EU to provide 560bill Euros to defend....Euro...

[Kstills]

http://www.calculatedriskblog.com/2010/05/report-560-billion-bailout.html

I 'think' this is disengenuous.

What they are more then likely doing is protecting the banks by buying the toxic Sovereign debt, and calling it a defense of the Euro.

We'll see, but 560bill doesn't get you far on the Forex.

And, Merkel's party lost in the biggest regions elections today. It's not just the Greeks who are getting pissed off about their government....

 

[Kstills]

More:

http://www.economist.com/blogs/charlemagne/2010/05/euro_crisis_1

 

[Calabrio]

Most worrisome, with each of these interventions, these countries seem to be surrendering their sovereignty toward higher, global orders.
Another reason why the U.S. needs to change direction and avoid that collective "boom."

 

[Kstills]

EU agrees to ~1trillion defense of the Euro:

http://globaleconomicanalysis.blogspot.com/2010/05/shock-and-awe-part-ii-show-of-force.html

Market futures in the US are way way up.

Remember, this is all coming about to defend the insolvency of the Greek state, and to prevent the coming insolvency of Portugal, Spain, Italy and Ireland. All of their bad debt is held in Euros, mostly by European banks.

So in effect, the EU has committed to printing an enormous amount of Euros, and to buying up sovereign debt from banks, in an effort to prevent the slide of the Euro.

We live in strange times indeed.

 

[fossten]

Governments step in and interfere to cover up the messes that they themselves created.

Government is the disease masquerading as its own cure.