This morning’s key headlines from GenerationalDynamics.com.
* Wall Street stocks soar 3% on empty promise by Sarkozy/Merkel
* Report: Merkel has concluded that Greek default is inevitable
* With elections approaching, Egypt’s government in crisis over Sunday’s violence
* Egypt’s state television admits to making up news that incited violence
* Youtube video shows army tanks running over Christians
* Semblance of a civil war in Homs, Syria
Wall Street stocks soar 3% on empty promise by Sarkozy/Merkel
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On Sunday, French President Nicolas Sarkozy and German Chancellor Angela Merkel promised to solve the euro debt crisis by the end of the month, but refused to give any details. “By the end of the month, we will have responded to the crisis issue and to the vision issue,” said Sarkozy, as a previously scheduled meeting for next week was postponed again. But that empty promise was enough for traders, who are now convinced that the crisis is so bad that European leaders will be forced into some multi-hundred-billion euro bailout program that will pour liquidity into the stock market, raising stock prices, as happened in 2009 with America’s TARP program. As a result, traders pushed Wall Street stocks up 3% on Monday. AP
When Angela Merkel was pressed for details, she said, “The French president said we are not going into any details today. The whole package will be ready by the end of the month.” A commentator adds: “If Angela Merkel and Nicolas Sarkozy had been captaining the Titanic when the iceberg was spotted, they would probably have issued a statement resolving to avoid it.” Sky News and Economist
Report: Merkel has concluded that Greek default is inevitable
According to the report:
“FT Deutschland leads with the story this morning – sourced to several German government officials – that Angela Merkel is pushing for an involuntary Greek default. The paper writes that the German government has now concluded that Greece was insolvent and that it would have to default on its debt. Germany was now trying to persuade its European partners to accept the inevitable, but was still running into opposition from the European Commission, the ECB, and several member states, including France.”
The report concludes by quoting European Commission president José Manuel Barroso warning that a Greek default would lead to disaster. EuroIntelligence
Merkel is risking a “snowball effect,” according to another analyst, who says a “Pandora’s box” would be opened. “It would be a complete disaster, a signal that sovereign debt is not safe. Investors would pull their deposits out of Portugal, Ireland, Spain and Italy and set off bank runs across Europe. The French are against doing this and so is the European Central Bank. They know banks need more time to adjust. We don’t think Europe will pull the trigger.” Telegraph
With elections approaching, Egypt’s government in crisis over Sunday’s violence
Sunday’s violence, the bloodiest since the protests began in January, resulting in the deaths of 24 Coptic Christians, is igniting fears of widespread sectarian violence across the country. Egyptian presidential candidate and former Arab League president Amr Moussa warned that Sunday’s event was a “big catastrophe” that is not merely the latest episode of sectarian tension but the beginning of a faceoff between Egypt’s Muslims and Christians, not only in Cairo but all over Egypt. “This cannot be repeated; we are at the door of a huge confrontation, not just in Maspero but all over Egypt.” Al-Ahram
Egypt’s state television admits to making up news that incited violence
Maspero, Egypt’s state television, announced on Monday that there are no deaths among the military forces after previously reporting that there were during the Sunday clashes. They falsely reported that the Coptic protesters attacked the military forces with weapons, resulting in the deaths of three soldiers, and they called on the Egyptian people to take to the streets to protect the armed forces. The news agitated many Muslims who took up arms and clashed with protesters, both Muslims and Coptic Christians. Bikya Masr (Cairo)
Youtube video shows army tanks running over Christians
The video provided by al-Arabia, shows armored vehicles running over people, killing and injuring scores of them:
Semblance of a civil war in Homs, Syria
The days of Syrian regime forces massacring peaceful, unarmed protesters appear to be over in Homs, the third largest city in Germany. Armed civilians, along with military defectors, are now battling Bashar al-Assad’s regime security forces in formerly peaceful neighborhoods. Perhaps the most dramatic facet of the struggle is a series of assassinations this past week that have left nearly a dozen professors, doctors and informers dead in a paroxysm of violence. From the point of view of Generational Dynamics, Syria is in a generation Awakening era, and so a crisis civil war is impossible. If a civil war begins, it will fizzle quickly. NY Times