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1.27 Bitches

Tyler Durden's picture





 

Time for Plan B.... Oh wait.

 


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Mon, 05/10/2010 - 14:23 | Link to Comment ZeroPower
ZeroPower's picture

300bp in less than a day. now THAT is something that never happens.

Mon, 05/10/2010 - 14:42 | Link to Comment fuggetaboutit
fuggetaboutit's picture

this makes tarp look like a work of sheer genius

and friends, that is saying something

Mon, 05/10/2010 - 15:51 | Link to Comment jaybaybaker
jaybaybaker's picture

Everyone talks about TARP, when this was only a tiny part of Bernanke's and Paulson's attempts to repair their Lehman mistake: the total U.S. bailout bill for that one is about $9 trillion according to the IMF.

How much junk does the Fed already have on its balance sheet again?

So, friends, that makes the less than $1 trillion euro-bailout with almost no actual funds used so far, look pretty smart.

Wait for the next wake-up call, and chances are they will be in the dollar camp. Remember the end of last November: it was supposedly the end of the dollar then ... hmm, did not turn out that way.

And everyone will have equally forgotten this euro episode, when the dollar goes plunging next time.

Mon, 05/10/2010 - 16:19 | Link to Comment fuggetaboutit
fuggetaboutit's picture

um, right, but that all played out over a year + as the problem morphed and intensified - the euro area bailout is 12 hours old and nothing has happened yet

Mon, 05/10/2010 - 16:58 | Link to Comment SheepDog-One
SheepDog-One's picture

So far the TARP bill according to Neil Barofsky the Tarp inspector general is 25 trillion, BRILLIANT!

Mon, 05/10/2010 - 18:53 | Link to Comment Kina
Kina's picture

You would think $25tn would be enough to fix any and everything. Rewind to the begining, here is $25tn.

Mon, 05/10/2010 - 17:33 | Link to Comment BlackBeard
BlackBeard's picture

+100.

 

TARP tanked the market I recall.

Mon, 05/10/2010 - 14:24 | Link to Comment Abundance
Abundance's picture

The ways of a man seem right in everyway.  When will we learn.

Mon, 05/10/2010 - 14:25 | Link to Comment Greater Fool
Greater Fool's picture

If you squint your eyes a little, that chart looks like Angela Merkel with a stake through her heart.

Mon, 05/10/2010 - 16:29 | Link to Comment Carl Spackler
Carl Spackler's picture

Nice.

A little Rohrschach word play, similar to that with the "peninsula chart" last week.

Mon, 05/10/2010 - 14:26 | Link to Comment Cheeky Bastard
Cheeky Bastard's picture

I know im getting boring with the pimping of the swaps, but just wait until the facility becomes operational and then the secondary market buybacks of EU bonds will be in $ not EUR. QE II by proxies; FED mission accomplished. The main thing is to devalue the buck not the Euro. In short; just wait for the swap facilities and go long EUR.

Mon, 05/10/2010 - 14:29 | Link to Comment jkruffin
jkruffin's picture

Cheeky, when do you expect the swap facilities to be up and pumping?

Mon, 05/10/2010 - 15:03 | Link to Comment thesapein
thesapein's picture

I thought it was just a rebranding of something already taking place???

Tue, 05/11/2010 - 02:37 | Link to Comment erik
erik's picture

they start on Tuesday, May 11th.

"Fed officials aren’t sure what the immediate demand will be for dollars or how much the U.S. central bank’s balance sheet will grow from its current level of $2.33 trillion. The ECB said its first offering will take place tomorrow."

http://www.businessweek.com/news/2010-05-10/fed-restarts-currency-swaps-as-eu-debt-crisis-flares-update2-.html

 

Mon, 05/10/2010 - 14:31 | Link to Comment Tyler Durden
Tyler Durden's picture

spot on. probably hit 1.25 first. then go back to 1.40. in the meantime FX trading desks will look like scorched earth, as gold hits 1,500

Mon, 05/10/2010 - 14:39 | Link to Comment wagefreedom
wagefreedom's picture

but don't the euros want weaker euros as much as bernanke wants weaker dollars?

Mon, 05/10/2010 - 16:24 | Link to Comment jm
jm's picture

It doesn't matter what they want.  They screwed aournd so much in a criss that EURIBOR isn't a viable funding vehicle.  LIBOR dollars is the shit.

The issue is whether Cheeky is right, and that depends on the size of the swap line.  $200 bil is a fart in a tornado.

There will be nothing left but the connected rich and the penniless poor when this is finished.  The electorate has no one to blame but themselves for allowing it.  

Mon, 05/10/2010 - 17:12 | Link to Comment Cheeky Bastard
Cheeky Bastard's picture

EURIBOR is still an important interbank lending vehicle for non-participatory EUR EU countries. Especially for the countries which are not in the EU, and which have traditionally shunned the dollar because most of the economic exchange happens between them and EUR countries. EURIBOR is important, just no for the EMUs. 

Mon, 05/10/2010 - 18:39 | Link to Comment jm
jm's picture

!?! Look at the difference between EURIBOR and LIBOR curves.  To what do you ascribe the difference save that nobody gives a shit about euro funding anymore?

Mon, 05/10/2010 - 20:46 | Link to Comment Cheeky Bastard
Cheeky Bastard's picture

the spread indicates a lack of the demand, not the total disappearance of it.

