Next Steps: Fiscal Cliff

Tyler Durden's picture


Tonight it's all Obama-corns and Biden-faeries but the market is already 'adjusting' to the new old new normal regime. Unfortunately in 'Obama II - This Time Its Different' the odds of going over the Fiscal Cliff just got real. As we noted here (and in more detail here and here), there is now a 55% chance we go over the cliff (given the status quo of no compromise) and the market is a long way from pricing that kind of GDP shock...




As for what comes next, here's a hint: "Extended Alternative Fiscal Scenario"

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Wed, 11/07/2012 - 05:42 | 2955077 Dr. Sandi
Dr. Sandi's picture

You're right, it's ALWAYS a good time to get into shape. But in what way does maintaining the status quo imply a new threat to our bloated lifestyle?

Wed, 11/07/2012 - 07:20 | 2955138 bank guy in Brussels
bank guy in Brussels's picture

A healthy body is the capital of the Revolution

- Mao Zedong, Communist leader, 'little red book' author

Wed, 11/07/2012 - 02:09 | 2954811 San Diego Gold Bug
San Diego Gold Bug's picture

Gold at $1800 next week or more!!!!  Silver will go through $35 next week!!!  Understand the game and profit!!!!!!!!!!!!!!!!!!!!!!!

Wed, 11/07/2012 - 03:30 | 2954959 Supernova Born
Supernova Born's picture

The "same as it ever was" PTB will be pushing so hard against the upward pressure on gold it will be epic.

Buy anyway.

You can break that F Bernanke and his socialist-enabling printing press if you let the hate flow through you and directly into PMs.

Wed, 11/07/2012 - 02:43 | 2954814 Supernova Born
Supernova Born's picture

When the Free Shit Army is denied their SNAP cards and free housing and free medical and free phones?

Blue states will burn the hottest.

...that paper FRN crap the Bernanke is printing is the best kindling a worldwide bonfire ever had.

Wed, 11/07/2012 - 02:56 | 2954902 are we there yet
are we there yet's picture

Finally proof that Osama Ben Lauren is dead. He voted in all 50 states. I feel better now.

Wed, 11/07/2012 - 02:58 | 2954908 Trimmed Hedge
Trimmed Hedge's picture

Who the fuck is this preacher on TV??

Wed, 11/07/2012 - 03:05 | 2954914 James-Morrison
James-Morrison's picture


Obama with his new mandate, does not bargain with anyone.

Cliff, here we come...



Wed, 11/07/2012 - 03:06 | 2954916 are we there yet
are we there yet's picture

Ron Paul as a running mate might have carried it.

Wed, 11/07/2012 - 03:16 | 2954945 drexlraw
drexlraw's picture

Ron Paul WOULD have beat barry,,,fixed it for ya ;)

Wed, 11/07/2012 - 03:32 | 2954964 boeing747
boeing747's picture

Wow this guy will bring down current system faster than other candidates can so we can have a new system sooner. So exciting tonight.

Wed, 11/07/2012 - 04:47 | 2955046 GernB
GernB's picture

The worry is that bringing down the system may be his plan. It would be a very effective way to fundamentally change the nation.

Wed, 11/07/2012 - 04:39 | 2955005 Yen Cross
Yen Cross's picture

 I can't wait to see what U.S. bankruptsy filings  prints in the next 4-5 hours. Now, all news is good news. This election was the last kumbaya. Here is the Spanish industrial production just released. This market ramp is a joke!

00:00  EUR   Spanish Industrial Production (YoY) -7.0% -3.6% -2.5%  
Wed, 11/07/2012 - 06:04 | 2955090 Sudden Debt
Sudden Debt's picture












Wed, 11/07/2012 - 06:20 | 2955101 falak pema
falak pema's picture

Here is some good news for Krugmanists : Fuku Decontamination and damages to victims could cost 100 Billion Euros to Japanese Tepco/insurance/banks/ government  (Japan Inc) conglomerate structure.

Crony capitalism at its best! and what an opportunity for a Krugman! 

Fukushima: décontamination et dédommagements pourraient coûter 100 mds EUR

We need more Fukus and Sandys to save the world! Spend, spend, spend...

Wed, 11/07/2012 - 07:22 | 2955139 nodhannum
nodhannum's picture

You guys are looking at the last "relatively free" american election.  Once obama is through replacing judges at all levels in the next four years and once well over 50% join the "free shit" empire" there will be a one party state for as long as your children can see.  Everyone needs to have their plan B polished and ready to go.  We have crossed the more republic.  You are looking at a Hugo Chavez america now.

Wed, 11/07/2012 - 07:36 | 2955154 Incubus
Incubus's picture

lol.  Walmart already conquered suburban america.  Best weapon China has.

Keep thinking America was ever America.  You're just fond of old memories and forget to realize it was always shit.

Wed, 11/07/2012 - 07:45 | 2955160 falak pema
falak pema's picture

there is no GS/private banksta cabal in 'Whenezuela'; no WS, no Apple, no Google etc.

You give the man more credit than he deserves and you give corporate america less credit than IT deserves.

Chavez is a populist Caesar; militarist. He depends on dominant military and state bureaucracy for support, in an elective framework.

America's one party morph stays totally big capitalist oligarchy controlled; the 0.1%.

Wed, 11/07/2012 - 07:23 | 2955140 GCT
GCT's picture

LOL an interesting read at foreign policy magazine this morning from the UN observers.  They could not believe our system does not require ID cards to vote.  They stated this system could not work or be exported to another country for a fair vote. 

I did not vote for the presidential elections.  I am conservative and Romney is just a White Obama if you check his record.  Nothing was going to change.  I was shocked at the Congressional races.  I thought we would see some change, but nope the sheeple bitch about their candidate but most incumbents remain.  Now that the election is over and I know some of you will tell me I am dreaming or a nutcase, but I hope they can get together and solve some of the problems our country is facing now. 

The Republican leadership needs to have theirs asses thrown out as they lost alot of votes because of how the primaries were handled.  We are moving more and more into a one party system with screwed up leadership in this country. 

Wed, 11/07/2012 - 07:56 | 2955203 Monedas
Monedas's picture

"The votes don't count .... it's who counts the votes !" .... Stalin

Wed, 11/07/2012 - 08:01 | 2955210 Monedas
Monedas's picture

At least we don't have to wait for those "provisional ballots" to be counted in Ohio ?  What kind of a Dumocrat ballot stuffing ploy were they ?  

Wed, 11/07/2012 - 08:22 | 2955267 juliawong
juliawong's picture

Dude, what is "new old new normal"??

New normal, as per Bill Gross.

Old new normal, as it's been a while since the "new normal".

What, then is New old new normal??

Wed, 11/07/2012 - 08:30 | 2955294 goldenbuddha454
goldenbuddha454's picture

Atleast one thing is for sure, when the Democrats come running to John Boehner asking for a debt ceiling increase, He Will Cave!!!  Boehner the Caver.  As a matter of fact, Harry Reid will probably get that monster tax increase he's always wanted.  Millionaires and Billionaires and those making over $100k bend over, here it comes with no lube, enjoy the ride! 

Wed, 11/07/2012 - 11:10 | 2955943 andrewp111
andrewp111's picture

He will cave on the debt ceiling increase, but the scheduled tax increases and budget sequestration will happen exactly on schedule.

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