It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Thank you.
Some features of ATS will be disabled while you continue to use an ad-blocker.
vulturemoney.com...
October 24, 2008
VIX Hits Record High... 89.5
The CBOE Volatility Index (VIX) hit an intraday record high of 89.5 on Friday.
The VIX has averaged.26.74 this year compared with 17.54 in 2007. The volatility index closed above 50 for the first time on Oct. 6 and has not breached that level since.
Dow 9,999.16 -271.39 (-2.64%)
Investors sold off stocks in Portugal, Spain and Greece and the euro plunged on Thursday as market fears over the fiscal problems of debt-laden southern members of the euro zone widened.
The Portuguese government's defeat over a regional finance bill, a climbdown by the Spanish government over pension reform, and protests by tax officials in Greece added to the woes of states struggling to cut budget shortfalls bloated by recession.
Originally posted by Hx3_1963
vulturemoney.com...
October 24, 2008
VIX Hits Record High... 89.5
The CBOE Volatility Index (VIX) hit an intraday record high of 89.5 on Friday.
The VIX has averaged.26.74 this year compared with 17.54 in 2007. The volatility index closed above 50 for the first time on Oct. 6 and has not breached that level since.
The ratio of overall debt to gross domestic product in the European Union—a key indicator of fiscal health—will jump to almost 80% this year, according to the European Commission. While that's shy of the 89% level in the spendthrift U.S., it's up from 60% in 2007. For this year, the combined deficits of European governments will hit 6.7% of GDP, more than double the 3% mandated under EU law. In Greece, Britain, Latvia, and Spain, the 2010 shortfall is in double digits.
That's particularly true for the so-called PIIGS: Portugal, Italy, Ireland, Greece, and Spain. Fears of default have spurred international ratings agencies to downgrade their sovereign debt, making it costlier for them to raise money
Portugal near political crisis over debt
www.ft.com...
Portugal moved towards a political crisis on Thursday night as its finance minister appealed to opposition parties not to defeat the minority Socialist government over a regional finance bill that he said would undermine the country’s international credibility.
In a televised address, Fernando Teixeira dos Santos said opposition proposals to allow the Portuguese islands of Madeira and the Azores to increase their debt would have “grave consequences for Portugal’s public accounts” and send “the worst possible message” to financial markets.
His warning came as Portuguese bonds and shares came under fire for the second day running as concerns over sovereign debt spread from Greece to other high-deficit countries in the eurozone.
The Lisbon stock market fell almost 5 per cent on Thursday, the biggest daily fall since November 2008, and bond yields rose to new highs amid doubts over the ability of Portugal to consolidate its public accounts.
The cost of insuring Portuguese debt against default also rose to a record high.
Mr Teixeira dos Santos said approval of the bill would involve an increase of €50m (£45m, $70m) in funding for the islands this year, rising to an increase of €83m in 2013. This would make it impossible for the government to meet its commitment to the European Commission to cut the budget deficit from 9.3 per cent of GDP in 2009 to less than 3 per cent in 2013.
The centre-right Socialists were re-elected to a second four-year term in September, but lost their overall majority in parliament. The contested bill is supported by opposition parties on the left and right who together have enough votes to defeat the government.
Opposition parties accused the government of “irresponsibility” and deliberately creating a crisis to ensure the bill was defeated.
Earlier on Thursday, Mr Teixeira dos Santos said “strong and credible” measures to be presented the European Commission this month would be “no less ambitious” than the Greek plan to consolidate public finances endorsed by Brussels on Tuesday.
He said Portugal had taken over from Greece as the main victim of the “animal spirits” of financial markets that were often “irrational”. The concern in the case of Portugal, he said, was not justified.
The US Senate on Thursday looked increasingly likely to adopt, at best, only a watered-down version of the Obama administration's ambitious proposal to limit risky trading by banks
Retire? You can fuggetaboutit if the new Global Debt Time Bomb is detonated by any one of 20 made-in-America trigger mechanisms.
Yes, 20. And yes, any one can destroy your retirement because all 20 are inexorably linked, a house-of-cards, a circular firing squad destined to self-destruct, triggering the third great Wall Street meltdown of the 21st century, igniting the Great Depression II that George W. Bush, Ben Bernanke, Henry Paulson and now President Obama have simply delayed with their endless knee-jerk, debt-laden wars, stimulus bonanzas and bailouts