EUR

Mach...

do you have any posi on Euro?

just a bit confused.... all i remember is that you were quite bullish on Euro 2 weeks ago mentioning anything below 4650 is a gift to go long.... and i remember you going long high 45xx level and said you'll be adding till 44xx level.... so just wondering what happened to those trades since you you've turned quite bearish last few days and it was pretty much a one way traffic since....


as long as Euro trades below 4340 level.... more downside favored.... significant support around 3950/60 area if Euro should fall below 4090 area.... above 4340 signals wave from 4940 has ended and could see some recovery initially to 4500 area and further to 4600/4650 area...

anyway... gl/gt

Sure, selling assets can be used to reduce debt (which is not evident given the socialistic-populistic underscore of Greek govs.) but then they'll be left without means to service the remaining debt. They need to raise assets not sell them. Meanwhile making government more efficient. And I've seen countries where the gov. can actually collect taxes and those countries are not necessarily any more virtuous than the Greek. If they can fix the tax issue, they won't need to sell assets. And EU citizens will not have to bail them out in the future.

Privatization can go awfully wrong too, think for example the train industry in the UK. Efficiency is always a management issue, not ownership. It doesn't matter who is the owner, if management does it's job. And then the gov. should be able to regulate strategically important companies like utilities, infrastructure, etc. for the (true) greater good.

And let's just agree to disagree on the issue of leaving the EZ would equal to suicide or not. :)

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Meanwhile, cable is forming another bait & switch day, and e/u agrees. I wonder what the yanks will think of it when they'll have their first cup of brown liquid that they drink.

Mach I suppose (like in uk) they need to reduce size of govnmt by hiving off to the private sector. smaller public sector/larger private sector. My guess is in doing this it also provides the opportunity of raising capital on the sale of hard assets which would reduce some of their debt and thus lower the cost of servicing debt to some small extent. Trouble with Greece (as mauldin reported) is the entire well established culture of cheating on taxes makes everything a very uphill battle for the govnmt. Its why I think they should leave the common currency which would effectively throw the problem back with the people, back to basics !

Dave, it's funny how it always boils down to this: 'you're in trouble, so sell your assets to us'. At depressed prices of course, since you're in trouble. But how's that gonna help? Selling factors of production can only result in lack of production. That only deepens the hole they're in.

Real volume disappeared again - when you try to hit b/o you get a fraction and the rest vanishes. I still favor south, but managed very tightly: as long as 4224 holds, a minimum from here is 4126, then 4050.