The so-advanced-nobody-has-any-idea-what-they-are Credit Default Swaps are on their last leg. They won't be missed by anyone other than the snake oil salesmen on Wall Street who cashed in on chaos. Then again, Chuck Prince and Stanley O'Neal are living the good life in retirement so they don't care.
What's interesting here is how active Greek PM Papandreou has been going around the EU and now the US pushing for both reform in the financial sector as well as assistance with Greece's own financial issues. He inherited a serious problem and has been doing a decent job of responding. Taking advantage of the moment to push for much needed reform in the financial industry deserves a lot of credit.
From The Guardian:
What's interesting here is how active Greek PM Papandreou has been going around the EU and now the US pushing for both reform in the financial sector as well as assistance with Greece's own financial issues. He inherited a serious problem and has been doing a decent job of responding. Taking advantage of the moment to push for much needed reform in the financial industry deserves a lot of credit.
From The Guardian:
The commission announcement came in response to pressure from Merkel, Sarkozy, Juncker and Papandreou, who threatened to take national action against the markets if Brussels balked.
The European crackdown on CDS trading appeared to be the central result of Papandreou's tour of key capitals, a strong political signal aimed at winning time for the Greeks. The apparent determination to regulate the traders as well as the concerted political signals sent today were aimed at relieving the pressure on Greece whose debt and deficit crisis could spiral out of control and undermine the euro.
For the first time Barroso said the eurozone countries were preparing some form of bailout for the Greeks which, nonetheless, would not breach the no-bailout clause in the single currency rulebook.
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