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Hoyer: "No Budget Deal Yet But 70% Agreement" Means Soap Opera Almost Over

Tyler Durden's picture




 

The distraction factor today will be 100%, as the government has decided to draw out the government shutdown decision to the very end. Per Reuters, Hoyer has said that both sides are very close to a shutdown "deal" with 70% agreement on dollars. Supposedly 30% disagreement on a binary issue is good news. "U.S. House of Representatives Democratic Whip Steny Hoyer said on Friday that budget negotiators were "very close" to a deal to avoid a shutdown of the federal government. "There's no deal yet unfortunately," Hoyer told NBC's Today show program as negotiators worked furiously to reach agreement. "I think we're very close. I think we've come 70 percent of the way in terms of dollars. That's a long way to go in trying to reach compromise."" Obviously the disagreement percentage will drop more and more as this soap opera season draws to a close, with only one logical outcome, which obviously will be one of market relief, even as the DXY is pennies away from both 2008 and 2009 lows, both of which preceded major global market calamities.

 

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Fri, 04/08/2011 - 07:21 | 1149177 sbenard
sbenard's picture

I WANT a shutdown! Nothing better to force us to recognize what are truly "essential" government services!

Fri, 04/08/2011 - 07:37 | 1149201 chumbawamba
chumbawamba's picture

Now would be a really opportune time to call in a bomb threat.

I am Chumbawamba.

Fri, 04/08/2011 - 07:43 | 1149214 MarketTruth
MarketTruth's picture

ditto

Fri, 04/08/2011 - 07:55 | 1149227 blindfaith
blindfaith's picture

did you and Chumbiauwa leave your brains home this morning?

Fri, 04/08/2011 - 08:38 | 1149358 chumbawamba
chumbawamba's picture

Did you leave your balls at home?

Time to shut this mother fucker down.  For good.

I am Chumbawamba.

Fri, 04/08/2011 - 07:40 | 1149209 Twindrives
Twindrives's picture

Fuck every son of a bitch inside the District of Columbia.  From the faux president to the brown nosing interns.  U.S. government just collapse already.

Fri, 04/08/2011 - 08:02 | 1149248 max2205
max2205's picture

Why are you complaining SPY is up 100% in 2 years

Fri, 04/08/2011 - 07:59 | 1149243 blindfaith
blindfaith's picture

If every over paid employee in the Government took a ONE worthless DOLLAR cut in pay, we just might be able to balance the budget.

IMAGINE: $24,000 starting pay with benefits to push luggage thru a scanner at the airport.  WHO the hell needs a college education with starting pay like that?  You don't EVEN need to speak ENGLISH!!!!

Fri, 04/08/2011 - 08:15 | 1149280 lindacrabapple
lindacrabapple's picture

Do you think 24k is a lot of money? Seriously? That's poverty wages. If you want to balance the budget on that, you should probably review some basic math.

Fri, 04/08/2011 - 08:46 | 1149371 chumbawamba
chumbawamba's picture

It is a job pushing baggage through a scanner for fuck's sakes!  If you don't want to be poor then acquire a specialty skill and earn your way out of poverty.  No one is entitled to a job.

And $2,000/mo is a lot of money for a lot of folks these days.  All you need is a roof over your head and an internet connection.

I am Chumbawamba.

Fri, 04/08/2011 - 10:18 | 1149692 whatsinaname
whatsinaname's picture

Apparently, the ONLY sore sticking point is that the Republicans dont want to fund Planned Parenthood. As if we are flushed with cash for all the other extravanzas !!

Fri, 04/08/2011 - 10:37 | 1149771 VisualCSharp
VisualCSharp's picture

This whole thing strikes me as nothing more than the latest tactic for each side to get what they want. That is, which side can blame the other for letting the government shut down. What's funny is, lots of folks want the government to shut down, myself included! Let's find out where the fat is and trim it.

Fri, 04/08/2011 - 09:36 | 1149550 tarsubil
tarsubil's picture

And people still buy into that crap. It is just amazing.

Fri, 04/08/2011 - 09:57 | 1149610 gordengeko
gordengeko's picture

No, this time it's different I swear!LOL  The economy is in a much much better state than the previous two times and the world too.  Imagine all of the CFA's that are putting their clients into equities right now.  Third time a charm I guess.

