PHOTO: uzo19, Wikipedia
Mid-afternoon on Friday June 4th, 2010 the Hungarian government warned that their economy could be going to the dogs. And from that day until now, they have been back peddling to try and smooth out their previous statements. Here’s a little before and after read for your amusement.
Friday June 4, 2010;
Hungary’s new government added to sovereign-debt fears Friday, shaking global financial markets after a spokesman for Prime Minister Viktor Orban was quoted as warning that the economy had been left in a “grave situation” and that talk of a default wasn’t “an exaggeration.”…
“The comments made over the past 24 hours are highly concerning as they not only increase fears in the markets over a possible Hungarian default, but also clearly demonstrate that the Hungarian government has very little understanding of how the financial markets actually work,” said Lars Christensen, chief analyst at Danske Bank in Copenhagen.
– William L. Watts, MarketWatch
Friday June 5, 2010;
Hungary’s government on Saturday tried to calm investors and distanced itself from earlier comments by officials claiming that the country was close to defaulting on its debts.
State Secretary Mihaly Varga, a former finance minister, described talk of a default ”exaggerated … and unfortunate,” adding that the new, center-right government of the Fidesz party was committed to the 2010 budget deficit of 3.8 percent of GDP set by the previous administration even if ”immediate and urgent” steps were needed to achieve it.
– The Associated Press
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