Gartman: Greece Faces 'Ultimate' Deadline, World Prices Collapsing

Dennis Gartman's daily letter on Wednesday stated that global stock markets are in "panic mode" with plunging Asian markets and little being resolved on the Greek financial crisis front. Commenting on Greece, Gartman noted that the nation has been given another deadline that it must follow. On Wednesday, the country needs to submit "very precise" proposals for what it plans to do. On Thursday, Greek officials will talk to representatives of the European finance ministries. A Eurogroup meeting will be held over the weekend the situation will be discussed, culminating in an "extraordinary" meeting on Sunday to vote on the proposals. Gartman's own take on the Greece fiasco is certainly unique. "We still maintain that Germany's leaders want Greece to remain in both the political and the monetary unions for as an exporting nation Germany needs the euro to be, on balance, weak," Gartman wrote. "A euro with Greece in it shall be… all things being otherwise equal… weaker, while a ‘Greece-less' euro would be demonstrably stronger." Related Link: Crude Oil Continues Lower Commodity Prices ‘Under Assault,' Share Prices ‘Collapsing' Gartman added that commodities are "under assault" and "panic is in the air" with recession talk once again back on the table. "The base and precious metals have taken enormous hits; the grains are weak; cotton is too and at the moment nothing is of value; everything is for sale," the letter discussed. "The margin clerk reigns supreme and he/she is in angry mood. Prisoners are not being taken; nor are excuses." Crude prices are no exception and have "fallen quite sharply" but this may pale in comparison to share prices around the world that are "collapsing" and "there is really very little else that one can say" despite the reversal in U.S. markets during Tuesday's trading session. Not only did the broad indices erase declines on Tuesday, the letter discussed, but so too did several "important" equities, such as United States Steel Corporation X and Alcoa Inc AA, both of which "actually produce real goods and services." Nevertheless, Tuesday's rally failed to carry over to Asian trading where the Nikkei, Hang Seng and major Chinese indices were all noticeably lower on Wednesday.