Monday, August 31, 2015

NatWest Crashes Again!

NatWest’s payment system has crashed, leaving customers unable to transfer funds even to other accounts within the bank.

Online Banking

We're sorry but the service is temporarily unavailable. Please try again later.

If you continue to experience this situation, further assistance can be found in Support Centre.
Simply ask the question, I'm getting the message service is temporarily unavailable, what should I do?

Thursday, August 27, 2015

Ukrainian Finance Ministry Mistaken/Lying

Ukraine claims that it has reached a deal with its creditors.

According to Bloomberg:
"Finance Minister Natalie Jaresko reached an accord with a Franklin Templeton-led creditor committee that includes a 20 percent writedown to the face value of about $18 billion of Eurobonds, the first of which matures in less than a month.

The agreement also pushes back redemption dates by four years and sets interest at 7.75 percent on all maturities, according to an e-mailed statement from the Finance Ministry and the creditor committee.

Russia is being offered the same terms as private bondholders."
All very nice and dandy, except that Russia (its main creditor) has in fact rejected the deal.
The Ukrainian Finance Ministry is either speaking in error, or it is lying.

Wednesday, August 26, 2015

Greece Continues To Fail To Collect Taxes

Nick Leeson Distances Himself From China

Guess Who's Not Coming To Dinner?

Tuesday, August 25, 2015

China Cuts Rates

Chinese one year lending and deposit rates just cut by 25 bps.

China Continues To Crash

China continues to seek the bottom.

Meanwhile the Chinese government, powerless to stop the rout, is seeking to blame everything from "malicious short selling" to "underground banks".

The fact is, as I have noted many times before, markets are not rational they are governed by a herd mentality powered by greed and fear.

Monday, August 24, 2015

Zerohedge Crashes

Maintenance Mode

Site is temporarily unavailable. Please try again shortly.

Dow Drops 1,000

A real DOWner today!

All Major US Equity Indicators Halted

NASDAQ Halted Three Times

Three times the charm!

China's Black Monday

Chinese stocks have plunged 8.5% today, sending global markets into a tailspin.

The fall is despite the fact that the People’s Bank of China was gearing up to inject some stimulus, likely by reducing the level reserves banks are required to hold and thus unleashing more liquidity, and the fact that the Chinese pension fund is to be allowed to invest up to 30% of its funds in the market.

China is learning, what every other government in the world knows (or has learned through bitter experience), namely that the markets cannot be tamed by grand one off gestures when they are in panic mode.

Friday, August 21, 2015

Greece Isn't Fixed!

Barely two days ago Merkel said that the "uncertainty" over Greece had ended.

Newsflash for Merkel:

The "uncertainty" has returned with a bang!

Thursday, August 20, 2015

Greece's Circular Funding

Greece paid Euro3.2BN to its creditors yesterday, using money that its creditors lent it to pay them back.

Meanwhile Energy Minister Panos Skourletis said:
"The political landscape must clear up. We need to know whether the government has or does not have a majority."
I wonder when the Greek people will wake up to the fact that the bailout funds are not for them, but for their creditors?

Wednesday, August 19, 2015

Germany Says Ja!

Greek Bank Deposit Bail Ins Coming In 2016

As Greek bank depositors work out where to hide their cash, before their deposits are "bailed in" next year, a solution of sorts is being worked on.

Bitcoin ATMs are being installed in Greece.

This is marked improvement on the current barter system being used by many to get around the capital controls, given that cheese is not really a terribly easy "currency" to convert!

Monday, August 17, 2015

Varoufakis Summarises The MoU

"Greek sovereignty is being forfeited wholesale"

Read the annotation in full via this link.

Saturday, August 15, 2015

Greek Debt Unsustainable

Greece will receive up to €86bn in loans over the next three years, if Germany et al approves the bailout.

However, the US controlled IMF has decreed that Greek debt had become unsustainable and that Greece needed significant relief.

Over to you Germany!

Friday, August 14, 2015

Greece Approves Bailout Deal

Greece has approved the third bailout deal.

However, this approval comes at the cost of fracturing Syriza. Therefore early elections are likely which in turn will put the stability of the "deal" into question.

Thursday, August 13, 2015

Greece Reneging on Bailout "Deal"

Meaning that Greece has no intention of honouring their commitments, and will change the terms and conditions as they go along.

Wednesday, August 12, 2015

The Delusional Greek Bailout

It is utter delusion to believe that Greece will quickly sell anything!

The bailout MoU is nothing more than delusional fantasy that hasn't got a hope in hell of succeeding!

The Currency Wars Begin

Whilst the ongoing Greek farce has provided a massive distraction for the media and those who take an interest in financial matters, China's 2% devaluation of the Yuan this week has caught everyone's attention.

For why?

It heralds that start of currency wars, as countries rush to devalue in order to maintain the menisci of their respective financial bubbles.

Tuesday, August 11, 2015

Greece's "Small Issues"

Greece's finance minister, Euclid Tsakalotos,claims that a broad agreement has been reached with the Quadriga....except that:.

"Two or three small issues" are yet to be resolved with lenders.

It is always the "small" issues that destroy the alleged deals with Greece!

Monday, August 10, 2015

Draft Greek Deal

Allegedly the Quadriga and Greece have drafted a bailout deal that they are happy with.

Now ALL that remains to be done is for the Greek parliament and members of the eurozone to agree to it.

Finland has accepted it with a few words of reality, namely that it doesn't think it will work and that the best option is still Grexit!

The algos will feed well in the coming days, as contradictory headlines spew forth!

Thursday, August 06, 2015

Ignore The Greek Hype and Lies

As I have repeatedly stated, there is no way on earth a bailout deal can be done before December!

Those that claim otherwise are either deluded or lying.

Wednesday, August 05, 2015

Greece Needs Euro100BN Bailout

Those who would have us believe that bailout deal will be agreed by 20th August are lying.

Greece needs Euro100BN, and there is no way that Germany and the IMF will ever agree to that!

Germany Nixes Delusional Deal Done Optimism

Greek Banks Continue To Fall

Unsurprisingly Greek bank shares have continued to fall.

Ekathimerini reports that Piraeus Bank SA and Alpha Bank AE plunged at least 29% today, while Eurobank Ergasias SA plummeted 15%. While about half of the 60 stocks listed on the benchmark ASE Index climbed, the banks' losses dragged the index lower.

The falls will continue, as the banks are in effect bust and will require massive recapitalisation and depositor bail ins (despite what the lying politicians are telling the media).

The falls would have been greater, but for the emergency curbs put in place amid capital controls. A stock’s trading will be halted if it rises or falls by as much as 7% in 10 minutes, while daily moves are limited to 30%. 

Tuesday, August 04, 2015

Greece Has Loads of Money

Apparently, if Reuters sources are to be believed, Greece is unlikely to ask for an increase in emergency funding from the European Central Bank for weeks.

For why?

It has loads of money!

The sources claim that Greece's liquidity buffer has risen from Euro1BN to Euro5BN, thanks to two Emergency Liquidity Assistance (ELA) increases from the ECB, tax and tourism inflows, and pension payments.

Let us trust that this buffer isn't squandered!

Monday, August 03, 2015

Greek Stock Market Crashes

Greece's stock market reopened today and, not unsurprisingly, has crashed.

The overall index is currently down around 23%, with bank/finance shares are down 30%.

However, where there is volatility there are profits to be made. Canny traders will find a way to make money out of this.

Those that are not so canny, beware the dead cat bounce!