Financial Crisis

[12DrinkMore]

http://www.bloomberg...w-products.html

Elizabeth Warren[/url], the Obama administration adviser setting up the Consumer Financial Protection Bureau, simpler mortgage paperwork is a "regulatory sweet spot" that will cut lender costs and borrower confusion.

Sounds great, simple forms for simple peeps so they know what they are in for. I'm for this, particularly as Elizabeth Warren is involved, so what is the argument against it?

Industry groups say the revisions may lead to limits on innovation and variety in lending

I think the world has seen what the results of financial innovation are. "Plain vanilla products for plain vanilla people" should be the rule and not the exception.

That idea has drawn criticism from consumer advocacy groups who say it could eliminate the option of bringing a lawsuit based on a significant misstatement in mortgage documents.

Binding and Usable

"My concern is that we would lose the causes of action that we use to protect people who are being foreclosed on," Ira Rheingold, executive director of the National Association of Consumer Advocates, said in an interview.

Duh? So they look upon the current system with its complicated mass of conditions and exclusions as providing food for the legal lot to get the simple peeps off the hook, which they were forced to swallow.

To remove the complications and make it all very simple so that the peeps know exactly what they are signing is seen as a bad thing? Carts pulling horses or something, I guess.

Edited May 20, 2011 by 12DrinkMore

[12DrinkMore]

Doubtless everybody else around here has known the term Dim Sum Debt for years.

http://www.bloomberg.com/news/2011-05-20/hong-kong-may-tap-brake-on-record-yuan-deposits.html

http://remington-work.blogspot.com/2010/11/dim-sum-bonds-on-menu-for-foreign.html

Another development to keep an eye on.

[12DrinkMore]

http://www.guardian....mf-strauss-kahn

Gormless Brown, Saviour of the World, is launching his bid to fill the vacuum at the top of the IMF.

Gordon Brown will stake his claim to be the next head of the International Monetary Fund with a speech in South Africa on Friday urging rich western nations to meet their pledges on education to the world's poor.

Bully Boy Brown is looking to lever himself up into the chair on the backs of the children.

Unless we take the action we are proposing there is no chance of meeting the education MDG [millenium development goal]. That's a betrayal of children."

But what on earth is this?

Brown, however, is highly regarded in Africa for his work on debt relief and development

Gimme a break, the man has plunged the UK into more debt than it has had since the universe formed and steadily brought education standards down to enable even the most moronic idiot to gain a qualification. "No failed students of the education system in the UK".

Which particular aspect of debt has Brown relieved?

[RedFxTrade]

Jim Rogers' maths seems to be a wee bit flawed

known crude reserves are drawn down 6% per annum

based on the assumption that present crude consumption (86mm b/day) will increase by 1.5% p.a. (according to EIA) a total of ~600bb barrels would be used througout the period Rogers mentioned. that's approximately the equivalent of the known crude reserves of Venezuela and Saudi Arabia.

Oh come on, Naam - don't let something so inconsequential as ''real math'' get in the way of hyperbole and ''fake math.''

The playbook is ''use fake math to make a point then when confronted with real math say, ''well yeah but that doesn't matter because it's going to happen anyway (and throw in a ''so in a way, you just proved my point'' for a real fake-logic home-run).''''

This goes for statistics, logic, reality, or anything else a politician/banker/used-car salesman might want play with

guilty as charged Your Honour. but i can't help it and therefore ask for a light sentence. there's a part in my brains which acts independently and starts computing whenever a factor is mentioned which does not tally with the results provided when used with some stored factors. a number of people (and that includes Mrs Naam) hate it when i spoil an interesting story with stupid facts.

mea culpa! :jap:

Naam, here is a pdf document from elsevier (reputable). Oil Decline The consensus from a range of sources seems to be a decline rates of between 4-8% a year. However, the most seem to be settling around the 6% decline rate. The IEA says 6.7% a year.

The oildrum.com is also a fantastic site for information.

[jcon]

Naam, here is a pdf document from elsevier (reputable). Oil Decline The consensus from a range of sources seems to be a decline rates of between 4-8% a year. However, the most seem to be settling around the 6% decline rate. The IEA says 6.7% a year.

The oildrum.com is also a fantastic site for information.

I had a browse Redfx, thx.....

The thing is, they get their 25-year ''average'' figures from a graph like this?:

That's fine and all but what I see from that graph is a declining rate of decline from about 2011-onwards..... BULLISH!!!!!!

