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Instead of Funding Retirement Accounts As Mandatory, Treasury Proceeds To Plunder The Most Since Debt Ceiling Breach

Tyler Durden's picture




 

As the chart below shows, while at the end of every quarter, the US Treasury is traditionally supposed to fund a quarterly payment into the various government retirement funds (previously discussed here), this time around, instead of putting in even one penny into G and CSRD Funds, Tim Geithner has decided to defraud government retirees by the most since the US debt ceiling was breached, or, specifically, since intragovernmental "holdings" became a mere plug to make room for marketable debt. So while the debt held by the public increased by $21 billion following the settlement of last week's auctions, in order to stay under the $14.294 billion ceiling, the Treasury was forced to "disinvest" another $20 billion from retirement funds. At this point the various funds that fall under this umbrella are underinvested by at least $120 billion and likely much more. Of course, this is not an event of default as per Geithner's fine print: as soon as the debt ceiling is hiked, these will be the first funds that are replenished. On the other hand, if there is no debt ceiling hike, and courtesy of marketable debt having priority to intragovernmental debt, government retirees are increasingly becoming the impaired class in what may be shaping up to be the world's biggest bankruptcy filing in history.

 

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Tue, 07/05/2011 - 16:37 | 1427641 Cognitive Dissonance
Cognitive Dissonance's picture

Timmy caught practicing in the men's room: "Pay no attention to the man behind the curtain. I am the Great and Powerful OZ."

Tue, 07/05/2011 - 16:37 | 1427648 RichardENixon
RichardENixon's picture

The difference between reality and the movie is that in the movie, Dorothy and co. paid attention.

Tue, 07/05/2011 - 16:48 | 1427702 carbonmutant
carbonmutant's picture

 Timmay's angling toward the door 'cause nobody on his team has a solution to what happens next.

 

Tue, 07/05/2011 - 17:13 | 1427800 Careless Whisper
Careless Whisper's picture

The whole thing is stupid. The Federal Reserve Bank can simply forgive some of the US Bonds it owns. Debt cieling no longer a problem. New problem - exposing the Federal Reserve Central Bank for the scam that it is -- and yes the politicians are in on it too.

Tue, 07/05/2011 - 17:19 | 1427809 Gene Parmesan
Gene Parmesan's picture

How do the rating agencies view a central bank forgiving debt owed to itself?

Tue, 07/05/2011 - 17:25 | 1427820 EscapeKey
EscapeKey's picture

Just slip them a bit of cash, and it's an AAA rating.

Tue, 07/05/2011 - 17:49 | 1427854 disabledvet
disabledvet's picture

i don't think it's THAT simple although it sure appeared that way back in 2008!  "That age is done."  Leave it at that.  Ignore everything but what you perceive to be our "new age."  It's coming one way or another--indeed it is upon us.  I don't know if it's so bad as to say "whatever you do don't look back"--it is starting out quite violently however and with the de regueur "paens to open-ness and rule of law."

Tue, 07/05/2011 - 18:23 | 1427947 MsCreant
MsCreant's picture

"Just print them a bit of cash, and it's an AAA rating."

More to your point.

Tue, 07/05/2011 - 17:56 | 1427877 max2205
max2205's picture

Buy the dip on that chart.....looks better than NFLX, but ponzis always do

Surfs don't even complain when their money is used to fund 6 wars and mortgage forgiveness for 3 months... Amazing

Tue, 07/05/2011 - 16:36 | 1427643 Caviar Emptor
Caviar Emptor's picture

We need it to fund more tax cuts

Tue, 07/05/2011 - 17:18 | 1427805 Ray1968
Ray1968's picture

*sigh*

For the 1,000,000,000,000 time, we don't have a revenue problem, we have a spending problem.

Tue, 07/05/2011 - 18:04 | 1427901 Ace Ventura
Ace Ventura's picture

I feel your pain Ray. I'm continually amazed by the legions of otherwise smart and aware folks who insist that tax-cuts are somehow the equivalent of an expense. By that logic, if I only steal $25 from your wallet instead of the normal $30, I just incurred a $5 'expense', which must be 'funded' by other means.

