Here we go. Say bye bye to the Eurodollar.
Greece will miss a deficit target set just months ago in a massive bailout package, according to government draft budget figures released on Sunday, showing that drastic steps taken to avert bankruptcy may not be enough.
As Germany slowly makes for the door, one might ask who has been making money off all this? Any guesses?
How about Goldman Sachs?
Greece wanted to build a new airport. Goldman got them the money to do so, but held the mortgage to the property, the payments for which consumed all the profit the airport generated (and added additonal costs to the Greek state).
Now, reunited Germany is morally obligated to start stuffing Deutschmarks in its pockets as it removes deposits from Brussels. Its steady export surplus entitles it to do so, but the reunification of Germany was agreed to only because the new Germany would back the Euro with its Deutschmark. Now for it to withdraw support for the currency would surely be the deathknell for the European Economic Community and its market basket currency. would it not?