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TBI: GRSSCE CRUMBLES

Joe Weisenthal | Feb. 10, 2010, 5:17 PM | 1,051
The Business Insider

Another day and still no bailout for Greece.

The bottom line is that there are no good options.

Let's review:

-Greece citizens take to the streets in protest.

-Why Greece knows is has the EU over a barrel.

-The nine ways a Greek bailout could work.

-Greece: No good options.

For hot links & stories visit:

http://www.businessinsider.com/grce-crumbles-2010-2

COMMENTS:

Obama World Suckers on Feb 10, 5:43 PM said:

Hey Businessinsider liberal rags: why don't you publish this story??? You follow Zerohedge.com but you're so selective in what you want your readers to know, I wonder why???

http://www.zerohedge.com/article/great-highway-robbery-continues-how-fdic-legally-transferring-billions-taxpayer-money-hedge-

cramerisassmonkey on Feb 10, 5:45 PM said: Offensive

This is a HELLenic contagion with more shoes and dominoes to fall.

Dubai dubacle was the 1st inning in late 2009 and the global markets shrugged off as an exception to greed and excess. Well there are plenty more Dubais on the horizon.

The reason for the rescue led by Germany with France is self-centered. The capital that would flee Greece could affect the entire European economy and the value of the Euro. In other words it can drag the whole EU down with it not to mention the flight to safety as people dump the Euro. A default on the nation’s sovereign paper would also hurt large banks in the region because many hold Greek bonds.

What's worse is that rather reactive precedent will be set with Greece leading to chain reactions as how about the rest of sick STUPID nations like Spain, Turkey, UK, Portugal, Ireland and Dubai?

PS - This can bring the whole global markets down as the leveraged USD carry trades are unwound as USD appreciates. Outcome is multiple LTCM debacle... I fear Great Depression II and even the global turmoil leading to WW III. Far fetched? Perhaps but take a look at the parallels to 1930's and WW II.

cramerisassmonkey on Feb 10, 5:48 PM said:

Expect some ugly trading Thrs and Fri. Call it buy on rumour and sell on news. Devil is in the details and the markets and Greeks may not like the terms and conditions attached to the proposed bail out.

And don't be surprised if the "bad cop" IMF is brought in to rein on the HELLenic tragedy imposing severe austerity measures. BTW - how much can IMF tap into anyway given the sorry state of treasuries of the G20 nations?

IMHO - we might breach the March 2009 low this year if other unforeseen skeletons crawl out like Iranian nuclear weapon testing, Israel pre-emptive strike in Iran, coordinated Al Queda attacks, trade war between US/EU and China, nuclear Pakistan taken over by radicals, etc.

I've been accumulating double short ETFs since Nov 2009 and been buying heavily in last 10 days. Recommend buying with 10% stop loss in case the markets turns up. Good bets are QID (Nas), TWM (Russel 2k) and SDS (S&P).

We are indeed living in the interesting times....