Posts Tagged ‘germany’

What a devastating weekend for Greece. The very-similar-to what-the-Troika-proposed-conditions (which made me wonder why the referendum in the first place*) got rejected as “there is no trust” and they are still working on a deal till Wednesday.

Let me clarify for you, as it gets more complicated by each minute you read about them.

If the Germans were Americans all the media would say that they are trying to organize a financial coup d’etat (takeover of a state by violent/political/financial mean) in a democratic country.

Since Germany has a dark part, the media are embellishing the proposition.

But I do not know how to define it otherwise.

Greece would place EU50 billion of Greek State assets (ports, railways etc)  in an independent (from Greece, but dependent from the Troika)  company as a guarantee for the loans provided.

To make it clear it would be a Luxembourg based company which would be managed by Greece under the supervision of the European Commission (EG Germany).

Otherwise Greece can take a 5 year EU membership suspension to fix its own problems, with some humanitarian aid.

Now PM Tsipras has to negate all of its promises and more, becoming a German puppet government or resign (which has been always the Germany objective).

I really hope that the Greeks will finally say OXI (NO) and get the hell out of Euro, EU and NATO.

Probably the Greek Government will try to say YES and stay in the circle (and find a way around to go back on its promises).

This is clearly a financial oligopoly which do not care of people or democracy.

The markets will remain jitter prone. Still at the moment there is no contagion risk as the market goes (politically can be different)

Two interesting side – thoughts – but of extreme geopolitical instance that appeared in this round of negotiation

There is a clear “hard split” between South Europe (France, Austria, Italy) and North Europe (Germany, Finland, Slovakia).

And this was “in motion” from several years.

The most surprising (and scary) thing is that Germany, for the first time since the defeat in World War 2, completely disobeyed a US request (the US is here represented by the IMF) to negotiate with Greece for geopolitical reason.

This is most important as it means that Germany wants to rise its status as a new power (apart USA, China and Russia) within (or without) the EU.

This message will not be lost on the US (nor to Russia and China) and this shift which could have  far and reaching consequences – much more than Greece itself.

Did anyone noticed?

All the Greek saga is not Europe versus Greece, but Germany versus Greece (the names kind of give it away…Schauble, Junker.

The only non German involved is LaGarde (IMF – so American sponsored).

As I posted long time ago, (not politically correct but true and definitely Machiavellian) Germany tried to take over Europe two times with armies. Now with economics.

The other 2 time they look like winning for a long time (practically from 1933 to 1942, last time – stopped in their tracks by the Soviet Russia in Stalingrad).

Let’s see if history repeats itself (1990 -2015 stopped by Putin Russia in Greece) or if we really will have the 1000 years Reich!

Germany at the US is currently playing the great de-escalator of the conflict between Russia and Ukraine.

But the real battle is actually behind doors between Mario Draghi that want a European Quantitative Easing (idea on which the market has all hopes after the end of the US QE in order to keep on rallying) and the Euroskeptical Alternative that point (with success) at the illegality of such an action (view supported also by the Bundesbank. Also the challenge (to the ECB powers)  pursued in 2012 by the German Courts is now under review).

So a hard battle for Draghi and the markets