You can spin that graph all over the place but that's the way it will be spun IMO - and we know how bullish a declining rate of decline can be! It's human nature (unless you're a pessimist) and it will be what it will be.

Then again, I'm not a geo-physicist (gregb?) so I'll just be along for the ride, but I'll ask Jesus for some stock tips tomorrow during The Rapture (dum dum dummm, boom!). I wish there was a ''crack of thunder'' emoticon with accompanying sound to follow apocalyptic terms like that.

[RedFxTrade]

Naam, here is a pdf document from elsevier (reputable). Oil Decline The consensus from a range of sources seems to be a decline rates of between 4-8% a year. However, the most seem to be settling around the 6% decline rate. The IEA says 6.7% a year.

The oildrum.com is also a fantastic site for information.

I had a browse Redfx, thx.....

The thing is, they get their 25-year ''average'' figures from a graph like this?:

That's fine and all but what I see from that graph is a declining rate of decline from about 2011-onwards..... BULLISH!!!!!!

You can spin that graph all over the place but that's the way it will be spun IMO - and we know how bullish a declining rate of decline can be! It's human nature (unless you're a pessimist) and it will be what it will be.

Then again, I'm not a geo-physicist (gregb?) so I'll just be along for the ride, but I'll ask Jesus for some stock tips tomorrow during The Rapture (dum dum dummm, boom!). I wish there was a ''crack of thunder'' emoticon with accompanying sound to follow apocalyptic terms like that.

Hey Jcon...the longer term outlook for oil seems to be bullish. Add into the mix all the geo-political stuff, the black swans we don't yet know of yet, and it is one volatile cock tail potentially. From my understanding of it, it is certainly not that we are running out of oil, but it is the geological restriction that we can only extract a certain amount per day. I m sure there will be new types of energies in the future once oil is high enough, and many are in the pipeline already excuse the pun, but usually big changes in history are met with a period of struggle and adaption, which I guess is just nature and a trait within all evolutionary species. Action and change is the insignia of life.

The other way I look at it is this. If you consume oil and energy related products ( as we all do in some way, direct/indirect) then some exposure to energy will act as a hedge on living standards, as it goes up in price, then it will offset living costs, even if it is call options on some of the energy ETF, and a few call options way out of the money, dated out 24 months for the potential of civil unrest, or Israel bombing Iran or something to that effect. Although I should be moving back to Bangkok at some point in the not too distant future, the price of petrol, heating oil here in the UK is scary. The cooking gas ran out half way through making a curry the other day.Went down to the local garage to get a new tank, and it has now doubled in price from a year ago. The same with electricity, it is up by about 40% over a couple of years. I like doing a bit of hillwalking, which involves driving to the hills, petrol is about £1.38 a litre...a tank hardly takes you anywhere. Luckily I work at home, but I do not know how people with a family, a car, kids to feed on an average wage are surviving with these costs. I advised people a few years ago to buy some real assets and look at it as insurance against the future. Unfortunately they didn't.

On the Borders thing. Yeah there were a few in the UK. They were the best book shop we had here. I would say there will be quite few more retail casualties over the next year or so.

[jcon]

I pretty much agree with everything you posted above, Redfx.

An ''energy-hedge'' is a must, though it is sad that the effect is effectively regressive in that any marginal increases in ''energy costs'' are going to affect the poor more than the rich. But again, I'm neither a geo-physicist nor a politician so I have no answers there, like I said I will just have to go with the flow.

I imagine the only contention I have would be the ''real assets'' you mentioned. I'm guessing PMs? I would rather have land over PMs but then again property taxes in the west are retarded (if I may use that word). And just like the regressive nature of any tax on energy, the high cost of property and the associated taxes keep the poor out of the game, so the cycle is vicious. In that regard, I'd say that PMs allow people who otherwise would not be able to ''hedge'' a chance to do so, but there is much danger in a commodity-play. Just my 2 cents, but we're on the same page for the most part.

[RedFxTrade]

I pretty much agree with everything you posted above, Redfx.

An ''energy-hedge'' is a must, though it is sad that the effect is effectively regressive in that any marginal increases in ''energy costs'' are going to affect the poor more than the rich. But again, I'm neither a geo-physicist nor a politician so I have no answers there, like I said I will just have to go with the flow.

