Endgame approaching: EU caught by suprise as Greece calls a shock referendum

[-:Undertaker:-]

http://www.dailymail.co.uk/news/arti...o-bailout.html

Markets in freefall after Greece calls shock referendum on cuts which threatens to SINK Euro bailout

- FTSE 100 falls 3.4 per cent after opening
- Germany's Dax falls by 6.2 per cent
- French CAC-40 falls 5.9 per cent
- Dax, Nikkei, Dow Jones and Nasdaq also tumble
- 59 per cent of Greeks think deal is ‘negative’
- 'No' vote could prompt country's exit from the Euro
- 228-year-old US brokerage MF Global goes bankrupt due to euro bonds
- Chinese warn hopes of 'red knight' riding to slay euro debt dragon are 'misplaced'
- Comes as UK growth figures 'better than expected'

Stock markets have plunged in reaction to the shock announcement that Greece is to hold a referendum on the latest aid package to solve its debt crisis. In Britain the FTSE dropped by a worrying 3.6 per cent. But the situation was even more dire inside the eurozone where the German Dax index fell by 6.2 per cent and the French CAC-40 by 5.9 per cent. Markets in Asia have also fallen with Japan's Nikkei closing with a 1.7 per cent drop, Hong Kong's Hang Seng losing 2.5 per cent and Australia's S&P/ASX shedding 1.5 per cent.

Greek prime minister George Papandreou took many of his own parliament by surprise by declaring that the hard-bargained agreement - that took months for Europe's leaders to hammer out - will be put to a public ballot. It will be the first referendum in Greece since 1974, when the monarchy was abolished by a landslide vote months after the collapse of a military dictatorship. Mr Papandreou's decision means voters will be asked to approve a €100billion (£86billion) deal that would see 50 per cent of the country’s debts written off – but also see harsh austerity measures imposed for years to come.

Greek PM suprises EU, European Leaders and the World be announcing a referendum

His decision stunned European leaders as a ‘no’ vote would prove catastrophic for the EU and could prompt a disorderly default on the country’s debts and an exit from the euro. One recent poll showed that 59 per cent of Greeks think the new package is ‘negative’ or ‘probably negative’ for their country. The turmoil in Europe has also seen a 228-year-old U.S. brokerage firm, MF Global, file for bankruptcy after suffering massive losses gambling on eurozone bonds. The firm was founded by sugar broker James Man in 1783 and is now led by former New Jersey governor and Goldman Sachs chief Jon Corzine.

This has caught the undemocratic EU totally by shock, as we know how they loathe referendums - how dare the people have a right to say? how dare the people threaten this project which has resulted in mass unemployment and strife across the continent? how dare they, the people, threaten their European superstate? Reality is finally catching up on this undemocratic and sinister project, the Euro was always a political device intended to create one country called Europe and we are all going to suffer for it.

One theory thats going around is that the reason for this referendum being called is the Greek military, who had to (only a few decades ago) rescue the country from another left wing, bankrupt government. It would turn out to be no suprise if the Greek military have demanded a referendum for the people in an attempt to avoid a coup de'tat which is a very real possibility in Greece.

Next up are Italy, Spain, Portugal and Belgium who are all utterly broke - the pain will be intense as everything collapses around us and them, but its nothing as bad as what will happen if we continue to save the ridiculous Euro by pumping yet more borrowed money into this failed project. Governments spending too much money and a single shared currency, we said it'd all end in tears.

Thoughts? should they have a referendum? should we exit the burning building while we still can?

[Chippiewill]

The EU's current involvement in greece isn't just undemocratic, it's down right illegal.

Why shouldn't Greece have an EU referendum? Why shouldn't the United Kingdom have an EU referendum? Why shouldn't any country have a referendum on EU membership?

On such an overbloated, undemocratic process we should really be having referendums on it every ten years, minimum.

[GommeInc]

If Greece pull out then we should pull out as soon as physically possible so we're not caught up in the collapse. They should have a referendum if they want one, to deny them it would be disgusting

[Fez]

Domino effect anyone? As the Arab spring showed, democracy spreads fast.

[jam666]

It seems to me that a prerequisite to having an eu referendum is to be bankrupt...

[Wig44.]

It seems to me that a prerequisite to having an eu referendum is to be bankrupt...

No, the prerequisite to having an EU referendum is the government being in fear of a coup d'etat.

[Jordy]

This referendum sounds too good to be true if I'm honest, I'm sure something will happen to prevent it (is there a date for it).

No doubt they'll either strike a deal, ignore it, have a coup d'tar or be voted out of government before Greece leaves the Euro.

Although despite being sceptic about it, the Euro can't continue with bailouts and crisis meetings, something has to give eventually.