Monday, April 4, 2011
Sunday, April 3, 2011
12 Unlikely Scenarios That Are Not So Unlikely
- Obama forced to resign because of "Birther" issue
- Donald Trump becomes President
- Al Qaida gains official political foothold and voice in the
- Another major tsunami or earthquake
- Egyptian-Israeli peace treaty collapses
- Revolution in
- EU break-up
- French President Nicholas Sarkozy or German Chancellor Angela Merkel, or both, ousted
- A
- Conservative Party in the
Saturday, April 2, 2011
Friday, April 1, 2011
Thursday, March 31, 2011
Collapse of Portuguese Bonds Cause for Celebration
The Portuguese 2-year bond has hit 8.6%.
The country should be celebrating and praying that the yield will continue on its current trajectory path. That way when political issues are resolved, a plan to consolidate debt with favorable terms is established, the country ditches the Euro and reverts to a a domestic currency, a proposal for government stimulatory measures combined with some smart austerity is imposed, Portugal can buyback its debt at hugely discounted values.
The profit on this will be enormous. In fact, according to my calculations, if Portugal had only issued additional bonds a year ago, at the then lower market yield, the country may have been able to wipe out its deficit, simply by buying back the debt, at the hugely discounted values.
Subscribe to:
Posts (Atom)