And look for a Statement on Wednesday .Link ~ New Date October 26th ~ EU Debt Declaration Postponed Until Wednesday ~ New date for EU to Call Second Meeting on Bailout Fund Next Week ...
Also Recommend Reading ~ October 23, 2011: The Next Big Day of Reckoning ~ snip ~This coming Sunday, October 23, will go down in history as one of the most important days of the 21st century.On that day, the leaders of 27 European countries will meet. They will announce a new master plan to save Europe. And then they will pray.
If their plan is not good enough, U.S. Treasury Secretary Timothy Geithner warns that Europe — and the entire world — could face “cascading default,” “bank runs,” and “catastrophic risk.”
Polish Finance Minister Jacek Rostowski says the euro-zone crisis is already suffering “a run on the sovereigns” — a mass exodus by investors from sovereign bonds.
French President Nicolas Sarkozy and German Chancellor Angela Merkel also openly admit the vast challenges they face. They know they have just six days left. And they know that before their time is up, they must find a way to …
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• put Greece out of its misery with an “orderly default” …
• expand the firepower of Europe’s bailout fund for Spain, Italy and other European countries on a collision course with default, and …
• pump massive amounts of capital into European megabanks on the brink of collapse.
On October 23, Europe’s leaders hope they can do ALL this in one fell swoop.
But don’t be fooled!
Any New European Rescue Plan, No Matter How Big and Bold, Is Bound Cause an Even Greater Debt Catastrophe
Here’s why …
First, they’re running out of time! The crisis is already too far gone — Greek bonds trading at 40 cents on the dollar, Spain and Italy in a death spiral, and massive damage to the continent’s megabanks already done.
They can’t turn back the clock. And they’re nearly out of time.
Second, not enough money! The PIIGS countries alone have over $4 trillion in debts, much of which they’ll never be able to repay. And Europe’s troubled banks have far more.
This leaves a gaping hole that’s so large, even the richest countries in the world could not possibly fill it without gutting their own finances.
In fact, European leaders are trying so desperately to figure out where to get all that money, they’ve even asked emerging market countries to chip in.
Third, no way to stop a vicious cycle already in motion! Before they can get a dime of bailout money, the PIIGS countries must promise to drastically reduce their budget deficits.
Result: They’re forced to cut their government spending, crush their economy, kill their corporate profits, drive down their tax revenues, and, in the end, create even larger deficits.
This is why Greece is sinking so fast. And this is why, despite its Draconian austerity measures, Greece’s deficit for the first nine months of 2011 actually GREW to 19.2 billion euros, compared to 16.65 billion euros last year.
And this is also why we’re seeing similar vicious cycles in nearly every borrower that may need a bailout — not just banks but entire nations … not merely countries like Greece and Portugal, but also far larger economies like Spain and Italy … not just PIIGS countries, but also countries in Eastern Europe and elsewhere.
Fourth, expect many more credit downgrades!
As I showed you here last week, the countries and institutions downgraded by the major credit agencies in the last two weeks alone have $7.3 trillion in debts outstanding (see chart below) @ link ~ October 23, 2011: The Next Big Day of Reckoning
And ..Weiss Research ~ If you haven't seen it, you owe it to yourself and your family to do so immediately
October 19, 2011
Marketwatch warns EU banks will crash Wall Street
NEW YORK – History inevitably repeats itself: Arab Spring triggered Wall Street Fall. Next, the raging European monetary collapse will ripple through America’s banking system, completing the 2008 meltdown that never ended because Wall Street fought all reforms.
But now, a bigger meltdown as history repeats a dangerous cycle like the 1929 Crash and Great Depression. History will also deal a fatal blow to Wall Street. Weiss adds a key warning: No bank bailouts. America’s banking system is bankrupt, structurally and morally. Washington is broken.
And thanks to the Occupiers Revolution the masses will never accept new bank bailouts. Never. They’ll toss politicians and overthrow government first. No new bailouts will be the stake in the heart of Wall Street, ending the “greed is good” power of America’s “bloodsucking vampire squid,” handing the Occupiers new political power in Washington. Weiss’s worst-case scenario highlights everything we’ve both been warning investors about for a long time.
The 2008 meltdown never ended, lessons never learned. But now the end game is accelerating. Listen closely: Weiss final warning to all investors: “Get all or most of your money out of danger immediately … above all, stay safe!” Prepare for the coming bank collapse. And discover how this historic scenario will empower the Occupiers message to get money out of elections: “One citizen. One dollar. One vote.” –Market Watch
Yes, coming soon says Martin Weiss in his “7 Major Advance Warnings,” which is “bound to have a life-changing impact on nearly all investors in the U.S. and around the globe.” His new Weiss Ratings warnings are the “most important” in a 40-year career. The stress on Wall Street banks will force them back to Congress for more bailouts…
1. Greece will default very soon
2. The contagion of fear will spread
3. European Mega Banks will collapse
4. EU governments suffer new credit rating downgrades
5. Spain and Italy next to face defaults on their massive debts
6. Global debt markets will suffer a critical meltdown
7. Vicious cycle: sovereign defaults, bank failures, global depression
