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Here Comes QE3: Hoenig Says "More Quantitatve Easing May Be Discussed"

Tyler Durden's picture


We thought Jon Hilsenrath would break the news of QE3. To our shock, it comes from the only sensible man at the Fed, Kansas Fed's Tom Hoenig. Per Reuters: "The Federal Reserve could
debate extending its bond-buying program beyond June if U.S.
economic data prove weaker than policymakers expect
, Kansas
City Fed President Thomas Hoenig said. Another round of bond buying "may get discussed" if the
numbers look "disappointing," Hoenig told Market News
International in an interview published on Tuesday." May we suggest in that case that Joe LaVorgna stop blaming every herpes outbreak in the US on snow and instead indicate that shit is once again hitting the fan. Obviously, this is merely a scheme to keep the market well bid no matter how violent the revolutionary images on TV, brought upon precisely by this genocidal policy. Even more obviously, it means that oil is going to $200 on short notice.


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Tue, 02/01/2011 - 16:34 | 924945 HamyWanger
HamyWanger's picture

Time to buy stocks. Again, I'm proven right.

I've claimed numerous times that Bernanke will print forever and never raise rates. His strategy is working, and we're already witnessing a fantastic economic recovery.

Tue, 02/01/2011 - 16:36 | 924952 docj
docj's picture

Heh - if by "working" you mean "bankrupting billions of people so that a bunch of banksters can get their bonus" then yeah, it's working like a charm.

Screw it.

Tue, 02/01/2011 - 16:38 | 924967 HamyWanger
HamyWanger's picture

Whether you like it or not, we'll see DOW 14,000 before August. Prepare your Kleenex.

Tue, 02/01/2011 - 16:41 | 924987 Ray1968
Ray1968's picture

But Jane King told us this morning we're in a strong recovery. Hmmm....


Trust your eyes, not your ears.

Tue, 02/01/2011 - 16:59 | 925075 william the bastard
william the bastard's picture

If the economy is on "fire" why would the fed continue QE? What are they looking at?


Tue, 02/01/2011 - 19:01 | 925547 whatz that smell
whatz that smell's picture

sanity is dead. praise be the hoenig. may he ease for ever.

Tue, 02/01/2011 - 21:02 | 925874 DaddyO
DaddyO's picture


If the economy is on fire, why has the FED surpassed China in US Treasury holdings?


Wed, 02/02/2011 - 02:04 | 926441 Mentaliusanything
Mentaliusanything's picture

@William the bastard - If you or anyone with three particles of grey matter in their Sculls can explain that to me, I will walk Naked as a new born baby down Wall street and suck on the first appendage that presents itself.

Its like excepting that you have a fire and yelling for more Fuel. WTF is going on. It is destructive, insane and feels like the World has gone to Hell in a hand basket.

Wed, 02/02/2011 - 09:36 | 926868 TiredofIgnorance
TiredofIgnorance's picture



When you learn to spell, I might take your comments seriously.

Tue, 02/01/2011 - 16:42 | 924991 earnyermoney
earnyermoney's picture

F the fascist overlords. I'll buy hard assets instead of stocks.

Tue, 02/01/2011 - 16:43 | 924997 docj
docj's picture

You're assuming, of course, that I care if the DOW goes to 48,000 or 48.

Tue, 02/01/2011 - 16:48 | 925020 plocequ1
plocequ1's picture

Hamy, At this point, I dont think anyone is going to short stocks. If they do, Vaseline would be a better tool.

Tue, 02/01/2011 - 16:51 | 925037 kaiten
kaiten's picture

"Whether you like it or not, we'll see DOW 14,000 before August. ... "


Sure, we´ll also see $200 oil before August. I mean, do you understand the difference between real and nominal rise? Just askin ....


Tue, 02/01/2011 - 16:56 | 925062 jus_lite_reading
jus_lite_reading's picture

Relax! He's busting your chops!

Tue, 02/01/2011 - 17:18 | 925143 faustian bargain
faustian bargain's picture

You need to understand the difference between real and nominal Wanger...

Tue, 02/01/2011 - 17:29 | 925192 hedgeless_horseman
hedgeless_horseman's picture

Nominal Wanger.  I like it. 

Can I use that as my next ID?

Tue, 02/01/2011 - 17:57 | 925290 tickhound
tickhound's picture

Wanger - "proven right again" LMAO! QE infinty has been "called" by just about everyone here... and it will go until they get the desired effect. And that effect isn't artificial / nominal "recoveries" you blind apologist for corruption and manipulation... the desired effect will be destabilization and the resulting controls. Two words - Ray Charles

Tue, 02/01/2011 - 19:30 | 925638 andybev01
andybev01's picture

*pssst: wrong Wanger*

Tue, 02/01/2011 - 19:59 | 925715 Mr Poopra
Mr Poopra's picture

Can someone explain to me how people are still falling for this?

Tue, 02/01/2011 - 20:43 | 925828 Hulk
Hulk's picture


Wed, 02/02/2011 - 13:52 | 927968 viahj
viahj's picture

reading comprehension bitchez!

Tue, 02/01/2011 - 20:16 | 925768 Cheesy Bastard
Cheesy Bastard's picture

*pssst: wrong Wanger*

Yeah, like I've never said that before...

Tue, 02/01/2011 - 21:09 | 925893 DaddyO
DaddyO's picture



Tue, 02/01/2011 - 16:58 | 925070 morph
morph's picture

Great, what does DOW 14,000 taste like? How many can it feed?

