Gold prices are up early Tuesday morning on bargain hunting and continued short covering. The U.S. dollar is trading higher this morning after solid losses on Monday. Gold last reported a.m. is $1176.80 and silver is $16.03
Athens made new proposals in effort to end the standoff with EU creditors on Monday hoping to be granted much needed funding. This attempt comes on the heels of a proposal submitted last week by Greek officials that was labeled as “absurd” by its creditors.
EU creditors are demanding Greece raise sales tax on food, medicine and utilities while at the same time abandoning plans to cut pensions and implementing labor protection laws. Greek officials are in a catch twenty-two situation as whatever route they decide to take will only harm their credibility and citizenry. If a deal is not reached by the end of June, the possibility of receiving a 7.2 billion euro payment will be negated forcing Greece into bankruptcy.
A spokesman for the European Commission, which together with the European Central Bank and the International Monetary Fund, is overseeing the rescue program said Moscovici met a Greek government delegation Monday “to exchange views on the situation.”
“We continue to be in discussion with the Greek authorities,” Margaritis Schinas told a briefing in Brussels. “Diverse proposals are being circulated including new suggestions which were received earlier this morning … The three institutions are currently assessing these suggestions with diligence and care.”
Schinas said that “if the conditions are there, there is always the possibility” that Greek Prime Minister Alexis Tsipras could hold a new meeting Wednesday with Commission head Jean-Claude Juncker, in the context of an EU and Latin America summit in Brussels.
Greece has become the poster child for nations that choose to live on perpetual debt. Can any nation, corporation or person remain viable in a system where debt can only be re-paid by borrowing more money? Not even in the U.S.
Becoming a victim to debt based economies is not an option. There’s no better way to protect wealth than with physical gold and silver. Give Gold Goliath a call and let us assist you in securing a portion of your wealth, while it’s still yours. Call 1-800-577-3195
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