Mon, 05/10/2010 - 21:27 | Link to Comment jm
jm's picture

The spread indicates a Euro currency crisis.  Trichet is such a fuck-up he should be tarred and feathered. 

Tue, 05/11/2010 - 01:02 | Link to Comment dark pools of soros
dark pools of soros's picture

there's been a massive run on tar and feathers... but all speculative and stored on idle ships

Tue, 05/11/2010 - 02:17 | Link to Comment Cheeky Bastard
Cheeky Bastard's picture

thats very different from what you wrote earlier. it may well be a currency crisis [and it is] but EURIBOR is still THE most important thing for many banks who do not have LIBOR access. Italians, Austrians still use EURIBOR. The world is bigger than just 20 member banks in London. I could not give a flying fuck to the fact that DB borrows at LIBOR and not EURIBOR, but i do give a thought or two about EURIBOR when i think about UniCredito, Banca Intesa Sao Paulo, Raiffeisen and HAAB since their presence in mine part of the world is immense and almost monopolistic. And it is easier for them to use EURIBOR for short term borrowing than LIBOR since LIBOR borrowing would certainly needed to be collateralized due to the economic region and the perception of said region in which they operate whereas EURIBOR recquires of them no such thing. AFAIAC EURIBOR is still very much important. Also this could be one of the reasons we see a LIBOR/EURIBOR spread like we do:

Something's rotten in the kingdom of LIBOR measuring organizations. Euro LIBOR, computed by the British Banker’s Association recently has been visibly below EURIBOR computed by the European Banking Federation. The two should be right on top of each other - both are surveys of major banks on term rates for wholesale Euro deposits. The chart below shows that recently we've had quite a spread between these.

EURIBOR - EUR LIBOR (bp)

source: Bloomberg

There are subtle differences in the calculations. LIBOR throws out the lowest and the highest quartile of the quotes, averaging out the rest. EURIBOR throws out the top and the bottom 15%. It is possible that EURIBOR includes some quotes that are quite high, which are excluded from LIBOR. It could be explained by a bank that is in need of significant Euro financing and is trying to attract wholesale deposits by quoting a higher rate. 

Tue, 05/11/2010 - 06:08 | Link to Comment jm
jm's picture

"...that's very different from what you wrote earlier."

You don't even understand what you're saying much less what I'm saying.

Mon, 05/10/2010 - 14:40 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

I agree that this is their plan; will they make it?  They are messin' heavy duty; all markets have now fused with this spit/swap line.  Either way, welcome to the New World.

Mon, 05/10/2010 - 15:08 | Link to Comment tip e. canoe
tip e. canoe's picture

...especially when many of those electro-FRN's are going right back into the hip pockets of the American banks....

Mon, 05/10/2010 - 15:15 | Link to Comment deadparrot
deadparrot's picture

...which are then being used to buy gobs of CDS on the PIIGS. Oh, the irony! 

 

Here you go, wolves, I'll chop one of my legs off so can eat that. Now you'll be nice and let me live, right?

Mon, 05/10/2010 - 18:30 | Link to Comment The Alarmist
The Alarmist's picture

I wish you all would quit calling Fed Reserve Notes FRNs, as I tend to read that as Floating Rate Notes and then wonder why you would attribute them to such bizzare usage. 

May I suggest you refer to them from now on as FU's (which stands of course for "Fiat Units")?

Mon, 05/10/2010 - 19:34 | Link to Comment tip e. canoe
tip e. canoe's picture

done, FU$ from now on

Mon, 05/10/2010 - 15:11 | Link to Comment Greater Fool
Greater Fool's picture

Full credit if you turn out to be right, but if the Fed's characterization of this vehicle is true, it doesn't seem like it would work, except in the case of an outright EUR panic or very long debt maturity.

Either way, they have to print EUR to fund the purchase. If they dump spot USD now to fund the printing, they have to buy those dollars (at what is supposedly a fairly steep rate) later to repay the credit line.

Mon, 05/10/2010 - 16:29 | Link to Comment Cheeky Bastard
Cheeky Bastard's picture

doesnt matter ... the 750B Eur go out of circulation for extended period of time and 1T bucks enter the market .... thats why the swaps .... EUR amount is not in circulation ...

Mon, 05/10/2010 - 15:32 | Link to Comment Bonesetter Brown
Bonesetter Brown's picture

Will the swaps grow the Fed's balance sheet (yet again), or is the plan to sell other assets in tandem with taking on the swaps?  I know... the answer should be obvious, but I haven't read specifics anywhere.  And what with some Fed governors making noise about asset sales, wondering if it would actually happen with these swaps being put in place.

Mon, 05/10/2010 - 15:50 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

"I know im getting boring with the pimping of the swaps..."

Cheeky,

Like that stunning blond in the red dress in The Matrix, you still know how to light up the ZH threads. Spot on with your assessment. :>)

Mon, 05/10/2010 - 16:25 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

I think either Ms. Tavakoli read your piece, or hyperlinked consciousness is prevailing ;)

Fingers crossed, 'Burn the Fed, burn the Fed....'

"Banging" the U.S. Stock Market:

http://www.huffingtonpost.com/janet-tavakoli/banging-the-us-stock-mark_b...