Tue, 02/01/2011 - 17:17 | 925136 Forgiven
Forgiven's picture

Buy all the paper you want.  In the end it's only utility will be to wipe your arse.

Tue, 02/01/2011 - 17:24 | 925166 Nathan Muir
Nathan Muir's picture

Hamy, we all realize pumping the markets makes stocks go higher.  What you don't seem to realize is there will be a nasty downside to this BS the Bernank is pulling.  And you'll need more than kleenex when that downside is realized.

Tue, 02/01/2011 - 17:26 | 925176 Caviar Emptor
Caviar Emptor's picture

Errr excuse me, 16,000. Has to reach and top the 2007 high or else risk looking like a double top (like during 2008, remember?). Unless we get a convincing breakout through the old high there will still be technical reasons for people to stay on the sidelines, in addition to those who don't trust 200% rallies on bad fundamentals.

Tue, 02/01/2011 - 16:52 | 925045 gorillaonyourback
gorillaonyourback's picture

we will see if inflation really takes root and unemployment rises(in real calcs not bls).  lets see if hamys trickle down economics works( i hope for the me and my fellow americans)  but my mind tells me it will trickle to higher commodity prices and as in my business increase in the cost of goods and the only way to compete is to lower my labor rate.  my mind is usually right and my hopes have a bad track record

Tue, 02/01/2011 - 17:43 | 925246 unwashedmass
unwashedmass's picture


we are so fucked. so where are we all going to gather to depose Bernanke? In front of the Fed? If I could afford the gas, I'd be there with my tent.

Tue, 02/01/2011 - 21:55 | 925993 PY-129-20
PY-129-20's picture

Have you ever heard of "Bankster Island"? Try and search.

Tue, 02/01/2011 - 18:26 | 925424 Turd Ferguson
Turd Ferguson's picture

QE to infinity? NO! Really?

BTW, here's a new movie to enjoy:

Wed, 02/02/2011 - 04:24 | 926584 oh_bama
oh_bama's picture

"Screw it?"


You are screwed and there is nothing you can do about it..


It is so sick for a woman who was just raped saying "fuck him!"

I don't understand why people are in such denial... sick..

Tue, 02/01/2011 - 16:36 | 924953 tarsubil
tarsubil's picture

<insert outraged response to troll here>

Tue, 02/01/2011 - 16:57 | 925067 AccreditedEYE
AccreditedEYE's picture

LOL.  Really, he isn't even a full fledged troll, just an impostor.

Tue, 02/01/2011 - 17:22 | 925162 tarsubil
tarsubil's picture

Yeah, he got me! Am I red?

Tue, 02/01/2011 - 16:48 | 925026 papaswamp
papaswamp's picture

Hamy! were passed up the classic 'Buy Stocks Bitches!' I have a sad face.

Tue, 02/01/2011 - 17:07 | 925095 SayTabserb
SayTabserb's picture

No doubt it is the same nominal dollar in your pocket, but the melt-up of the market is not the actual purpose of QE-nth.  TD has pointed out accurately numerous times that the real purpose is to provide a secondary market for otherwise unmarketable govt. debt, meaning the U.S. Treasury cannot issue debt to a real market at interest rates it can afford unless the shell game continues through POMO buys.  The U.S. cannot afford to look as if can't sell its debt when it needs $2 trillion in loans a year; thus, enter the Dragon, the Fed, to make it look as if there is an organic market for American debt, when the Fed is simply hallucinating a large fraction of the "money" finding its way into the Treasury auctions.  This fraction will continue to increase as long as interest rates are held low. When and if they're allowed to move up, the U.S. govt is bust. But the Dow is a nice palliative while we wait for this inevitable process to take place. Take it to the hoop, Hamish.

Tue, 02/01/2011 - 17:41 | 925229 Rasna
Rasna's picture

His strategy is working, and we're already witnessing a fantastic economic recovery.

This is an idiotic statement. To wit:

The conditions that caused the 2008 melt down have not been addressed.

  • Let's see how that Dow 14,000 looks when massive inflation  is really recognized.
  • The Dollar take the huge plunge after a brief rally.
  • Real unemployment stays at 17%.
  • The next leg down in housing continues.
  • Commercial real estate collapses.
  • Inflation adjusted Dow is less than 10K.
  • Gas at $5.00 per gallon.
  • We have our own version of food riots.

So, HamyWanger, the Dow is really a false metric as to overall economic health.  It is a creation of the Fed that has no true value that allows us to gage how we are doing... It is full of hopium.  It's something that the masses can see on the network news that tells them that "things are going well". 

But at a fundamental level, on the inside, people are confused because they are either out of work or underemployed and it costs more to feed their families and more to fuel up the car and after that there is less to spread around.  Forget about discretionary money.

Being right about what Bernanke has done and will do leads to the false argument that if the Dow reaches 14,000, the we are well on the road to recovery.  Wrong!  It just means that we have effectively exported most of the inflation which is causing big problems abroad that our leaders - and HamyWanger - look the other way on.  I shudder to think that there are people in America that think that Obama, who I voted for, and Bernanke and Jeethner are charting a good course for our nation.  I have neighbors who think like HamyWanger and it scares me.  Also, let's not even discuss the HUGE bubble that the Criminal Fed is blowing as a result of all of the money it is printing, and I agree with Jim Rickards here.  Quantative Easing is just a BS euphamism for printing money, so let's stop the nice talk about what the Fed is doing.  THEY ARE PRINTING MONEY OUT OF NOWHERE, FROM NOTHING, BACKED BY NOTHING.  So, HamyWanger, Dow 14,000 has little meaning for me.  BTW I finally got on the "right side" of this market, but I'll have to make 30% just to stay even, accounting for the destruction of the dollar and inflation.

