Socio-Economics History Blog

Socio-Economics History Blog

Spain in a State of ‘Total Emergency’!

by mosesman
The Eurozone Titanic is sinking!
  • Things are unravelling rapidly in the Eurozone. There are a great deal of rumours swirling that JP Morgue is going down big time and with it the world financial system. The derivatives collapse has been triggered. It appears to be unstoppable. The Illuminists may think they are gods but they are not. All their scheming, scamming, planning, control … will mean nothing when the markets get out of hand. It will blow up in their faces! Get out of paper assets. Move to hard assets like physical gold/silver immediately!
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  • Even though I still think the collapse will start in the Aug-Oct 2012 time frame. I have been out of paper assets for some time now. Never time this type of thing to the month or day. I have been wrong before. The consequences of being wrong this time round is too severe to muck around.
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    Spain in a state of ‘total emergency’! 
    By , http://www.telegraph.co.uk/
    Spain is in a state of ‘total emergency’, the country’s former prime minister has warned, with Madrid facing punitive borrowing costs and the prospect of needing a Greek-style bail-out.
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    Felipe González, the country’s elder statesman, said: “We’re in a situation of total emergency, the worst crisis we have ever lived through.” Global financial markets lurched yesterday at the spectre of the eurozone’s fourth biggest economy being locked out of international capital markets and being unable to fund itself.
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    Spanish borrowing costs soared, while the Madrid stock market fell 2.6 per   cent, the euro sank to a 22-month low against the dollar and the price of Brent crude dropped 2 per cent. Meanwhile, global investors fled to “safe havens” sending UK bonds to another low. The FTSE 100, however, dropped 1.7 per cent, along with European and American stockmarkets.
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    The rout on global markets paused briefly around midday when the European Commission published a report calling for radical new support for “sinner states” across the eurozone.
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    read more!
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    Spain faces ‘total emergency’ as fear grips markets! 
    By , http://www.telegraph.co.uk/ 
    Spain is facing the gravest danger since the end of the Franco dictatorship as the country is frozen out of global capital markets and slides towards an epic showdown with Europe.
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    “We’re in a situation of total emergency, the worst crisis we have ever lived through” said ex-premier Felipe Gonzalez, the country’s elder statesman. The warning came as the yields on Spanish 10-year bonds spiked to 6.7pc, pushing the “risk premium” over German Bunds to a post-euro high of 540 basis points. The IBEX index of stocks in Madrid fell 2.6pc, the lowest since the dotcom bust in 2003.
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    Chaos over the €23.5bn rescue of crippled lender Bankia has led to the abrupt resignation of central bank governor Miguel Ángel Fernández Ordóñez, who testified to the senate that he had been muzzled to avoid enflaming events as confidence in the country drains away.
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    Markets are on tenterhooks as Spanish yields test levels that forced the   European Central Bank to respond last November with its €1 trillion liquidity blitz. “Nobody is short Spanish debt right now because they are expecting ECB intervention,” said Andrew Roberts, credit chief at RBS. “If it doesn’t come — if we take out 6.8pc — we’re going to see a hyberbolic sell-off,” he said.
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    read more!

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