It really hurts my brain cell that so many people honestly don't get this simple concept.

Repeat after me, kids:

A TAX BREAK IS NOT A GIFT OF FREE MONEY, IT IS A REDUCTION IN THEFT.

Please, for the sake of sanity, repeat until it becomes clear.

 

P.S. oh those infernal captcha questions....for some reason it won't accept negative answers or any answer requiring more than two key strokes.

 

Tue, 07/05/2011 - 18:26 | 1427954 OS2010
OS2010's picture

Shouldn't it be considered a "deferred" theft?  After all, the "money" will be  spent, in any case, so it's a "theft at a later time!"

Tue, 07/05/2011 - 21:27 | 1428338 nmewn
nmewn's picture

"We need it to fund more tax cuts"

You just gave me a headache.

Tue, 07/05/2011 - 16:36 | 1427646 EscapeKey
EscapeKey's picture

They have no intention of ever repaying those funds - they are well aware the shit will hit the fan before that becomes a requirement anyway.

Geithner and his cronies are stealing absolutely anything and everything worth a dime in the final minutes before the explosion, eventually running their little legs off on their way to their private escape chutes.

And now the rumours suggest Jamie Dimon will be the next treasury secretary. How much more obvious can it get? Get ready for some large scale asset stripping.

Tue, 07/05/2011 - 16:54 | 1427731 Dr. Richard Head
Dr. Richard Head's picture

Like Forbes in Greece getting the entire county's assets for pennies on the dollar.  Life is good for the wicked.

Tue, 07/05/2011 - 19:14 | 1428055 cougar_w
cougar_w's picture

Life is good for the wicked, is it ...

I am reminded that there are worse things in life than poverty and prison. Heck there are worse things in life than death:

http://madscienceunlimited.com/fiction/aTearForTheSinner.html

Where the destroyer answers the question: What's for dinner, honey?

Wed, 07/06/2011 - 03:58 | 1428868 cahadjis
cahadjis's picture

You see, that's part of the problem. All you believers thinking that these people will be punished by some god. They won't. I want them punished now here on earth. Not by some imaginary friend!

Tue, 07/05/2011 - 17:08 | 1427784 oogs66
oogs66's picture

they will repay it...congress somehow actually wrote into the document the ability to not issue iou's if it were to breach the debt ceiling, then to write the iou's once its raised..

bizarre, but that is our government at work, and it doesn't count towards the debt ceiling...insane

Tue, 07/05/2011 - 16:38 | 1427647 hedgeless_horseman
hedgeless_horseman's picture

...government retirees are increasingly becoming the impaired class in what may be shaping up to be the world's biggest bankruptcy filing in history

G-Men are used to haircuts...high and tight.

Tue, 07/05/2011 - 16:44 | 1427674 Josh Randall
Josh Randall's picture

Roger that - haircuts for the citizens, lets all play dress-up like we're all at war! Isn't this fun playing dress up like the Marines in Libya, Government pensioner ?

In related news the Teachers Union want "some of what they're having"...and have backed Soetero for a 2nd Term

Tue, 07/05/2011 - 16:38 | 1427650 ForWhomTheTollBuilds
ForWhomTheTollBuilds's picture

And not a peep out of public sector union leaders.

Tue, 07/05/2011 - 17:01 | 1427760 hedgeless_horseman
hedgeless_horseman's picture

Eerie, ain't it?

Tue, 07/05/2011 - 17:29 | 1427827 DoChenRollingBearing
DoChenRollingBearing's picture

Yes, eerie indeed.

But, if the private sector employees are losing their pensions, then the .gov employees should feel the same pain.

Tue, 07/05/2011 - 17:46 | 1427850 ForWhomTheTollBuilds
ForWhomTheTollBuilds's picture

As much as I hate unearned benefits, I am less inclined to fight to see middle class types lose their benefits when I know the looting class will only consume that as well.  

 

I only brought it up because the public sector union leaders are perceived as being totally intransigent when it comes to anything that compromises even a penny of the benefits enjoyed by their membership.  So why don't they care about this?  

