Financial markets reeling after France and Greece elections

Aurora · Post by **Aurora** » 07 May 2012, 07:50

The Guardian - 07/05/12

Election of anti-austerity François Hollande in France and hung parliament in Greece create uncertainty about eurozone debt crisis.

Article continues ...

biffvernon · Post by **biffvernon** » 07 May 2012, 07:55

Oil price is going down this morning.

Aurora · Post by **Aurora** » 07 May 2012, 10:40

The Guardian - 07/05/12

Greek market rocked by election

Greek shares fall nearly 8% at the open while French market is also down.

Article continues ...

Markets have clearly taken fright at the election results. Credit default swaps in France, Spain and Italy have risen. French five-year CDS are up 5 basis points to 194, Spanish CDS up 9 points to 486 and Italian swaps are up 12 basis points to 442, according to Markit.

The euro has tumbled this morning, hitting a three-month low against the dollar, at 3 1/2 year low against the pound and a 2 1/2 month trough against the yen.

Traders reckon the euro has further to fall in coming days.

Little John · Post by **Little John** » 07 May 2012, 11:00

Aurora wrote:
The Guardian - 07/05/12

Greek market rocked by election

Greek shares fall nearly 8% at the open while French market is also down.

Article continues ...

Markets have clearly taken fright at the election results. Credit default swaps in France, Spain and Italy have risen. French five-year CDS are up 5 basis points to 194, Spanish CDS up 9 points to 486 and Italian swaps are up 12 basis points to 442, according to Markit.

The euro has tumbled this morning, hitting a three-month low against the dollar, at 3 1/2 year low against the pound and a 2 1/2 month trough against the yen.

Traders reckon the euro has further to fall in coming days.

Good

It's all coming to a head

Aurora · Post by **Aurora** » 07 May 2012, 11:02

stevecook172001 wrote:
Aurora wrote:
The Guardian - 07/05/12

Greek market rocked by election

Greek shares fall nearly 8% at the open while French market is also down.

Article continues ...

Markets have clearly taken fright at the election results. Credit default swaps in France, Spain and Italy have risen. French five-year CDS are up 5 basis points to 194, Spanish CDS up 9 points to 486 and Italian swaps are up 12 basis points to 442, according to Markit.

The euro has tumbled this morning, hitting a three-month low against the dollar, at 3 1/2 year low against the pound and a 2 1/2 month trough against the yen.

Traders reckon the euro has further to fall in coming days.
Good

It's all coming to a head

Be careful what you wish for Steve.

Little John · Post by **Little John** » 07 May 2012, 11:09

Aurora wrote:
stevecook172001 wrote:
Aurora wrote:
Good

It's all coming to a head
Be careful what you wish for Steve.

Economic collapse is coming anyway. The only pertinent question that remains is does the frog get to boil slowly or quickly. The quicker it happens, the more likely it is to do something about its predicament. Of course, it will be a very dangerous time coming up and things could go, politically, in horrible directions. In which case it's time for those of us who would see this as the opportunity to carve out a new world of greater fairness and equity to stand up to the plate.

None of the above can be avoided, so bring it on.

ujoni08 · Post by **ujoni08** » 07 May 2012, 11:14

Steve, you're scaring me (but of course, you're right

)

Sometimes when I think about the hugeness of the problem we face, I feel like this little chap:

http://www.youtube.com/watch?v=G7X54cJvVUk

UndercoverElephant · Post by **UndercoverElephant** » 07 May 2012, 11:31

ujoni08 wrote:Steve, you're scaring me (but of course, you're right )

Sometimes when I think about the hugeness of the problem we face, I feel like this little chap:

http://www.youtube.com/watch?v=G7X54cJvVUk

Eeyore wrote: "Everybody crowds round so in this Forest. There's no Space. I never saw a more Spreading lot of animals in my life, and in all the wrong places."

ujoni08 · Post by **ujoni08** » 07 May 2012, 11:35

woodburner · Post by **woodburner** » 07 May 2012, 14:38

In which case it's time for those of us who would see this as the opportunity to carve out a new world of greater fairness and equity to stand up to the plate.

I suspect none of us here have the personality to stand up to the Moronic Tendency that is likely to be the first dominant sector. If you can keep out of sight until they begin to die off, there might be a chance you can have some influence.

Totally_Baffled · Post by **Totally_Baffled** » 07 May 2012, 17:45

Very weird, the CAC and DAX opened 2% down and now both indexes are both up!

This economic collapse is going to be unpredictable! Seat belts on!

Little John · Post by **Little John** » 07 May 2012, 18:35

Totally_Baffled wrote:Very weird, the CAC and DAX opened 2% down and now both indexes are both up!

This economic collapse is going to be unpredictable! Seat belts on!

The slightest bit of bad news and the market to drop like a brick. The slightest bit of good news and it rises like there a frigging stick of dynamite up it's ares. There nothing "intelligent" about the "market". It's like a neurotic, hysterical child.

Post by **clv101** » 07 May 2012, 20:35

Totally_Baffled wrote:Very weird, the CAC and DAX opened 2% down and now both indexes are both up!

This economic collapse is going to be unpredictable! Seat belts on!

The market shouldn't be spooked by these election results - they were entirely predictable, and predicted.

woodburner · Post by **woodburner** » 07 May 2012, 23:51

The market makers will do anything to shift the price. If it goes up there will be transactions, if it goes down there will be transactions. Either way the market traders will collect their commission. Others just have to guess in advance which way it will go before making their panic induced moves. No problem, the market traders still get their commission.

Stocks and shares are not a market, they are a gambling club.

Little John · Post by **Little John** » 08 May 2012, 00:06

woodburner wrote:The market makers will do anything to shift the price. If it goes up there will be transactions, if it goes down there will be transactions. Either way the market traders will collect their commission. Others just have to guess in advance which way it will go before making their panic induced moves. No problem, the market traders still get their commission.

Stocks and shares are not a market, they are a gambling club.

Exactly.

We are all collectively, as a culture, hanging of the mood swings of bleeding gamblers. If these were real markets of real people buying real stuff with their own money it would be a different matter. Instead, what we have got is a load of spivs buying and selling billions by the minute with money that is not their own on stocks and shares or derivatives of commodities which are all several times removed from the actual product or work on which they are based.

And yet we treat "market reaction" as some kind of f***ing oracle.