It will be a pyrrhic victory for Bernanke and Obama if the Dow reaches 14,000 on the Bloomberg screens, but our country teeters on the brink or ruin.



Wed, 02/02/2011 - 03:36 | 926560 mberry8870
mberry8870's picture

This is not an economic recovery, this is a constructed manipulation. I agree that the stock market is going to go higher, that does not mean the economy has recovered.

Tue, 02/01/2011 - 16:35 | 924949 Ragnarok
Ragnarok's picture

Dow 36,000!

Tue, 02/01/2011 - 17:14 | 925124 Sancho Ponzi
Sancho Ponzi's picture

Once you go Sack, you never go back.

Tue, 02/01/2011 - 17:38 | 925217 Caviar Emptor
Caviar Emptor's picture

I think 36,000 is a cool-headed conservative estimate. We've been up 9 out the last 10 weeks. Stocks have only retraced more than 100 points once in 6 months.

Tue, 02/01/2011 - 16:36 | 924951 Captain Planet
Captain Planet's picture

Agricultural Land Bitchezzzz!

And Seeds Ma'f*cker

Tue, 02/01/2011 - 16:40 | 924955 plocequ1
plocequ1's picture

Thank you Tyler. I was debating on wheather to buy some more APPL and Goog. You are a great help. Please change name of website to Infinity long. I get 30% finders fee for the idea.

Tue, 02/01/2011 - 16:37 | 924960 TraderMark
TraderMark's picture

Only if the S&P is below 1500 at the time! Otherwise they will let the free market dominate for at least 60 days.  You remember what happened last time they allowed that to happen right? (May June 2010)  Oops nevermind, QE3 it is.


p.s. Moneyball author Micheal Lewis on CNBC today - looks like he has a good article on how the investment banks and stoopid commercial banks helped bring down Ireland.  Video here

Tue, 02/01/2011 - 16:37 | 924961 faustian bargain
faustian bargain's picture

The question is, are they expecting the data to be weaker than expected? I'm thinking "yes".

Tue, 02/01/2011 - 16:37 | 924963 OMG
OMG's picture

Debt is money create more debt print more money!


It works until it doesn't

Tue, 02/01/2011 - 16:37 | 924964 the not so migh...
the not so mighty maximiza's picture

An outside force will stop this eventully , maybe around QEXVIII

Tue, 02/01/2011 - 16:40 | 924973 alien-IQ
alien-IQ's picture

Can we NOW follow Egypt's example? PLEASE?????? Or must Americans wait until they are paying $2500 for a loaf of bread and selling their children off into prostitution to fill the tank?

This is getting more than a bit ridiculous and the apathy and servility being displayed by the American people regarding these policies is more than a little alarming.

Tue, 02/01/2011 - 17:08 | 925103 jus_lite_reading
jus_lite_reading's picture

I am praying to GOD that he strikes these basturds NOW!

Hey Egypt's people won! Now it's our turn!

Tue, 02/01/2011 - 17:18 | 925138 papaswamp
papaswamp's picture

Not going to happen as long as the cable works and the fast food flows.

Tue, 02/01/2011 - 17:58 | 925309 thetruth
thetruth's picture

this wont happen in America for a while because

1.  we can't agree on what to bitch about

2.  we can't agree on who to bitch about

Tue, 02/01/2011 - 23:27 | 926187 ColonelCooper
ColonelCooper's picture

Clever.  I like that.

Tue, 02/01/2011 - 16:38 | 924974 cougar_w
cougar_w's picture

They will quease until it hurts. Or until the rest of the world shoots itself in the head to stop the pain.

Tue, 02/01/2011 - 18:00 | 925316 Cheesy Bastard
Cheesy Bastard's picture

What a bunch of queasy bastards they are.

Tue, 02/01/2011 - 16:41 | 924984 buzzsaw99
buzzsaw99's picture

QEasy threesy

whoresy foursy

Tue, 02/01/2011 - 16:41 | 924989 A Man without Q...
A Man without Qualities's picture

Dear Mr Hoenig, extensive research by a team of eminent economists has proved that banging  your head against a brick wall is a great way to stimulate the economy.  If you find it doesn't bring immediate results, just keep on at it.

Tue, 02/01/2011 - 18:32 | 925448 Bay of Pigs
Bay of Pigs's picture

And Hoenig is the inflation "hawk"?

Bend over America, you are getting driven to Cleveland.


Tue, 02/01/2011 - 16:42 | 924992 youngman
youngman's picture

I thought they would call it by a different name...not QE III...but "Jane" maybe...that would sound nicer..." we are going to start Jane in July"...yeah thats bettter.....then we could ask.."how is Jane doing?"...

Tue, 02/01/2011 - 16:49 | 925029 rosiescenario
rosiescenario's picture

"....but "Jane" maybe....."......suggest they avoid 'Lisa' as that last time it was used it almost sunk aapl.....

Tue, 02/01/2011 - 18:04 | 925332 Cheesy Bastard
Tue, 02/01/2011 - 17:03 | 925083 Dr. No
Dr. No's picture

Mary Jane?  Now you are talking! Go long!  wait, what was I typing,...

Tue, 02/01/2011 - 16:46 | 924995 FunkyMonkeyBoy
FunkyMonkeyBoy's picture

Yep, if something doesn't work do some more of it, and if that doesn't work, do some more of it.

"The definition of insanity is doing the same thing over and over again and expecting different results" - Albert Einstein.