Mon, 05/10/2010 - 16:46 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

Wow. And it looks like she got a sneak peek at my future chapters is well. Time to upgrade my firewall to hardware instead of software.

I'm a coincidence realist and I study coincidence fact. :>)

Mon, 05/10/2010 - 17:10 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Fact, agreed.  Applied knowledge creates a whirlwind of ideas.  Time and place converge in the most sacred of moments.

Mon, 05/10/2010 - 19:53 | Link to Comment WaterWings
WaterWings's picture

No, honey! Just because I'm supposed to be at work, and you're supposed to be at work, and there is a strange woman in our bed, and I am also in that bed, does not mean that I am having an affair! I'm shocked! What an accusation!

Mon, 05/10/2010 - 19:18 | Link to Comment Unscarred
Unscarred's picture

Stunning?!

Mon, 05/10/2010 - 20:31 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

Break out the DVD. The picture does not do her justice.

Mon, 05/10/2010 - 18:50 | Link to Comment Psquared
Psquared's picture

Okay, so we should go long US stocks as a falling dollar re-ignites the dollar carry trade. Or, will that correlation breakdown this time?

Tue, 05/11/2010 - 03:07 | Link to Comment erik
erik's picture

i think the point is to go long gold, Euro, stock markets.  i personally will choose gold and watch very closely at the ~1225 zone to see if it breaks out or not.  if it does, then 1350-1400 could come calling very quickly (~1 month).

Tue, 05/11/2010 - 06:01 | Link to Comment Hephasteus
Hephasteus's picture

Let em carry trade all the way to hell. May their last carry trade be a penny for a ride across the river styx. Only to end up 9 million light years down river abandoned on a rock.

Mon, 05/10/2010 - 14:26 | Link to Comment Sudden Debt
Sudden Debt's picture

I'm telling mom they broke the Euro when she commes home! I'm gona tell, I'm gona tell!

Mon, 05/10/2010 - 14:26 | Link to Comment FischerBlack
FischerBlack's picture

By 'defend the euro' they obviously meant 'destroy the euro'. It's always opposite day in the Matrix.

Mon, 05/10/2010 - 14:27 | Link to Comment Sudden Debt
Sudden Debt's picture

Let's make Sarkozy man of the year!!!

A small man with a large mouth!

Mon, 05/10/2010 - 14:52 | Link to Comment Problem Is
Problem Is's picture

Why Not?
We made an "eloquent"  lanky, ball-less MoFo president...

Mon, 05/10/2010 - 15:49 | Link to Comment Nothingman
Nothingman's picture

And gave him a Nobel Peace Prize!

Mon, 05/10/2010 - 16:35 | Link to Comment Cursive
Cursive's picture

While waging war on two fronts!

Mon, 05/10/2010 - 17:11 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

1) Iraq 2) Af/Pak 3) HOME

I count three.

Mon, 05/10/2010 - 19:58 | Link to Comment Iam_Silverman
Iam_Silverman's picture

4) Mexico?

Oh wait, that dirty little border skirmish is never mentioned in MSM.

Will the Euro or USD ever reach parity with the Mexican peso?

That would really open up the NAFTA corridors!

Tue, 05/11/2010 - 04:48 | Link to Comment Sudden Debt
Sudden Debt's picture

That's because it's legal to shoot mexicans. Strange thing is, you shoot one, and 2 pop up in it's place... Like cutting worms in 2 so to speak...

Tue, 05/11/2010 - 15:15 | Link to Comment Iam_Silverman
Iam_Silverman's picture

It's apparently NOT legal to shoot them if you wear the uniform of the Border Patrol, even if THEY are the ones that initiated the exchange.

"© 2010 WorldNetDaily.com

 


Agent Jose Alonso Compean. Courtesy of KFOX-TV

Two U.S. Border Patrol agents were sentenced to prison terms of 11 years and 12 years for shooting a drug-smuggling suspect in the buttocks as he fled across the U.S.-Mexico border

"

http://www.wnd.com/news/article.asp?ARTICLE_ID=52545

Mon, 05/10/2010 - 14:26 | Link to Comment jkruffin
jkruffin's picture

We will see EUR/USD 1 for 1 within a month or two...how can it not?  It got all the way down to 1.2761  then they ran it back up over 1.28 barely.  The EUR and the US markets in the final stages of ultimate collapse.  The goons in Washington are already trying to figure out a way to make new circuit breakers.  There is always a circuit breaker on the way down, but never when the melt up is in progress.  Gotta love our elected officials.  And people were worried about Jesse Jackson being President...LOL  Hell, I think he would have done better.

Mon, 05/10/2010 - 14:28 | Link to Comment Sudden Debt
Sudden Debt's picture

nop, nominal value is 1.25$ and I think it'll stay there for a while.

Mon, 05/10/2010 - 14:36 | Link to Comment Fraud-Esq
Fraud-Esq's picture

Jesse and Obama. They were never on any type of parallel, of any kind, ever. Jesse would be a breath of fresh air. When Obama had the banks in Illinois, I knew. When he voted against the 30% cap on credit card interest, I knew again. (imagine MLK or even Jesse on that issue). But, when I really knew was when he started out-bundling banks v. Clinton in Manhattan. 

http://nymag.com/news/politics/30634/

Mon, 05/10/2010 - 14:27 | Link to Comment hp12c
hp12c's picture

They really took out the shorts... for a millisecond..

