European Union, Global Investors…We’re All Fed up with Greece!

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European Union, Global InvestorsWere All Fed
up with Greece!
By- George Leong
http//www.profitconfidential.com
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• I hate to keep coming back to Greece, but its
  turning out to be a major Greek tragedy over
  there. The country cannot pay back its initial
  130 billion or so emergency bailout and now
  needs another 150 billion to pay back loans and
  avoid a sovereign debt default. The reality is
  that Greece is tanking and falling into shambles,
  waiting for a white knight to appear and clean up
  the financial crisis. The country needs to follow
  strict austerity measures.
• I recall being in Greece in 1995 and wondering
  why there were so many buildings in the
  construction phase sitting idly with no progress.
  The taxi driver told me that, in Greece, all
  construction halts if interest rates are high,
  waiting for rates to decline before continuing.
• Greece is a beautiful country full of history,
  and one thats significant in the development of
  mathematics and the arts. Yet now there appears
  to be a Greek tragedy in the works.
• 
  

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• American-born Greek Prime Minister George
  Papandreou then shocks the global markets earlier
  this week after announcing that the country will
  need to hold a national referendum to determine
  if its citizens want to accept the new debt
  crisis bailout terms from the European Union.
  Papandreou is clearly trying to save his own
  hide.
• Perhaps he should come back stateside and run for
  President?
• Again, Im talking of survival here for Greece.
  What is there to talk about? As I said the other
  day imagine being on the brink of losing
  everything, but someone says, Dont worry I
  have money for your debt crisis, even if you may
  not be able to pay it back. Would you say no?
• The European Union obviously is fed up with
  Greece and wants a resolution to the debt crisis.
  The European Union has demanded that Greece must
  accept the austerity measures plan in order to
  receive funds otherwise, it may need to leave
  the European Union and go it alone. Of course, if
  this happens, Greece would go into default, which
  could lead to a financial crisis throughout the
  eurozone and cause havoc.

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• Opposition parties in Greece are calling for
  Greek Prime Minister George Papandreou to resign
  and for a coalition government to accept the
  European Union deal. Germany and France have
  indicated that they are tired of the Greek
  stalling and want the deal done now.
• In my view, its silly that Greece believes it
  has any other options left and is risking a
  catastrophic debt crisis and default. The debt
  crisis is not limited to Greece. Italy is also
  struggling with its own massive debt crisis and
  austerity measures, while Portugal wants more
  flexibility in the terms of its debt bailout. The
  demands, it seems, will not halt and Europe
  likely has more problems waiting down the road.
• My feeling is that the risk continues to be high,
  as you can read about in Stocks Facing Many
  Hurdles Ahead.
• Longer-term I continue to favor small-cap stocks.
  You can read why in Small-caps in a Bear Market,
  But Have a Long-term View.

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