The weekly: Greece to default/restructure THIS weekend? thread

Discussion in 'Economics' started by TGregg, Aug 19, 2011.

  1. TGregg

    TGregg

    Watch for interesting news after the close today.
     
  2. morganist

    morganist Guest

    Why would it default this weekend. They have been bailed out sufficiently to next year. It is 2014 that is the big issue now.
     
  3. C6H12O6

    C6H12O6

    I've been hearing this since the beginning of 2009, still waiting.

    I'm also waiting for hyperinflation, since 2008.
     
  4. morganist

    morganist Guest

    Like I said why this weekend?

    Do you know the reason there would be a default?

    It is because they cannot pay the money lent to the government. There is not a maturity date until at least next year and the big one is not till 2014.

    There is no reason it would default this weekend.
     
  5. C6H12O6

    C6H12O6

    Because they need news [rumors ?] to short the markets :D
    Quite boring since the news is always the same.... At least they should pick on Italy or Spain. France and SocGen is already old, but Belgium would be original. :D

    Reminds me of UK :p
     
  6. morganist

    morganist Guest

    You do understand how Sovereign Debt is paid don't you?

    They borrow the money say £10,000 then pay a percentage of that twice a year. Then the prinicpal investment is repaid at the end of the borrowing period. This is the maturity date. The maturity date for the Greek Government is not until 2014 or something. They recently had to borrow more money to pay staff police etc. But borrowed enough to next year.

    Are you talking about a private sector debt default?

    If so why Greece. Other countries are more likely than them to default on private sector debt. The UK for example has £1.46 trillion of private sector debt, which exceeds GDP.
     
  7. morganist

    morganist Guest

  8. You're just guessing. You don't have the device.
     
  9. C6H12O6

    C6H12O6

    As far as I know, latest agreements on Greece's debt restructuring were on a voluntary basis by bondholders, mainly french and german banks. So even if it's tomorrow or next year, what's the big deal ?

    About UK, actually I meant both private and public sector debt. IMHO UK is the ticking bomb no one is talking about.
     
  10. morganist

    morganist Guest

    Your right about the UK. But when you say something no one listens. They are arrogant. They think because they have always been wealthy they always will be they question where that money comes from.

    Are you at a loss as to what TGregg is trying to say too?
     
    #10     Aug 19, 2011