Posted Jun 10, 2015 by Martin Armstrong
It is all show. Now, Merkel desperately wants to bring a signed bailout deal with Greece to secure the euro. Greece managed to raise nearly €3 billion at its debt auction at 2.97% but for six-month securities. While the Greek politicians were delighted, we are talking about six-month paper. Capital is not taking a long-term view in Europe.
Meanwhile, Greece is still waiting for the disbursement of further loans from the second bailout package of €7.2 billion. As long as it appears there may be a deal, the short-term paper sold. But tax revenues are not likely to increase. They are becoming more aggressive in collecting taxes to pay Brussels, which will only harm the Greek economy even more and increase the chances of it breaking away from the euro after 2015.75.