Mon, 05/10/2010 - 15:17 | Link to Comment nevadan
nevadan's picture

A few hundred thousand euros just doesn't have the same purchasing power that it used too.....

Mon, 05/10/2010 - 15:19 | Link to Comment nevadan
nevadan's picture

A few hundred thousand    billion euros just doesn't have the same purchasing power that it used too.....

Mon, 05/10/2010 - 14:27 | Link to Comment monmick
monmick's picture

I was just about to ask why no one was talking about the 1.27 handle. I guess the bottom line is that the EU does not mind a low euro, it just doesn't what a low euro because its demise is imminent...

Mon, 05/10/2010 - 14:28 | Link to Comment doggings
doggings's picture

lol. whoops. looks like theyve sure got those speculators on the run with their shock and awe, based on their sound reasoning and realistic forecasts.

 

Mon, 05/10/2010 - 14:33 | Link to Comment Sudden Debt
Sudden Debt's picture

Dude, I'm shorting BP as we speak. Why would you want to solve their little spill?

Sure, it sucks for the shareholders that all that oil becomes unusable, but get over it, there is plenty more where that came from!

Mon, 05/10/2010 - 19:34 | Link to Comment chindit13
chindit13's picture

Gimme ten gallons of Gulf of Mexico and check the tires, please.

Mon, 05/10/2010 - 19:42 | Link to Comment Steaming_Wookie_Doo
Steaming_Wookie_Doo's picture

Ah, so the strategy is to dump a trillion euro in the Caribbean to sop up all the oil? Beauty!

Mon, 05/10/2010 - 14:34 | Link to Comment Sudden Debt
Sudden Debt's picture

Sane? YOU WHERE A PAPER BAG OVER YOUR HEAD ON YOUR PICTURE FOR HEAVENS SAKE!

Mon, 05/10/2010 - 14:56 | Link to Comment Problem Is
Problem Is's picture

"YOU WHERE A PAPER BAG OVER YOUR HEAD ON YOUR PICTURE FOR HEAVENS SAKE!"

LOL. He is just nostalgic for Tyler's unregistered anonymous zombie days...

Mon, 05/10/2010 - 16:48 | Link to Comment Mark McGoldrick
Mark McGoldrick's picture

I definitely think that wearing a paper bag over your head is a point of concern.   

Tue, 05/11/2010 - 19:18 | Link to Comment Problem Is
Problem Is's picture

I predicate New Orleans Saints... I mean N.O. Ain'ts fans will be wearing paper bags on their heads in the stands again before long... That must have been the 80s and I was not concerned.

I Viewed It As a Fan Vote of Confidence.
Now all you fuckers that were crying and chanting "Yes we can!" on the night of November 4, 2008 because you voted for "Change we can believe in!"...

Put those paper bags on your heads... you are the NEW Ain'ts...

Mon, 05/10/2010 - 14:44 | Link to Comment Tipo anónimo
Tipo anónimo's picture

Hopefully their solution sucks less than their presentation and website layout.

 

I mean, most of the late-night wackjobs are doing better than that.  It looks like an Angelfire site from 1997 mixed with Hal Turner.

Mon, 05/10/2010 - 14:47 | Link to Comment WaterWings
WaterWings's picture

If your solution were so awesome, which isn't described anyway, you wouldn't have to spam us and take up valuable white space - you should be fined $5,000 bucks per line.

Mon, 05/10/2010 - 15:01 | Link to Comment Problem Is
Problem Is's picture

"you should be fined $5,000 bucks per line."

WW Is As Serious As a Heart Attack
That fine would be heavier than anything the SEC dished out on BofA... even after the judge made them...

Mon, 05/10/2010 - 15:02 | Link to Comment Problem Is
Problem Is's picture

Double Post-- Fuckin' NSA monitoring...

Mon, 05/10/2010 - 15:09 | Link to Comment WaterWings
WaterWings's picture

LOL

Mon, 05/10/2010 - 16:34 | Link to Comment Cpl Hicks
Cpl Hicks's picture

What do they post under-"anonymous"...?

Mon, 05/10/2010 - 14:50 | Link to Comment wang
wang's picture

You would think this story came from the Onion

Admiral Thad Allen of the US Coast Guard said it could plug the main leak.

"They're going to take a bunch of debris, shredded up tyres, golf balls and things like that, and under very high pressure shoot it into the preventer itself and see if they can clog it up and stop the leak," he told CBS television.

 

http://news.bbc.co.uk/2/hi/americas/8673815.stm

Mon, 05/10/2010 - 15:02 | Link to Comment merehuman
merehuman's picture

it could work if you add the golfers. There is at least one i can think of that is great at plugging holes. Gulf tournament coming up. Gotta figure how to get the blondes down there.

Mon, 05/10/2010 - 19:55 | Link to Comment WaterWings
WaterWings's picture

Hopefully there's a hurricane: Black Rain

---

Okay, edit. That's not what I really want. That mess is a frightful shame.

Mon, 05/10/2010 - 15:10 | Link to Comment Sudden Debt
Sudden Debt's picture

Stroke of GENIUS! Garbage...golf balls... looks like management is sharing idea's after they went to see a pingpong show in the Thai district. But as they don't have any pingpong balls they don't want their wifes to use, they  chose the next best thing.

 

When BP goes belly up, these guys should apply at NASA!

