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Despite treaties against such EU countries are developing novel ways to skirt their own laws


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#1 nimblebear

nimblebear

    Welcome to the Dark Side !

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Posted 09 May 2010 - 10:26 PM

oops. I might you the US taxpayer is funding roughly 2/3rds of the bailout !!!. Yep. Thats right. You hadn't heard or read any of that yet in media or on the net. But here we have: The EU treaties contain a so-called no-bailout clause, which forbids the bloc or any member to "be liable for or assume the commitments of" another EU country. The treaties bar the European Central Bank from lending to countries or buying their debt directly. To get around these obstacles, European officials appear to be relying on vaguer parts of the treaties, or on novel interpretations. Officials say "bilateral loans"—that is, lending from one country to another—are permitted because the lending countries aren't actually purchasing existing debt. Or, they argue that a part of the treaties permitting assistance in case of "exceptional occurrences" can apply, even though it seems intended for use when the exceptional occurrence is a flood, fire or hurricane. —Adam Cohen, Tom Lauricella and Laurence Norman And then hear we have a very nice catch from Market Ticker: From The Fed: 'In response to the re-emergence of strains in U.S. dollar short-term funding markets in Europe, the Bank of Canada, the Bank of England, the European Central Bank, the Federal Reserve, and the Swiss National Bank are announcing the re-establishment of temporary U.S. dollar liquidity swap facilities." REMEMBER THIS FOLKS FROM OUR OWN BAILOUTS - spv - SPECIAL PURPOSE VEHICLE. There has been an extreme level of strain in Euro funding markets. But see, the Europeans just announced they're going to use an SPV - that is, a secret off-balance sheet funding vehicle with over €400 billion in it. Who's going to provide the €400 billion? The Fed. (Yes, WE know what the Euro folks said IN PUBLIC. Now how about some transparency ! ) what do you think those phone calls from Obama were all about to merkel and gang over the weekend ? to tell her how beautiful she looked ? or how she can't go back to the Duetsch Mark. ? No. Obama and Ben, said " we'll take care of you honey, bc we love you, and we have the american taxpayers who are suckers, and will have no clue we are using borrowed and printed money out of thin air yet for any of our own bailouts, so whats another $400 billion among friends to bailout the whole EU ???" <_< :giveup:
OTIS.