 

BTW, Is this scheme a form of embezzlement or something else?  I know the definitions change daily, but I'd like to get some idea of what the rules were as they change

Tue, 07/05/2011 - 17:06 | 1427775 spiral galaxy
spiral galaxy's picture

Media is also peep challenged.  I guess they're plum peeped out after 24/7 Casey Anthony.

Tue, 07/05/2011 - 16:38 | 1427652 azusgm
azusgm's picture

One of the posters on the Market Ticker Forum posted this information about the Social Security fund and Karl Denninger (thankfully) picked it up and moved it to the front page on Market-Ticker.org.

The .gov employees aren't the only ones having payments held back from their pension funds.

http://www.market-ticker.org/akcs-www?post=189249

Tue, 07/05/2011 - 16:40 | 1427665 Tyler Durden
Tyler Durden's picture

Those numbers pertain to the G Fund and CSDRF. Read more here.

Tue, 07/05/2011 - 17:08 | 1427777 azusgm
azusgm's picture

Thanks, Tyler.

BTW, your chart looks a lot like atrial fibrillation which is not always a sign of perfect health either.

Tue, 07/05/2011 - 16:39 | 1427656 Internet Tough Guy
Internet Tough Guy's picture

O noez, it's July. QE2 ended and the world didn't. Tyler, you got some 'splainin to do.

Tue, 07/05/2011 - 16:43 | 1427672 Brian
Brian's picture

No auctions have been held yet, since QE2 ended.  Just wait until mid-July...

Tue, 07/05/2011 - 16:50 | 1427709 Traianus Augustus
Traianus Augustus's picture

Just because QE2 ended, doesn't mean QE/money printing did.  I am pretty sure in order for it to actually stop, the print button will need to be pryed from those CB's cold dead hands.

Tue, 07/05/2011 - 16:55 | 1427738 Dr. Richard Head
Dr. Richard Head's picture

Actually the CBs find the utility of precious metals - they can hold down the print button without anyone tending to the machine.  WEEEEEEE!!!!!!

Tue, 07/05/2011 - 16:47 | 1427680 hambone
hambone's picture

Let's see - Retirement acct's being raided, PM's and oil skyrocketing, market volume non-existent, T market (as noted above) waiting for the Fed-less on-set of post debt ceiling binge to show it true colors.

Yep, nothing to see here and July is looking good...cause God knows these are totally sustainable trends.

Tue, 07/05/2011 - 16:40 | 1427659 Orly
Orly's picture

If the government unions really understand that they're being gypped, the revolution is on.

Tue, 07/05/2011 - 17:08 | 1427714 hedgeless_horseman
hedgeless_horseman's picture

I disagree.  The .gov hacks have no choice but to take it in the ass.  It is not like they can go out and get a private sector job. 

...the average federal worker earns $101,628 in total compensation -- including wages and benefits-- compared with $60,000 for the average private employee.

http://finance.yahoo.com/news/FACT-CHECK-Are-federal-apf-3113687231.html?x=0

Tue, 07/05/2011 - 17:11 | 1427789 hedgeless_horseman
hedgeless_horseman's picture

flag as junk (1)

LOL!  Some .gov drone junks me as if I am the one stealing their pension. 

Tue, 07/05/2011 - 17:12 | 1427794 EscapeKey
EscapeKey's picture

You're the one pointing out the problem. That's MUCH worse! You actively force people to pull their heads out of their arses and turn off their TVs!

Tue, 07/05/2011 - 18:46 | 1427995 Uncle Remus
Uncle Remus's picture

force people to pull their heads out of their arses

That explains the popping sound I hear on occasion...

Tue, 07/05/2011 - 19:18 | 1428063 cougar_w
cougar_w's picture

Oh Hell yeah ...

Tue, 07/05/2011 - 18:29 | 1427966 Miss Expectations
Miss Expectations's picture

Here, take a peek at some of the Long Island Public Employee Pensions.  Shocking.

http://longisland.newsday.com/templates/simpleDB/?pid=163

Tue, 07/05/2011 - 17:10 | 1427792 equity_momo
equity_momo's picture

Ex-fucking-actly.

