The Big Bailout of the Eurozone (Another crisis coming? - Seriously)

[muppet]

http://www.reuters.com/article/2011/06/22/us-pimco-greece-idUSTRE75L0HO20110622

PIMCO's El-Erian predicts Greece, others will default

[Declan]

PIMCO's El-Erian predicts Greece, others will default

Ah sure what would they know anyway

Here's an interesting persepctive on it from a Greek
http://www.nakedcapitalism.com/2011/06/alex-andreou-democracy-vs-mythology-%E2%80%93-the-battle-in-syntagma-square.html

[seafoid]

From the "You couldn't make it up" department


http://www.irishtimes.com/newspaper/frontpage/2011/0623/1224299456972.html

ALLIED IRISH Banks has sold its half share in a Bulgarian commercial lender for €100,000 – just 3½ years after paying €216 million for the investment.


how many of the top 100 senior managers in AIB in 2007 are still with the company ?

[seafoid]

http://www.ft.com/cms/s/0/4dfcca24-9e46-11e0-8e61-00144feabdc0.html#ixzz1QCpwqPqq


Mervyn King, governor of the Bank of England, warned on Friday that stopgap measures to extend new loans to countries such as Greece, Portugal and Ireland would not solve the eurozone debt crisis.Presenting the Bank's first analysis of financial stability in the UK banking system after the formation of the new financial policy committee, he said the eurozone debt crisis was a crisis of solvency that would not be resolved by extending new loans.
"Right through this crisis from the very beginning ... an awful lot of people wanted to believe that it was a crisis of liquidity," Mr King said. "It wasn't, it isn't. And until we accept that, we will never find an answer to it. It was a crisis based on solvency ... initially financial institutions and now sovereigns."

[seafoid]

The Irish 10 year bond yield is now up to 12% .
If the ECB wasn't keeping the banks going this plus a bit would be the base rate for anyone with a mortgage. 

[Bogball XV]

The Irish 10 year bond yield is now up to 12% .
If the ECB wasn't keeping the banks going this plus a bit would be the base rate for anyone with a mortgage.

it was well above that in the late 80's early 90's, I'm fairly sure it hit 21 or 22% for a few months - the only saving grace was that the capital borrowed was rarely more than 5 figures and normally low 5 figures.

[seafoid]

The Irish 10 year bond yield is now up to 12% .
If the ECB wasn't keeping the banks going this plus a bit would be the base rate for anyone with a mortgage.

it was well above that in the late 80's early 90's, I'm fairly sure it hit 21 or 22% for a few months - the only saving grace was that the capital borrowed was rarely more than 5 figures and normally low 5 figures.

The government could still access the market back then.  It doesn't look good for a 2012 NTMA reentry to the market.

[muppet]

http://www.bloomberg.com/apps/quote?ticker=GSPG10YR:IND

Spain 10 year now at 5.68%. We went to the IMF at 7%.

After flying very slowly for nearly 3 years, the merde could be now about to make contact with the fan.

[muppet]

http://www.bloomberg.com/apps/quote?ticker=GSPG10YR:IND

Spain 5.72% today and rising.

Our bailout package is at an average of 5.8%.

Not long left now, maybe weeks or a couple of months.

[seafoid]

The bond markets want a deal in Greece, Muppet.
Spain isn't necessarily in trouble but until there is some certainty on the next
few months nobody is buying their bonds.

Watch if there is a deal this week and see a big risk rebound. It's all a game.

[seafoid]

Another triumph for the bailout 


http://www.irishtimes.com/newspaper/breaking/2011/0627/breaking49.html

"Irish Life and Permanent will be effectively nationalised with the injection of up to €3.8 billion in State funds by the end of next month, the company has confirmed."

They couldn't even sell Irish Life.

What a total shambles. And what a wonderful policy it has been to shift all the problems of the banks on the sovereign.

[PadraicHenryPearse]

IL &P do not want to be or need to be nationalised this is being forced on them by the government. Ptsb will be the most capitalised bank in europe after this 4bn but still not able to lend to anyone. IL & P have done their best to resist nama and government involvement but have been dragged into this mess by every other irish bank and now they will the probably let disappear once under government control while the "two pillars" get away with it

[muppet]

Another triumph for the bailout 


http://www.irishtimes.com/newspaper/breaking/2011/0627/breaking49.html

"Irish Life and Permanent will be effectively nationalised with the injection of up to €3.8 billion in State funds by the end of next month, the company has confirmed."

They couldn't even sell Irish Life.

What a total shambles. And what a wonderful policy it has been to shift all the problems of the banks on the sovereign.

Which is the exact opposite of what the Greeks did.
Moodys warn severe Greek bank cash shortage due accelerating deposit flight

Also There's Another €50 Billion Hole In The Spanish Banking System Due To Bad Real Estate Loans

Can't help but feel like this collapse is beginning to speed up.

[Cde]

the sooner the better, it's been dragged out now for 4 years. We cannot start climbing until we hit the bottom and it seems that all we are doing is dragging out the inevitable.

[seafoid]

Very supportive words from Sarkozy
. It is everyone for themselves.

http://www.irishtimes.com/newspaper/breaking/2011/0628/breaking1.html

"Pledging to exercise control over France's own debt, he said: "I wasn't elected so that France would experience the agony of Greece, Ireland and Portugal."