European debt crisis: Portugal is latest domino to fall
There is a growing sense of despair in Brussels. Unlike previous attacks on the euro project, the latest downgrade of Portugal’s debt by the ratings agency Moody’s feels like the beginning of the end.
Those economists and fund managers who argued that a second bailout for Greece with private sector involvement would mean something similar for Portugal and most likely Ireland are hitting their target.
Like a 19th century battalion holding the line against oncoming hoards with depleted firepower and an officer class at war with itself, the euro’s supporters are in a desperate situation.
Since last year’s Greek debacle, European leaders have sought to provide lifelines to the worst hit countries by replacing the private debt markets with the European Central Bank. The ECB now holds almost £100bn of Greek debt. Portugal was in much the same position, but hoped to muddle through its crisis with just one bailout from Brussels.
Moody’s says it is likely to join Greece in a second bailout because, like with Greece, private lenders are going to stay away for longer than expected.
Investors ask why they should buy the bonds issued by a country that will be forced to change the terms for the worse mid way through the life of the loan. That is what Brussels is contemplating for Greece. Moody’s naturally assumes the same will be imposed on Lisbon.
Just as we found in the worst period of the banking crisis, attempts by politicians to save money and preserve asset values only make the situation worse.
Satan sees all of these things about to give birth, yet he’s powerless to get his world rulers in synch. He seeks to do the opposite of what Father has laid forth in prophecy of the Word. In a last ditch effort to try and save his kingdom, he’ll walk straight into Father’s plan for the anti-Christ. Satan will take steps to try and rectify the world economy, but he’ll fail miserably.
Isaiah 17:12 “[ Judgment against the Nations ] Ah! The roar of many peoples— they roar like the roaring of the seas. The raging of the nations— they rage like the raging of mighty waters.”
Isaiah 5:30 “On that day they will roar over it, like the roaring of the sea. When one looks at the land, there will be darkness and distress; light will be obscured by clouds.”
Proverbs 20:2 “A king’s terrible wrath is like the roaring of a lion; anyone who provokes him endangers himself.”
Revelation 10:3 “and he cried out with a loud voice like a roaring lion. When he cried out, the seven thunders spoke with their voices.”
Isaiah 44:6 [ No God Other Than Yahweh ] This is what the LORD, the King of Israel and its Redeemer, the LORD of Hosts, says: I am the first and I am the last. There is no God but Me.”