The Union Leaders will remain quiet too whilst they reap the ill-gotten gains before the system implodes. Theyre not stupid. Just greedy - like all good Champagne Socialists.

Hypocrits to the very last one.

Tue, 07/05/2011 - 17:59 | 1427883 DonnieD
DonnieD's picture

Those scumbags haven't said one word over this. And how come all union leaders are fat and have a mustache? Is that a dress code thing?

Tue, 07/05/2011 - 18:55 | 1428008 equity_momo
equity_momo's picture

They all secretly aspire to be J.P Morgan.

Tue, 07/05/2011 - 17:13 | 1427798 A Lunatic
A Lunatic's picture

$101,628 in compensation which is 100% taxpayer funded nonetheless.

Tue, 07/05/2011 - 17:15 | 1427803 Rhodin
Rhodin's picture

Well that was true when written, due largely to the cost of pensions and benefits.  But, now that they are stealing the pension money, (which is a large part of the total), then not so true anymore.

Tue, 07/05/2011 - 18:10 | 1427918 DosZap
DosZap's picture

Makes one want to drag out the worlds smallest violin, huh?.

I would like to see the numbers on a % basis of $60k private sectors left, v.s. the added Fed workers added at those rates.

Tue, 07/05/2011 - 16:53 | 1427722 IQ 101
IQ 101's picture

Spot on!

I'm assuming that this is Federal only at this point

but how long until the Debt creeps to a state level,

A law enforcement agency near you, when grandma who works at the DMV discovers

that she is getting hosed too,she is going to have a cow,man.

As for the military, it wont happen, (might wake them up).

Tue, 07/05/2011 - 17:08 | 1427780 Agent P
Agent P's picture

"I'm assuming that this is Federal only at this point but how long until the Debt creeps to a state level"

Please look up Illinois Teachers Pension Fund and get back to me with your revised assumptions of what's going on at the state level.

 

Tue, 07/05/2011 - 17:25 | 1427819 IQ 101
IQ 101's picture

You Sir/Ms are correct, as i am only an expert in frog gigging,it is my practice to declare my ignorance up front, the question remains for me though, how long until the inevitable impact begins to show?

Unfunded pensions is a very long list, is it not?

Tue, 07/05/2011 - 22:28 | 1428490 FastBoat
FastBoat's picture

The data is also scattered to the wind.  But Meredith Whitney has been talking about it for a while.

Tue, 07/05/2011 - 16:40 | 1427660 cranky-old-geezer
cranky-old-geezer's picture

Ha ha, here you go Leo.

And the rest of you public leeches out there (you know who you are), get ready to watch your pension funds get raided.

Tue, 07/05/2011 - 16:41 | 1427668 Brian
Brian's picture

You said, " per Geithner's fine print: as soon as the debt ceiling is hiked, these will be the first funds that are replenished."

Do you suppose that is still true if the debt ceiling hike is of the kind that is being floated these days, a "Mini-hike" to buy a few months?

If so, then it seems like this proposed solution is DOA in light of the massive amount of rolling debt coming due in the next 58 days (Per your article from a few days ago).  Add $120 billion as interagency debt replenishment payments...

--Brian

Tue, 07/05/2011 - 16:51 | 1427708 hambone
hambone's picture

I'd guess the "mini hike" is alive and very well and may be the only ongoing solution.  Of course, those borrowed funds will just continue to wait for the "final passage" to be repaid...nifty way to avoid having to acually repay these.  Foot.meet.can.

Tue, 07/05/2011 - 16:44 | 1427675 Traianus Augustus
Traianus Augustus's picture

Wait until they double down on the 401Ks.  Treasuries for everybody!!!!!

Tue, 07/05/2011 - 16:45 | 1427681 Caviar Emptor
Caviar Emptor's picture

This is a key element of my Biflationary Theory: reduced actual and anticipated retirement benefits. On top of declining real wages. Oh and falling real estate values. Anything left over will be needed to buy gasoline and pay utilities. And Spam. 

