Goldman Calls For Bail Out Of Portugal And Ireland So Everyone Can Go Back To Buying Amazon And Ebay

Tyler Durden's picture

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SheepDog-One's picture

LOL so bailouts of Eurozone will be a monthly event now? Print on, print masters of the universe! Go ahead, Im actually enjoying sitting back and watching the show!

Spalding_Smailes's picture

Just like pomo ...

No more risk. Debt is gooooooooooooooooood.

knukles's picture

Hah ha.
Goldilocks must be long PIIGShit.

Anybody else hear Jim O'Neil on the phone from the aisport this a.m. on Bloomberg (?).  Did it sound like he flew first class?

Hansel's picture

Goldman needs to wean itself from government cheese.  What a bunch of leeches.

AccreditedEYE's picture

As we are all very much aware, they are firmly entrenched. Short of burning down the house, I don't think there is a way to get rid of the roaches.

snowball777's picture

Goldman calls for bailout of Goldman CDS mistakes.

Bob's picture

They will only be mistakes if there is no bailout/payment of ransom.  As the game still stands at this point, they are 'investments." 

snowball777's picture

Agreed. Not being a corrupt crony capitalist, I often have trouble putting myself in their golf shoes.

AccreditedEYE's picture

Maybe post-bailout we can get another cute note from Jim O'Neill telling us "PS- Stupid Bears, we own/control the world." 

snowball777's picture

Hey Jim, here's a tip for ya:

"An investment in your safety"

SpeakerFTD's picture

porra lula vampiro

johny2's picture

Goldmans wants some more free money....

BurningFuld's picture

That is pretty much the stupidest analysis I have ever read. Do people actually base their investing on these con men?

Horatio Beanblower's picture

Not just people, governments too.

Charley's picture

File this under the imminent dollarization of Europe...

Montecarlo's picture

Literally?  I thought the Fed had a backroom trade with ECB that will us on the hook for failures in Europe.  When does it end?

Charley's picture

There is no "us" ... There is just the banking cartel with its headquarters in Washington DC -- the rest of us are tolerated because they need wet-nurses and gardners ...the Imperial Court (the "We" in "We, the People") needs new sources of dollar-denominated debt service and Europe seems to be the prime real estate for this ...

As in the earlier case of the American SHeeple, the European social safety net will be broken and discarded, and credit cards will be handed out to the survivors...

Leo Kolivakis's picture

You guys still don't get it. Don't fight the Fed, don't fight the ECB, don't fight central banks, China, sovereign wealth funds, Goldman, JP Morgan and the rest of the bankers. They will do whatever it take to reflate & inflate their way out of this mess. PERIOD. Just keep buying the dips, and relax. If you don't, you'll end up frustrated and miserable.

jesusonline's picture

Leo, we got your "don't be evil" mantra long ago. Relax man, roll over and enjoy the ride Bernanke's giving you. It might smell like roses still, but it's a ride down the toilet.

ZackAttack's picture

Look, I have no dog in the equity hunt, long or short, but I just want to ask:


Is there a shred of credible empirical evidence that altering inflation expectations actually leads people to spend?

Is there any actual science supporting the existence of a “wealth effect”?

If all this is just academic belief and conjecture, it would seem that what we actually have is an unelected 4th branch of government embarking on the most massive (and fascist in origin and belief)social engineering experiment in human history on a very questionable basis.


In the absence of evidence, one could just as plausibly argue that increasing inflation expectations would lead the public to save *more* to cover the gap.


Also, with the average 401K containing only $8,000 and inaccessible until age 59 – 62, it would be completely irrational for someone to believe they are actually any wealthier as a result of rising asset prices.


What evidence or historical precedent would you cite to suggest that these policies will work?

SheepDog-One's picture

Your song and tap dance routine is real old Leo. You're wrong, they will never reinflate themselves out of their own mess, just drive everyone off the cliff, and it fast approaches!

AccreditedEYE's picture

Leo, I find it incredible that a person of your intelligence doesn't see that there is only one way for this to end.... (hint: opposite of GOOD) The concept of money is about to reset itself... put the cheeba down man! 

Bill Lumbergh's picture

Very did this approach work out in 2008?

bania's picture


qussl3's picture

Smells like Goldman needs them PIIGS bailed out otherwise when the investigations come, they'll swing.

Steak's picture

Yes, I'm biased...but fuckit.  Bail out the Porras!

THE DORK OF CORK's picture

Ireland does not need more debt - it needs more credit to develop our strategic utilities.

A industrial credit bank could start increasing the money supply again now that the Irish banks are calling in their debts without giving out loans.

This could be accomplished by divorcing our deposits from external bonds held by the ECB and others leaving them with the mortgage paper - however this is unlikely given the stranglehold that both the BOE and ECB hold over this serfdom.

However the Irish state has another more limited war option - it can liquidate the rest of its state pension funds which still total 20 billion + and create a new bank with this as a deposit base to justify the creation of credit - this money can be multiplied withen the economy and therefore the goverment would more easily increase their tax take and dramatically reduce the fiscal deficit.

The fact that the Irish goverment has not done this already suggests to me it has zero independence and is just a eunuch executive with one ball deposited in Frankfurt and the other in London. 

tbd108's picture

Amazon and Ebay? You forgot to mention Netflix!


gwar5's picture

Wasn't Goldman Sachs the one who helped these countries with their bonds?

They already got called out cooking the books for Greece so they could quailfy for the EU.

Bailout their way of using OPM to let them off the hook?

mm17101978's picture

This ZH article about Goldman's take on Ireland and Portugal is posted at 9:47 am EST and on the same day at 11:35 am EST, RanSquawk comes out with Morgan Stanley's opinion that "Ireland will need a bailout very soon and possibly Portugal will also need one next". Maybe, being Italian, I am a cynical idiot but has the Great Plan of the major US banks (and the Fed, presumably) to destroy Europe ever been so evident as today? Scary............

PS Great Plan conceived, of course, to hide the fact that the US are insolvent

RockyRacoon's picture

...Italy and Spain also have budgetary issues, but they are much bigger countries, with more diversified economies, and a deeper debt capacity.

This is how financial stability is measured, an ability to take on debt.

The world is just frakkin' crazy.

jez's picture


Where is Boner of U2 when you need him?

He seems to have finished saving Africa now, so he must have lots of spare time to organise a "debt forgiveness" campaign for his native Ireland. And Portugal. And Spain and Italy and Greece. May as well add the US too, while he's about it.


JonTurk's picture

they bailed out Europe in June and EUR went straight up from 1.20 to 1.40, while everybody was screaming for the parity... there is no such thing called European it is the case in Japan, Japan economy is in shithole, Japanese QE all over the place but USDJPY has been falling like a rock...

as long as the bald servant keep droppin trillions of reserve currency my ass from airforce 1, seeking fundamental value in hard (my ass) currencies is like daydreaming of houris in an opium den...