The future of the Euro and EU.

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Originally Posted by ioan

US got their rating downgraded earlier this year and, figuratively speaking, no one died. So why would France losing their AAA rating mean a bigger problem?!

How can Germany have credit problems when it has the strongest economy out there? Because this whole thing is an orchestrated charade.

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Not sure its orchestrated but the fact that countries like France are having problems indicates it is indeed a charade. Its a self fulfilling vicious cycle with people having doubts about stable well run countries causing bond rates to rise, creating a problem where there was none previously.

It WILL be a problem if France loses its AAA rating as it means that the core Euro states that have a solid rating are not safe either, and the rot (imaginary or otherwise) has spread to the heart.

The Brits haven't been told by our leaders how badly we'll suffer if the Euro goes under, we'll have to bail out our banks all over again if some of them aren't going to collapse. 2008 might well seem like just a dry run.

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Originally Posted by ioan

Because this whole thing is an orchestrated charade.

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:up: 100% correct :up:

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Originally Posted by ioan

US got their rating downgraded earlier this year and, figuratively speaking, no one died. So why would France losing their AAA rating mean a bigger problem?!

How can Germany have credit problems when it has the strongest economy out there? Because this whole thing is an orchestrated charade.
Next step will be the European federal government, it's time for it to happen.

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Just wait and see how much of a Charade it is after you look at this.

http://blogs-images.forbes.com/kenra...h-bonds-16.jpg

Care to venture a guess what this is a chart of and who what is going to be it's effects?

I would hazard a guess by looking at the dates that it's the cost of French Government borrowing.

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Originally Posted by Knock-on

I would hazard a guess by looking at the dates that it's the cost of French Government borrowing.

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You are correct Sir.....Now care to guess who is going to have to pay for it?

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Originally Posted by Malbec

Not sure its orchestrated but the fact that countries like France are having problems indicates it is indeed a charade. Its a self fulfilling vicious cycle with people having doubts about stable well run countries causing bond rates to rise, creating a problem where there was none previously.

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Sort of Northern Rock multiplied, in other words.

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Originally Posted by anthonyvop

You are correct Sir.....Now care to guess who is going to have to pay for it?

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You, solely, personally? I do hope so.

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Originally Posted by BDunnell

Sort of Northern Rock multiplied, in other words.

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No, Northern Rock was running on the edge in the best of times with very little liquidity. As soon as the cost of credit went up NR were guaranteed to go to the rocks as it were. The concerns with that building society were very genuine.

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Originally Posted by BDunnell

You, solely, personally? I do hope so.

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Ahhhhh.....The old Rule #1 of how to argue like a Liberal

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Originally Posted by anthonyvop

Just wait and see how much of a Charade it is after you look at this.

http://blogs-images.forbes.com/kenra...h-bonds-16.jpg

Care to venture a guess what this is a chart of and who what is going to be it's effects?

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What if it goes down again after this week?
I wonder how man times can the 3 US based rating agencies menace all EU countries with downgrading before everyone realizes that they are fake? And even if it's true, who will be able to take further credit if no one can afford it anymore?

IMO those who are playing the game right now better play it smart or stop before the whole world goes down due to this stupid market hysteria!