Lotsa Luck

Tue, 07/05/2011 - 16:59 | 1427751 fuu
fuu's picture

Better get on that SPAM now. Two big price hikes coming in the next 90 days.

Tue, 07/05/2011 - 16:46 | 1427688 zorba THE GREEK
zorba THE GREEK's picture

 I wonder if Timmy raided retirement fund of The Congress and The Senate. If he did, you can be sure

 that money will be replaced.

Tue, 07/05/2011 - 16:48 | 1427700 DosZap
DosZap's picture

He had best watch it, the Jack boots may not come when called.......if they see fellow emp's getting bent over.

Tue, 07/05/2011 - 16:51 | 1427716 Johnny Lawrence
Johnny Lawrence's picture

So what does "disinvesting" mean exactly?  As Treasuries mature in these retirement accounts, the government takes the cash and does not roll them over into new Treasuries?

Tue, 07/05/2011 - 16:59 | 1427752 mick_richfield
mick_richfield's picture

When asked why he "disinvested" banks, Willy Sutton said "Because that's where the money is."

Tue, 07/05/2011 - 17:13 | 1427797 Agent P
Agent P's picture

Pardon my French, but that is a fucking awesome answer to the question posed.

Tue, 07/05/2011 - 20:37 | 1428219 mick_richfield
mick_richfield's picture

:-)

Tue, 07/05/2011 - 17:00 | 1427755 RichardENixon
RichardENixon's picture

Credit Notes payable China, debit notes payable Retirees

Tue, 07/05/2011 - 18:03 | 1427899 A Man without Q...
A Man without Qualities's picture

So what does "disinvesting" mean exactly?

In simple terms, they don't pay back on maturing debt.  It's almost a technical default.... in many countries this would be illegal.

Tue, 07/05/2011 - 18:15 | 1427932 DosZap
DosZap's picture

Johnny L,

No, it means the money there, and supposed to be deposited is "Borrowed" for an indeterminate length of time.

Repayment schedules will be posted, as the Debt ceiling (may or may not be raised).

In simple terms, he is stealing their retirement funds.

Wed, 07/06/2011 - 02:30 | 1428821 A Man without Q...
A Man without Qualities's picture

I would add that money in the retirement funds is always invested in Treasuries, so the government "borrows" the funds as a matter of course.  

The difference this time, is that rather than getting a bond security, that pays a coupon etc, they get a note scrawled on a napkin from the Treasury that says, "IOU $20 billion - don't worry, we're good for it."

Tue, 07/05/2011 - 16:56 | 1427741 apberusdisvet
apberusdisvet's picture

Martial Law:  A real time reality show coming to your neighborhood.

I don't know if any of the ZH crowd realizes that there is a concerted  MSM blackout on connecting all the dots on the emerging spike in mob violence around the country.

Everyone should own a good pump shotgun.

Tue, 07/05/2011 - 17:10 | 1427793 IQ 101
IQ 101's picture

I am thinking a military coup is as likely a scenario as martial law.

Despite al the 'pissing on' the military gets,most of the service people i have met are pretty sharp individuals who sincerely care about the USA,

I'm keeping my eyes open for a group of generals who will observe their oaths and push the reset button.

The wall-mart shoppers will do nothing until the government cheese runs out.

Tue, 07/05/2011 - 18:18 | 1427935 DosZap
DosZap's picture

I am thinking a military coup

 

+1, nothing I would like better...............

Someone who gives a shit.

Tue, 07/05/2011 - 18:51 | 1427997 Uncle Remus
Uncle Remus's picture

Everyone should own a good pump shotgun.

 

Or 2 or 3 - with shell tube extensions.

Tue, 07/05/2011 - 17:00 | 1427756 Sudden Debt
Sudden Debt's picture

IF THE GREEN RUBY ON YOUR HAND HAS TURNED RED, PLEASE GO TO THE FAIRY FIELDS ROOM!