I imagine the only contention I have would be the ''real assets'' you mentioned. I'm guessing PMs? I would rather have land over PMs but then again property taxes in the west are retarded (if I may use that word). And just like the regressive nature of any tax on energy, the high cost of property and the associated taxes keep the poor out of the game, so the cycle is vicious. In that regard, I'd say that PMs allow people who otherwise would not be able to ''hedge'' a chance to do so, but there is much danger in a commodity-play. Just my 2 cents, but we're on the same page for the most part.

Yeah I would use PM,s but I m not passive. For example, I would trade the USD upswings, last year I shorted the AUDUSD during the Greek crisis, and I m expecting a fair USD rally in the coming weeks and months. I went long USDCHF, and I m short AUDUSD again for fundamental reasons. But yes land, farm land especially will be a good hedge also, as you can utilise the land. I have started growing stuff like rocket salad plants, parsley, spring onions, coriander, basil, tarragon etc, and try to buy large bags of rice and pulses such as lentils and that. Once you have the spices, and herbs you can cook for cheap. Its not primarily about money though, its the health side and I think you feel better being independent and eating well.

So true about the poor getting hurt the most I remember reading an article that due to property taxes you never actually own your property in the West, sad....Good video on 21 Evils of Inflation...

http://video.google.com/videoplay?docid=-6484061137769305763#

[RedFxTrade]

http://www.guardian....mf-strauss-kahn

Gormless Brown, Saviour of the World, is launching his bid to fill the vacuum at the top of the IMF.

Gordon Brown will stake his claim to be the next head of the International Monetary Fund with a speech in South Africa on Friday urging rich western nations to meet their pledges on education to the world's poor.

Bully Boy Brown is looking to lever himself up into the chair on the backs of the children.

Unless we take the action we are proposing there is no chance of meeting the education MDG [millenium development goal]. That's a betrayal of children."

But what on earth is this?

Brown, however, is highly regarded in Africa for his work on debt relief and development

Gimme a break, the man has plunged the UK into more debt than it has had since the universe formed and steadily brought education standards down to enable even the most moronic idiot to gain a qualification. "No failed students of the education system in the UK".

Which particular aspect of debt has Brown relieved?

I know what a joke Brown is...total ignoramus.

This is funny. Watch Browns stupid grin when it was said that he sold Britains Gold reserves right at the bottom...IS that something to smirk and grin about?

[churchill]

I pretty much agree with everything you posted above, Redfx.

An ''energy-hedge'' is a must, though it is sad that the effect is effectively regressive in that any marginal increases in ''energy costs'' are going to affect the poor more than the rich. But again, I'm neither a geo-physicist nor a politician so I have no answers there, like I said I will just have to go with the flow.

I imagine the only contention I have would be the ''real assets'' you mentioned. I'm guessing PMs? I would rather have land over PMs but then again property taxes in the west are retarded (if I may use that word). And just like the regressive nature of any tax on energy, the high cost of property and the associated taxes keep the poor out of the game, so the cycle is vicious. In that regard, I'd say that PMs allow people who otherwise would not be able to ''hedge'' a chance to do so, but there is much danger in a commodity-play. Just my 2 cents, but we're on the same page for the most part.

I was wondering if the latest run up in Silver was related to the Japan Disaster and negative views on Nuclear - in relation to Solar ? Also helped by higher Oil prices /

Land is OK but if there is a downturn - at what price would you be able to sell - Make take time .... at least PM's can be traded reasonably quickly /

[churchill]

Quote RedFxTrade.....

'I know what a joke Brown is...total ignoramus.

This is funny. Watch Browns stupid grin when it was said that he sold Britains Gold reserves right at the bottom...IS that something to smirk and grin about?

'

Ha Ha - what a disaster - Sack Politicians - Sack the EU

Edited May 20, 2011 by churchill

[RedFxTrade]

I pretty much agree with everything you posted above, Redfx.

An ''energy-hedge'' is a must, though it is sad that the effect is effectively regressive in that any marginal increases in ''energy costs'' are going to affect the poor more than the rich. But again, I'm neither a geo-physicist nor a politician so I have no answers there, like I said I will just have to go with the flow.

I imagine the only contention I have would be the ''real assets'' you mentioned. I'm guessing PMs? I would rather have land over PMs but then again property taxes in the west are retarded (if I may use that word). And just like the regressive nature of any tax on energy, the high cost of property and the associated taxes keep the poor out of the game, so the cycle is vicious. In that regard, I'd say that PMs allow people who otherwise would not be able to ''hedge'' a chance to do so, but there is much danger in a commodity-play. Just my 2 cents, but we're on the same page for the most part.

