And it's going to clog up the globalist's plan.
"Greece’s debt rating cut again; Downgraded to world’s lowest by S&P as fears of default continue to rise" June 14, 2011|By Landon Thomas Jr. And Christine Hauser, New York Times
The downgrade comes at a particularly awkward time for Greece. The government is trying to persuade legislators to accept a fresh set of austerity measures. At the same time, Germany, the dominant economy in the 17-member eurozone, is proposing that private sector bondholders accept some form of a loss on their Greek bonds as a condition for a broader rescue package for Greece that could approach $143 billion....
Didn't they just get $157 billion last year?
While one more downgrade for Greece probably will not change matters much, it does put more stress on Germany....
Interesting. Germany is really getting hit from all sides these days, huh?
In its press release, S&P said that its downgrade reflected the reality that any form of debt exchange — where bondholders would trade their shorter-term debt for longer-dated paper — would be seen as harmful to creditors and thus, in the eyes of S&P, would be equal to a default....
That's who governments work for.
The ratings agency also cited the continuing depths of the Greek economic slump, pointing out that the unemployment rate was at 16.2 percent....
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Oh, I see the Greeks are still perfect with the protests.
Don't read about it, though?
Also see: Greece’s woes push gas, oil down
Greek bailout talks may go into July
If they can last that long, that is:
"Greek leader to shake up Cabinet; Markets fall as mayhem, protests grow" by Derek Gatopoulos and Elena Becatoros, Associated Press / June 16, 2011
ATHENS — Rioters clashed with police in the streets of Athens during a general strike and renewed fears of default rattled global markets.
Prime Minister George Papandreou has been struggling to contain an internal party revolt over a new austerity package that is the main condition for continued funding from a $155 billion international bailout.
Translation: The IMF is now your government, and the Greeks know it.
Why do you think they are in the streets?
Without continued funding from rescue loans, Greece will default on its massive debts, which would unsettle the global economy and undermine the eurozone’s future....
F*** the fraudulent bankers. F*** 'em! They are lucky they are still drawing air.
Police fired volleys of tear gas to repel rioters hurling firebombs and ripped-up paving stones as an anti-austerity rally by tens of thousands of protesters degenerated into violence.
I smell government agent provocateurs.
Youths smashed the windows of a luxury hotel in the square. More than 60 people were injured, including 36 police officers, as choking gas wafted through central Athens. Bewildered tourists struggled through the mayhem, dragging luggage behind them.
Global stocks were closing sharply lower as the events in Greece — which has the worst sovereign credit rating in the world — further destabilized markets....
Several of Papandreou's own deputies publicly oppose the new austerity package, which must pass a Parliamentary vote this month.
Yesterday’s mayhem is likely to be viewed with concern in the other European countries that are bailing out Greece. European officials have pushed for cross-party support for the new measures as they extend to 2015, two years beyond the current government’s term.
The political maneuvering and violence triggered a sell-off in global financial markets as investors worried that a default in Greece could hurt banks in other countries in a chain reaction....
Here we go again! Better pony up that bailout loot.
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Btw, how does going deeper into debt to the same crooks help an economy?
"Bailout plan roils Greece’s leaders; Prime minister faces revolt in debt crisis" by Nicholas Paphitis, Associated Press / June 17, 2011
ATHENS — Greece was wracked by political turmoil yesterday as the embattled prime minister faced down a party revolt over new austerity measures — a bitter dispute that forced the EU to hint at new loans so Greece can fend off a summer default....
The measures have sparked riots on the streets of Athens and open criticism from his own Socialist lawmakers. Papandreou’s desperate efforts to form a coalition government with the opposition conservatives collapsed Wednesday....
Proving that the term "socialist" means s*** in Europe these days.
The party feud heightened worldwide concern that a Greek financial collapse could trigger panic elsewhere in the 17-nation eurozone — a fear that saw borrowing costs in vulnerable EU countries surge and stock markets come under pressure....
Rich EU countries like Germany and the Netherlands want private creditors to share a big part of the burden of helping Greece, while the European Central Bank fears those demands could trigger a partial default that would spark panic on financial markets and pummel banks in Greece and across Europe.
HA! Asking an addict to give up his drug?
Olli Rehn, the EU’s monetary affairs commissioner, said eurozone ministers would likely agree Sunday to give Greece the next $17 billion loan from last year’s $156.2 billion package.
And now they are working on another $143 billion?
However, the aid will only be paid if Papandreou’s government, which faces a vote of confidence within days, can get new budget cuts and privatizations through Parliament before the end of the month.
That's why people are protesting.
The loan would keep Greece afloat until September and give finance ministers and the ECB until their next get-together in July to resolve their differences, Rehn said.
His comments raised hopes that Greece would avoid a quick default, alleviating the selling pressure on the euro....
Even if a second bailout is granted to Greece, many analysts think the road will still end in default, and some even wonder if Greece will stay in the 17-nation eurozone.
“While an additional bailout package may stave off near-term disaster, a major debt restructuring seems inevitable at some point and Greece’s future in the currency union is looking ever more doubtful,’’ said Jonathan Loynes, chief international economist at Capital Economics.
Some economists fear that a Greek default would trigger financial chaos like the Sept. 2008 collapse of the US investment bank Lehman Brothers....
And we were told the geniuses fixed it the first time, remember?
Just give us billions and we'll fix it.
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Related: Anglo Irish senior bondholders to share losses, Noonan says
