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Mostrando entradas con la etiqueta ECB. Mostrar todas las entradas
Mostrando entradas con la etiqueta ECB. Mostrar todas las entradas

22 enero, 2016

27 julio, 2015

#Tsipras and #Varoufakis Approve of #HomeEvictions and #Expropriation of #Depositors


Tsipras accord
During their election campaign, the Syriza movement promised the people of Greece an end to the inhumane politics of austerity and the dictatorship of the Troika.

After being elected in January, Prime Minister Tsipras and his Finance Minister Varoufakis negotiated with the EU commission, the ECB and the IMF for almost five months. While fulfilling almost all of their financial demands, Syriza’s leaders openly criticized the “institutions” for their tough bargaining and resisted some of their harshest measures.

At the beginning of July, the Troika tightened its grip on Greece. Tsipras and Varoufakis in return called for a referendum in which the people of Greece took a very clear stance and said “no” to the continuation of austerity politics.

Rather than fulfill this mandate, Tsipras responded with a 180-degree turnaround. He dismissed his finance

24 abril, 2015

#Negative #Interest #Rates. #Debt is Better than #Cash?

Who’s Running the Monetary Asylum Anyway?

GRTV: Mutual Indebtedness: Euro Titanic has Hit the Iceberg

Two days ago Reuters reported the 3 month “Euribor” went into negative interest rate territory. In this missive I will try to make sense of this as to “why or how” this could happen. I do not believe there is an answer other than the madness and insanity of being locked in a “short squeeze” room with the exits being blocked.

Over the last three years we have seen gold trade many times in backwardation, James Turk has reported this again is occurring in London.  The only explanations for this is that market participants either need gold now for whatever reason and will pay a premium to get it …or, they fear not receiving gold contracted for in the future.  The bottom line is this, for backwardation to occur, the “current” gold must be in short supply for some reason.  I believe this is what we are seeing in Europe, “collateral” is in shortage and a short squeeze has pushed pricing into a Twilight Zone without logic.

After gold backwardation came the next head scratcher which began last year where various bonds, bank accounts and even mortgages being written with negative interest rates.  How do any of these make sense?  You “pay” the sovereign or even corporate borrower to lend money to them?  Or a bank pays you to borrow money on a house or property?  Think about the incentives here.  Wouldn’t it be better to just take