|Click image for better resolution|
This again raises the questions if we are told 99% lies or is it even 100%.
ECB President Jean-Claude Trichet has upheld his mantra of a 'contained crisis' since the onset of the subprime crisis in August 2007, only to switch to the alarming statement that "the debt crisis is flashing red" these days.
PHOTO: Jean-Claude Trichet was awarded the Karlspreis, one of Germany's highest honors on June 11, 2011. At this time it has been clear for some 3 years that the Euro is engulfed in a death spiral. Photo: HappolatiIt must be nice to cash €500,000 per year for telling fundamental lies to the world and receiving honorary prizes for it.
ECB Holds Another €157 Billion Of Greek Junk
Trichet's new stance of worries is more than justified. According to Italian magazine Libero the ECB hold €60 billion in Greekd debt and has lent another €97 billion directly to Greek banks who are essentially shut out from debt markets in the current year.
Total Greek Debt Rather €467 Billion?
I am not 100% sure, but to me it looks as if these €157 billion have to be added to the bank debt of €310 billion which would put total Greek debt at a mind-boggling €467 billion or €27 billion more than is currently available in the European Financial Stability Fund (EFSF) that will be replaced by the €750 billion Euro Stability Mechanism (ESM) in 2013, according to EU plans.
If these emergency funds are already drained by the first de facto bankrupt country in the Eurozone I would not be a single grain of gold that this crisis can be ended without a horrible end for the European Union.
Sorry EU; you screwed it up. Please acknowledge the fact and make room for somebody else. Your political strategy of a common currency has utterly failed and delaying the inevitable EU and ECB default will only add more burdens for investors, taxpayers and everybody else. Cut the crap here and admit that you were wrong.
It would be the first truth in a long time in the current global currency war and the real beginning of a new monetary future in the EU.