Brazil debt auction failure and concern in Hungary

Illusions commend themselves to us
because they save us pain and allow us to enjoy pleasure instead

We must therefore accept it…when they...collide with a bit of reality
against which they are dashed to pieces

Sigmund Freud

"Hungary’s forint weakened against the euro,
erasing earlier gains after Napi.hu reported deputy chairman
of the ruling Fidesz party, Lajos Kosa,
said that the country has a “slim chance to avoid the Greek situation”
and that the new government’s primary objective is to avoid a sovereign default."

Stephen Kirkland
Bloomberg, June 3, 2010

The era of procrastination, of half-measures
of soothing and baffling expedients, of delays is coming to a close

In its place, we are entering a period of consequence

Winston Churchill

"Brazil has canceled the sale of its longest fixed-rate local bonds
three times in the past month
after Europe’s debt crisis eroded demand for less-traded assets.

The government received no bids it found acceptable
for...notes due in 2021 offered yesterday.

...Investors are avoiding little-traded securities in developing countries after Greece, Spain and Portugal had their credit ratings cut last month, according to David Spegel...,“In Brazil, the long-dated NTN-Fs aren’t as liquid as the shorter ones.”

...Foreign investors have disappeared from debt auctions...,
amid concern Europe’s debt crisis will spread..."

Paulo Winterstein and Tal Barak Harif
Bloomberg, June 2, 2010

In every deliberation
we must consider the impact of our decisions on the next seven generations

Great Law of the Iroquois Nation