Global Economy Bursting?

[Randolph Kinney]

Greek Anger on Debt Agreement Is Focused Especially on Germany

http://www.nytimes.com/2011/10/29/w...-union.html?_r=1&nl=todaysheadlines&emc=tha22

“If we weren’t under the E.U., which is the only reason this loss of sovereignty may be justified, I’d have to say that Greece is an occupied country,” said Nikos Alivizatos, a constitutional lawyer in Athens.

Such feelings run so deep that after reaching a deal in Brussels this week for banks to accept a 50 percent loss on the face value of their Greek bonds, Prime Minister George Papandreou took great pains to explain that a new agreement would only offer technical assistance and that it was not tantamount to Greece’s relinquishing control of its fate.

Some argue that greater oversight is needed for Greece to push through the structural changes it promised in exchange for foreign aid. They say some loss of Greek sovereignty is a small price to pay considering that the new debt deal and eventual recapitalization of some banks comes at the expense of taxpayers from other European countries.

 

[Riick]

Fitch: Greek Debt Deal a Default

http://online.wsj.com/article/SB10001424052970203554104577003493756246110.html

LONDON—Fitch Ratings became the first major credit ratings agency to pass judgment on the European Union's anticrisis plans Friday, saying that the proposed Greek debt exchange would constitute a default and that none of the plans remove the risk of further downgrades for other sovereigns.

Fitch said that after the default, the country's rating would probably be in the B category or lower.

All three major ratings agencies previously said such a plan would push Greece into a default-rating category.

Following on the heels of Greece - not just the other PIIGS

 

[Workbox]

Greek Anger on Debt Agreement Is Focused Especially on Germany

http://www.nytimes.com/2011/10/29/w...-union.html?_r=1&nl=todaysheadlines&emc=tha22

“If we weren’t under the E.U., which is the only reason this loss of sovereignty may be justified, I’d have to say that Greece is an occupied country,” said Nikos Alivizatos, a constitutional lawyer in Athens.

Such feelings run so deep that after reaching a deal in Brussels this week for banks to accept a 50 percent loss on the face value of their Greek bonds, Prime Minister George Papandreou took great pains to explain that a new agreement would only offer technical assistance and that it was not tantamount to Greece’s relinquishing control of its fate.

Some argue that greater oversight is needed for Greece to push through the structural changes it promised in exchange for foreign aid. They say some loss of Greek sovereignty is a small price to pay considering that the new debt deal and eventual recapitalization of some banks comes at the expense of taxpayers from other European countries.

My next statement will be in left field......

If history reminded me well, isn't this the kind of stuff that gets some big wig Prime Minister/President/Representative/Big Fish assassinated? Or as we call it before it happens........."A Black Swan".

 

[Randolph Kinney]

My next statement will be in left field......

If history reminded me well, isn't this the kind of stuff that gets some big wig Prime Minister/President/Representative/Big Fish assassinated? Or as we call it before it happens........."A Black Swan".

Could be ... The Greeks are saying they have no sovereignty, that Germany is calling the tune, more cut and higher taxes. Lets face it, when the foreigners arrive to supervise your political system to make sure the country has the right economic and political policies that favor the foreigners being serviced over locals, that is being occupied. The comparison was when Nazi Germany occupied Greece.

 

[Randolph Kinney]

California gets OK for large cuts to Medi-Cal

http://www.latimes.com/news/local/la-me-medicaid-20111028,0,4273464.story

The Obama administration will allow California to cut hundreds of millions of dollars from Medi-Cal, a move doctors and experts say will make it harder for the poor to get medical treatment.

California plans to reduce rates by 10% to many providers, including physicians, dentists, clinics, pharmacies and most nursing homes, the Centers for Medicare and Medicaid Services announced Thursday.

The cuts "will have a real impact on Medi-Cal patients" because fewer doctors will be willing to see those covered by the program, which serves 7.6 million poor and disabled Californians, said Anthony Wright.

Cindy Mann, deputy administrator of the Centers for Medicare and Medicaid Services, told reporters the action gives California the flexibility it had requested to address its budget shortfall. "We know that the reductions that are being approved today will have significant impact on affected providers, and we regret the very difficult budget circumstances that have led to their implementation," she said.

The cuts are expected to save the state $623 million. California spends $14 billion on Medi-Cal, the state's Medicaid program.

 

[Randolph Kinney]

Chevron exec: Emissions law will boost fuel prices

http://moneywatch.bnet.com/economic...emissions-law-will-boost-fuel-prices/6322775/

Last week, California adopted a cap-and-trade system designed to eventually limit emissions of greenhouse gases.

The program will require oil refineries and other companies to buy permits to release certain amounts of greenhouse gases. The amount is expected to decline over time, spurring companies to find ways to run a cleaner operation.

California's businesses have criticized the program, which was adopted by the California Air Resources Board, saying it will hurt jobs by raising the cost of doing business in the state.

Mike Wirth, who runs Chevron Corp.'s refining business, was asked for his thoughts on California's new emissions limits. Chevron is headquartered in San Ramon, Calif. While the company is still analyzing how the new law will affect their businesses in the state, Wirth suggested that higher fuel and electricity costs are on the horizon.

QUESTION: How will California's new cap-and-trade law affect you? Will costs be passed on to the consumer?

RESPONSE: "California energy prices are some of the highest in the nation, whether you're talking about electricity or fuels...this is designed to drive prices higher. At some point, businesses have to confront that as do the consumers of those businesses' products. In a state where the economy is challenged, where employment is challenged and with a fiscal situation that is unsustainable, I think the effects here are predictable. We're on a policy path in California that I think is going to need to be addressed by policy makers over time."

 

[Terrel L. Shields]

"Bobbies on bicycles...two by two"....
walk to work...
install a solar panel
...starve

It's a choice. It's your state. It's your government....change it.

 

[Workbox]

Why do I have a feeling we are going to have a Japanese style recession until elections? Up and down up and down. Could make out for some good swing trades going sideways.

Yet, Europe is becoming a zoo and the FED is the cage cleaner. Which makes one wonder how long until the tigers and lions escape?

 

[Workbox]

Could be ... The Greeks are saying they have no sovereignty, that Germany is calling the tune, more cut and higher taxes. Lets face it, when the foreigners arrive to supervise your political system to make sure the country has the right economic and political policies that favor the foreigners being serviced over locals, that is being occupied. The comparison was when Nazi Germany occupied Greece.

I enjoy talking to older military service folks both that were in combat and those that were stationed in Germany. What most Americans still do not understand is that Germany is still feared by the rest of Europe and they are still very strong in education, nationalism and labor. France and Germany are really not friends. Italy can care less of both. One reason that the Euro was created was to passify and control Germany so it would not get too powerful. But Germany finally caught onto the game and they want out, but some folks are getting some big time payoffs with the stock market rallies to keep going along with the smoke and mirrors.

 

[Workbox]

Ruh-Roh

BYD warning, Chinese carmaker partly owned by Warren Buffett’s

http://cnbusinessnews.com/byd-warning/