These Greek talks with their creditors

[AtW]

The Euro declined against the pound by 5% over 2011. I wonder what will happen now that the ECB is printing money.

5% decline is hardly a currency collapse is it? In the last year EUR was going up and down vs USD, and GBP is down more than 20% from peaks of $2 per £1.

Now EU manufactures will book higher profits due to lower currency value, more taxes paid and spekulants will move over to easier targets like UK.

[TimberWolf]

The Euro declined against the pound by 5% over 2011. I wonder what will happen now that the ECB is printing money.

Our inflation rate is double (and likely more) that of Europe though, so while the pound might buy more over there, it buys less at home.

[Doggy Styles]

Personally I think Greece should default and be done with it - remain in euro zone of course.

Until their next tranche of borrowing comes up to be settled - and they'll have to default on that as well. And so on...

[sasguru]

5% decline is hardly a currency collapse is it? In the last year EUR was going up and down vs USD, and GBP is down more than 20% from peaks of $2 per £1.

Now EU manufactures will book higher profits due to lower currency value, more taxes paid and spekulants will move over to easier targets like UK.

But you haven't the answered the question of what will happen with the ECB back-door money printing?
Personally I'm happy they're doing it - it will stave off the crisis temporarily and buy time.
But there needs to be a more sustainable solution soon.

[AtW]

But you haven't the answered the question of what will happen with the ECB back-door money printing?

Normally serious inflation would happen (like in UK), however euro enjoys status of a reserve currency something GBP isn't, so they might just get away with it: they've certainly shown reluctance to use obvious solutions like this, very much unlike BoE.

I guess maybe it's because ECB officially don't get knighthoods and are actually competent?

[AtW]

Until their next tranche of borrowing comes up to be settled - and they'll have to default on that as well. And so on...

Yes and so on until creditors get a clue and choose to accept big haircut.

If I was Greece I'd set deadline to accept offer, say 48 hours and then selectively default on bonds owned by hedge funds and other fools who thought to take a gamble on them.

[sasguru]

Yes and so on until creditors get a clue and choose to accept big haircut.

If I was Greece I'd set deadline to accept offer, say 48 hours and then selectively default on bonds owned by hedge funds and other fools who thought to take a gamble on them.

Rather than talking bollux about high finance, why not just try and make a success of your company?
No potential investor who happened to come to CUK would invest a penny in you.

[AtW]

No potential investor who happened to come to CUK would invest a penny in you.

I think any serious potential investor would look at hard data (sales etc) that will be made available to them (in the event of the company wishing to get such investment in the first place) rather than base view on irrelevant internet forum posts.

Whoever reads my posts will also read yours and also your own signature -

"According to my rep still a bellend. And thrice a knob."

[The Spartan]

Spain, Italy and Greece used to be extremely popular with british tourists before the advent of the euro I wonder how they're fairing now as I for one wouldn't go to any of them. Everything is more expensive than it is here, whereas before it was a lot cheaper. Serves them right if you ask me they've brought it on themselves.

[BrilloPad]

The IMF is lending to one of the world’s biggest and wealthiest economic regions. The sums involved are consequently much larger. The $30 billion Greek programme alone is already the biggest the IMF has ever conducted. There are surely still bigger ones to come. And while the bail-outs may buy a little time, they do not provide solutions. With devaluation closed off, the eurozone periphery will struggle to return to growth, a key prerequisite in a country’s ability to honour its debts. But never mind the risk of default: it is morally repugnant that relatively poor countries such as India and China are being asked to lend to the IMF to sort out a mess that the eurozone is easily rich enough to clear up itself. There is a sense in which Europe has made its own bed, and now must lie in it. That, in any case, is increasingly the US view, as it progressively turns westwards and inwards.

The bottom line is that an organisation designed to set distressed economies back on the straight and narrow is instead being used to protect both the sanctity of the euro and the single currency’s richer, northern creditor nations from loss. This was surely not what the IMF’s creators had in mind.

The IMF is no longer serving its purpose - Telegraph