_w_ Posted June 16, 2011 Share Posted June 16, 2011 (edited) Perhaps they will, perhaps they won't. But the world is a different place now with China and India industrialising. It would be interesting to see how Germany coped with a much stronger currency and more competition over time in their export markets. As it is, they've been moving production out of Germany to lower cost regions for some time. Why are German jobs so special? I don't think this is a given. They have two things going for them: one, they have thrived with a strong currency policy for over 60 years; and two, they seem to be thriving even more now that China and India are creating millions of would-be BMW drivers. Not that I am confident that the later will last very long mind you, but to date their record and the benefits of a strong currency approach speaks for itself. The only alternative I have seen is the weak currency inflation / devaluation approach: it encourages club med countries to fart around all day with a 'property ladder' and moan about the Germans, and they don't work and invest to sell things to those Germans or compete with them by making better products. Each devaluation brings relief but is very shortly followed by the same predicament of excessive prices and further misallocation of capital due to inflation. Is this not partly why they're perfectly happy to keep the Piggy crisis going and the Euro lower v USD? Back at 1.60 I don't remember their exporters calling for an even stronger Euro, quite the opposite. IIRC it was the French doing the whining which is unsurprising from a high inflation country: _they_ need a lower euro. Edited June 16, 2011 by _w_ Quote Link to comment Share on other sites More sharing options...
bendy Posted June 16, 2011 Share Posted June 16, 2011 I find this ongoing barrage of empty statements from G-Pap, the ECB, the IMF, Van Rumpuy et al absolutely hilarious. THERE IS ONLY ONE OUTCOME YOU MUPPETS they won't let anyone take a haircut. however one day they will all wake up and find themselves bald. Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 (edited) http://www.ft.com/cms/s/0/d8e302f2-980b-11e0-85e9-00144feab49a.html?ftcamp=rss#axzz1PSTxcLKy Greek debt worries spread to Spain By Miles Johnson in Madrid and David Oakley in London Published: June 16 2011 13:38 | Last updated: June 16 2011 14:04 The cost of Spanish borrowing soared to 11-year highs on Thursday as political turmoil in Greece raised fears of contagion in the eurozone debt crisis and sent investors scurrying for safety. Spanish 10-year bond yields, which move inversely to prices, jumped to 5.74 per cent at one point, above the closing high of 5.63 per cent seen in September 2000. . Its like watching a volcano--lots of rumbles, the occasional flare up, then a bit of quiet, then a few more rumbles before the big bang. IMO, we are close to the big bang. Just needs a bond sell off frenzy and world markets will go ballistic. I wonder where the safe haven might be? Edited June 16, 2011 by Realistbear Quote Link to comment Share on other sites More sharing options...
bendy Posted June 16, 2011 Share Posted June 16, 2011 I wonder where the safe haven might be? bitcoins? Quote Link to comment Share on other sites More sharing options...
Deckard Posted June 16, 2011 Share Posted June 16, 2011 (edited) IMO, we are close to the big bang. Just needs a bond sell off frenzy and world markets will go ballistic. Yep - I'm soooo happy my money is not tied down in bricks & mortar right now... Sorry RB, it was too tempting Edited June 16, 2011 by Greener Pastures Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted June 16, 2011 Share Posted June 16, 2011 I wonder where the safe haven might be? KBR. Halliburton. Blackwater. CACI. Titan. General Dynamics. Raytheon. Lockheed Martin. BAE Systems. Boeing. Northrop Grumman. Honeywell. etc... Quote Link to comment Share on other sites More sharing options...
_w_ Posted June 16, 2011 Share Posted June 16, 2011 Yes but Juncker said they were going to do a 'smart reprofiling' so all will be well. Until tomorrow... Quote Link to comment Share on other sites More sharing options...
_w_ Posted June 16, 2011 Share Posted June 16, 2011 (edited) bitcoins? Isn't that a pyramid? ... scheme? Edited June 16, 2011 by _w_ Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted June 16, 2011 Author Share Posted June 16, 2011 Quick more debt is needed to solve the debt crisis. I think we should just double Spains debt, that should fix it. Where's AA3 when you need him. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted June 16, 2011 Author Share Posted June 16, 2011 Isn't that a pyramid? ... scheme? Isn't the global economy? Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 KBR. Halliburton. Blackwater. CACI. Titan. General Dynamics. Raytheon. Lockheed Martin. BAE Systems. Boeing. Northrop Grumman. Honeywell. etc... I have been stocks lite for awhile now but may have to keep a sharp eye on my bond funds--nearly all ST and less vulnerable to big shocks. Honeywell is intruiging--the analysts don't like it and the more negaive optinion they get the higher they go. If the Eurozone does go into meltdown there will be some huge investment opportunities--mostly in backing the right currency as money will pour out of the Euros into what is peceived to be safest in the ST and I doubt it will be Rubles or Yuan. Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted June 16, 2011 Share Posted June 16, 2011 I have been stocks lite for awhile now but may have to keep a sharp eye on my bond funds--nearly all ST and less vulnerable to big shocks. Honeywell is intruiging--the analysts don't like it and the more negaive optinion they get the higher they go. If the Eurozone does go into meltdown there will be some huge investment opportunities--mostly in backing the right currency as money will pour out of the Euros into what is peceived to be safest in the ST and I doubt it will be Rubles or Yuan. Any big defence contractor is a good punt when you have America threatening to open up the most of the Middle East and Africa into their theatre of operations. Morality is out the window of course, but sometimes it pays to suck Satan's c0ck. Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 Any big defence contractor is a good punt when you have America threatening to open up the most of the Middle East and Africa into their theatre of operations. Morality is out the window of course, but sometimes it pays to suck Satan's c0ck. I think the US would prefer to let we and the French deal with Ghadaffi. The cull in Syria will also go unhindered as that nice Mr. Putin and the Chinese like Mr. Assad. Best to let the ME Mullahds and Sheiks just kill their people off if they rebel as it is a better alternative to the extreme religious Mullahs taking over. Best the West do nothing and try to contain it if it leaves their shores and leads to bombs in London. Quote Link to comment Share on other sites More sharing options...
