Free Republic

So… in the last few months we’ve discovered… EU political leaders were on the dole during the boom times often receiving bribes and then hiding the money via tax evasion schemes. EU political leaders feel it’s acceptable to throw out issues like personal property rights and Democracy during the bust times. EU political leaders are so corrupt they don’t even deny their crimes. When push comes to shove, EU leaders won’t hesitate to STEAL citizens’ money to bail out their banker friends.

Europe Has A Crisis — And It's Much Bigger Than Cyprus Joe WeisenthalMarch 23, 2013REUTERS/Christian Hartmann In a way, Europe should be thrilled by the week that was because financial markets barely batted an eye at the crisis in Cyprus. But Europe has a problem on its hands that's bigger than Cyprus: The economy stinks. This week we got fresh proof that things are bad or getting worse. In France, the Flash PMI report (which is a mid-month look at the combined services and manufacturing sectors of the economy) came in dismal, with the output index falling to a four...

When a group of farmers handed out free fruit and veg in front of the Ministry of Agriculture in Athens Wednesday, they couldn't have predicted the ensuing chaos. In just two hours hoardes of hungry Greeks scrabbled to get their share of 50 tons of hand-outs, which led to skirmishes in the streets and comparisons with Nazi occupied Greece in the World War II. Families and the unemployed queued up to catch rations given out from vans. "Look", an old man gestured on local TV, "they're pulling supplies out of the trucks. It's like war time." "My pension is worth...

Angela Merkel pledged to keep Greece in the eurozone - but her comments failed to convince traders who bet on yet more dangerous procrastination in Berlin and Brussels. After talks with prime minister Antonis Samaras in Berlin, the German Chancellor said she was “deeply convinced” that the new Greek government was “doing everything to solve the problems.” Mr Samaras insisted that Greece “wants time not money.” But Ms Merkel refused to even address Greece’s plea, signalling a continuation of the deadlock at the heart of the debt crisis. The sense of vacuum rather than solution was compounded by revelations that...

Lord Rothschild has taken a near-£130m bet against the euro as fears continue to grow that the single currency will break up. The member of the banking dynasty has taken the position through RIT Capital Partners, the £1.9bn investment trust of which he is executive chairman. The fact that the former investment banker, a senior member of the Rothschild family, has taken such a view will be seen as a further negative for the currency. The latest omen follows news in The Daily Telegraph late last week that the government of Finland is already preparing for the euro’s break-up. RIT,...

Banks, companies and investors are preparing themselves for a collapse of the euro. Cross-border bank lending is falling, asset managers are shunning Europe and money is flowing into German real estate and bonds. The euro remains stable against the dollar because America has debt problems too. But unlike the euro, the dollar's structure isn't in doubt. There is increasing anxiety, particularly because politicians have not managed to solve the problems. Despite all their efforts, the situation in Greece appears hopeless. Spain is in trouble and, to make matters worse, Germany's Constitutional Court will decide in September whether the European Stability...

The IMF is now the de facto leader of the Eurosceptic movement The IMF’s latest report on the eurozone is an astonishing document. When the full history of this episode is written, this "Article IV Consultation" will be cited as a key exhibit. "The euro area crisis has reached a new and critical stage. Despite major policy actions, financial markets in parts of the region remain under acute stress, raising questions about the viability of the monetary union itself." "The adverse links between sovereigns, banks, and the real economy are stronger than ever. Financial markets are increasingly fragmenting along national...

Europe's leaders convening in Brussels on Thursday for an European Union summit are under intense pressure to come up with a new plan to save the euro, but they seem as divided as ever. Chancellor Angela Merkel used uncommonly stark language on Tuesday when she rejected the idea for common euro bonds by saying Europe would not share total debt liability "as long as I live." But German media commentators have drawn some comfort from a blueprint for a radical revamp of the eurozone's architecture presented this week by the "gang of four" European presidents: European Council President Herman Van...

(CBS News) ATHENS - Greece is broke, and it agreed to big cuts in government spending in return for a bailout by other European countries. However, because that austerity deal was so hated by Greeks, the government fell. The country will vote for a new parliament Sunday. The question is: Will a new government abandon the bailout agreement, undermining the euro currency and the European Union? Why would Greeks risk that? Dr. Chris Rokkas is a top cardiologist at Attikon hospital, but these days the U.S.-trained surgeon rarely sets foot in an operating room, which is bad news for Georgia...

The European Central Bank is discussing a medium-term plan to scrap rating rules on euro zone sovereign bonds and instead set their value when used as collateral in lending operations on its own internal assessment, central bank sources said. With the ECB not yet ready to take over the technical but highly political responsibility for rating sovereigns, the bank's policymakers will also discuss more immediate ways to help Spain and its banks at their meeting on Thursday, such as further widening the types of collateral Spanish banks can use. The discussion come as Spain braces for a downgrade from small...