Fri, 04/08/2011 - 07:26 | 1149183 HelluvaEngineer
HelluvaEngineer's picture

Let me make sure I get this right - dollar down, market up then dollar up, market up, right?

Fri, 04/08/2011 - 08:03 | 1149252 blindfaith
blindfaith's picture

                              Caution: 

                   Magicians at work

Fri, 04/08/2011 - 07:27 | 1149184 tiger7905
tiger7905's picture

James Turk comments that for the first 6months they are 10% higher than the first 6 months of last year. So let's say 6months deficit is 800 billion, so anything less than 80 billion in cuts would bring the first 6 month, not yearly budget, in line with the first 6 months of last year. Anyone see them cutting $160 billion to even be in line with last Yeats deficit?

Turk also thinks silver could hit $50 by end of June,

http://goldandsilverlinings.com/?p=527

Fri, 04/08/2011 - 07:28 | 1149186 assumptionblindness
assumptionblindness's picture

What will the markets do when this childish (and absolutely meaningless) budget fight is resolved and attention shifts back to commodities inflation/margin squeeze/earnings reports and reduced earnings forecasts? 

OT - Jeremy Siegel is on CNBC.  There can't possibly be a greater idiot on the face of planet Earth. 

Fri, 04/08/2011 - 07:33 | 1149193 cossack55
cossack55's picture

You may have forgotten or alternate choices:

A. Paul Krugman

b. Waren Buffet

c. TEPCO

d. We the Stupid Ass People

Fri, 04/08/2011 - 07:31 | 1149191 tek77blu
tek77blu's picture

great interview with peter grandich on the dollar, gold, silver, and where this country's headed: http://www.youtube.com/watch?v=4XtH28M3Bbc

Fri, 04/08/2011 - 07:38 | 1149199 A Man without Q...
A Man without Qualities's picture

Around 1,800 years ago exactly the same discussions were no doubt taking place between the senators and the emperor in Rome, and we know how well that turned out.  

Fri, 04/08/2011 - 07:50 | 1149222 Ricky Bobby
Ricky Bobby's picture

+ 1

Res publica mortuus est, vivat imperium

Fri, 04/08/2011 - 08:09 | 1149267 blindfaith
blindfaith's picture

and the fatal knife found its true resting place, my son...

" the world, however, didn't wait, but instead observed what followed on".

Dead can Dance.

Fri, 04/08/2011 - 07:44 | 1149212 savagegoose
savagegoose's picture

disenters got clubbed to death outside the forum?

Fri, 04/08/2011 - 07:44 | 1149213 MarketTruth
MarketTruth's picture

Typical crap, they'll do an already agreed upon 'last minute deal' and then pat themselves on the back and say they are heros and saved the country. They saved the country and made sacrifices because they really care about the USA.

What a crock of shit!!!!!

Fri, 04/08/2011 - 07:55 | 1149234 cowdiddly
cowdiddly's picture

Exactly, Just a campaign publicity stunt to get their faces in the news and gain national name recognition. Like, look how hard we are working. Shaving 2 billion of the 75 trillion dollar debt spiral. Next week its back to how many benny bucks can we make to sink faster than the Euro and Yen(inflation is our idea dammit)and how many F-35s are needed for our 3 front war. 

Fri, 04/08/2011 - 08:11 | 1149277 blindfaith
blindfaith's picture

Capitalism at its finest;

one party builds the bombers, the other party get us into a war to use them, and the bankers finance both.

 

A symbiotic relationship if I ever saw one.

Fri, 04/08/2011 - 09:48 | 1149586 tarsubil
tarsubil's picture

They are both gambling on who will be blamed. The dems feel confident they won't so the shut down was decided at least a week ago. The reps are chicken stool so they are very nervous about this one. They'll get blamed by the left and concede on something that will make the right angry and the plan is another 4 years of Obama. We'll see if that works out or if the reps will say screw it and go all in with a long term shutdown.