 

Tue, 07/05/2011 - 17:04 | 1427766 hedgeless_horseman
hedgeless_horseman's picture

This is the time of renewal:

http://www.youtube.com/watch?v=xSnLU9nyFSA

 

Tue, 07/05/2011 - 17:01 | 1427761 disabledvet
disabledvet's picture

Secretary Geithner has offered himself up as part of any budget deal.  That is in my view quite courageous especially given what likely went down in the AIG boardroom after that company paid tens of billions to you and me and still remained largely nationalized.  Those are potentially powerful enemies Secretary Geithner has potentially made should what i surmise happened in that boardroom did in fact occur.  Insofar as "raid pension funds" when dealing with the government "there is no obligation to pay."  Obviously it is far easier to simply raise the debt ceiling rather than "get the country moving in the right direction."  Insofar as "default" is concerned well, the ratings Agencies don't seem to have a problem labelling bad behavior anymore.  Of coure "be careful what you ask for you just might get it" comes to mind as well.

Tue, 07/05/2011 - 17:02 | 1427762 grid-b-gone
grid-b-gone's picture

Ever since Reagan, politicians have been looking at methods for government to operate more like private industry. Geithner has finally done it. Like Johns Manville, Delphi, and LTV, federal retirees can look forward to eventual court-mandated, means-tested, hardship payouts, leaving the next generation to pursue "bird in the hand" contract negotiation strategies. Like BP and other big players always insist, "I'll take mine up front." Federal employees may end up with the inverse of that payout equation.

Tue, 07/05/2011 - 17:03 | 1427764 BeansBulletsBandaids
BeansBulletsBandaids's picture

Just great.  I knew my retirement would never amount to much - but dang it, I didn't expect it to be plundered so soon.

I guess I should seriously look at getting out now and invest in tangibles???

 

And yes, if you must know I'm one o those bloated govt bureaucrats - if by bloated you mean making 40k....

Tue, 07/05/2011 - 17:12 | 1427795 Robslob
Robslob's picture

Government Stealing from...well...The Government..enough said.

Tue, 07/05/2011 - 18:21 | 1427942 DosZap
DosZap's picture

Robslob,

Hey man,

"Equal Opportunity Destroyers".

Just as long as the Mkt is up, and Wall St is taken care of..........no one else matters.

Tue, 07/05/2011 - 18:28 | 1427963 Ghordius
Ghordius's picture

Governments never steal.
Governments confiscate.

Tue, 07/05/2011 - 17:29 | 1427824 steelhead23
steelhead23's picture

Having read the handwriting on the wall, in 07 I moved all of my TSP funds into the G-fund - a fund that pays the 10-T-bill rate - intent on principal protection rather than seeking gains at risk in other funds.  So, Timmy has decided to steal from the fund.  I don't see where that's authorized in the prospectus.  I'm of a mind to sue the bastard.  This country is sinking fast - first, the TSA thinks its OK to bust your balls looking for contraband before flying to see your granddaughter, now they want to steal her college funds.  This is not funny.

Tue, 07/05/2011 - 18:24 | 1427948 DosZap
DosZap's picture

steelhead,

YOU bought .gub paper,w/your retirement savings.?

Ruh Roh

Tue, 07/05/2011 - 19:36 | 1428108 steelhead23
steelhead23's picture

Doszap, they're my employer.  However, in 07 having one's retirement in Treasuries was probably a good choice.

Tue, 07/05/2011 - 17:29 | 1427825 Caveman93
Caveman93's picture

Karma is a bitch.

Tue, 07/05/2011 - 17:31 | 1427830 steelhead23
steelhead23's picture

duplicate

Tue, 07/05/2011 - 17:32 | 1427834 Rhodin
Rhodin's picture

Of course the mailman makes too much money, so lets steal his pension to fund bombing civilians in Lybia.  No problem, he can work till he drops.  And as for the retired park ranger, well, he had a cushy job, and he's not producing now, so he can starve, while we buy more drones.

Shouldn't be too long now.. The ant Powerz have decided winter is coming, and most of the aphids will be tossed outside the nest, since they can't be milked in winter.   Notice the banksters are laying off their own now.

http://www.reuters.com/article/2011/07/04/us-britain-banks-jobs-ifr-idUSTRE7633RT20110704

Put enough folks on the street who actually know what's going on, and it could get interesting.

