Saturday, September 10, 2011
Just as to Italy it is suddenly America’s fault the “crisis was sparked“, so now it is “internet rumors” who are to blame that the market, at least in the form of CDS, estimates that the country’s probability of going bankrupt is, oh, 100%.
From the Ministry of Finance:
Deputy Prime Minister and Finance Minister, Evangelos Venizelos, answering journalists’ questions on various reviews and rumors circulated on the Internet alleging that failure of Greece through the weekend, said:
“It is the first time you get this organized wave of “rumors” on alleged failure of Greece. This is a bad game, an organized speculation, which is directed against the euro and the eurozone as a whole.
Basic selection and priority of Greece is the full implementation of the decisions of 21 July and of course the full implementation of obligations arising from agreements with its institutional partners.
This is the clear position of the Greek government that does not take into account any element of political cost. “
Judging by the market reaction, and considering that where there is a putrid pyroclastic cloud, there is usually fire (not to mention a volcanic explosion), this may be a little more than just “organized, internet-based speculation.”
This article was posted: Saturday, September 10, 2011 at 12:28 am