Fri, 04/08/2011 - 10:03 | 1149633 Fish Gone Bad
Fish Gone Bad's picture

There are actually three parties here, Democrat, Republican, and Tea Party.  For some reason that will be the downfall of both Democrats and Republicans, Tea Party members are not Republicans.  The Tea Party members were brought into office to stop all the spending.  You can call it wasteful spending if it makes you feel better.  Anyway, the spending absolutely has to stop.  If that means shutting down the government, then so be it.

Fri, 04/08/2011 - 07:46 | 1149217 Hephasteus
Hephasteus's picture

Dollars going to cliff dive to 73 next week.

Fri, 04/08/2011 - 07:54 | 1149226 youngman
youngman's picture

the more they stretch it out...the more "PRESS" time they get....they look cool in front of the camera....big men working hard...lol

Fri, 04/08/2011 - 10:42 | 1149785 VisualCSharp
VisualCSharp's picture

It's illusion, bread-and-circuses, a farce. Call it what you will, but it ain't progress.

Fri, 04/08/2011 - 07:58 | 1149236 max2205
max2205's picture

As far as I care they can shut it down and never reopen. Delist the Govt.

Fri, 04/08/2011 - 08:01 | 1149245 overmedicatedun...
overmedicatedundersexed's picture

gov shut down LOL,LOL..do it !!!they will expose how little they truly do. except maybe killing the poor in far away lands.

give us a year w/o gov and the land will heal.

Fri, 04/08/2011 - 09:52 | 1149601 tarsubil
tarsubil's picture

This is why the dems won't allow it to go on for too long. Just have the press write some sob stories for a couple weeks and the left won't be able to see how this is total BS.

Fri, 04/08/2011 - 08:01 | 1149251 Finn
Finn's picture

Seems everything is escalating for next week: debt ceiling, CFTC limits vote (no doubt they don't implement limits,) Libya and ME, and realization of oil crisis and inflation. I'd expect that means gold and silver will be beaten down once the can has been kicked further.

Fri, 04/08/2011 - 08:34 | 1149344 Robert Neville
Robert Neville's picture

.

Fri, 04/08/2011 - 08:48 | 1149382 Dr. No
Dr. No's picture

70% agreement?? Then its a done deal.  Last time I checked, it took 51% of votes to pass.  This is only posturing until they get poll numbers on what to do.  They wont do a thing until a poll tell them to tie their shoes.

Fri, 04/08/2011 - 08:59 | 1149417 TaxSlave
TaxSlave's picture

Maybe we'll get a two-week shutdown to placate the Tea Party, followed by a 'compromise' of .0000000000001% less of an INCREASE in spending.

The can will be kicked over the cliff and into the abyss.

I didn't borrow the money, I didn't get any of it, it was done without my permission, and I'M NOT PAYING IT BACK.  Especially since most of it is borrowed straight off a printing press (database really).  Bondholders who want to put me in bondage are going to learn that it isn't as much fun if your partner is not a submissive, masochistic bottom.  They are in for a rude surprise. 

Fri, 04/08/2011 - 09:14 | 1149477 fatsak
fatsak's picture

They will probably announce a deal right around 3:30 PM Eastern to ramp up market into weekend.    

 

New business idea for Mcdonalds - integrate a check cashing service / bill pay service along with prescriptions drugs.  All made convenient through a drive thru.

Fri, 04/08/2011 - 09:28 | 1149524 chindit13
chindit13's picture

I hope that if the shutdown occurs, and the military is not paid, they take a busman's holiday and unload some cruise missiles and JDAMs on the Capitol.  Obama, Reid, Boehner, McConnell, Schumer, et al no longer serve the interests of the people.  They are threats to national security and should be dealt with accordingly.

If violence is not the answer, then Bernanke can redeem himself in one fell swoop if, just after the market opens, he hikes the FF rate by 250 basis points.  The dollar will awaken, the market crash, and with Geithner's duration profile, interest expense will soar, necessitating immediate and widespread cuts in the budget.

Fri, 04/08/2011 - 21:53 | 1152444 tomster0126
tomster0126's picture

Drama queens!  Just make a decision already...let's destroy the Fed and move on with it (like that will ever happen) we're sick of this drama Bernand Bassante

 

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