 

Tue, 07/05/2011 - 17:34 | 1427838 Rainman
Rainman's picture

Intragovernment transfers...there's the ponzi. I owe myself a Bugati but ain't gettin that either.

Tue, 07/05/2011 - 17:40 | 1427840 rapier
rapier's picture

There is no way these will be the first thing done with the new borrowing.  In fact it is probable that the funds will be replaced only partially and very very slowly. 

Unbeknownst to most the government has been slowing down disbursements since the spring.  I suspect there are a lot of past due bills with defense contractors and others.  When the limit is raised  there is going to be a flood of paper to make that up and this is going to present a systematic liquidity issue so paying back into those pension funds, which nobody protested in the slightest, will be left for later, if at all.

The ideal trading scenario is a significant debt limit increase, not a couple of weeks worth.  In the event this leads to a news noise rally it  will be the perfect sell point because shortly after those huge auctions are going to hit the market.  One should assume at that point bad economic news will hit the wires causeing a stock sell off and putting a bid under Treasury paper.  It may not work out that way but be prepared.

Tue, 07/05/2011 - 17:44 | 1427844 Buzz Fuzzel
Buzz Fuzzel's picture

It will be another "managed bankruptcy" and all the appropriate parties will come through smelling good.  The only party to be impaired will be the folks who have no representation in the US Government, i.e. the tax payers.

Tue, 07/05/2011 - 17:49 | 1427855 sasebo
sasebo's picture

If Goofey Geithner & The Bastard Bernanke were worth a shit we wouldn't be in this mess.

Tue, 07/05/2011 - 17:52 | 1427861 Waterfallsparkles
Waterfallsparkles's picture

This must be the Money they are using to keep the Market proped up.  After all Banks and Hedge Funds need their Bonus.

Government Employees will soon be on the Entitlement Rolls.

Tue, 07/05/2011 - 18:32 | 1427970 DosZap
DosZap's picture

Waterfall,

Government Employees will soon be on the Entitlement Rolls.

 

They aren't already?,when the disparity in pay v.s Private sector is 40% more, I would call that welfare, not an entitlement.

Tue, 07/05/2011 - 18:38 | 1427982 Waterfallsparkles
Waterfallsparkles's picture

I ment their pensions, same as Social Security.

Tue, 07/05/2011 - 17:52 | 1427862 hannah
hannah's picture

do we care that the over paid do-nothing gov pigs get their massive retirements...i dont...

Tue, 07/05/2011 - 18:02 | 1427891 spinone
spinone's picture

Overpaid FDA food inspectors, do nothing border agents, usless air mashalls, worthless NIH cancer researchers....

Wed, 07/06/2011 - 01:17 | 1428770 StychoKiller
StychoKiller's picture

All the activities you mention should NOT be done by the Govt.  Privatize them!

Tue, 07/05/2011 - 17:55 | 1427876 Waterfallsparkles
Waterfallsparkles's picture

Intravenous blood into the Market from Retirees or soon to be Retirees again.

Tue, 07/05/2011 - 17:56 | 1427878 Fix It Again Timmy
Fix It Again Timmy's picture

Promise them anything, but give them........ [fill in the blank].

Tue, 07/05/2011 - 18:04 | 1427902 sasebo
sasebo's picture

I'm looking for a mea culpa from some of the panjandrum in the next few months.

Tue, 07/05/2011 - 18:14 | 1427931 YesWeKahn
YesWeKahn's picture

It appears that the CNBC folks doesn't believe that Timmy is a complete failure, because the GDP was growing. What they forgot was that the cost fo the GDP growth was 2.3 trillion freshly printed money and 2-3 trillion $ increase in the national debt.