I was wondering if the latest run up in Silver was related to the Japan Disaster and negative views on Nuclear - in relation to Solar ? Also helped by higher Oil prices /

Land is OK but if there is a downturn - at what price would you be able to sell - Make take time .... at least PM's can be traded reasonably quickly /

Churchill, I think the JPY "devaluation" played a major part in the spike in Silver and the coordinated actions of the central banks. This was a huge wave of liquidity going into the system, and other currencies and assets as a mathematical function went up, as the attractiveness of the JPY as a carry funding currency become more apparent. The markets began to anticipate the intervention and when it finally came, silver soared from what appeared a consolidated period, along with the AUD and NZD, against the JPY and the USD. I think this was one of the main drivers in the final spike up in Silver. The FED had already nearly completed their POMO treasury transactions as part of QE2, well ahead of schedule for June, just as the market had began to price in Qe2 last August a few months before it was announced, there is every reason to believe that they were beginning to price in the end a month or so before the official "end". The icing on the cake for the risk rally was IMHO and from looking at the huge surge in currencies at the time and USD and JPY plunge was this intervention.

Edited May 20, 2011 by RedFxTrade

[churchill]

I pretty much agree with everything you posted above, Redfx.

An ''energy-hedge'' is a must, though it is sad that the effect is effectively regressive in that any marginal increases in ''energy costs'' are going to affect the poor more than the rich. But again, I'm neither a geo-physicist nor a politician so I have no answers there, like I said I will just have to go with the flow.

I imagine the only contention I have would be the ''real assets'' you mentioned. I'm guessing PMs? I would rather have land over PMs but then again property taxes in the west are retarded (if I may use that word). And just like the regressive nature of any tax on energy, the high cost of property and the associated taxes keep the poor out of the game, so the cycle is vicious. In that regard, I'd say that PMs allow people who otherwise would not be able to ''hedge'' a chance to do so, but there is much danger in a commodity-play. Just my 2 cents, but we're on the same page for the most part.

I was wondering if the latest run up in Silver was related to the Japan Disaster and negative views on Nuclear - in relation to Solar ? Also helped by higher Oil prices /

Land is OK but if there is a downturn - at what price would you be able to sell - Make take time .... at least PM's can be traded reasonably quickly /

Talking energy - I notice Thorium making airwaves again / Anything new Naam - You seemed to be the 'expert ' !

[Naam]

Talking energy - I notice Thorium making airwaves again / Anything new Naam - You seemed to be the 'expert ' !

the last time i bothered with Th was many rainy seasons ago when i was still studying.

[Naam]

Naam, here is a pdf document from elsevier (reputable). Oil Decline The consensus from a range of sources seems to be a decline rates of between 4-8% a year. However, the most seem to be settling around the 6% decline rate. The IEA says 6.7% a year.

"The International Energy Agency (IEA) came to the conclusion that the average production-weighted decline rate worldwide was 6.7% for post-peak fields (IEA, 2008), which means that the overall decline rate would be less, since many fields are not yet in decline."

[Naam]

Land is OK but if there is a downturn - at what price would you be able to sell - Make take time .... at least PM's can be traded reasonably quickly /

nowadays you don't sell land when it's agricultural land and used for agricultural purposes! one of the real estate deals of Mrs Naam (which i considered a "lukewarm fart" in 2007) turned out to be an excellent investment even though the land is only partly used (leased out) and the proceeds are ~20% of what is grown on this part.

as far as other real estate deals are concerned i stay put. had my fair share of deals and never made a single penny profit but incurred in two cases considerable losses

[RedFxTrade]

Naam, here is a pdf document from elsevier (reputable). Oil Decline The consensus from a range of sources seems to be a decline rates of between 4-8% a year. However, the most seem to be settling around the 6% decline rate. The IEA says 6.7% a year.

"The International Energy Agency (IEA) came to the conclusion that the average production-weighted decline rate worldwide was 6.7% for post-peak fields (IEA, 2008), which means that the overall decline rate would be less, since many fields are not yet in decline."

Ok 6% then ...And remember since that report quite a few fields have went into terminal decline, Egypt is now net importer after being net exporter, one of the catalysts for the revolution, Mubharak could not appease the people anymore by giving them cheaper fuel and wheat. Mexico also, and the North sea oil is not looking too hot.