Ben Bernank is an insane genocidal maniac prepared to do any and everything his masters ask of him. Unfortunately, the majority of American and other western world populous, are apathetic docile cattle who deserved to be slaughtered by these criminals. The Bernank should have been hanging from a lamp post after QE I.

Tue, 02/01/2011 - 16:46 | 925009 Mrmojorisin515
Mrmojorisin515's picture

i like to view it more as him being our saviour, he's done more to collaspe this corrupt system then all of us combined

Tue, 02/01/2011 - 16:49 | 925030 TheMerryPrankster
TheMerryPrankster's picture

Well said. +25

Tue, 02/01/2011 - 16:51 | 925040 FunkyMonkeyBoy
FunkyMonkeyBoy's picture

Unfortunately it's a hegelian dialectic job.

Problem, Reaction, Solution... and you ain't going to like the solution they enforce.

Tue, 02/01/2011 - 17:17 | 925132 Mrmojorisin515
Mrmojorisin515's picture

just focus your energy to enlightening the masses about the true causes and a system that will be much more sustainable in the long run.  Tell them not to jump to any conclusions as things get worse, support no wars that come because of this and question everything the government says EVERYTHING

Tue, 02/01/2011 - 17:20 | 925150 Mrmojorisin515
Mrmojorisin515's picture

"Go home and tell your parents everything is going to be alright"


-Donnie Darko

Tue, 02/01/2011 - 16:43 | 924998 Gubbmint Cheese
Gubbmint Cheese's picture


Tue, 02/01/2011 - 17:39 | 925080 hedgeless_horseman
hedgeless_horseman's picture

Yes, indeed. 


By the way, are any of you with Farmer's Insurance?  They just signed their own death warrant, naming rights to an NFL stadium in LA, Farmers' Field.  Nice to see your premiums going to a good cause.

Tue, 02/01/2011 - 18:45 | 925493 trav7777
trav7777's picture

goin to pay rapists, thugs, and excons to gyrate after every mundane play

Tue, 02/01/2011 - 19:52 | 925698 Blano
Blano's picture

So they bought naming rights to a field that doesn't exist for a city without an NFL team???  Hahahahaha!!!!  Now there's a sound business decision if I ever heard one.

Tue, 02/01/2011 - 16:43 | 925001 TraderMark
TraderMark's picture

p.s. Joe Lavorgna is already apologizing for Friday's miss in employment v expectation.  He says the survey was done during a bad week for snow.  So please BTFD.

Tue, 02/01/2011 - 16:44 | 925004 Tic tock
Tic tock's picture

weaker than expected...?, then perhaps if you would mention what is expected.

Tue, 02/01/2011 - 17:15 | 925128 the bohemian
the bohemian's picture

148K payrolls  9.5% UE -

Tue, 02/01/2011 - 16:45 | 925005 DonnieD
DonnieD's picture

They'll need QE3 just to keep up with food stamp demand. Go long Whole Foods since that's where recipients are now shopping while the middle class is clipping coupons for Wal Mart. What a country.

Tue, 02/01/2011 - 16:46 | 925013 I Am The Unknow...
I Am The Unknown Comic's picture

NOW we know why they let Hoenig live!  He's the newest all-star propaganda tool for bears, realists, retail, and everybody who isn't on The Bernank's speed dial!

First, he had to establish himself as "the dissenting voice" - mission accomplished

Next, he had to be replaced/removed/dismissed from his position - mission accomplished

Then, he is free to spread propaganda as a trustworthy source of inside information!

kind of textbook propaganda plays, eh?

Tue, 02/01/2011 - 16:49 | 925031 buzzsaw99
buzzsaw99's picture

They finally showed him the real books.

Tue, 02/01/2011 - 17:18 | 925144 I Am The Unknow...
I Am The Unknown Comic's picture


Tue, 02/01/2011 - 16:53 | 925016 EscapeKey
EscapeKey's picture

It won't be QE3 - the original QE2 statement clearly said they reserved the right to alter the total amount, the speed of purchases, and to make other indefinable alterations to the program.

It was designed as a blanko cheque. QE3 was never necessary, considering the open-ended nature of QE2.

Here it is:

The Committee will regularly review the pace of its securities purchases and the overall size of the asset-purchase program in light of incoming information and will adjust the program as needed to best foster maximum employment and price stability. 

Wed, 02/02/2011 - 02:36 | 926493 davepowers
davepowers's picture

can we at least call it 2.5?


Tue, 02/01/2011 - 16:47 | 925019 jus_lite_reading
jus_lite_reading's picture



S&P upgrades Ford (F) to 'BB-' due to ongoing recovery


ROTFLMAO!!! NOW I know, we're living in a twilight zone!

Tue, 02/01/2011 - 16:50 | 925036 buzzsaw99
buzzsaw99's picture

F & GM down due to excessive green shoots.

Tue, 02/01/2011 - 16:53 | 925052 TheMerryPrankster
TheMerryPrankster's picture

Goodbye, Welcome to Bizarro World, where debt is wealth and paper is money and a black man is persident but he does everything his predessor did and yet he is called a socialist. Hello, I must be going..

Tue, 02/01/2011 - 17:20 | 925087 hedgeless_horseman
hedgeless_horseman's picture

...debt is wealth...

Congressman Stark was right. 

Just watch this very brief interview with one of Caifornia's greatest representatives, and everything will make perfect sense.

Tue, 02/01/2011 - 16:50 | 925032 A_MacLaren
A_MacLaren's picture

"...if U.S. economic data prove weaker than policymakers expect..."

