Spain's Mad Dash TBTF Or Bust (Literally) Scramble

Tyler Durden's picture

Since the financial crisis erupted in 2009, it would appear that Spanish banks saw the writing on the wall early on. Following the path laid out by their American cousins, the following chart suggests that en masse a decision was made that bigger was better (and safer) as the Too Big To Fail model was clearly the industry standard. From 50 major entities, the Spanish banking system is now dominated (well pre-total collapse that is) by 14 considerably larger firms. This is about the most literal definition of the old saying: "TBTF or bust." Although in this case it is "and"... Because the bigger the firm, the more systemically entwined it becomes and the less capable the government is of letting any pain actually occur... quite remarkable. How long before there is just one big Spanish bank? (bad bank, worse bank, worst bank, all coming soon).



And in the funniest news of the day, we now learn from Reuters that after over a month of begging, the Spanish Bad Bank, or SAREB, has finally found its first foreign investor: that pinnacle of UK bank solvency and integrity - Barclays.

Britain's Barclays will invest in Spain's so-called 'bad bank' as a signal of its commitment to helping fix the country's banking troubles, a person familiar with the matter said on Friday.

Unclear how long until the SAREB is forced to repay the favor and invest money into Barclays. In the current ponzinomic global house of card, it won't be too long.

Source: CincoDias

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hedgeless_horseman's picture



Isn't there some bad juju associated with stadium naming rights, especially in Houston?

LongSoupLine's picture

Let's hope so...oh, quick, give Bernanke a stadium!

Jam Akin's picture

+1 Absolutely correct - been saying for years that any business whose name appears on a stadium is well along on the path to hubristic doom.

HelluvaEngineer's picture

Nothing to worry about folks.  According to Minyanville, record call buying in VIX indicates that VIX is going much, much lower.


NotApplicable's picture

Market asphyxiation FTW!

After all, the dead aren't very volatile.

lolmao500's picture America Faces Another Cliff That's $1.5 Trillion High And It Could Send Interest Rates Plunging
Mr Lennon Hendrix's picture

Rates plunging?  Maybe that is why Bernanke says the words "Fiscal Cliff" in his speeches more than he says "Monetary Policy" nowadays.

Dr. Engali's picture

Bigger is betterer...just ask our government leaders.

francis_sawyer's picture

...and all she wants to do is dance.

Cognitive Dissonance's picture

The chart looks like the DC subway map.

<All tracks lead to financial hell. All aboard!>

q99x2's picture

Critical mass bitchez.

Radical Marijuana's picture

Yeah, this is like smaller storms merging into bigger storms ... until there is one global super-duper-storm, which no longer can be controlled. Bigger debts, born by more people, merged into bigger groups, until the whole risk analysis adds up to collective global suicide. Global electronic fiat money, backed by weapons of mass destruction, managing to force more people, to bear more debt, in bigger groups, until there is supposed to be one global government based on nothing but astronomically amplified frauds, backed by astronomically amplified force. Each little step is the Fraud Kings being able to succeed in becoming more powerful, and more in control, until they finally drive the whole global system out of control. We are just watching and waiting for the collective global insanity of triumphant force backed frauds to reach its critical mass, before exploding on an astronomically amplified scale, which we can not imagine!

The basic problem with the triumph of the international banksters consolidating their hegemony in a world government is that that whole system is fundamentally based on fraud, backed by force, but that force can never make the frauds stop being huge lies, no matter how much violence is used to back those huge lies up. Therefore, each increment in building Too Bigger To Fail banks is that the whole process is based on runaway frauds, backed by force, which force does not stop the frauds from being Lies.  Too bad, so sad, that there is really nothing anyone can do but wait and watch these social storms grow bigger and bigger, until they finally blow through on a global scale of insane psychotic breakdowns and self-destruction that is beyond our current ability to imagine.

Each time there is a merger into an even bigger too big to fail bank, the whole system takes yet another step towards its own eventually critical mass of finally collapsing into globalized chaos. We are NOT going to get a stable New World Order, or sustainable global government, out of these process of triumphant runaway financial frauds. Instead, we are building up towards a critical mass of self-destruction. Each time the established systems succeed in building their version of global government, they take another step towards social insanity going through psychotic breakdowns.

