800 European banks have now received a second slice of loans inside a year from the European Central Bank, amounting in total to nearly a trillion, nearly 1000 billion Euros - at a 1% rate of interest. Even if these private banks invest them all in totally safe, low-interest US treasury bonds they will all make a stonking profit. Why has the ECB been so generous?
The mantra is that these loans will encourage growth in the EU; in Greece and Spain and Italy and Ireland. Why? Why are banks going to lend out money to these frightening and insecure economies? In reality the ECB is building a firewall around Europe's private banks. Against what? Against a collapse in Greece, in Portugal, Ireland, then in Spain and Italy. Against Sovereign (government) debts crashing the economies of these countries and defaulting on debts. Against revolution.
This is the biggest movement of capital in Europe ever. From the taxpayers to the billionaires. To protect them from us.
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