Tue, 07/05/2011 - 18:30 | 1427964 QQQBall
QQQBall's picture

"sell" bonds and stuff them in the retirement funds sd contributions... That is where this is headed anyway, including 401-K's and the like. Plus, its patriotic as we are safer owing it to ourselves.. You are laughing, but wait for the domestic debt ownership meme.... "Americnas need a "safer" more secure retirement (and we need the dough), signed - The Teleprompter

Tue, 07/05/2011 - 18:33 | 1427973 JW n FL
JW n FL's picture

http://real-agenda.com/2011/05/04/u-s-treasury-asks-for-2-trillion-more-for-debt-ceiling/

U.S. Treasury asks for $2 Trillion more for Debt Ceiling

 


The money supply has tripled in 3 years. http://research.stlouisfed.org/fred2/series/BASE

 

http://goo.gl/EXzal    Bloomberg FED Release of Loan Info $15 Trillion

http://goo.gl/d0DLP  RollingStone FED Loans Gadaffi

http://goo.gl/FnxBZ    Treasury Direct $14 Trillion Outstanding Debt

http://goo.gl/TMl74  $15 Trillion in Loans made by the FED

http://goo.gl/FnxBZ  Treasury Direct $14 Trillion Debt

 

Tue, 07/05/2011 - 18:34 | 1427977 ziggy59
ziggy59's picture

more urination from our nation leaders..welcome to ameriKa. and the sheep till bleat...incredible. the power of propaganda...

Tue, 07/05/2011 - 19:03 | 1428028 zorba THE GREEK
zorba THE GREEK's picture

 You can be sure if Obama gets the 2 trillion that at least half will go to buy

 election through targeted money giveaways under the guise of job

 creation and rescue of suffering middle class. Most will be concentrated

 in swing states. Loyal Democrat states will get screwed along with

 loyal Republican states.

Tue, 07/05/2011 - 22:38 | 1428506 FastBoat
FastBoat's picture

You still think there is a difference between Democrats and Republicans?

Tue, 07/05/2011 - 19:20 | 1428069 mynhair
mynhair's picture

Couldn't happen to a more deserving bunch of clones.

4 More Years!

Tue, 07/05/2011 - 19:39 | 1428120 boooyaaaah
boooyaaaah's picture

Not this guy's retirement fund

 

Msg  41381 of 41381  at  7/5/2011 9:19:14 AM  by blackbartpo8




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The following message was updated on 7/5/2011 9:31:19 AM.


Ex-SEC chair Chris Cox buys $5.4 million house Having been a deeply captured regulator has its benefits....."Cox purchased the house with cash".   http://lansner.ocregister.com/2011/07/05/chris-cox-buys-5-4-million-hilltop-house/115569/  http://resources2.investorvillage.com/Images/post_resize-background.gif) repeat-y center top;">
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Tue, 07/05/2011 - 20:58 | 1428260 NOPOMO
NOPOMO's picture

Duh...needed the +650 point rally on the DOW stupid.  Screw the retirees..we need to play the music louder.

Tue, 07/05/2011 - 20:59 | 1428261 NOPOMO
NOPOMO's picture

Obama administration & the banks are out of control.  Time to rein them in before we vaporize.

Tue, 07/05/2011 - 21:58 | 1428410 ThirdCoastSurfer
ThirdCoastSurfer's picture

Why not just continue to disinvest until depleted at which time Congress could authorize a stopgap funding measure in the form of a bond issuance that the Fed could purchase? There's gotta be enough in the fund to last through the second term. 

Wed, 07/06/2011 - 00:02 | 1428676 PulauHantu29
PulauHantu29's picture

Ouch! Grampa and Gramma are going to be Hurt'n real bad.....I wonder if Grampa regrets fighting for our country in WWII an dlosoing one eye....blown out by the Germans? He asked me the other day,"What war has this Mr Geithner fought in?"

"...Has he ever defended The Nation in a time of war?"

mmm...it does make ya wonder who is getting screwed here.....those poor old Folks...nice Old Folks but I guess turned out to be a Bunch of Saps....it looks like.

How sad. Really sad.

Wed, 07/06/2011 - 08:02 | 1429048 Herbert_guthrie
Herbert_guthrie's picture

All this "backdoor" theft is giving me new respect for John Dillinger.

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