[Naam]

Ok 6% then ...And remember since that report quite a few fields have went into terminal decline, Egypt is now net importer after being net exporter, one of the catalysts for the revolution, Mubharak could not appease the people anymore by giving them cheaper fuel and wheat. Mexico also, and the North sea oil is not looking too hot.

assuming the figures "proven reserves" are correct my maths says "less than 3%". but to me it does not really matter. reason: my statistical remaining life span. should a miracle happen, meaning i will still be kicking when the last drop of crude is pumped, i will accept it and shout at the big-boobed nurse who is pushing my wheelchair "YEE-HAW!"

[churchill]

Land is OK but if there is a downturn - at what price would you be able to sell - Make take time .... at least PM's can be traded reasonably quickly /

nowadays you don't sell land when it's agricultural land and used for agricultural purposes! one of the real estate deals of Mrs Naam (which i considered a "lukewarm fart" in 2007) turned out to be an excellent investment even though the land is only partly used (leased out) and the proceeds are ~20% of what is grown on this part.

as far as other real estate deals are concerned i stay put. had my fair share of deals and never made a single penny profit but incurred in two cases considerable losses

Agricultural Land - where to buy , cost , on going costs , weather , which crop etc - Lots of problems very hard work and expensive - sounds a bit like those that dream of owning a bar to retire - Easy to say Very hard to do /

I have investments in land on Samui - has been good in the past but at this time more people want to leave than stay - So dead as a dodo- Lots of Coconuts though incase Madona's Coconut water fad takes off !

[RedFxTrade]

Going to be an interesting month or two;;;

1. Norway just announced will stop making payments to Greece...Euro tanking so someone knows. Twitter released, but not on the major newswire yet.

2. Large protests in Spain, bond yields soaring today, the young there want to over throw the government.

3. Spanish 10 year bond reaching top of channel, very much looks like it is going to break out Spanish 10 yr. An uptrend followed by a sideways consolidation usually favours a break to the upside.

All in all, not looking too good for the Euro, and European banks at the moment.

[Naam]

Agricultural Land - where to buy , cost , on going costs , weather , which crop etc - Lots of problems very hard work and expensive - sounds a bit like those that dream of owning a bar to retire - Easy to say Very hard to do /

for most of us it is indeed very hard to implement. that's the reason why i called it a "lukewarm fart" four years ago but stand corrected now. in many countries there is no hard work involved by the owner of the land because it can be leased out. and if the demanded share of the crop is fair there it is no problem to find people who work the land and take care of each and everything. owning land nowadays is also a matter of wealth diversification even without any substantial current yield, especially when there is a surplus of capital income which is not needed to cover living expenses.

[flying]

Agricultural Land - where to buy , cost , on going costs , weather , which crop etc - Lots of problems very hard work and expensive - sounds a bit like those that dream of owning a bar to retire - Easy to say Very hard to do /

Dont tink too mut

IMHO

Everyone should have some land & grow some food.

Does not have to be with business in mind but self-reliance is nice to have these days.

[12DrinkMore]

Everyday something new.

Today I stumbled across the City of London. Well, not physically, I'm still in Thailand.

This small area in the middle of London is essentially a separate state, with its own governance, including its own police force.

http://www.newstatesman.com/economy/2011/02/london-corporation-city

http://taxjustice.blogspot.com/2009/02/corporation-of-london-state-within.html

And how many know all that?

[midas]

IMHO i believe there isn't a hope in hell of employing the hundreds of millions

around the world who are currently jobless and the PTB are spreading lies and false hope.

What is there for people to do ? ! Governments don't even have enough money to

employ people to dig holes and refill them even if they wanted to.

This perpetuation of the lie is crazy. There can only be 2 scenarios - admit to people

without skills and education there will never be enough tasks for them to do

OR

pay these people a pittance generated from an aggressive tax system in which case the

consumer model we had before is dead and buried because people will never again have

the disposable income in their pockets to keep the consumerism model alive.

And no one employed ( and obviously unemployed ) will ever be able to pay the mortgages

required if homes are pegged at anywhere near current valuations.

[BlackJack]

things that come out in the wash after the GFC

[Naam]

things that come out in the wash after the GFC

i wish that everybody would take time and post that kind of elaborate and precise personal opinions

[cloudhopper]

Outstanding interview IMO -

http://www.zerohedge.com/article/co-founder-reagonomics-paul-craig-roberts-there-probably-more-democracy-china-there-west

[flying]

Level headed as usual IMO...........

