The Smart Money’s Using This Bounce To Prepare For the Next Round of the Crisis
by Phoenix Capital Research
ZeroHedge.com
07/10/2015
Stocks are rallying today because of:
1) Hype and hope of a Greek deal
2) China has stopped trading of 49% of stocks and threatened to arrest anyone who is short-selling the market (talk about a backstop!)
Regarding Greece, no deal has been made. Greek PM Tsipras has submitted a proposal for a new deal… which is almost EXACTLY the same as the deal that 61% of the Greek population rejected via referendum last week.
Tsipras has completely backed himself into a corner. He used up a lot of goodwill with EU officials when he let Greece to default by staging a referendum for Greek voters AFTER the due date on Greece’s debt.
The voters obviously voted “No” on the EU’s deal… so Tsipras had to come up with a new proposal. The only thing he can suggest that would possibly sit well with Greek voters is “debt forgiveness,” which Germany has stated it is absolutely opposed to.
So now Tsipras must decide… does take a bad deal, which will force a popular revolt in Greece (and likely his expulsion from office) or is he the man who takes Greece out of the Eurozone?
His finance minister has already quit his post… and doesn’t seem too upset about it. Perhaps Tsipras will follow suit, Greece will elect another PM and the whole charade can start all over again?
The Rest…HERE
