.
5 comments:
In reducing the rating to Baa2 from A3, Moody's said that Italy was now "more likely to experience a further sharp increase in its funding costs or the loss of market access" for borrowing to service its budget.
The move lowered Italy's rating to two notches above junk-bond status, and came just before the debt-laden country attempts to raise €5.25bn in a medium- and long-term government bond auction on Friday.
On Thursday Italy raised €7.5bn in one-year bonds at a sharply lower rate than previously, indicating improved investor confidence.
But in a statement, Moody's spelt out the challenges both external and internal that face the eurozone's third-biggest economy.
"The risk of a Greek exit from the euro has risen, the Spanish banking system will experience greater credit losses than anticipated, and Spain's own funding challenges are greater than previously recognized," it said.
US ratings agency Moody's downgraded Italy's government bond rating by two notches, citing the knock-on effects of a possible Greek exit from the eurozone and Spain's banking woes.
"Klären Sie ein Detail: Spanien bekommt einen Kredit, muss aber nicht für mögliche Verluste haften. Der Kredit zählt auch nicht als Staatsschuld und das Risiko tragen die Länder der Eurozone gemeinsam. Ist das so richtig?
Nein. Der Kredit geht an Spanien und wird von unserem Bankenrestrukturierungsfonds (Frob) aufgenommen. Spanien steht dafür ein. Die Bedingungen für den Kredit sind günstig. Der Zeitrahmen beträgt 12,5 Jahre. Wir haften für die Rückgabe. Ich bin überzeugt, dass es nicht den geringsten Verlust für die Kreditgeber geben wird.
Zählt der Kredit also als Staatsschuld? Ja. Die Zinsen, die anfallen, sind Ausgaben des Staates. Es wird aber auch Einnahmen geben durch die Ausgabe von Beteiligungen und die Injektion von Kapital. Es werden daher auch positive Zinsen von Seiten der Banken eingehen."
When asked, if the credit counts as debt of the state, de Guindos answers with yes.
How the contradictions reported in the press over the past few days will be reconciled, who knows.
Yesterday, the IMF said it had found policy implementation delays in a "number of areas" in Greece's international bailout during recent talks. Today, German daily Rheinische Post cites unnamed government sources suggesting that the preliminary report from the 'troika' has turned up some serious shortcomings in Greece's efforts to implement reforms.
The troika - comprising the European Central Bank, the European Union Commission and the International Monetary Fund - apparently found that the Greek government has failed to fulfill 210 of the 300 budget savings requirements
Italy's treasury undersecretary has also taken umbrage at Moody's downgrade. He has told Reuters that it was an "incomprehensible" decision and that Rome would respect its commitment to achieving a structural budget surplus even if the economic cycle worsens. Gianfranco Polillo said:
I am very perplexed by the Moody's decision because of the weakness of the reasoning and above all by the size of cut. They are very weak reasons. On the one hand, they're talking about political reasons, which is quite arbitrary. I don't think anyone is able to explain how the Italian political situation will evolve.
10.44 Further to the auction of three-year bonds, Italy also sold three bonds due in 2019, 2022 and 2023 for a total of €1.75bn.
The March 2022 bond fetched a 5.82pc yield and the August 2023 was sold at an average 5.89pc rate.
10.35 Initial reaction to the Italian three-year bond auction is fairly positive. Nicholas Spiro of Spiro Sovereign Strategy writes:
This was a challenging enough auction without the downgrade which makes the result look all the more impressive. The cut to Italy's credit rating had been more or less priced in. Once again, the Treasury was able to get its debt out the door which, right now, is the overriding priority. Domestic banks continue to hold the fort at Italian actions. The concession, however, is still hefty and reflects the increasing risks in Italy.
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