Stop Raising the Debt Ceiling

The federal government once again has reached the limit of its legal ability to borrow money, meaning it cannot issue new Treasury debt without action by Congress to increase the debt ceiling limit. As of this month, our “official” national debt- which doesn’t include the staggering future payments promised to Social Security and Medicare beneficiaries- stands at $14.2 trillion.

The debt ceiling law, passed in 1917, enables Congress to place a statutory cap on the total amount of government debt rather than having to approve each individual Treasury bond offering. It also, however, forces Congress into an open and presumably somewhat shameful vote to approve more borrowing. If the new Republican majority in the House of Representatives gives in to establishment pressure by voting to increase the debt ceiling once again, you will know that the status quo has prevailed. You will know that the simple notion of balancing the budget, by limiting federal spending to federal revenue, remains a shallow and laughable campaign platitude.

It is predictable that Congress will once again merely delay the inevitable and raise the debt ceiling, after the usual rhetoric about controlling spending, making cuts, and yes, raising taxes. We have heard endless warnings about how irresponsible it would be to “shut down the government.” The implication is that sober, rational, mature pundits and politicians understand reality, while those who oppose raising the debt ceiling limit are reckless ideologues who will harm the economy just to make a point.

But like any debtor that has to reduce its spending, the federal government simply needs to establish priorities and stop spending money on anything other than those priorities. Interest payments on our federal bond debt likely will amount to about $500 billion for fiscal year 2011, an average of $41 billion per month. Federal tax revenues vary by month, but should total around $2 trillion to $2.5 trillion for FY 2011-- an average of perhaps $180 billion per month. So clearly the federal government has sufficient tax revenue to make interest payments to our creditors. For now, those interest payments represent about 12% of the total federal budget.

What nobody wants to admit is this: even if the federal government has only $1.5 trillion remaining to spend in 2011 after interest payments, this is PLENTY to fund the constitutional functions of government. After all, the entire federal budget in 1990 was about $1 trillion. Does anyone seriously believe the federal government was too small or too frugal just 20 years ago? Hardly. So why have we allowed the federal budget to quadruple during those 20 years?

The truth is, in spite of how cataclysmic some might say it would be if we did not pass a new debt ceiling, it is hardly the catastrophe that has been advertised. The debt ceiling is a self-imposed limit on borrowing. The signal congress sends to worldwide markets by raising the debt ceiling is simple: business as usual will continue in Washington; no real spending cuts will be made; and fiscal austerity will remain a pipe dream.

When our creditors finally wise up and cut us off, we will be forced to face economic realities whether we want to or not. It would be easier to deal with the tough choices we face now, on our own terms, rather than wait until we are at the mercy of foreign creditors. However, leaders in Washington have no political will to admit that we cannot afford to continue spending without any meaningful limit. They prefer maintaining the illusion and putting off reality for another day.

[12DrinkMore]

Will they Greeks restructure? Will they be allowed to restructure? Can they possibly restructure?

http://blogs.telegraph.co.uk/finance/andrewlilico/100010332/what-happens-when-greece-defaults/

http://www.bloomberg.com/news/2011-05-24/noyer-rules-out-greek-debt-restructuring-says-austerity-is-only-solution.html

The 2010's are becoming the "Western Austerity Decade".

Who can and will pull the plug on Greece?

Can the can be kicked along the road far enough into the future by some means or other to enable

1. the Greeks to change their attitude to working, ridiculously early retirement and paying taxes?

2. enable the idiots that lent them so much money to bring down the level of debt where it won't cause contagion in the dam_n finance industry to write it off?

3. allow the Irish, the Spanish and the Portuguese time to fix their respective financial messes?

[RedFxTrade]

Will they Greeks restructure? Will they be allowed to restructure? Can they possibly restructure?

http://blogs.telegra...reece-defaults/

http://www.bloomberg...y-solution.html

The 2010's are becoming the "Western Austerity Decade".

Who can and will pull the plug on Greece?

Can the can be kicked along the road far enough into the future by some means or other to enable

1. the Greeks to change their attitude to working, ridiculously early retirement and paying taxes?

2. enable the idiots that lent them so much money to bring down the level of debt where it won't cause contagion in the dam_n finance industry to write it off?

3. allow the Irish, the Spanish and the Portuguese time to fix their respective financial messes?

Bond Yields and Greek Credit Default Swaps say no.

The behaviour of bank stocks also says no...

But they ll try...The more worrying aspect is Spain and Italy. Spain in political turmoil also. No one will be able to implement the austerity measures needed. It is going to be very interesting to see how this works out.