Is this tacit acknowledgement that Q4 GDP was totally and completely made of Unicorn Skittles, Cotton Candy and Candy Canes?

Or just bald faced lies?


Tue, 02/01/2011 - 16:50 | 925034 Belrev
Belrev's picture

If oil goes up to $200, that in isolation should be enough to bring down the whole system? Is not it? The FED seems to be cornered with no escape as riots are spreading around the world and soon to come to USA.

Tue, 02/01/2011 - 17:10 | 925110 jus_lite_reading
jus_lite_reading's picture

I'm currently using the assitance of a walker because of a recent bad cause of gout but I tell you that I give my full support to the people. It's coming. Be patient.

Tue, 02/01/2011 - 18:03 | 925325 ColonelCooper
ColonelCooper's picture

I feel for anyone suffering with that shit.  Good luck.

Tue, 02/01/2011 - 16:51 | 925038 Shameful
Shameful's picture


This doesn't end folks. You people who think that Ben can or will stop the madness, think about what that would do to the tax revenue and the banks. Ben's will do his job and his dual mandate which is not the one they talk about, hell or hyper inflationary high water.

(Hyper)Inflation purges the bad debt from the TBTF balance sheets and I have no doubt that they will use the lessons learned in Wiemar to profit mightily. Banks can make a killing in a hyper inflation if they can get below market rates from the central bank and speculate. Or what I half expect them to go into real estate and get some wacky rule passed making them immune to local taxes so there will not be a tax cost flying through the storm. Some BS about Building the Future or such nonsense.

The Fed has a duel mandate.

1. Keep the ponzi going.
2. Enrich the TBTF.

Know this and they will never surprise you. Ask what action fulfills the dual mandate and that is what will be taken every time. Gamble accordingly, good luck to us all.

Tue, 02/01/2011 - 17:11 | 925113 AccreditedEYE
AccreditedEYE's picture

Banks can make a killing in a hyper inflation if they can get below market rates from the central bank and speculate.

Great post Shameful, as usual. Just one question on the above statement: To what end? If you keep playing games with money, doesn't it eventually break? What good is holding a physical asset like real estate if tenants can't pay the rent? (and even if they can, in worthless fiat)

Tue, 02/01/2011 - 17:22 | 925158 faustian bargain
faustian bargain's picture

Sounds like a recipe for indentured servitude, and/or feudalism.

Tue, 02/01/2011 - 17:31 | 925197 Shameful
Shameful's picture

Think big.

Short Term:

Everyone has something to offer. Even basic labor at this point has some value but limited. Perhaps they can employ the serfs to build monuments to their magnificence? Or be philanthropic and offer them goodies in exchange for behavior. Cure for over population, "encourage" sterilization.

Some also just want to own things, look at Ted Turner and the amazing amount of land he owns. Don't think he needs it all, but he clearly wanted it. And I'm talking about buying up companies (and governments) and other forms of capital on the cheap. A further centralization of wealth and power.

Long Term:

If you own all the land and own all the assets with modern mechanization, how many tenants do you need? Would it not be better for them to be deposited in centralized locations better fitted to deal with their poverty, and inferiority? To re-wild the land and leave the stunning vistas for those superior, who can better enjoy them and clearly are Earth's children after displaying their dominance over their weaker brother?

The end is really a world where the oligarchy does not need a mass of humanity to generate wealth for their luxury. Look at the US itself and imagine how productive it would be if the tax feeders simply disappeared. With technology it's possible for very few serfs to produce fantastic wealth. On a world of limited resources would the merchants and captains of the world be forever willing to dole out "their" resources to those who are unworthy and not contributing to the oligarchy properly? The future does not need most of us in their world. So we will be disposed of.

I do not promote the above view, just my read on the situation.

"Give me back the Berlin Wall give me Stalin and St. Paul. I've seen the future brother; it is murder"

Tue, 02/01/2011 - 18:09 | 925349 AccreditedEYE
AccreditedEYE's picture

Thanks Shameful... hopefully I'll be able to sleep tonight. lol

Tue, 02/01/2011 - 18:17 | 925378 thetruth
thetruth's picture

This actually makes the most sense.  I was wondering if forcing people into cities would be easier with a deflationary collapse or hyper inflation.  Probably about the same, but hyper inflation would have more benefits for them overall.


Tue, 02/01/2011 - 18:27 | 925430 Cheesy Bastard
Cheesy Bastard's picture

They only care about your productive life, not your life.  Hence healthcare based on a complete lives system where infants and old people are worth less than the healthy  workers.  End of life counseling, you know.   Not for them, though.   Energy use and freedom is for the elite, hence they will fly around in jets, but you should ride your bike to work to fix thier cars and pour their coffee.  They keep thier thermostats at 78, but they were raised in hawaii after all.  You will have the smart grid and you will not be allowed to.  You have to use poisen light bulbs.  It goes on and on.  I am sick of it.   

Tue, 02/01/2011 - 18:49 | 925512 trav7777
trav7777's picture

O Brave New World, that has such people in't

Tue, 02/01/2011 - 19:26 | 925626 Goldilocks
Goldilocks's picture

Think bigger.

Everything you see around you came from the earth. Everything!

As earthlings, we just moved stuff around ... & now we find ourselves owing intergenerational debt associated with all that we have collectively built over time. WTF!

Didn't we already pay for everything with our labor? Why do we owe money? Wasn't everything a gift from the planet? Who are these gatekeeper trolls who say we owe them for it? Whose planet is it anyways?

Money (debt money) is a total con on all of us (slavery).

