EU economy commissioner Olli Rehn (the incompetent commissioner ) said a team which represents the troika of the Commission, the European Central Bank and the IMF – would “provide technical support to the Greek authorities”. The previous team was pulled out of Athens earlier this month because of a lack of progress by the Greek government in reducing its deficit. Mr Rehn on Sunday praised Greece’s new cuts, saying they would “go a long way to meeting the fiscal targets” for 2010 and 2011. “Greece needs to meet the agreed fiscal targets and implement the agreed structural reforms to fulfil the conditionality and ensure funding from its partners,” he said.Philipp Roesler, Germany’s economy minister, said an “orderly default” for Greece could no longer be ruled out and branded the country’s deficit-reduction measures “insufficient”. The warning is likely to spook financial markets further and comes despite Greece yesterday announcing a fresh €2bn (£1.7bn) of budget cuts and the introduction of a country-wide real estate tax. Evangelos Venizelos, the finance minister, said the cuts and tax measure were necessary to allow Greece to meet obligations demanded by the European Union and IMF in exchange for bail-out funds. Writing in the Die Welt newspaper, Mr Roesler said: “To stabilise the euro, we must not take anything off the table in the short run. That includes as a worst-case scenario an orderly default for Greece if the necessary instruments for it are available.” He said such a default would mean “re-establishing the affected state’s ability to function, perhaps with a temporary restriction of its sovereign rights”. ..."perhaps with a temporary restriction of its sovereign rights" Temporary? I don't think so, this is the real agenda of the Eurocrats for all EU members. 
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Monday, September 12, 2011
The incompetent and ill prepared EU Commissioner = EU economy commissioner Olli Rehn
EU economy commissioner Olli Rehn (the incompetent commissioner ) said a team which represents the troika of the Commission, the European Central Bank and the IMF – would “provide technical support to the Greek authorities”. The previous team was pulled out of Athens earlier this month because of a lack of progress by the Greek government in reducing its deficit. Mr Rehn on Sunday praised Greece’s new cuts, saying they would “go a long way to meeting the fiscal targets” for 2010 and 2011. “Greece needs to meet the agreed fiscal targets and implement the agreed structural reforms to fulfil the conditionality and ensure funding from its partners,” he said.Philipp Roesler, Germany’s economy minister, said an “orderly default” for Greece could no longer be ruled out and branded the country’s deficit-reduction measures “insufficient”. The warning is likely to spook financial markets further and comes despite Greece yesterday announcing a fresh €2bn (£1.7bn) of budget cuts and the introduction of a country-wide real estate tax. Evangelos Venizelos, the finance minister, said the cuts and tax measure were necessary to allow Greece to meet obligations demanded by the European Union and IMF in exchange for bail-out funds. Writing in the Die Welt newspaper, Mr Roesler said: “To stabilise the euro, we must not take anything off the table in the short run. That includes as a worst-case scenario an orderly default for Greece if the necessary instruments for it are available.” He said such a default would mean “re-establishing the affected state’s ability to function, perhaps with a temporary restriction of its sovereign rights”. ..."perhaps with a temporary restriction of its sovereign rights" Temporary? I don't think so, this is the real agenda of the Eurocrats for all EU members. 
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MY OPININ :The dirty secret is german banks are upside down with bad debt not supported with reserves....there is no sound social democracy without oil or natural resources to exploit because it is an unsustainable bankrupt ideology - GERMANY HAS NONE . when everyone wants to be in the half that gets more than they put in you have a system that will fail. we are witnessing the the beginning of world wide implosion of the social system that has run Europe for decades !
Lehman collapse could be repeated
Amid the uncertainty, the euro fell to $1.36 against the dollar and hit a 10-year low against the Japanese yen. The major Asian stock markets all fell into the red, with the Nikkei falling 2.3% and Hong Kong's Hang Seng index losing 4.2%.
Traders were disheartened that last weekend's meeting of G7 finance ministers did not produce a detailed new plan to solve the European debt crisis. This helped to push the cost of insuring debt issued by Italy to a new all-time high. According to Markit, it now costs over €500,000 (£427,000) a year to insure €10m of Italian sovereign debt, a euro-era record.
Credit ratings agency Moody's is rumoured to be planning to cut the French banking sector's credit rating, due to its exposure to Greek debt. In Paris, BNP Paribas's shares fell 12%, with Société Générale losing 11.7% and Credit Agricole down 11.1%. The heavy falls came despite SocGen pledging to sell €4bn of assets to strengthen its balance sheet.
"These fears are likely to manifest themselves in the form of further strains within the whole European banking system, as banks remain reluctant to lend to each other in a possible repeat of the 2008 Lehman crisis," warned Michael Hewson, market analyst at CMC Markets.
UK government debt remained a "safe haven" on Monday, with the yield – or interest rate – on 10-year sovereign debt dropping to 2.21%.
LONDON—European stocks slumped Monday amid concerns that Greece may default on its debt obligations, with the region's banking sector especially hard hit. Investors also deserted the euro, which fell to a 10-year low against the yen.
The Stoxx Europe 600 was down 2.4% recently at 219.15. London's FTSE 100 index was 2% lower at 5110.88, Frankfurt's DAX index was down 2.5% at 5058.99, and the CAC-40 index in Paris was 4% lower at 2855.04.
Greece said Sunday it will make €2 billion in new budget cuts to meet demands from the European Union and the International Monetary Fund, but that did little to assuage market concerns that the embattled Mediterranean country won't be able to afford its debt payments.
"Over the next two [to] three weeks Greece's progress will be evaluated with a final report towards the end of September. If Greece does not pass the evaluation it is unlikely to receive the next €8 billion bailout payment from the [EU, European Central Bank and IMF] and a Greek default would then be a fact," SEB said. "Until then, fear is likely to be driven yet higher with markets increasingly pricing in a Greek default until proven wrong."
Indeed, German Economy Minister Philipp Rösler was reported as saying Europe could no longer rule out an "orderly default" for Greece as it struggles with a crippling debt crisis.
LONDON—European stocks slumped Monday amid concerns that Greece may default on its debt obligations, with the region's banking sector especially hard hit. Investors also deserted the euro, which fell to a 10-year low against the yen.
The Stoxx Europe 600 was down 2.4% recently at 219.15. London's FTSE 100 index was 2% lower at 5110.88, Frankfurt's DAX index was down 2.5% at 5058.99, and the CAC-40 index in Paris was 4% lower at 2855.04.
Greece said Sunday it will make €2 billion in new budget cuts to meet demands from the European Union and the International Monetary Fund, but that did little to assuage market concerns that the embattled Mediterranean country won't be able to afford its debt payments.
"Over the next two [to] three weeks Greece's progress will be evaluated with a final report towards the end of September. If Greece does not pass the evaluation it is unlikely to receive the next €8 billion bailout payment from the [EU, European Central Bank and IMF] and a Greek default would then be a fact," SEB said. "Until then, fear is likely to be driven yet higher with markets increasingly pricing in a Greek default until proven wrong."
Indeed, German Economy Minister Philipp Rösler was reported as saying Europe could no longer rule out an "orderly default" for Greece as it struggles with a crippling debt crisis.
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