Citi Breaks Secondary Price, As News Of Big Fat Greek Bailout "In Broad Sense Of The Word" Skyrockets Market, Bunds Crash
Citi just broke the $3.15 secondary follow-on price after, as we disclosed first, S&P stated there was no longer a guarantee that TBTFs would have perpetual government support.
And at precisely the moment when everything seemed like we were about to head into the red, here comes a rumor from Reuters that governments have decided "in the broad sense of the word" to help Greece, according to a senior German ruling coalition source. How this translates in Euro strength is unknown. How this jives with Greece's earlier statement that a call for aid would be the worst signal is also unknown. Yet look at the jump in EUR-JPY pair - the surge in the market as a result is a side-effect.
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on Tue, 02/09/2010 - 11:51
#223378
There's no way they could get another bailout through Congress. TBTF is so 2008
on Tue, 02/09/2010 - 11:52
#223381
I heard Dubai was going to be bailed out also. Maybe not.
on Tue, 02/09/2010 - 11:54
#223383
Move along, nothing to see here, it's all just strange and wonderful coincidences. Who knows how God works, the methods he employs or what his plan is?
Blankfein won't return my calls either.
http://www.timesonline.co.uk/tol/news/world/us_and_americas/article6907681.ece
on Tue, 02/09/2010 - 11:53
#223386
So...how do you spell "intervention"?
Neither rain nor sleet....The Fed didn't take a "Snow Day" after all.
on Tue, 02/09/2010 - 11:55
#223392
I have a rumor for them.
" All the king's horses and all the king's men"
on Tue, 02/09/2010 - 11:57
#223395
tick...tick...tick...
BOOM!!!!!!!!!!!
on Tue, 02/09/2010 - 12:01
#223405
Don't bail them out = Boom!
Bail them out = Boom!
Boom = Gold Bitches!!!
on Tue, 02/09/2010 - 12:12
#223425
Gold Bugs. We're like the ointment and penicillian salesmen at porn industry orgies. You're going to have fun but you gotta buy your medicine.
on Tue, 02/09/2010 - 11:57
#223396
I still believe that there won't be a bailout
Interview with German Government Economic Adviser
Euro Zone 'Could Cope with Greek Bankruptcy'
http://www.spiegel.de/international/world/0,1518,676157,00.html
Opinion from Edward Harrison
The Germans will not bailout Greece
on Tue, 02/09/2010 - 11:58
#223399
Shorts are pretty quiet here today...
on Tue, 02/09/2010 - 12:04
#223413
Too busy selling and moving sell stops up.
on Tue, 02/09/2010 - 11:58
#223400
OMG, first Dubai, now Greece, next???? Glad to see the sun is still shining and the world has not ended. LOL!
on Tue, 02/09/2010 - 12:03
#223409
Leo, are you happy to see your evil twin sister appointed head of the Argentine Central Bank? If American pensions are also nationalized are you in line for a corner office?
...unexpectedly...
on Tue, 02/09/2010 - 11:58
#223401
When a short squeeze ends, the results is always the same........
on Tue, 02/09/2010 - 12:09
#223422
Great example were sending to all the people.
Improverished citizens: "Um..Why should I pay my mortgage, credit card or any bills? As it turns out I actually lost some bad gambling bets, lost my job and racked up $45,000 on my card purchasing new cabinets and Shamwows.
People who want their money: Yeah but you owe it to us. We lent you that money to purchase all those items. The homes, cars, GPS, vacations and dinners out.
Improverished citizens: Well obviously you guys do not have to pay your bills. Banks make terrible choices. Heck even countries like Greece & Dubai have people counterfeit money for them to pay their debts. So whos going to pay my debts?
People who want their money: It doesn't work like that. If those entities collapse then everyone suffers. So you and everybody else have to continue to pay your bills and taxes so we can fund them
Improverished citizens: Oh I see. So if those entities collapse then everyone suffers? That is your basis. So I have to suffer so you do not? No thanks. If I print money I go to jail. If you print it you win "Man of the Year" awards.
on Tue, 02/09/2010 - 12:15
#223438
fiat currency needs Volcker to be its Shamwow again
on Tue, 02/09/2010 - 12:07
#223419
Such a shame we can't run this through AIG
on Tue, 02/09/2010 - 12:13
#223430
Must See
http://www.thinkbigworksmall.com/mypage/archive/1/29027
on Tue, 02/09/2010 - 12:13
#223433
Looks looks the power is back on in Reston (INX 1075.31 +18.57). Stupid snow storm.
...unexpectedly...
on Tue, 02/09/2010 - 12:15
#223439
Must See
http://www.thinkbigworksmall.com/mypage/archive/1/29027
on Tue, 02/09/2010 - 12:26
#223444
It is also against EU rules is it not? From a headline I saw?