Mon, 05/10/2010 - 19:52 | Link to Comment ambrosiac
ambrosiac's picture

 

Why not shove nuclear waste down the hole, killing two birds with one stone.

Mon, 05/10/2010 - 20:07 | Link to Comment Iam_Silverman
Iam_Silverman's picture

Hah!

That would probably kill more than just two birds!

Tue, 05/11/2010 - 04:53 | Link to Comment Sudden Debt
Sudden Debt's picture

colletoral damage, that will be put under control.

LET'S JUST BLOW THAT METHANE HYDRATE DEPOSIT WITH NUKES!!

 

ps: Do you know why it's not allowed to drill for methane hydrate in the north sea in Europe? Because it's so unstable, and a small explosion could trigger the gas fields to blow.

Just a littel sidenote.... noting to be concerned about...

If it ever where to happen, I promise: it will be fast, swift and almost painless.

Mon, 05/10/2010 - 15:14 | Link to Comment cossack55
cossack55's picture

I have it on solid deep background that the Adm is big-time Seinfeld fan and got the idea from the bit with George pulling the golf ball out of the whale's blowhole. Speaking of blowholes, wheres JCT?

Mon, 05/10/2010 - 18:55 | Link to Comment Miss Expectations
Miss Expectations's picture

Whole lota shark jumpin goin on.

Mon, 05/10/2010 - 16:19 | Link to Comment williambanzai7
williambanzai7's picture

Does your solution involve a fat thumb?

Mon, 05/10/2010 - 16:36 | Link to Comment Transor Z
Transor Z's picture

Seriously, all your site needs is the Midi version of "Octopus's Garden" and you're all set.

Oh, and maybe a .gif of an angel. A sparkly one.

Mon, 05/10/2010 - 14:30 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Capitulation bitches!

Mon, 05/10/2010 - 14:33 | Link to Comment gringo28
gringo28's picture

isn't the point that oil & commodities are up? it's the risk trade stupid. the USD looks tired and ready to turn down and if the sense is the EU is going QE, then the trade is long risk assets.

Mon, 05/10/2010 - 18:52 | Link to Comment Psquared
Psquared's picture

that is my guess too

Mon, 05/10/2010 - 14:32 | Link to Comment What_Me_Worry
What_Me_Worry's picture

Amazingly, equities could care less where it trades right now.  $1T's everyday until DOW 36000.

Mon, 05/10/2010 - 14:32 | Link to Comment Caviar Emptor
Caviar Emptor's picture

Gordo resigns, Merkel becomes more tenuous, and we all know it's just a matter of time before strikes, demonstrations and riots in Club Med. Then the "spirit" of the Spring of Athens will spread across national boundaries to target banksters and the status quo. 

In how many languages can you say Americani Ite Domum?

Mon, 05/10/2010 - 23:11 | Link to Comment trav7777
trav7777's picture

and our police state will ensure nothing like that happens here.

So, the "capital" rushes to support the USD?  Until we lose the House of Saud, maybe...

Mon, 05/10/2010 - 14:33 | Link to Comment godfader
godfader's picture

When the EUR hits 1.20, will they do a 10 trillion bailout?

Mon, 05/10/2010 - 15:11 | Link to Comment Sudden Debt
Sudden Debt's picture

They only need to think about it. The geeny in the bottle still holds 1 more wish.

Mon, 05/10/2010 - 14:33 | Link to Comment FischerBlack
FischerBlack's picture

What, me trade this market? Right.

Hey, kids of America, it's hand-painted, wooden Ball in a Cup! Who needs constant electronic video stimulation when there's Ball in a Cup, Mexico's favorite toy for over 340 years! Toss the ball, catch it in the cup, dump it out of the cup, toss it, and catch it in the cup again. The ball is on a string and attached to the cup, so there's no worry if you don't catch the ball in the cup, and clean-up is as easy as catching a ball in a cup! So why spend another day not catching a ball in a cup when you could be catching a ball in a cup?

 

And now back to ball-in-a-cup.

Mon, 05/10/2010 - 15:33 | Link to Comment Tortfeasor
Tortfeasor's picture

It'll never catch on.  American kids are too busy downloading "two girls, one cup"

Mon, 05/10/2010 - 16:37 | Link to Comment Cpl Hicks
Cpl Hicks's picture

Is that anything like musical chairs with a monobra?

Mon, 05/10/2010 - 18:39 | Link to Comment Rusty_Shackleford
Rusty_Shackleford's picture

Oh, no, I didn't catch the ball in the cup!

Oh, wait a minute, it's okay because the ball is on a string and attached to the cup.

Mon, 05/10/2010 - 14:36 | Link to Comment BernankeFed
BernankeFed's picture

Is this the shock and awe that Turbo Tim suggested Europeans to do?  It was that until early this morning, and now euro is back to trash again.  Only person who can save the euro is Ben with his devaluation machine.

Mon, 05/10/2010 - 14:43 | Link to Comment Stuart
Stuart's picture

You know, is it too much to ask or to hope for that there is at least some market commentator out in there in the MSM with enough cerebrum functioning to ask where exactly the ECB is going to get these funds?

Mon, 05/10/2010 - 14:43 | Link to Comment kaiten
kaiten's picture

Euro is not a problem, right now. Weaker euro is actually good for eurozone. Bailout is about solving surging borrowing costs in sovereign debt markets of peripheral countries.

