Why the Euro Is A Dead Currency

If you’ve been following this site for a while you will already know who runs the show in Europe — with 2/3 of the Troika (European Commission, European Central Bank, IMF) being ran by this same nation. The remaining 1/3 (IMF) is headed by Christine Legarde, who is of French origin, yet is strongly tied to the Obama administration and serves as a hedge for American interests.

All signs surely point to a breakup of the monetary union, but what people don’t see are a parallel actions to continue further integration. It may very well break up, but there will be another union behind it rising out of the ashes: The United States of Europe. The politicians and Eurocrats are defying all logic and pushing full steam ahead, no matter the cost.

It’s the greatest heist of all time and the new superpower to come out of it all is under construction.

Experts may tell you it’s game over, but the Bible, God’s written word, says otherwise.

 

I have been warning that government can do whatever it likes and declare anything to be be a criminal act. In the USA, not paying taxes is NOT a crime, failing to file your income tax is the crime. The EU has imposed the first outright total asset reporting requirement for cash, jewelry, and anything else you have of value stored away. Continue reading

Greek bailout terms to give eurozone vast powers over policymaking

As predicted here for years, Greece will become the vassal state of a German-dominated Europe ran through the Troika. All roads lead to Berlin and its Fourth Reich. In the medium-term, look for more nations to be subjugated like Cyprus and Greece. They will be destroyed and rebuilt in order to form a United States of Europe.

 

The Greek government is to surrender powers over vast areas of economic and social policymaking to its eurozone creditors under draconian terms agreed for a new three-year bailout.

The 29 pages of conditions concede ultimate authority over much of Greek policymaking to the eurozone and establish a system of quarterly reviews of the reforms by the troika of institutions – the European commission, the European Central Bank (ECB) and the International Monetary Fund (IMF) – representing the creditors.

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Greek turmoil set to shake global markets out of complacency as sell-off looms

A Greek exit from the euro is now a “base case” scenario for economists and is set to trigger a flight to safety for nervy investors

Financial markets were braced for their worst period of turmoil since the height of the eurozone crisis three years ago, after Greeks chose to overwhelmingly reject the bail-out terms of their creditors, throwing the country on a collision course with the eurozone.

The prolonged period of uncertainty is expected to roil European equities and see investors flock to safe haven assets such as US and German government bonds.

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Greece misses IMF payment, plunges into uncertainty

Greece officially missed a payment to the International Monetary Fund (IMF) and saw its bailout expire on Tuesday (30 June), capping a fortnight of tumultuous politics.rings by the Greek government to get better terms from creditors.

The developments leave Athens without international support for the first time since 2010 and facing a referendum that some EU politicians say will determine its future in the eurozone.

Greece is now in “arrears” on an €1.5 billion bill, the IMF said at midnight Brussels time – a status which sees the EU and Nato member join the ranks of Cuba and Zimbabwe.

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Greek debt crisis reaches ‘DEFCON 1’ as savers pull €400m in ONE DAY and markets plunge

PANIC has descended on Greece as the debt-stricken country careers out the eurozone – with savers pulling millions in cash while investors continue to flee financial markets.

The Greek Prime Minister today blasted Athens’ European Union creditors who he said were trying to “humiliate” and “strangle” Greece into making proposed spending cuts in return for bailout cash.

Alexis Tsipras confirmed that talks have completely stalled, with the two sides in total stalemate over austerity measures. Continue reading

Will The ECB Finally Use The Greek “Nuclear Option” This Wednesdsay?

This was not supposed to happen: by now the Greek insolvency “can” should have been kicked, and the Greek government, realizing the money has run out for both the government and the banking system, should have folded to Troika demands, and allow the Troika money to return repaying obligations to the Troika in exchange for more spending cuts.

Instead, the “game theoretical” approach of bluffing until the end, and beyond, has put both countries in a corner from which neither knows how to escape, and with the “final deal deadline” passing this weekend we now have quotes such as this from the EU:

  • OVERTVELDT: GIVING IN TO GREECE WOULD UNDERMINE EU CREDIBILITY

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ECB Warns of Contagion Risk If Greece Deal Not Reached Fast

A failure to reach an agreement on Greece’s aid program soon may drive yields on bonds issued by other euro-area countries higher, the European Central Bank said.

“In the absence of a quick agreement on structural implementation needs, the risk of an upward adjustment of the risk premia demanded on vulnerable euro-area sovereigns could materialize,” the ECB said in its twice-yearly Financial Stability Review published Thursday in Frankfurt. “The lengthy and uncertain process of negotiations between the newly formed Greek government and its creditors” has already contributed to bouts of extreme volatility in Greek markets, it said. Continue reading

“The Greek Endgame Is Here”: Probability Of IMF Default Now 70%, Says Deutsche Bank

As the farcical negotiations between Greece and its creditors unfold ahead of a June 5 IMF payment and as Alexis Tsipras is forced to spread false hope just to avoid a terminal bank run, a picture of the Greek endgame has emerged.

