Tuesday, June 23, 2015

Dennis Gartman on Greek situation and confusion

All we can say at this point is that confusion reigns. One moment it is that a Greek default is imminent and that all sides have taken intransigently opposite positions and the next moment it appears that some form of reconciliation amongst he belligerents seems imminent instead.

If I were the Greek prime minister I would have defaulted long ago and left because at least I then know I can get my currency back, I can devalue it, my textile industry becomes competitive, my tourism industry becomes competitive again, my shipping industry becomes competitive.

Germany needs to keep Greece in the euro to keep the euro otherwise cheaper than it would be because Germany is an exporting country.

Bayer needs Greece in. Thyssenkrupp needs Greece in. Daimler needs Greece in. And that's the problem. That's the confusion that people are talking about.