Mon, 05/10/2010 - 16:27 | Link to Comment Sudden Debt
Sudden Debt's picture

Good for exports

Bad for imports

Germany, the strongest EU country got big because of a strong Deutche Mark.

The EU grew, when it had a strong euro.

Name one country that performs better with a weaker currency.

 

Mon, 05/10/2010 - 17:07 | Link to Comment whatsinaname
whatsinaname's picture

China

(in a relative way - and everybody else suffers)

Mon, 05/10/2010 - 20:15 | Link to Comment Iam_Silverman
Iam_Silverman's picture

To a point - what about the USD/Yuan peg?

If they do well, wouldn't we do well also?  Something about the rising tide lifting all boats - or maybe the rising tide drowns all who are mired in the mud.....

Mon, 05/10/2010 - 14:44 | Link to Comment CorrelationTrader
CorrelationTrader's picture


Did you mean Platform B.... Me too is waiting for the daily pivot at 1.27...that daily candle sure looks like a bitch if you dump a trillion in the market and you get a selling shadow like that... run for the exits!! The conductor is about to call the south bound train! 

Mon, 05/10/2010 - 14:45 | Link to Comment Fazzie
Fazzie's picture

 With the swaps they can pin that euro exactly where they want it. Not to hot not too cold.

Mon, 05/10/2010 - 14:49 | Link to Comment doggings
doggings's picture

Bailout is about solving surging borrowing costs in sovereign debt markets of peripheral countries.

interesting that libor has surged as well today?

Mon, 05/10/2010 - 14:52 | Link to Comment tim73
tim73's picture

If SHTF big time than the next step would be halting the forex and all kinds of other tradings and issuing strict currency controls. Speculators are powerful but they are playing with fire. Governments will take over eventually and there are lot of "extraordinary" steps available.

FED confiscated private gold in the 30's and do not think for a minute governments would not do something similar today too...

Mon, 05/10/2010 - 15:38 | Link to Comment tmosley
tmosley's picture

There isn't a gold standard, and most don't own any gold, and those that do own it offshore in London or Zurich.

401Ks will be confiscated, however.  I guess that is what you meant by "something similar".

Tue, 05/11/2010 - 04:55 | Link to Comment Sudden Debt
Sudden Debt's picture

Lots of old people with gold teeth... LET'S GO GET SOME!!!

 

GOLD BITCHES! FUBAR!!!

Tue, 05/11/2010 - 22:27 | Link to Comment Apostate
Apostate's picture

Rubin wouldn't allow that to happen.

They will just slash the public sector universities to bits, throw a few municipalities against the wall, and escalate the retreat from Iraq/Afghanistan.

This is a game of "how long can we snow China?" But that's stupid, because the Chinese already know they've won. I mean, what the fuck, it's like the Chinese can't hire one smart guy? I mean, sorry, but they're not THAT dumb. They just know how to play poker.

Mon, 05/10/2010 - 17:13 | Link to Comment SheepDog-One
SheepDog-One's picture

Im surprised they HAVEN'T yet confiscated gold, 401K's, pensions! Thats certainly coming.

Tue, 05/11/2010 - 06:06 | Link to Comment Hephasteus
Tue, 05/11/2010 - 10:28 | Link to Comment WaterWings
WaterWings's picture

I can't even believe they're legal. Concealed weapon carry because it's a pistol - but it packs ~3X the wallop as a .45 ACP - plus 30 rounds!

Mon, 05/10/2010 - 14:50 | Link to Comment clickjaw
clickjaw's picture

Awesome! My computer randomly put on the closing musical salvo of Fight Club, "Where Is My Mind" by The Pixies. The song seems befitting of the occasion as it was the same thing playing when Durden (in the film) attempted to put credit finance back to zero.

Mon, 05/10/2010 - 16:20 | Link to Comment Raymond K Hassel
Raymond K Hassel's picture

I was thinking Scorpions:

The night is calling
I have to go
The wolf is hungry
He runs the show
He's licking his lips
He's ready to win
On the hunt tonight
For love at first sting

Here I am, rocked you like a hurricane

Mon, 05/10/2010 - 14:58 | Link to Comment Rogerwilco
Rogerwilco's picture

As long as EU banks have Euros to move around, nobody much cares if the exchange rate is $1.27 or $1.25. The problem is liquidity, the problem is liquidity, the problem is liquidity...

Mon, 05/10/2010 - 14:59 | Link to Comment bugs_
bugs_'s picture

long term average 1.18?  a speed bump on the way to 1.0

Mon, 05/10/2010 - 15:09 | Link to Comment Robert J Moran
Robert J Moran's picture

What's a Trillion$ between friends?!
And just for the record it's WEAR a paper bag not 'where' a paper bag! Sheesh!

Mon, 05/10/2010 - 17:15 | Link to Comment Strider52
Strider52's picture

i No! yood thinc that peepul cud speel write wunce in a wile...

Mon, 05/10/2010 - 20:17 | Link to Comment Iam_Silverman
Iam_Silverman's picture

They're traders - you know all thumbs.

Come to think of it all FAT thumbs!

Mon, 05/10/2010 - 15:33 | Link to Comment jkruffin
jkruffin's picture

Euro about to make new lows for the session, look out below!

