Three months ago, Yanis Varoufakis explained Europe’s bogus growth pact and the papering over the cracks that was being done by the IMF and ECB, “The idea here is that, yet again, the Eurogroup-ECB-IMF alliance is not ready, politically, to reveal the truth to its various constituencies.” He was, obviously, correct. This weekend, in a brief BBC Radio interview (below), as Cyprus erupts and brings the European circus back into town, Varoufakis exclaims, “every bailout agreement, beginning with Greece’s in May 2010, seems less logical and more toxic than the previous one.”
In three minutes, the Greek economist illustrates how the leaders are laying waste to the supposed pillars upon which the European Union was founded. Continue reading “Cyprus is the Homage”
EU to Cyprus: “all animals are equal, but some animals are more equal than others“…Sunday night markets will tell if this is Lehman II 🙂
So it turns out that those who noted that the Cyprus bailout took place ahead of a local bank holiday on Monday were onto something. The terms of the bailout deal represent a huge leap in how the EU is tackling the crisis. Time will tell whether this leap is over or into the chasm.
This is a quick reaction post. I will focus on likely market reaction because that is what I know about – and why you’re likely reading my ramblings – and leave meditations on justice and democracy to people closer to the action.
Continue reading “CYPRUS Bailout Fair or Unfair”
Well the election is over in Greece and the New democracy party gained and possible that they will need support from Syriza to form the government. The question still remain in my mind. Can the Greece leave he euro quietly ? well possible but a lot of arguments has already been put in to posts and the economists, financial baron have discussed.
When I say possible because the Greek economy is just 2% of the Euro zone GDP. but here again it already had plenty of noise knock on effects. Continue reading “Contagion Predicting for Euro”