Sunday, April 25, 2010


Lets get this game straight. This is a game of who blinks first. In other words...which developed country is going to lose their first first finger sticking it into the beast's mouth. The Central Banker's cabal needs a sucker and is prodding the Eurozone to save its currency by committing to the stability of the European union and stepping up and propping up the bad boy gyro eating greek spendthrifts. What they should be doing is telling those oozo swilling hooligans to bend over and take it like greeks. After all as soon as this bailout takes place the savior is going to be in the quicksand too.

Or better yet lets assume that they(euro slaves) somehow put together a package that somehow saves Greece for a year. For little ol Greece to cause THIS much problem to save and I am not sure that it will even occur but say it does........THEN HOW IN HELL are they going to save the next PIIG country...and the next....and the next. Not to mention the Baltics. Yeh baby .....sure saving Greece for a few months might happen but at what cost?? Do you believe that Germany is going to sink their econmy to save Greece's socialized mess? AT what cost to Germany??? I don't see it. Kiss the Euro goodbye if they do.

April 26 (Bloomberg) -- Greece moved toward securing an emergency aid package before debt payments come due in mid-May as Finance Minister George Papaconstantinou warned investors they will “lose their shirts” if they bet the cash-strapped nation will default.

Speaking to reporters in Washington as he negotiated a three-year loan plan with the International Monetary Fund and European governments, Papaconstantinou said money will be available “rather soon” and his country wouldn’t restructure its debt. IMF Managing Director Dominique Strauss-Kahn said talks will end “in time to meet Greece’s needs.”

With 8.5 billion euros ($11.3 billion) of Greece’s bonds maturing May 19, any delay in assistance may trigger another sell-off in its assets and hurt global markets. Debt totaling 115 percent of gross domestic product in 2009 and a budget gap of almost 14 percent have some investors concerned Greece can’t fund itself, forcing it to seek a lifeline of as much as 45 billion euros for this year alone.

Greece’s fiscal crisis dominated the weekend meetings in Washington of finance ministers and central bankers from around the world. Those from the Group of 20 pledged “credible” strategies to withdraw economic stimulus as the global recovery beats expectations. They failed to narrow a split over whether to tax banks to pay for rescues and chose not to intensify pressure on China to let its yuan gain.

Greek Eclipse

“Greece has eclipsed everything,” said Sophia Drossos, co-head of global foreign-exchange strategy at Morgan Stanley in New York. “It’s a fluid and fast-moving situation that has captured the attention of markets not least because it has the potential to be a systemic threat.”


  1. Kli, what your take on GFI, what is a good entry point. If AUY has a pull back I will buy some more. Great article. Thanks Woodcarver

  2. GDX is forming a new lower channel...with miners demonstrating potential breakout....GFI has solid support at 10.88. I have a position already ...if you don't have aposition then build at 12.97 Monday. 13.13 is resistance if that breaks then 14.16

  3. Thanks Kli for the read on GFI. Will built a postion Monday . Thanks again for the information. Woodcarver

  4. This has to be your funniest lead in so far. If it wasnt so close to my performance appraisal and I had larger cojones, I would cut and paste it and email it to my greek boss.

    I do see them getting bailed out but like you say its only a temporary measure. It will be interesting to see what happens when the next pig falls.