But that matters not to the computers!
on Tue, 02/09/2010 - 19:37
#224278
It scarcely matters to the EU, sad to say.
on Tue, 02/09/2010 - 12:17
#223447
Well, I guess markets are upside down nowadays. Gone are the fundemental days. If goverments decide to print more and bailout more and more the currency goes up. It reminds me of last summer and fall,when companies (specially Reits)issued more stocks,their stocks shot up instead of the expected dilution....
on Tue, 02/09/2010 - 12:18
#223449
Today's buyers are next week's panic sellers. Count on it.
on Tue, 02/09/2010 - 12:23
#223458
Screw the IPO price. The US Treasury owns 10 BILLION shares. Their cost is $3.25. Now that is a stinky long. Unfortunately "we" all own this crap.
on Tue, 02/09/2010 - 12:23
#223459
This is hilarious. Economic commentator advises stockpiling three months of food.
http://jessescrossroadscafe.blogspot.com/2010/02/steve-meyers-global-debt-crisis-and.html
on Tue, 02/09/2010 - 12:24
#223461
I sense some cynicism on this thread...
on Tue, 02/09/2010 - 12:24
#223463
To me it sounds like some EUR denominated bonds are going on sale and the spreads need to tighten. Why absorb existing debt when you can just dig deeper into the debt hole. Extend and Pretend European style. 1.Have an unnamed source say there will be a bailout. 2. Wait for the spreads to tighten. 3. Issue new bonds for the PIIGS. 4. Rinse, Repeat.
on Tue, 02/09/2010 - 12:24
#223464
Frankly,it is more fitting to the Elliot wave theory,than news driven events. We will see if that rumor is enough to break the 1080 resistance. The rally lasted for so long that I started doubting the theory,but I guess there is a time for everything. So far we are going according to Daneric's general theme...
on Tue, 02/09/2010 - 12:26
#223469
What about Portugal, Spain et al? Can Germany back them all?
on Tue, 02/09/2010 - 12:29
#223481
Is it Germany or the ECB? Its most likely the ECB which will expand its balance sheet. So its not a German backing, but a Eurozone inflationary backing.
on Tue, 02/09/2010 - 12:26
#223471
The world is going to end tomorrow, so I just wanna say GOLD TO 6000 by next JUNE! The gold bars are tungsten! In three years, the United States will have wild dogs running the streets! The markets will crash under US debt, like they crashed when Greece was going to get bailed out.
Instead of buying anything, just use your credit cards to buy GOLD bitchez! Don't feed your family or find a job. Buy gold, canned hamz, and creamed corn, along with plenty of ammo and seeds for your bomb shelter!
If you can't buy gold, buy silver, and if you can't buy silver, buy some canned hamz. BITCHEZ!
on Tue, 02/09/2010 - 14:07
#223692
Somebody has to take up being ridiculous to the point of hyperbole now that our golden friends have tucked tail and booked it.
on Tue, 02/09/2010 - 12:27
#223477
National Bank of Greece up 22% (NBG).
I knew the bailout was coming. There was a very small chance that the Germans would let Greece implode. I can guarantee you that there was some vicious arguing going on behind closed doors.
Anyways, as TD said, "moral hazard has gone global". Markets will continue to rise with this much intervention and juice being pumped in. Gotta put my bull costume back on again...
on Tue, 02/09/2010 - 12:28
#223479
I hope it's all smoke and mirrors.
on Tue, 02/09/2010 - 12:40
#223509
I had to laugh during the radio report as I drove out for lunch, "Dow surges on the hopes of a bailout for Greece!"
I was thinking how long it's been since I've heard of surges based on strong and sustained fundamentals.
Bizzaro world.
on Tue, 02/09/2010 - 12:41
#223511
Get...that...dirt off you shoulder!
I think a poster above me had a great point. Dubai was on the point of collapse, and it turned out fine. Iceland's banking system collapsed, and it was ok. America is nowhere near where those countries were. So who cares? Raise our debt ceiling to $1 quadrillion. I would like to see the other countries of the world challenge us. I would like to see China, who's currency is pegged to ours challenge us in the open market.
Seriously, America, is the ultimate too big too fail. We set the rules, we don't play by the rules, when America says jump, everyone asks, "How High?" Sometimes, you just need to act as if, act as if you have a big swingin d*ck, which America does.
on Tue, 02/09/2010 - 12:46
#223529
This round is finished now, be prepared for the next one, and it will be our time!
California bailout. EU will wait a moment after Califa caves in and then will bail out Portugal, States will answer with N.York, then EU with Spain, USA with Michigan and so on! It's getting exciting! Presses working overtime, and the new technology is on order.
on Tue, 02/09/2010 - 12:55
#223569
Iran will definitely have the bomb. Wish I had a spot in the elite's Denver airport bunker before ** hits the fan
on Tue, 02/09/2010 - 13:28
#223624
Anyone knows something about the Volcker Rule and PROP trading BAN??? Puff gone?
on Tue, 02/09/2010 - 16:45
#224076
The average Greek laughing and partying as they can now continue their life-style until the next bailouut. I hope Germany has a plan B and a plan M.
on Tue, 02/09/2010 - 19:31
#224266
So, the ECB grabs the Fed playbook and fires up the printing presses.
According to the playbook, we should go long on the European bourses immediately. It is March, 2009 all over again. The Euro will head down, and assets denominated in Euros will rise. The only complication is figuring out where you stand when you convert back to USD, but if we're printing, and they are printing, it's kind of like falling at the same speed isn't it?
Tell me why that is not where we are headed. And predictions of calamity are quite premature once the presses are up and running, we've learned that as well.
on Tue, 02/09/2010 - 20:30
#224335
Just $8b of short on the euro and the Germans are ready to bail out the whole of europe's $1.5tr plus of debt. These Neanderthals cannot even understand the Greeks and Italians are cheating their country on taxes (heh just 15k greeks declared income above 100k euro, would you beleive that? how the fuck does a country pay off $200b of debt that way, even if the whole greek government stops spending a single cent hereafter it would never be able even to pay interest on its debt, and how much are they paying Stiglitz to utter nonsense on Bloomberg non-stop for 1 week that Greece would not default? Hope he gets paid in gold, not drachma or something like lira)