The sharp sell-off in Greece’s short-term bonds entered its seventh consecutive session on Monday, with interest-rate yields on the country’s bonds due in 2017 hitting another record high of more than 26 per cent.
The moves came after International Monetary Fund head Christine Lagarde urged Greece’s governing coalition, led by the populist Syriza party, to set aside its anti-austerity politics and bring reforms to fruition to save the economy and avoid a debt default.
Default is a very real possibility.
This summer, large amounts of Greek bonds held by the European Central Bank will mature.
Without bankster funding, the cash-strapped country is likely to run out of money and default on payments due to either the IMF in May or June.
-RW
5/9, all the banks are shut for the weekend, emergency parliamentary session called..... bada bing.
ReplyDeleteIgnoring reality doesn't magically change that reality, and the reality is that Greece is broke. Time to admit the obvious, default, and prepare for the reset.
ReplyDeleteIt's also time for banks to take one on the chin. They've had their bail outs and free central bank "money" for years now. It's long past time for them to put on their big boy pants and write off their losses.