MrFlibble Posted June 16, 2011 Share Posted June 16, 2011 KBR. Halliburton. Blackwater. CACI. Titan. General Dynamics. Raytheon. Lockheed Martin. BAE Systems. Boeing. Northrop Grumman. Honeywell. etc... Sad but true. Growth from making things that destroy then growth from rebuilding the shit they flattened. Still what better way to use up the remaining oil reserves Quote Link to comment Share on other sites More sharing options...
cashinmattress Posted June 16, 2011 Share Posted June 16, 2011 I think the US would prefer to let we and the French deal with Ghadaffi. Libya has some of the best and most abundant light sweet crude on the planet. UK/France/Europe aren't getting any of it. Quote Link to comment Share on other sites More sharing options...
Zzzzzzzzzzzzzzzzzzzzzzzzzz Posted June 16, 2011 Share Posted June 16, 2011 Vasso Papandreou MP has challenged Papandreou PM (not related) in the PASOK meeting. Interesting. That wasn't expected I don't think! Quote Link to comment Share on other sites More sharing options...
General Congreve Posted June 16, 2011 Share Posted June 16, 2011 KBR. Halliburton. Blackwater. CACI. Titan. General Dynamics. Raytheon. Lockheed Martin. BAE Systems. Boeing. Northrop Grumman. Honeywell. etc... Indeed, it's my biggest worry. Spoilt liddle Amerwicans throwing their toys out of the pram and going on a global military rampage. Just sell the hummer and get a hatchback you spoilt c4nts. Quote Link to comment Share on other sites More sharing options...
Injin Posted June 16, 2011 Share Posted June 16, 2011 Indeed, it's my biggest worry. Spoilt liddle Amerwicans throwing their toys out of the pram and going on a global military rampage. Just sell the hummer and get a hatchback you spoilt c4nts. The russian soldiers had to walk back when their state collapsed, no money for fuel. From Afghan. Quote Link to comment Share on other sites More sharing options...
General Congreve Posted June 16, 2011 Share Posted June 16, 2011 The russian soldiers had to walk back when their state collapsed, no money for fuel. From Afghan. True. Hope it's the same this time round. No good hitting the jackpot if the world goes up in flames. Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 (edited) Libya has some of the best and most abundant light sweet crude on the planet. UK/France/Europe aren't getting any of it. Hmm, and the French are at the forefront of the bombing. Perhaps they are waking up to the threat that the long standing desire by the Moslem states to conquer "Europa" is still underway. Odd that the common people are revolting against the filty rich Mullahs and Sheiks that are raping them under the guise of anti-West decoy tactics (the evil Mr. Cameron and Mr Sarkozy are your real enemies not us--we just like our palaces and worship Allah etc etc). Edited June 16, 2011 by Realistbear Quote Link to comment Share on other sites More sharing options...
General Congreve Posted June 16, 2011 Share Posted June 16, 2011 Oh, this just in too: * Greece 5 year credit default swaps rise to record high 1,850 bps, up 124 bps on day * Spanish 5 year credit default swaps rise to 305 bps, up 18 bps on day * Portuguese 5 year credit default swaps rise to record high 833 bps, up 44 bps on day * Irish 5 year credit default swaps rise to record high 805 bps, up 34 bps on day Anyone have a link to live charts for european bond yields? Can't find one for the life of me, only have this one that is updated twice daily: Money Week Bond Yield article - charts updated daily Quote Link to comment Share on other sites More sharing options...
libspero Posted June 16, 2011 Share Posted June 16, 2011 But but but... ...who can they turn to?!!! Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 (edited) If it is true that Spanish bonds have hit an 11 month high they are weeks away from being unable to pay their debts and default must not be far behind. It has been said that the EZ can contain Greece, Portugal and Ireland going bust but not Spain. Bout time we had something to break the monotony on HPC.co.uk * * Edited June 16, 2011 by Realistbear Quote Link to comment Share on other sites More sharing options...
Notoryous Posted June 16, 2011 Share Posted June 16, 2011 Yet another desperate dollar ramping thread by RB. Why aren't these consigned to the off topic forum like the gold ramping threads? Quote Link to comment Share on other sites More sharing options...
Realistbear Posted June 16, 2011 Share Posted June 16, 2011 http://online.wsj.com/article/BT-CO-20110616-710994.html By Dawn Kissi Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--As talk of a Greek default intensified and political chaos in the country escalated Thursday, the euro continued to weaken. For the first time in three weeks, the euro fell below $1.41. The decline followed a 1.8% decline against the U.S. dollar Tuesday, when Greek default fears accelerated and euro-zone contagion concerns were renewed. The common currency--which has recovered a bit but remains under pressure--also fell below EUR1.20 versus the safe-haven Swiss franc. World press are adding to the frenzy and striking terror into the hearts of investors who are being pushed to the brink of panic and going to cash. No boring summer this year folks, weather might be shit, but the fun is beginning! Quote Link to comment Share on other sites More sharing options...
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