On many occasions in the last two years when it should have been time to let Greece go to greener pastures, Euro bureaucrats had cold feet and decided to keep the circus rolling for another show.
This time although it could be finally the right time to unload the burden and let Greece default.
Judging from today’s comments the giant Euro Ponzi scheme is reaching the limits of manipulation and it could have been decided to start the end game.
ECB head Draghi says the bank in
Europe have funding problems (aka a liquidity crisis), the Finland
Finance Minister has said he does not want an expansion of the EFSF nor does he
expect a solution on the collateral “row”, saying a Deal on EFSF
Collateral is uncertain, and lastly, Spain’s Salgado has said there is
no need of “quantitative amplification” of the EFSF.
In other words,
with the EFSF meeting
imminent, it appears that pretty much nobody aside from France, and
some Economical PhDs, are any longer concerned about the domino effect, the Euro project or marginally of the necessity to keep Greece afloat.
This could have something to do with the fact that banks which were supposed to be in real danger with a collapse of Greece are already falling with or without a Greek default.
Dexia CDS is skyrocketing and the Sunday Times announced an imminent nationalization of the bank which hold assets amounting to 180% of Belgium’s GDP. It appears Belgium will have to intervene soon with a bailout or total nationalization to prevent the institute premature demise.
At this point to avoid throwing away more money to a lost cause such as Greece it is retrenchment time for the ECB, with all the ideals of European unity being thrown out of the window.