Dedicated to Deposits: Deals, Data, and Discussion
Featured Savings Rates
Featured Accounts
Back to General Discussion

Default By Greece ‘Almost Certain’: Greenspan

Thursday, June 16, 2011 - 9:56 PM
Greenspan says alot here, like:
The U.S. debt issue is becoming “horrendously dangerous,” said Greenspan, who added he doubts lawmakers have another year or two to solve it.

http://www.bloomberg.com/news/2011-06-16/default-by-greece-almost-certain-greenspan.html
Alan Greenspan, former Federal Reserve chairman, said a default by Greece is “almost certain” and could help drive the U.S. economy into recession.

4
MikeMike327 posts since
Feb 22, 2010
Rep Points: 875
1. Friday, June 17, 2011 - 12:24 PM
Nope. Everything is fine again just in time to save Friday's European stock market close. Amazing how that occurs all the time.

http://www.bbc.co.uk/news/business-13809433
2
ShorebreakShorebreak2,371 posts since
Apr 6, 2010
Rep Points: 12,648
2. Friday, June 17, 2011 - 12:55 PM
You'd like to think that... wouldn't you... (think princess bride movie sound bite).

I know I don't know how this will play out.  But it's "fun" to try to figure it out, right?  Plus, Greenspan did say, "almost certain."  So, no matter what happens, if he "seem(s) unduly clear to you, you must have misunderstood what (he) said."  Anyway, here's another take on it, Shorebreak  :-)



IMF warns of increased risks to the world economy

http://www.bbc.co.uk/news/business-13806383
The fund warned that the continuing Greek debt crisis could destabilise the global financial system.

Many analysts believe Greece will not be able to pay back all the money it has borrowed.

"I don't think there is a question over whether Greece is going to default, it is just a question of whether it is an orderly or disorderly one," says George Magnus, senior economic adviser at UBS.

2
MikeMike327 posts since
Feb 22, 2010
Rep Points: 875
3. Friday, June 17, 2011 - 5:27 PM
Of course I believe Greece will eventually default. Just like Spain and Portugal will, down the road. It will be interesting to see how this plays-out regarding currency fluctuations. If Bernanke doesn't do anything stupid the dollar might come-out pretty good in the end. But alas, I don't doubt that Helicopter Ben will make a move to blow-up the dollar. Purely based on his past performance.
1
ShorebreakShorebreak2,371 posts since
Apr 6, 2010
Rep Points: 12,648
4. Friday, June 17, 2011 - 6:15 PM
I still say the fix was in to keep the equity markets from sinking further...

http://www.bloomberg.com/news/2011-06-17/euro-weakens-before-eu-leaders-meet-on-greece-rescue-oil-metals-advance.html
1
ShorebreakShorebreak2,371 posts since
Apr 6, 2010
Rep Points: 12,648
5. Friday, June 17, 2011 - 6:52 PM
Shorebreak, you and I agree there is manipulation afoot...  to perhaps the highest degree.  Bernanke, at least, stated that from the start.  Before implementing his strategy, he clearly said he wants to keep rates low and the stock market to rise.  He does claim a disconnect from the dollar's value and inflation, to a strong degree, but I kind of think he's been open about his purposeful manipulation.

If he truly is able to keep rates low, then America is going to have a better chance at getting out from under this increasing and crushing debt (regarding keeping our interest payments in check).  But he needs HELP from all politicians to take a fiscally conservative position (in my -- limited knowledge -- opinion).

But...  I question whether he really can control interest rates and the market for as long as the politicians believe he can.  That's where greek bonds at 30% ought to make all Americans turn white with the stunning realization that we are running out of time.

You know, for all the ridicule he gets, Marc Faber has had this pegged since I started tracking him in 2007.  No one wants to hear what he has to say, cause it's downright scary.  But he has called the ups (yes he calls ups) and downs in the stock market, the ups and downs (yes he calls downs) in the precious metals market, he called the riots, the political upheaval, and even bond rates hitting 30%...  and he fully predicited helicopter Ben's strategy.  I found out about Marc Faber in subscribing to Barron's ...he's on the round table.  He is also on Bloomberg and CNBC.  He calls it as he sees it.  For all the criticism...  he's usually right.

I didn't know him in 2007 enough to trust his calls, nor did I have enough money for it to have made that much of a difference.  But, had I actually acted on his calls, I would have made alot and lost very little.  Hindsight.  And, does that mean his calls in the future will be accurate???  I have no idea :-)
1
MikeMike327 posts since
Feb 22, 2010
Rep Points: 875
Reply