This morning’s key headlines from GenerationalDynamics.com.
* Germany approves the expanded bailout fund
* 10 reasons why the EFSF is not the Holy Grail
* European financial inspectors audit Greece
* Syrian regime supporters attack American ambassador
* Terror plot thwarted in Framingham, Mass.
* Turkey’s Erdogan sends
Germany approves the expanded bailout fund
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German Chancellor Angela Merkel scored a major political victory on Thursday when the German parliament (Bundestag) voted overwhelmingly by 523 to 85 in favor of expanding the euro bailout fund. The vote approved expansion of the European Financial Stability Facility (EFSF) from its current €250 billion ($338 billion) to €440 billion. Germany’s share will rise from €120 billion to €211 billion. However, €440 billion still won’t be nearly enough. Thus, there’s talk of allowing the EFSF to “leverage” its assets, and allow it to borrow €2 trillion against the €440 billion. (Maybe they can keep doing that — borrow €10 trillion against the €2 trillion, then €100 trillion against the €10 trillion, and keep doing that until the EFSF has enough money to bail out the entire world.) Spiegel
10 reasons why the EFSF is not the Holy Grail
Summary: Investors in EFSF bonds won’t know what they’re getting in to, so they’ll be screwed. The EFSF will spread the risk, but instead of making every country stronger, it will bring down the entire euro zone. Bond Vigilantes
European financial inspectors audit Greece
Meanwhile, it’s still not certain that Greece will receive the next tranche of its second bailout, which it needs by early October to avoid bankruptcy. Inspectors from the “troika” (European Commission, European Central Bank, International Monetary Fund) are visiting Athens this week to assess whether Greece is meeting the conditions required to qualify for the money. Kathimerini
Syrian regime supporters attack American ambassador
Supporters of Syrian President Bashar al-Assad hurled rocks and tomatoes at U.S. ambassador Robert Ford’s convoy as he visited an opposition figure in Damascus on Thursday. Ford and his party were not injuried, and the ambassador had to lock himself in an office to await help from Syrian security. U.S. Secretary of State Hillary Clinton said, “We condemn this unwarranted attack in the strongest possible terms. Ambassador (Robert) Ford and his aides were conducting normal embassy business and this attempt to intimidate our diplomats through violence is wholly unjustified.” Reuters
Terror plot thwarted in Framingham, Mass.
I lived in Framingham until two years ago, so this story caught my eye. Rezwan Ferdaus, 26, had rented a storage warehouse in Framingham, in order to take delivery of 25 lbs. of C-4 explosives, six AK 47’s, and grenades that he believed he had purchased from al-Qaeda members. The al-Qaeda representatives turned out to be FBI agents who arrested him. According to the FBI affadavit, he wanted to attack a subway system, “…cause that would be a huge scare. A huge attack. The point is you want to scare them so they know not to mess with you…All the kafir (non believers), in this land, are enemies and if you…they’re all, they’re all part of it. They have…have killed from us, our innocents, our men, and women, and children, they are all enemies…” NECN
Turkey’s Erdogan sends Rosh Hashana greeting to Jews of Turkey
Turkey’s Prime Minister Recep Tayyip Erdogan offered his wishes to the Jews of his country on Thursday, extending his own Rosh Hashana greeting. “There have been a number of different beliefs and cultures living together for centuries in our country. Special days and holidays add special color to our community life.” Erdogan didn’t mention Israel, which he has recently targeted with several military threats. Jerusalem Post