Friday, July 17, 2015

News Note: Greek Can Successfully Kicked

This is about all we need to communicate to readers on this issue

But here is the news article on it:  Europe Moves to Restore Funding to Greece

No Grexit and the can successfully kicked as Jim Rickards predicted (see video link here). 

We did not bother to cover this story very much because no one really knew when the real "deadline" was. All the "deadlines' were self imposed for theatrics. What we have witnessed appears to have been a lot of theater with both sides of the dispute looking bad in terms of leadership. We did learn that those in the EU leadership don't mind at all using 70 year olds with almost no money as pawns whenever it suits their needs. Probably not surprising, but something to note if we ever have a real global crisis some day. Also please note the Greek citizens were denied access to any cash they may have had in their safe deposit boxes.

I am also not sure why the Greek government put on such a big show when a better deal could have been done long ago and people could have avoided standing in ATM lines for what appears to be no reason now. It all just looks childish at this point and a giant waste of time and energy.

This ended up being more of the same game playing with no real resolution of the long term problem (unsustainable debt), but the can did get kicked a good ways down the road as you would expect. But even a NY Times Op-Ed piece questions whether the EU will survive long term with this kind of leadership. The IMF also appears to want to wash its hands of the whole mess with a new report that clearly disputes the Eurozone leaders. It basically says they are living in Fantasy Land. 

Nothing significant was accomplished by those in charge of this mess except to push the problem off into the future again, but we did get a clear illustration why everyone needs some kind of backup plan that includes emergency funds outside the system. 

Obviously, as we just saw yet again, we cannot trust the system to allow access to our own money if things go bad. Not even in a safe deposit box. Anyone watching what just happened with Greece who still doesn't get this is probably beyond hope in terms of ever preparing for any future crisis with the financial system. Let's hope we don't have one because most people absolutely will not be prepared for it. 

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