Ireland ‘could default on debt’.

The Sunday Times (UK) ^ | February 15, 2009 | Iain Dey

[PotatoHeadMick]

FEARS are mounting that Ireland could default on its soaring national debt pile, amid continuing worries about its troubled banking sector.

The cost of buying insurance against Irish government bonds rose to record highs on Friday, having almost tripled in a week. Debt-market investors now rank Ireland as the most troubled economy in Europe.

Simon Johnson, the former chief economist of the International Monetary Fund, called for this weekend’s meeting of G7 finance ministers to put Ireland’s troubles at the top of the agenda.

Johnson said: “Don’t, please, tell me more about the basic principles of financial reform unless and until you have addressed the Irish problem. And don’t tell me the Irish have to sort this out for themselves. Eventually, the world always comes to help; check your notes on Iceland.

[sionnsar]

In either case, it might be a cheap place to vacation this summer....

Tha mi a'smaoineachadh... *\;-)

[CapnJack]

“...argues that the Obama administration should move swiftly to take public ownership of those major US banks which are failing.”

The moment any of the big banks are nationalized, people and institutions will move their money to these banks and there will be a MASSIVE run on every non-nationalized bank.
Think about it ... would you want your money in a non-gov’t backed bank? And the FDIC is bankrupt, so don't think they will reimburse you for your lost bank accounts.

[blam]

"Better buy gold (but, can;t tomorrow... we need to celebrate presidents while the REST OF THE WORLD buys gold tomorrow."

I already bought mine. I just bought (friday) 48 more old US silver (90%) dollars for $12.50 each.

[blam]

Banks are closed tomorrow too.

[frankiep]

http://www.amazon.com/Patriots-Surviving-James-Wesley-Rawles/dp/156384155X

[April Lexington]

Boden-Kredit Anstalt anyone?????

[April Lexington]

I think that’s Gaelic for “pass the cabage, we’re broke!”

[April Lexington]

Think about that! An American dollar for $12.50. Ever wonder why the US mint bothers to put $50.00 on each one-ounce American Eagle coin??? That's the new gold-backed dollar after the Federal Reserve Note is worthless. The gubmint has been preparing for a while now...

[UCFRoadWarrior]

If Ireland defaults....the outhouse bottom will realy hit the fan

Ireland had a growing economy....and they are now in trouble.

Get ready for the new Great Depression, its coming

[sionnsar]

I think that’s Gaelic for “pass the cabage, we’re broke!”

You are very close! It's actually (Scots) Gaelic for "Let's pass the cabbage, they're broke!"

(Our personal stimulus bill for Eire... *\;^)

[April Lexington]

Given the Scottish propensity for frugality, I suspect they may have the last laugh! How are the Scottish widows doing these days?

[TomasUSMC]

Tim Geithner must nationalise some of America’s biggest banks
////////////////////
before he does that he needs to put their CEOs in jail with Barney Frank and some of his boyfriends.

[northislander]

Yes, UCFRoadWarrior, we are in a depression and it will become the greatest the world has seen.

The S&P is likely to see 650 by the 26th of this month and under 200 by the end of September. The die is cast.

[marshmallow]

No big deal.

Argentina defaulted in 2001. Life goes on.

[genghis]

The bigger question is when do the Markets start refusing US borrowing? Or, at what interest rate will they accept them?

prez ZerO will fix it.
just hope and change, oh wait paying our bills would not be change, very confusing this hope and change.
For instance, i hope every rat gets some strange std- but i am not sure that would be change.

[dfwgator]

"REMAIN CALM....ALL IS WELL!"

[Centurion2000]

Argentina defaulted in 2001. Life goes on.

Argentina was tied into the Euro.

[meyer]

And the FDIC is bankrupt, so don't think they will reimburse you for your lost bank accounts.

The FDIC is neither more nor less solvent than the federal government as a whole.

[mick]

Paper money is dying......no fiat money in the history of the world has ever lasted.......the FRN is next.....prepare.....do not believe our lying political or financial leaders.....prepare for the day after this happens.....when maybe we can return to honest money backed by something other than a wish and a prayer.....prepare

[HangnJudge]

Ukraine has headed a list of countries, which, according to United Nations economists, could run the risk of default in 2009. The UN experts drew the conclusion in their report entitled "World Economic Situation and Prospects 2009".

According to them, the situation is really difficult in Ukraine. The country dramatically loses the confidence of its investors. Ukraine has become No country in terms of its industrial production decline, inflation growth, devaluated national currency and a stock index fall. The experts predict that Ukraine's economic growth will slow down to 2.1% this year, unemployment rate will double, while inflation will remain unchanged at the level of 2008

Fears are growing that Ireland could default on its national debt after the cost to insure against possible losses on loans to the country rose to record highs at the end of last week.

Credit ratings agency Moody's recently followed rival Standard & Poor's in warning it might downgrade Irish debt, amid fears that one of Europe's former success stories is falling into a deepening recession. The cost to hedge against losses on Irish debt tripled last week to a record 355 basis points - meaning that for every £100 of debt, investors have to pay £3.55 to insure against default, according to data firm CMA Datavision. It was about 262 basis points at the end of January.

Moody's has warned there is a more than 50% chance Ireland will lose its triple A rating within 12 to 18 months.

The spread between Irish and German debt rose last week to 203 points, meaning Ireland has to pay 2% more interest than Germany to borrow in the financial markets because of its perceived higher risk.

http://www.guardian.co.uk/world/2009/feb/16/ireland-debt-recession

Meanwhile, Icelandic interest rates have been catapulted to 15.5 per cent, peaks not seen in Britain since Black Wednesday, in an attempt to rein in inflation. The krona's freefall on the international currency markets is surpassed only by the catastrophic failure of Zimbabwean currency. One of the country's three banks, Glitnir, has been nationalised; another wants money from its customers. Foreign currency is running out as international banks refuse pleas to lend money.

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/3147866/Financial-crisis-Icelands-dreams-go-up-in-smoke.html