Angela Merkel Stands Firm On Greece At G8 Talks After inconclusive discussions, leaders issue communique saying 'the right measures are not the same for each of us' Patrick Wintour 20 May 2012 Angela Merkel has declined to shift position on fresh measures to stimulate demand in the euro area, including the idea of eurobonds, leaving other EU countries hoping she will adopt a more conciliatory mood when the EU heads of government meet on Wednesday for the next round of discussions. Barack Obama left the German chancellor in no doubt that he would like to see her adopt a less...

In Athens, the homeless are on the streets in growing numbers, soup kitchens feed twice as many people as a year ago, and the poor are diving into garbage bins in search of scrap they can sell. Greece is close to breaking point as it struggles with austerity targets set by creditors, but this is just a foretaste of the nightmare of unrest, hunger and even anarchy that could engulf the debt-crippled nation if it is forced out of the euro. If the exact economic impact of such a move is hard to nail down - newly issued drachmas devalued...

Now the worst case scenario has arrived: Greece threatens to become ungovernable. The situation after Sunday's election in Greece looks hopeless. No matter which coalition of parties one calculates, whether big or small, left or right wing, it is impossible to come up with a viable majority government. The Greeks have once again defied their international partners. They have not been cowed by threats, advice or even the prospect of their own bankruptcy. It's unclear where this new twist in the endless Greek drama will take the country. For Greek voters, the priority was to punish those people who, in...

On New Year’s Eve, Antonio Tamiozzo, 53, hanged himself in the warehouse of his construction business near Vicenza, after several debtors did not pay what they owed him. Three weeks earlier, Giovanni Schiavon, 59, a contractor, shot himself in the head at the headquarters of his debt-ridden construction company on the outskirts of Padua. As he faced the bleak prospect of ordering Christmas layoffs at his family firm of two generations, he wrote a last message: “Sorry, I cannot take it anymore.” The economic downturn that has shaken Europe for the last three years has also swept away the foundations...

Global stock and bond markets suffered a rout as traders fled the renewed spectre of a eurozone default and fresh evidence of a global recession. Italy's leading MIB index plunged 5pc and Spain's Ibex fell 3pc amid fears that the eurozone's third and fourth biggest economies were in the grip of a deadly and uncontrollable spiral of debt and recession. The borrowing costs of both "sinner states" soared. The yield on Italy's benchmark 10-year bonds jumped to 5.7pc, heading into the danger zone that is considered unsustainably high. The equivalent Spanish debt climbed to 6pc. Meanwhile, the yield on safe-haven...

Greece has cleared another hurdle as it struggles to avoid default, going through with its highly controversial debt restructuring (dubbed PSI), and effectively forcing the International Swaps and Derivatives Association (ISDA) to rule, along with credit rating agencies, that the Hellenic Republic has indeed defaulted. This has paved the way for Greece to receive a second, €130 billion, bailout, while triggering CDS protection on its defaulted bonds. Friday was a chaotic, headline heavy day for those following Europe’s sovereign debt crisis. Greece confirmed that it had achieved an 85.8% participation rate on its debt exchange, which would allow the government...

At a rally in Marseille on Sunday, Nicolas Sarkozy launches his campaign for a second term of the presidency Nicolas Sarkozy told his first major rally in his re-election campaign that he had saved France from "catastrophe" during the financial crisis and the only way to save the country from economic meltdown was to give him a second term. The 7,000-strong meeting in Marseille marked a return to the political showmanship and verbal violence of Sarkozy's campaigning style. There was sea of tricolore flags, dramatic music, a new election slogan – "a strong France" – and a cheering Carla Bruni...

Italian Prime Minister Mario Monti on Sunday rejected talk of a euro crisis and said Rome was open to the idea of a tax on financial transactions championed by France—but only if the measure was part of an EU-wide effort. "The euro is not in crisis, the currency has solidly maintained its exchange rate with the dollar," Monti said on RAI 3 public television, adding that Italy's "banking system is not under threat". "The problem we are facing is that some EU countries have a public debt crisis," he said. "Our crisis is a systemic crisis." Monti, a former European...

-snip- A run on the banks by savers keen to put their money into a core euro country would bring down the banking system of the departing country overnight. Companies and private households would not have access to loans, nor would they be able access any more cash. The state, which in this situation should support the banks, would be bankrupt as well. Financial markets would deny it access to funding. The new currency, once it is introduced, would depreciate by between 30% and 50%, which would multiply the government’s debts. The depreciation would lead to imported inflation and trigger trade...

Financial markets were granted a respite today from the ongoing Euro crisis by concerted central bank activity that made dollars more cheaply and readily available to borrowers in return for foreign currencies, including Euros. The Federal Reserve's participation means that the US is assuming Euro risk in return for pushing the crisis out of the danger zone. With this move, central banks are kicking the can down the road in order to give Euro-spendthrifts another last chance to put their fiscal houses in order. Noman suggests that you don't hold your breath waiting for it. The Fed's international action is...