What a totally ridiculous world we live in.

"The end is really a world where the oligarchy does not need a mass of humanity to generate wealth for their luxury."

... it's the other way around bub. We don't need the oligarchy!!!

Tue, 02/01/2011 - 20:31 | 925798 Shameful
Shameful's picture

"... it's the other way around bub. We don't need the oligarchy!!!"

They have always existed and presumably will always exist in some form or another unless we have a radical change and actually embrace a free society. The oligarchy are a symptom of our system. If we did not have a control system like we do such an oligarchy could not exist and wield the power it does.

However with the limited view of most of mankind, slavery is inevitable. Should the ruling oligarchy vanish tomorrow the masses would panic. Quickly they would forge new chains and seek new masters, or new masters would step forward to hold the chains. The system remains intact and the song remains the same.

Not pleasant but people are entirely attached to the paradigm of "Big Daddy" telling them what to do. They crave that, and someone will always be willing to play "Big Daddy", for a nominal fee of course. Look around you, in the nation you dwell how well would the people be able to emotionally handle freedom? To not have the illusion of government security? I know in the US the tax feeders would immediately go nuts, and turns out that is a large part of the population. The tax producers are a somewhat docile bunch when one considers that they are being robbed, and would likely cave to their "reasonable" demands, and the system would begin anew.

Tue, 02/01/2011 - 21:11 | 925843 Goldilocks
Goldilocks's picture

(Hey Shameful ... did any of what I wrote register with your elitist paradigm? ... other than the last sentence)

As for your reply, pretty bleak argument ... bub.


Tue, 02/01/2011 - 21:37 | 925956 Shameful
Shameful's picture

Yes it is, the reality is pretty bleak.  And no we don't need them in any real sense, but our society is geared around them.  One does not take hundreds, or thousands of years of social conditioning and turn it on it's head overnight.

How will you convince the right that they do not have the power to force their social view on people using the power of the gun?  How will you convince the left not to force their social view on the people using the power of the gun?  Society has degenerated into a vulgar brawl for petty power, power that is largely already owned by the oligarchy.

If you think I like this I don't, just looking at facts.  One should not plan their life around hope, nor invest on hope with casual disregard for the facts.  But please explain to me how we will convince the masses they they don't need the boot that has been on their neck for all of recorded history.  Only a society that actually embraced freedom could be free of them, and pure freedom with no government holding the monopoly of force is anathema to most.  As long as a single group holds that monopoly of force it will always degenerate into a tyranny of the few over the many.  One only need to look at the US for a perfect, recent (Over 220 years), and relevant case study of the growth of centrilized power when their is a monoply of force.

Tue, 02/01/2011 - 22:36 | 926080 Alienated Serf
Alienated Serf's picture

good stuff Shameful.  You should have a contributor account and guest post.

Tue, 02/01/2011 - 23:31 | 926093 Goldilocks
Goldilocks's picture

Debt is fiction. Force is not.

Do you suppose that when a person buys a gun ... they did so with the 'hope' to live & be safe? Does that count as an investment in hope?

Tue, 02/01/2011 - 16:51 | 925039 Bill Lumbergh
Bill Lumbergh's picture

I am glad the economic "recovery" with the insolvency of the banking system, municipalities, and government is being received so well.

Tue, 02/01/2011 - 16:51 | 925041 spinone
spinone's picture

The rest of the world can't survive the dollar as the WRC.  Something's gonna give.

Tue, 02/01/2011 - 16:53 | 925048 TruthInSunshine
TruthInSunshine's picture

I keep asking Bernanke for access to the discount window, and the fucker keeps ignoring my requests.

I want to be like the Squid, with pockets full of free federal reserve dope, too!

Tue, 02/01/2011 - 16:53 | 925051 Xibalba
Xibalba's picture

The monetization of ones debt is clearly the answer!  We're saved!  

Tue, 02/01/2011 - 16:56 | 925058 gookempucky
gookempucky's picture

Bring it on

Mirror surreal reality as the fed wants to stay in charge until the next election---------these people who think they are world leaders are made in the same mold as mubarek just different makeup.

Tue, 02/01/2011 - 16:57 | 925065 Robslob
Robslob's picture

My house lost over 15% in value 2010.

My new mo value added home insurance premiums just rose 40% for 2011.

When will it end?

Answer: It can't...Bernanke is trying to shatter the rest of the worlds economies so the US can be the last to fail.

Here is your WWIII...all financial, no shots fired.

Tue, 02/01/2011 - 17:13 | 925119 jus_lite_reading
jus_lite_reading's picture

Again, the only way to end this is for everyone to stop paying their debts, credit cards etc. If we get a half assed support from the people then it won't work. When the people stand united, there is no stopping it.

I did my part with pouring $XXk into silver recently on the dip with a credit card... you know the rest

Tue, 02/01/2011 - 16:57 | 925066 william the bastard
william the bastard's picture

It's a head fake. Lucy has the football. QE will end by March.

Tue, 02/01/2011 - 17:38 | 925221 ColonelCooper
ColonelCooper's picture


Your comment is completely WRONG, but you should get credit for trying an original thought.

Tue, 02/01/2011 - 16:58 | 925071 Cdad
Cdad's picture

if the numbers look "disappointing,"

I wonder what he means by "the numbers?"  Is he talking about the bonus numbers? 

Tue, 02/01/2011 - 17:05 | 925090 flaunt
flaunt's picture

Nice to have confirmation of the obvious.  SPX and Gold to infinity, dollar to zero.

