One thought on “Is Greece going to be the Europeans’ Lehman Brothers?”
I’ve been calling for an Euro quake for about 18 months now, Greece cannot be bailed out with doing exactly the same for Spain and Portugal,, Ireland at least understands austerity and will probably get through the issues on their own while the others drag the EU down.
I think its 50/50 for the Greeks to go back to the Drakma, and if they do it will lead to about a 1/3 chance of Portugal and Spain backing out of the currency portion of the EU too. Further I think its very unlikely that any of the new applicants will qualify to adopt the euro any time soon.
Of course the insane point is this will drive the USD and sterling up when in fact they are just as damaged and must themselves deal with debt issues. There are few decent currencies left which is why I still promote a 20% physical bullion position
Relentlessly Progressive Political Economy 
I’ve been calling for an Euro quake for about 18 months now, Greece cannot be bailed out with doing exactly the same for Spain and Portugal,, Ireland at least understands austerity and will probably get through the issues on their own while the others drag the EU down.
I think its 50/50 for the Greeks to go back to the Drakma, and if they do it will lead to about a 1/3 chance of Portugal and Spain backing out of the currency portion of the EU too. Further I think its very unlikely that any of the new applicants will qualify to adopt the euro any time soon.
Of course the insane point is this will drive the USD and sterling up when in fact they are just as damaged and must themselves deal with debt issues. There are few decent currencies left which is why I still promote a 20% physical bullion position