Yield on Spain bond yield hits highest-ever 7%!!! ECB Has Considered Cutting Deposit Rate to Zero!!!

Help? Their asses should be beaten with a friggin stick until they reach nearly melting point. EU management should get all fired by being so close minded and incompetent.

Spain enters danger zone as yields near 7%
Crisis in Spain intensifies MADRID (MarketWatch) — The financial crisis threatening the Spanish government deepened Thursday as its borrowing costs hit a new euro-era high, touching levels that previously forced other euro-zone countries to seek sovereign-debt bailouts. [link to www.marketwatch.com]

zerohedge‏@zerohedge

Tsipras says that if his party comes first in Sunday’s elections, it will signify the end of the EU-IMF memorandum [link to DON'T_USE-THIS]

The "secret" gallops show a win of ND. But as the previous elections they try to show a dynamic towards ND. I think Syriza is going to be the winner and with a win of 3-4%. The interesting is that today Tsipras said for the first time that € shouldn't be above everything, i.e if we cann't make a deal that isn't in favor of the people then we can leave euro. I have a feeling that Tsipras is moving with the blessing of Obama. Obama must be really furious with Germans handling of the case. Will see. Sunday is near

Last Edited by Foveras on 06/14/2012 07:26 AM

Pro bailout parties are likely to win on Sunday!! Breaking! Maybe it's these news that spike the markets

7%.. sell and buy property...

oh, and pray...... if you do....

Last Edited by Citizenperth on 06/14/2012 07:33 AM

1 min zerohedge‏@zerohedge

Two amusing FT headlines: "France Seeks Eurozone Stability Package" promptly followed by "Germany Dashes Eurozone Expectations"

I think not. The reason is that Golden Dawn (nazis party)shows very high rates (9-10% goes for third or fourth party). Goldens dawn pool is from right wing ie ND. If golden dawn get more than 5-6% Syriza will make a big win. Today Athens stock market is rallying. more than 7%. That's not dye o informations that probailout party's are winning but due to informations that even if antibailout partys winn bank are not going to become public

26 s zerohedge‏@zerohedge

Greek Election Election Winner Betting Odds [link to DON'T_USE-THIS]

3 min zerohedge‏@zerohedge

Greek Stock Market Soars On Speculation Tsipras Bluffing

ohedge‏@zerohedge

Spain 10 Y yield continues rising, now back to just 3 bps short of 7.000%

zerohedge‏@zerohedge

@stratosathens Hollande saying Tspiras' platfrom is viable means any polls, made up, secret, or otherwise, are meaningless

7 min zerohedge‏@zerohedge

Hollande just boosted Syriza's victory odds even higher

9 min zerohedge‏@zerohedge

Ekathimerini says Hollande confirms that there is room for renegotation the memorandum.... Merkel will be piiiiiised

Last Edited by Luisport on 06/14/2012 08:10 AM

Both Spain and Italy are at the brink. In the past, the ECB has stepped in and purchased bonds to keep the interest rates low. However, now the ECB's balance sheet has ballooned past all sense of reason, and it's filled with worthless JUNK bonds.

Yet, now the ECB basically has no choice but to intervene and buy up more worthless junk ... lest all of its prior efforts be for naught. Or has the ECB reached its limit?



This is a disaster that will NOT go away.

Italy Trembles On The Brink Of The Impossible

...And Italy is desperate. “Schnell, Frau Merkel,” screamed the front-page headline of the Italian business daily Il Sole 24 Ore. “Hurry up, Ms. Merkel,” an open letter to German Chancellor Angela Merkel, was a plea to do what it would take to save Italy—and thus the Eurozone. “Great Germany is losing its sense of history ... and solidarity with European partners,” the article admonished, despite the hundreds of billions of euros that German taxpayers already committed to the bailouts. It called for immediate action, which would be in Germany’s own interest, and had “at least three” demands:

1. European-wide deposit insurance. Problem: it doesn’t exist yet, and no bank has paid into the fund; thus, it would be taxpayers, particularly Merkel’s voters, who’d have to transfer their wealth to bail out banks and depositors in other countries.

2. Give banks direct access to the bailout fund EFSF. Problem: it was sold to voters as a bailout mechanism for countries, not corporations.