Mon, 05/10/2010 - 15:38 | Link to Comment godfader
godfader's picture

Merkel on Bloomberg TV "Thees ees en attack on our currenzee and we vill devend it!! Ve vill make downticks in zhe EUR illegal! "

Mon, 05/10/2010 - 20:22 | Link to Comment Iam_Silverman
Iam_Silverman's picture

H o o o gan!  Vhat eeez going on in here?  Zis eeez not acceptable!

Hmm, the line comes out better when you are wearing a monocle.

Mon, 05/10/2010 - 15:39 | Link to Comment curbyourrisk
curbyourrisk's picture

This wa not the quivalent of us passing TARP...this was the equivolent of us banning shorts on financial related stocks.  BOOM.....BUST!!!!  just like that.

Mon, 05/10/2010 - 15:39 | Link to Comment curbyourrisk
curbyourrisk's picture

This was not the quivalent of us passing TARP...this was the equivolent of us banning shorts on financial related stocks.  BOOM.....BUST!!!!  just like that.

Mon, 05/10/2010 - 15:41 | Link to Comment Hulk
Hulk's picture

Not boring CB

Mon, 05/10/2010 - 15:41 | Link to Comment SayTabserb
SayTabserb's picture

"I really can't believe it," Clevinger exclaimed to Yossarian in a voice rising and falling in protest and wonder. "It's a complete reversion to primitive superstition. They're confusing cause and effect. It makes as much sense as knocking on wood or crossing your fingers. They really believe we wouldn't have to fly that mission tomorrow if someone would only tiptoe up to the map in the middle of night and move the bomb line over Bologna. Can you imagine? You and I must be the only rational ones left."
In the middle of the night Yossarian knocked on wood, crossed his fingers, and tiptoed out of his tent to movedI really can't believe it," Clevinger exclaimed to Yossarian in a voice rising and falling in protest and wonder. "It's a complete reversion to primitive superstition. They're confusing cause and effect. It makes as much sense as knocking on wood or crossing your fingers. They really believe we wouldn't have to fly that mission tomorrow if someone would only tiptoe up to the map in the middle of night and move the bomb line over Bologna. Can you imagine? You and I must be the only rational ones left."
In the middle of the night Yossarian knocked on wood, crossed his fingers, and tiptoed out of his tent to move the bomb line up over Bologna.
ve the bomb line up over Bologna.

Mon, 05/10/2010 - 17:57 | Link to Comment Argonaught
Argonaught's picture

+1 for the Catch-22 reference.  Well played (not well pasted, but well played)

Mon, 05/10/2010 - 19:11 | Link to Comment fuu
fuu's picture

Yeah that was some ugly pasting.

Mon, 05/10/2010 - 20:01 | Link to Comment WaterWings
WaterWings's picture

It was a "paste-and-run". 30 days in jail. Don't make us send the SWAT boyz to get ya.

Mon, 05/10/2010 - 16:18 | Link to Comment jkruffin
jkruffin's picture

Anyone wanna bet that they goose the EUR/USD back to 1.30 tonight so they can pump the futures for tomorrow?

Mon, 05/10/2010 - 16:34 | Link to Comment williambanzai7
williambanzai7's picture

BANZAI7 NEWS-- Apple Computer announced that it is releasing a specially configured version of its popular iPad called the EURO-PAD for exclusive release in the European Union.

The EURO-Pad will sport the following custom design features:

 

  • The Euro i Tunes store will require all payments to be made cash up front at local Apple Stores
  • The Euro Pad street version will be made of rugged riot proof titanium with a special crash proof screen
  • A suite of specially designed APPs will be included:
  • Funny Math App will be the new must have for European central bankers and Euro statisticians looking for creative solutions to insoluble fiscal dilemas
  • Follow Merkel App will help irrate vegetable throwing Westphalians track the precise GPRS whereabouts of their beloved Prime Minister (for example during this weekend's crisis EUROPAD's Follow Merkel App confirmed that Madam PM was busy attending the Russian military extravaganza in Moscow)
  • Burning Athens App needs no explanation
  • Deficit Tally will be the number 1 App sought by fiscal Eurocrats and central bankers who don't know how many zeros there are in 1 Trillion
  • The EURO PAD tactile screen interface has been modified for Euro zone politicians with one finger stuck up their ass.
  • Includes Here Today GONO Tomorrow: A free ebook version of Gideon Gono's Autobiography with illuminating commentary by Dr. Ben Bernanke
  • Currency Swat App: Keeps a running tally of currencies appreciating against the EURO
  • Phat Thumb: Is a newly released game simulating ultra high frequency trading disasters and rig spill solutions
Mon, 05/10/2010 - 16:35 | Link to Comment Transor Z
Transor Z's picture

[Dup deleted]

Mon, 05/10/2010 - 16:57 | Link to Comment TruthHunter
TruthHunter's picture

Regional Indian is probably a graduate of

IIT whose brighter than half of MIT. Works 

for $300 per month for some desperate little

Indian Inc. so indulge him a little...just a little

I still junked his 2nd post...

Mon, 05/10/2010 - 17:08 | Link to Comment Transor Z
Transor Z's picture

Too bad. If he made $303.99 a month he could afford godaddy. I'll to put a call in to Dell tech support right now to help get the guy a raise.