We’ve discussed the political implications of both an agreement or a Grexit and we’ve also taken an in-depth look at what a missed IMF payment means for the country’s EU creditors. On the political front, the troika is intent on sending a strong message to leftist political parties (such as Spain’s Podemos and Portugal’s “ascendant” socialists) that using the threat of a euro exit as a way to extract austerity concessions is not a viable negotiating strategy. What this amounts to is an attempt on the part of the “institutions” to subjugate the political process to economics. In terms of skipping a payment to the IMF — who, as a reminder, effectively paid itself earlier this month by allowing Greece to tap its SDR reserves to pay the bills — there are a number of cross acceleration concerns which you can review by referring to the following graphic: Continue reading

Are They About To Confiscate Money From Bank Accounts In Greece Just Like They Did In Cyprus?

Do you remember what happened when Cyprus decided to defy the EU?  In the end, the entire banking system of the nation collapsed and money was confiscated from private bank accounts.  Well, the nation of Greece is now approaching a similar endgame.  At this point, the Greek government has not received any money from the EU or the IMF since August 2014.  As you can imagine, that means that Greek government accounts are just about bone dry.  The new Greek government continues to insist that it will never “violate its anti-austerity mandate”, but the screws are tightening.  Right now the unemployment rate in Greece is over 25 percent and the banking system is on the verge of collapse.  It isn’t going to take much to set off a panic, and when it does happen there are already rumors that the EU plans to confiscate money from private bank accounts just like they did in Cyprus.

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Euro Slides After Reports Troika Is Preparing Greek Plan B, C, & D Including Parallel Currency

 

Earlier we detailed reports that The IMF was preparing a contingency plan in the event of a Greek default, and furthermore that Andrea Merkel was under increasing pressure to “let Greece go,” and now, as Eurogroup ministers begin to gather for today’s crucial ‘deal-or-no-deal’ meeting, Die Welt reports The Troika has 4 scenarios for Greece  – one positive and three increasingly negative ranging from the need for further bailouts to paying staff in IOUs and issuing a parallel currency.

While Austria’s Hans Jorg Schelling sticks to his statement that:

“There’s nothing to it The Plan B was not discussed..”

It appears, yet again, another European elite was lying (because it was important), as now, as Die Welt reports (via Google Translate), hope is fading fast for a deal… Continue reading

Greece wants to start charging people for cash withdrawals to prevent a run on banks

The cash-strapped Greek government has introduced a surcharge at cashpoints to prevent Greek citizens from withdrawing their cash.

A senior finance ministry official said: “The surcharge is just one of a grab-bag of measures we are considering if things get tough.”

Withdrawals exceeded €15 billion in the run up to the February elections that catapulted Alexis Tsipras and the far-left Syriza government to power. Greek residents were reported to have stashed wads of money behind bathroom tiles and under floorboards.

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Greece €400 Million Short For Wage And Pension Payments, Rushes To Pass Troika-Friendly Laws

According to Bloomberg, the Greek government is €400 million short of the amount needed for payment of pensions and salaries this month, citing a Kathimerini report.Surprisingly, this takes place even as Greece’s IKA, OGA pension funds have been informed by the government that amount needed for payment of pensions will be deposited today, while the Greece’s OAEE pension fund has said payment of pensions won’t be a problem.

In other words, someone is not telling the truth: either there is enough money or there isn’t. And if the latter case is valid, then either the government or the pensions are now openly lying to the population. Continue reading

Greece Seizing all Public Funds in Country – Here we Go

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The computer is starting to really pick up October lining up with the ECM for 2015.75. Now the Greek government issued a decree that forces local governments to transfer all cash balances to the central bank, as debt to the International Monetary Fund and salaries are due. Continue reading

The ECB Is Considering A Parallel Greek Currency

As mentioned here many times for a long time, a “currency A” and “currency B” situation could be coming. This would likely be the best hedge in keeping Greece from going 110% Communist and allowing Russia to further creep into Europe, up from 100% when the Alexis Tsipras government took hold of the country. This will also keep the EU, at least for the short-term, from imploding.

 

As we first reported yesterday, one of the proposed measures to be implemented in Greece just before, or during its default and/or exit from the Eurozone, in addition to pervasive capital controls of course, is the implementation of a parallel “currency”, or as explained yesterday, a government paying its citizens with IOUs.

This is what we said less than 24 hours ago: Continue reading

Greece ‘in a corner’ as Europe blocks payment

As oft stated here, Greece will not leave the union and it’s all leading back to Berlin, the world’s next superpower, who runs the show on the continent. Worst case scenario: There could be a compromise entailing a two tier currency system that allows regional states to retain their economic sovereignty to some degree — or at least they would think.

Such an idea already has backing from Angela Merkel and if the crisis deepens — because it’s not going to magically go away — look for ideas like these to gain even more traction and possibly become reality. ‘Eurobonds‘ were also another scenario.

For further info on a plausible two tier currency system, please see the following posts:

The new Great Game: Europe looks within for roots of renewal

European Commission Plans for Greater Integration

France Is Heading For The Biggest Economic Train Wreck In Europe

Is Germany Already Signaling The Complete (Economic) Collapse Of The European Union?

 

Greece’s last-ditch attempt to get desperately-needed funds from its euro zone neighbors failed on Wednesday, but the country appears eternally optimistic that a list of reforms — as yet to materialize — will unlock vital aid.

Greece appealed for the European Financial Stability Facility (EFSF) to return 1.2 billion euros ($1.32 billion) it said it had overpaid when it transferred bonds intended for bank recapitalization back to the fund this month, Reuters reported Wednesday.

However, euro zone officials ruled that Greece was not legally entitled to the money, the news wire said. Continue reading