Tue, 02/01/2011 - 17:07 | 925100 Rogerwilco
Rogerwilco's picture

At least we're headed for decadent poverty. We visited one of my wife's friends in San Jose last week. She and hubby bought a $850K house in '06, and now it's worth half that. Hubby lost his job, so they aren't paying the mortgage anymore. The bank has dragged out their loan-mod request for over a year. Lady of the house invites my wife to go shopping at the thrift store, and on the way there she stops at Starbucks for a latte -- pays with a CC!

Is this a great country or what?

Tue, 02/01/2011 - 17:07 | 925101 The Axe
The Axe's picture

bad number    cause snow!   market goes up!!!   good number....and we had snow  market goes up big.......get the fucking picture    bears lose....wash repeat  fuck America over and over.

Tue, 02/01/2011 - 17:16 | 925131 Tense INDIAN
Tense INDIAN's picture

any amount of QE now wont help INDIA> ...looks like its game over for the Indian markets......All downhill from here...

Tue, 02/01/2011 - 17:18 | 925133 lunaticfringe
lunaticfringe's picture

All eyes should be directed to the Billy Bob indicator. The Billy Bob is the most accurate predictor of disharmony and potential civil unrest.

Classicly, Billy Bob wears shirts with cut off sleeves. You may spot him in a convenience store holding a corn dog and a twelve pack of Keystone. When he pays for his gas, corndog, and beer and the cashier says that'll be 188 dollars please... Pay close attention. He may say something like "chit man fuck, are ya kidding me?" If he throws a complete temper tantrum, rest assured- financial armageddon is near.

Tue, 02/01/2011 - 17:17 | 925141 Racer
Racer's picture

The more I think about it, the more it looks like Genocidal Benron is trying to cause a world war through hyperinflation of food and fuel..

he can say 'wasn't the fed's fault because inflation was contained'

Tue, 02/01/2011 - 17:41 | 925224 I Am The Unknow...
I Am The Unknown Comic's picture

good comment.....and, I bet he just loves it when a plan comes together!  With such a plan there would be so many scapegoats that it would be hard to find The Bernanke in the midst of the cesspool. 

This would of course be great for US stocks because we would have to crank up the war machine WWII the point where people are recycling everything in order to support the war effort.  SCARCITY WOULD RETURN - bitchez

Tue, 02/01/2011 - 17:19 | 925146 redpill
redpill's picture

All this bad weather, we definitely need QE3!

Shocking I say, shocking!

Tue, 02/01/2011 - 17:20 | 925152 tahoebumsmith
tahoebumsmith's picture

They have slowly gotton the masses back into the Casino and are now celebrating QE forever. What people don't talk about is the fact that without QE there would be no buyers of our debt and with no buyers of our debt we are officially bankrupt. This is only a sugarcoated terd of a way to bailout the Government for all its reckless spending and its failure to maintain a sound economic budget. It also allows for more entitlements to get shoved through and a larger government to form without having to go through the Constitutional channels for the money. Without QE they couldn't raise the debt ceiling because they would have no way to pay for it... It's that simple, so all you fucking HAMMY,HARRY, SPAULDING,ROBO ECT..ECT.ECT DIPSHITS that think this is anything but the hail mary to keep us insolvent, think a fucking gain. Time to call a spade a spade and look at reality and stop touching yourselves evertime Timmay has to call up and order some fresh cash to pay the friggin bills. I'm sick of this shit, same shit happens here in California, the only difference is if the USA starts handing out IOUS the rest of the World would ditch us in a 200 West St. fucking NY minute!

Tue, 02/01/2011 - 17:28 | 925153 plocequ1
plocequ1's picture

Feels like 1999


Alright, 1999
U say it, 1999
1999 (1999)

Don't stop, don't stop, say it one more time
2000 zero zero party over, oops, out of time! (Yeah, yeah)
So 2night I'm gonna party like it's 1999! (We gonna, we're gonna)

Yeah, 1999 (1999)
Don't U wanna go? (1999)
Don't U wanna go? (1999)
We could all die any day (1999)
I don't wanna die, I'd rather dance my life away (1999)
Listen 2 what I'm tryin' 2 say
Everybody, everybody say party!
Come on now, U say it (Party!)
That's right, everybody say
(Party!) {repeat in BG}
Can't run from Revelation, no!
Sing it 4 your nation, y'all!

Tue, 02/01/2011 - 17:22 | 925157 The Axe
The Axe's picture

was todays volume correct, my terminal reads 4.3 ?   a under 5 volume day on a 150 point up day?   ????  

Tue, 02/01/2011 - 17:23 | 925164 Payable on Death
Payable on Death's picture

Snowed in today in KCMO.

So, if I may Tyler, re: "Kansas Fed's Tom Hoenig". Federal Reserve District No. 10 (that's "J" for you fiat fans) is in Missouri.

Tue, 02/01/2011 - 18:53 | 925533 trav7777
trav7777's picture

don't you have something to do?

Tue, 02/01/2011 - 17:23 | 925165 ldotf
ldotf's picture

uh time to buy the f*kin` dip!

Tue, 02/01/2011 - 17:26 | 925170 Racer
Racer's picture

Current UK petrol prices equivalent to approx $8.60/US gallon.. that is before the massive surge in oil over last few days comes into force!

Tue, 02/01/2011 - 17:27 | 925183 hedgeless_horseman
hedgeless_horseman's picture

It's ok, the UK has rail. 

In the USA?  Not so much.