Mon, 05/10/2010 - 17:11 | Link to Comment whatsinaname
whatsinaname's picture

well we will soon be joining his ranks eh? $300 pm maybe soon a respectable salary here and you may still be paying $8 for gas..

Mon, 05/10/2010 - 17:15 | Link to Comment Transor Z
Transor Z's picture

Correction: $300,000,000 pm may be soon a respectable salary here and we may still be paying $8,000,000 for gas.

 

:-)

Mon, 05/10/2010 - 17:05 | Link to Comment Cyan Lite
Cyan Lite's picture

Did the usual OpEx ramp start a week early?

Mon, 05/10/2010 - 17:07 | Link to Comment SheepDog-One
SheepDog-One's picture

Simply amazing, after hanging their heads in shame and pinky swearing to never do these nutty 'swaps' and A+ insurance on junker jallopies, their new solution to all the problems it all caused is...RESTART SWAPS! Hooray.

Mon, 05/10/2010 - 18:11 | Link to Comment virgilcaine
virgilcaine's picture

Short covering rally at best, they couldn't  even prop the Euro up for a day,.  Hi Yield Corp. and China look rather ill.  If so Mkt is losing its lead group.

Stocks go up 400 points per day in a bear not bull mkt.

 

The monthly hi yield CYE stochastic at 95 % .  Extremely overbought, compare to Dec 08 Stoch of 19 %.  Extreme oversold.   Junk is about to go to junk.

 

The monthly chart is your best friend for Valuation/risk measure.

 

vc

 

Mon, 05/10/2010 - 17:54 | Link to Comment johngaltfla
johngaltfla's picture

TRICHET: "Sacre bleu! My azz! My azz!"

Mon, 05/10/2010 - 18:23 | Link to Comment JonTurk
JonTurk's picture

USD is no better than the EUR in the continuum, they are both worthless paper.. its like my shit is better than yours kinda argument..

6 months ago @ 1.51 they were throwing the USD into the rubbish can on the cover of Time magazine.. now Europe is on the front page, short positioning at all times high, EUR flushed down into the toilet and sentiment took a dip.. no wonder China is the buyer lately..

 

 

 

Mon, 05/10/2010 - 18:40 | Link to Comment moneymishap
moneymishap's picture

"But why do they put a guarantee on the box?"

"Because they know all they sold ya was a guaranteed piece of shit. That's all it is, isn't it? Hey, if you want me to take a dump in a box and mark it guaranteed, I will. I got spare time."

Mon, 05/10/2010 - 18:25 | Link to Comment Psquared
Psquared's picture

This is some damn funny shit here ... TD, if only you could be this funny. (JK of course)

And Chicks for Free?

......

The question begging itself here, of course, is how Europe intends to come up with roughly a trillion in bail-out money. Sell Portugal to China? Cut Greece up into bait and catch whatever fish are left in the Mediterranean Sea? Frankly, I'm stumped. Talk about robbing Peter to pay Paul.... All the European nations are already so hopelessly enmeshed in chains of unfulfillable counter-party obligations that the bail-out might as well be a game of musical chairs played in the Large Hadron Particle Collider, set to the tunes of Karlheinz Stockhausen. The European bail-out is, in fact, an absurdity. I predict that the effect of the announcement will last all of one trading day on the stock markets. The truth is that the imbalances of global finance are so grotesque now that the whole money system is hanging together with nothing but spit and prayer.

......

http://kunstler.com/blog/2010/05/and-chicks-for-free.html

Mon, 05/10/2010 - 18:54 | Link to Comment williambanzai7
williambanzai7's picture

Tnx for the link. Very funny!

Mon, 05/10/2010 - 19:57 | Link to Comment Genzero
Genzero's picture

A trillion just aint what is used to be.

Mon, 05/10/2010 - 20:42 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

DEBT TO LEFT ,DEBT TO THE RIGHT ,

BOLDLY RODE  THE BRAVE 6 DOZEN  CENTRAL BANKERS,

 " PRINT " THEY CRIED OUT  !!,

  " PRINT SOME MORE"   THEY CRIED OUT !!,

 WE SHALL PRINT PRETTY PIECES OF PAPER  BY

THE SHIP LOAD ,  WE HAVE TOSHIBA  LASER PRINTERS AND WE CAN OUT PRINT AND PRINT  FASTER THAN ANYONE OR ANYTHING ,

(INCLUDING REALITY )  CAN OVERCOME ,

LONG  LIVE THE FIAT FAKE MONEY WARS !!!!

 

Mon, 05/10/2010 - 20:49 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

Ramp up the N.A.S.A. Budget ,

we have  to find another planet or two with a few billlion people

to Buy lots of U.S. /EURO  Treasuries/bonds .

Mon, 05/10/2010 - 20:56 | Link to Comment fluorideintapwa...
fluorideintapwaterisbadforyou's picture

    CONFEDERATE BONDS ,  BITCHES !!!!!!!

Mon, 05/10/2010 - 21:33 | Link to Comment tip e. canoe
tip e. canoe's picture

thats sum funny shit dude

great way to end the night at "as the world squirms'

hasta luego

Mon, 05/10/2010 - 23:18 | Link to Comment trav7777
trav7777's picture

I'm still hangin onto my stockpile of USSR Rubles and Brazil Cruzeiro Reais!  CASH IS KING BITCHEZ

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