Losses expected for holders of Greek debt

Do they mean banks need to write down or reserve against their Greek bonds by 60 percent or is it that bondholders will reduce their claims on Greece by 60 percent?   We are not confident that the EU policymakers know the difference.  That was clear after the first “private sector involvement” deal was concocted and one reason why the markets lost confidence in the Eurocrats, in our opinion.   Click here and here for an explanation.

(click here if video is not observable)

This entry was posted in Euro, PIIGS, Sovereign Debt, Sovereign Risk and tagged , , . Bookmark the permalink.

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