3. Unification of bond yields via Eurobonds. Cost of borrowing would be the same for all countries, raising it for Germany and France, and lowering it for Spain and Italy. A bit “more complicated” to implement, it would require constitutional reforms of all countries as they would give up part of their national sovereignty. A “European constitution” would have to seal it. “Leaders in every country, including France and Germany, must have the strength to convince their electorates of the short- and medium-term benefits.”...


Read more: [link to www.testosteronepit.com]

It is too late ... but all of the Eurocrats are in COMPLETE DENIAL. They're hoping for a miracle, and will keep kicking the can as long as possible.

This One Paragraph Explains Why The Spanish Bailout Has Failed And Contagion Has Worsened

Lombard Street Research's Charles Dumas provides the best summary we've seen so far of why many believe that the bailout is a failing proposition:

The Spanish bail-out was a typical example of half-measures. It seemed clever to insulate Spain a week ahead of the Greek elections, so that “Grexit” could be possible without immediate major contagion into Spain. But Spanish banks needed equity, not debt funding that would leave them as insolvent as before. So the provision of debt funding by the Eurozone required the Spanish government as intermediary, to turn the debt – now effectively national debt – into equity for its banks. So private holders of Spanish government debt have effectively been subordinated – and will be for each further tranche of aid that is needed in future. Thus contagion was worsened, and quickly spread to Italy, which can only too clearly not afford its share of the Spanish bail-out. Additionally, the Greek Socialists’ claim that Europe will willingly renegotiate Greece’s austerity programme was reinforced by the sight of the Eurozone blinking before Spain’s tough negotiating position.


Read more: [link to www.businessinsider.com]

zerohedge‏@zerohedge

Swiss 2 Year -37.3 bps, -5.6 bps on the DAY. 5 Year: -5.4 bps. Only indicator in Europe that is unfudged right now

Spain will become a VERY poor client country controlled by Northern Europe. From this they will never escape. A nice place for Germans to go on holiday cheaply and buy second houses .. very sad for Spaniards as the future is bad for them

BUMP

5-STAR

PIN

zerohedge‏@zerohedge

Not good: ECB Action Needed to Avoid Failed Italian Bond Auction: Daiwa

13 min zerohedge‏@zerohedge

Nowotny: "Too soon to speculate about ECB offering any more 3 year LTROs". First trying to find if have enough Snickers' bars as collateral

So, how much longer until the 'collapse' now??

zerohedge‏@zerohedge

NOWOTNY SAYS SEES EURO AREA ECONOMY CONTRACTING THIS YEAR. as long as debt is rising, all is well

care factor if you got property South... ;)worth more than 800-1200 M

Last Edited by Citizenperth on 06/14/2012 09:43 AM

zerohedge‏@zerohedge

Nowotny: ECB Has Considered Cutting Deposit Rate to Zero

Won't happen in the U.S. for a variety of reasons:

1) Dollar is still the world's reserve currency and will be for the foreseeable future. When the SHTF investors and others always look to the U.S., for obvious reasons.

2) The U.S. can still manage it's debt, as long as it starts to seriously bring down public spending. Japan, Italy, etc. have very, very serious debt issues. Spain will be able to get out of the situation, but it's going to be painful and their unemployment rate is off the charts. Ireland SHOULDN'T HAVE BAILED OUT THE BIG BANKS AND FINANCIAL INSTITUTIONS, but too late. Ireland will be able to handle it's public debt, and it actually demographically has a lot going for it, but it's private debt is off the charts. People were living high off the hog on money they didn't have for a long time. Likewise, Portugal will make it, but Greece? I don't know. They're in a life and death struggle.

unless they are negativity-mortgage.. why go there without a below zero hedge?

250K... ty............

go eat greaps............

Spain: the beginning of the end:
[link to www.youtube.com]
(please note the give-a-fuck-ometer of the politician lady in the background as the guy explains pure apocalypse).

zerohedge‏@zerohedge

Austria Should Consider Remodeling Its Bad Banks, Liebscher Says. Just use the non-existant ESM. Problem solved

as well as the give-a-fuck-ometer of all the MEPs not sitting in their seats..