Tue, 02/01/2011 - 17:30 | 925193 Manwich
Manwich's picture

There is still more time for Ben to continue his 'shock & awe' printing campaign.  If fuel and bread consistantly move up in price, that is when people will take notice. They need shock value ala 2008 when oil ramped to $147 almost overnight. That is what i think it will take.










Tue, 02/01/2011 - 19:09 | 925574 whatz that smell
whatz that smell's picture

please stop banging on the enter key! your fellow bloggers thakn you.

Tue, 02/01/2011 - 17:33 | 925201 purplefrog
purplefrog's picture

Why bother to announce or even suggest QEn?  Most of what the FED does goes on behind the scenes.  Don't you just love this charade of the purposeful-rational?

Tue, 02/01/2011 - 17:33 | 925202 Convolved Man
Convolved Man's picture

I foresee "Win The Future" (WTF) bonds coming to a credit union near you.

Plan accordingly.

Tue, 02/01/2011 - 17:43 | 925243 Caviar Emptor
Caviar Emptor's picture

hehe, that sounds just about right. Also for those less endowed, Win the Future bills and stamps. Available wherever condoms are sold.

Tue, 02/01/2011 - 17:42 | 925237 Caviar Emptor
Caviar Emptor's picture

They got alarmed at core PCE of 0% reported this week. 

And since they don't believe that biflation exists or is even possible, they have no fear of inflation. No fear! They figure they can control it through stupid Fed tricks like jawboning the dollar, raising margins on commodities, empowering the JP Morgue to corner and short commodities, and through faith in Goldilocks!

Tue, 02/01/2011 - 17:44 | 925250 Dr. Porkchop
Dr. Porkchop's picture

Soon they will just pass a law requiring every working citizen to dump 10% of their earnings into mutual funds.

It will be the Keep America Strong act or some other patriotic sounding bullshit.

What? You think the constitution will stop them? That went out the window with the Patriot Act.

Tue, 02/01/2011 - 17:50 | 925277 Waterfallsparkles
Waterfallsparkles's picture

Bernanke is a day trader that cannot lose.  Market down.  Well just throw in another 5 Billion or so.  Still not higher pump in another 5 Billion, until his stocks have recovered and now are even higher.

I think he sits at his computer all day watching the markets and pushes the print another 5 Billion button every time it goes down.  He thinks he is a genius but he is gambling with American Tax payer money.  Not his own.

Do we all not wish that when stocks go against us we could print 5 Billion dollars and pump the Market up?

What is bothersome to me is that the Market is now a Government controlled agency.  It is not a FREE Market.

Tue, 02/01/2011 - 18:05 | 925335 AccreditedEYE
AccreditedEYE's picture

What is bothersome to me is that the Market is now a Government controlled agency.  It is not a FREE Market.

So true.. with real valuations on all kinds of assets being disguised by those billions. Which leads one to ask... without the government where would rates and stocks really be?

Tue, 02/01/2011 - 17:56 | 925300 web bot
web bot's picture

<just shaking my #uckin head>

Tue, 02/01/2011 - 17:56 | 925301 Yen Cross
Yen Cross's picture

Come on. Kampo,MoF,BoJ. Let GODZILLA loose!

Tue, 02/01/2011 - 17:58 | 925308 Stoploss
Stoploss's picture

Rumor has it the Saudi royal family has been evacuated.. Probably nothing to it.

Tue, 02/01/2011 - 18:01 | 925319 Yen Cross
Yen Cross's picture

Qe extra light.

Tue, 02/01/2011 - 18:02 | 925320 Caviar Emptor
Caviar Emptor's picture

What if Ben has setup a doomsday dollar printing machine in the Fed basement? Can't be turned off without triggering sell orders in every investment class. 

Tue, 02/01/2011 - 18:02 | 925323 KickIce
KickIce's picture

For any still thinking this is not by design.  In the middle of riots due to food inflation and civil rights, the Fed all but announces QE3.  Might as well pour gasoline on an already burning fire.

Tue, 02/01/2011 - 18:07 | 925343 Josh Randall
Josh Randall's picture

Everyone knew this was coming right ? When does Ron Paul get a shot at him on the floor ? We'll need another 60 minutes piece demonizing the Tea Party and Glorifying The Bernak again before that happens so people know not to believe the truth of course..cue Morley Saffer's 5, 4, 3, 2...ACTION!

Tue, 02/01/2011 - 18:11 | 925347 overmedicatedun...
overmedicatedundersexed's picture

we in the usa are hitting record prescription drug use..antianxiety rx,depression rx, adhd rx,antipyschotic rx,and the dirty little secret narcotic rx's..all being prescribed freely..

no one asks why are we a nation that is so stressed we need massive mind controlling meds??

conservatives by nature seem to reject these quick fix drugs..wonder what the use is in liberal socialists?? a great study that would be hard to design...

this has contributed to the voting in office of so many socialists the people are doped effect we are an overmedicated society..we cannot react to reality with this doping.

thus the 3rd world which does not have access to the above drugs knows why they riot knows they are being screwed in America too many of our citizens are in a stupor.

Tue, 02/01/2011 - 18:15 | 925372 Yen Cross
Yen Cross's picture

I don't even take aspirin. But then again, I get my worthless Republican rear end out of bed every morning and catch a healthy dose of vitamin D.

Tue, 02/01/2011 - 18:31 | 925446 overmedicatedun...
overmedicatedundersexed's picture

thats about right reality cannot be understood while doped up..investors take notice but ..a doped up society is a polite society..Bush understood to make drugs more available would head off the rioting to come..

withdrawal from these meds society wide would be interesting ..

the mind control is not just with MSM and TV, soma anyone??

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