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Old 06-04-2010, 09:59 AM   #1
leistb
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Default Hungary on the edge of default

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The Hungarian forint tanked in currency markets, where the euro was also coming under pressure, on remarks Thursday by the vice president of the Fidesz party, Lajos Kosa, that Hungary is in a Greece-like sovereign credit crisis.
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Old 06-04-2010, 10:19 AM   #2
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Is this a big tipping point down to a crash?
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Old 06-04-2010, 10:28 AM   #3
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Originally Posted by sandyd View Post
Is this a big tipping point down to a crash?
Very well could be. Hungary was on the radar, along with many other Eastern European countries, about this time last year as a potential risk for default. They've been propped along just like many other nations without really doing anything to trim their budgets/deficits. Chickens eventually come home to roost.
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Old 06-04-2010, 10:39 AM   #4
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Default Hungary In A Grave Situation

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“It’s clear that the economy is in a very grave situation,” Peter Szijjarto, spokesman for Prime Minister Viktor Orban, said today in Budapest. “I don’t think it’s an exaggeration at all” to talk about a default.
More here.
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Old 06-04-2010, 10:53 AM   #5
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Guess we need to change the spelling,no?

PHIIGS it is.
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Old 06-04-2010, 11:33 AM   #6
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LOL, Cactus...I saw people on another board trying to find a way to add the H
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Old 06-04-2010, 01:51 PM   #7
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Putin is wringing his hands. It will take just a couple of mid-winter fuel crises to have a couple of these countries back in the Russian sphere of influence.
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Old 01-05-2012, 02:16 PM   #8
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Default Hungarian Yields Soar, CDS Hits Record As Bill Auction Fails

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Less than a week after a fully failed 3 Year Hungarian bond auction (in which all bids were rejected by the government) sent Hungarian yields surging on December 29, things have gone from bad to worse culminating with today's 1 Year Bill auction which sold just HUF 35 billion ($140 million) in 1 year bills at a staggering 9.96%, a surge of over 2% compared to the yield for the same maturity debt sold just on December 22. To say that this is unsustainable is an understatement. Alas, with the IMF and EU out of the bailout picture following Hungary's refusal to yield to demands to make its central bank a puppet of the state, ironically categorized by Europe as concerns of central bank "independence" it is likely that Hungary will see far more pain in the coming days as the ECB is certainly not going to be buying Hungarian debt - after all it has its hands full already with those other collapsing Eurozone countries. And punctuating the new year comfort are Hungarian CDS levels which just soared to new records over 750 bps. It is only a matter of time before ISDA decrees that any and every Hungarian default event will be fully voluntary thereby collapsing this latest default protection house of cards.
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