SheepDog-One's picture

Just a scramble to be included in the coming 1 World Bank.

mvsjcl's picture

Precisely so. All owned by...?

Radical Marijuana's picture

Owned through an ouroboros of incorporated robbery, which is one vast toroidal vortex of incestuous financial spirals, spinning through towards their own psychotic self-destruction, since they are the result of runaway financial frauds, forced to continue using the power of the People, to rob themselves into oblivion! It is all money backed by murder, on a runaway trajectory of ~99% of the People not understanding and not wanting to understand what is done through them, using their name, and their power, to destroy themselves with the consequences of their own huge lies, to themselves, which huge lies were advanced by ~1% of them.

The Powers That Be, are now the powers that were. They built the system, but it has now grown to an astronomically amplified size, which is out of control, runaway triumphant frauds, backed by force. A globalized electronic fiat money fraud, backed by the force of weapons of mass destruction, which has developed at an exponential rate throughout human history for ~10,000 years.

What is happening more and more is an interlocking system of professional money managers, making decisions on the basis of computer generated numbers, which are nuts, since all those numbers were the historical result of one fraud, stacked on top of another fraud, stacked on top of another fraud, for decade after decade, century after century, for millennia.

The established systems were built by the established powers, but what they have built has now looped around and around, to leave them behind, and indeed leave all of humanity behind. The runaway triumph of controlling civilization with huge lies, backed up with lots of violence, has been astronomically amplified by science and technology, to become a global government based on lies, backed by violence, in which each individual human being ends up serving the established systems by repeating and expanding those lies, or serving those systems by backing them up with their own enforcement of their ignorance!

In theory, we should understand that We the People ARE the money system. We are the toroidal vortex, which is a globalized system, manifesting as an ouroboros of incorporated robbery. However, it appears to be a waste of time to bother to try to point that out to the vast majority of people, and also it seems that the dominant minority will continue to exercise their social habits to deny and destroy that insight.

We ARE the environment. Everything is infinite loops through the environment. That includes all the energy and material, and the information about that. Therefore, there has been an evolution of an ouroboros of incorporated robbery, a toroidal vortex of toroidal vortices, which are all based on lying as much as they can about themselves, to everyone else, as well as themselves. Our entire civilization has become a hypercomplicated system of organized lies, operating organized robberies, which is fundamentally based on lying about that as much as it possibly can continue to do. What is worse, there are practically zero reasonable grounds to believe that those runaway systems of lies, backed by violence, will do anything other than drive themselves through to their own insane self-destruction.

The real human ecology, behind the political economy, is based on the vast majority of people having become Zombie Sheeple, ruled over by Vicious Wolves. The Sheeple do their thing, while the Wolves do their thing, and the whole process is something which all of them are trained to not see and not understand, and to not want to see and to not want to understand.

IN THEORY, we should use basic energy laws to understand ourselves. However, the actually existing systems are based on development of the maximum possible deceits, which do not want to understand themselves. Therefore, we keep on having bigger financial frauds, backed up by more weapons of mass destruction, growing and growing, until it reaches a sufficient critical mass to finally explode and destroy itself, due to the consequences of its own madness! ... I WISH I could still believe that any kind of breakthroughs in understanding our problems might help us resolve them better. However, instead, I have become ~100% convinced that the actual combined system of the vast majority of people being adamant political idiots, controlled by tiny minorities who want to keep them that way, has no possible way to be fixed, and therefore, heads towards its own self-destruction.

LongSoupLine's picture

Dear TBTF's,

Fucking die!  Period!

No Euros please we&#039;re British's picture

You sure it wasn't an email from the Nigerian division of Barclays Bank asking for the SAREB bank details in order to transfer money from an ex-government official's account  that would soon be sequestered if no one claimed it and moved it out of the country?

Joebloinvestor's picture

The mistake the Spanish banks are making is they think consolidation is gonna save them.

TBTF only works when you control the printing press.

Spain doesn't even have a handle on its' regions.

hugovanderbubble's picture

That deal is cos Inigo Fernández de Mesa is De Guindos´s Right hand guy . I.Fernández de Mesa is ExBarclays...


But who cares all those banks are toast,scrambled and fried.

Nobody For President's picture

Bad  bank, worse bank, worst bank, worster than that bank, and worstest of all bank.

One big happy banking group!

Darkness's picture

This chart just made me scared. :-0!!