Obama Said No Deal, McConnell Denies, Says "Agreement Reached On All Tax Issues"

Tyler Durden's picture

Just when one thought the posturing couldn't hit more ridiculous levels, here comes GOP Senator Mitch McConnell refuting what the president said, refuting the supposed GOP revulsion to the president's prior statement, and stating that there is actually a deal, although if there actually was a deal, there would be voting going on right now, and passing it, instead of endless useless speeches meant simply to ramp headline scanning algos higher:

  • MCCONNELL SAYS AGREEMENT REACHED ON ALL TAX ISSUES
  • MCCONNELL SAYS `WE'RE VERY, VERY CLOSE TO AN AGREEMENT'
  • MCCONNELL SAYS HE REACHED OUT TO BIDEN TO SOLVE FISCAL CLIFF
  • SEN. MCCONNELL SAYS `LET'S PASS THE TAX RELIEF PORTION NOW'

So if agreement on tax issues, what is there disagreement on? Oh yes, there is no agreement on the spending side, but who needs details.

And while everyone follows their talking points, and is taking the charade to unseen before heights, nobody has voted on anything yet, and nothing has actually passed Congress. But once again, the algos seem to like it, for now, and are taking the market on yet another stop run higher.

 

Let's see if this can break now that ES VWAP is up to yesterday's...

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Dan The Man's picture

the bernanke gave them permission to go over the cliff...that's what will happen

Renewable Life's picture

These GOP amateurs!!!

Don't they realize, this is a set up??? Obama doesn't want us going over the cliff, HE NEEDS IT!!

It's all symatics at this point, we go over, all the taxes go up, the people scream, Obama's boys come to the rescue after Jan 20th, and they call this "saving", the Obsma tax cuts, NOT the Bush tax cuts anymore!!

He's counting on the house voting this down, that's the script!!

davidsmith's picture

No no, this is a mistake.  They're just doing their job: they keep probing the Tea Party House Republicans, to make sure they are remaining united and understanding where this is taking them.  Both McConnell and Obama are backing away from this freight train authoritarian regime. 

 

So far, in spite of repeated probings and blandishments, Tea Party House Republicans are not compromising in the least.  I would be very surprised if they are responding to Boehner in any way. 

Michaelwiseguy's picture

+ Hopeless for a signed, sealed, and delivered fiscal cliff deal before Midnight? 

- Hopeful for a signed, sealed, and delivered fiscal cliff deal before Midnight?

Which is it?

barliman's picture

+ All statements being made to generate market ramp into close for End Of Quarter window dressing

- Only CNBC talking heads are politically and economically stupid enough to not be able to recognize Kabuki theater when they see it?

Paul Krugman is obviously more inept than the CNBC talking heads ... but why muddy the waters?

Snakeeyes's picture

Here is the latest tax deal.

http://confoundedinterest.wordpress.com/2012/12/31/lets-make-a-deal-rais...

 

 

According to a senior staff member for Republicans, here is the package of taxes that have been agreed to:

— Current tax rates would be permanently extended for singles making $400,000 or below, and permanently extended for couples making $450,000 or below

— For singles, capital gains and dividends of $400,000 or below would be permanently taxed at 15 percent; capital gains and dividends above $400,000 would be permanently taxed at 20 percent

— For couples, capital gains and dividends of $450,000 or below would be permanently taxed at 15 percent; capital gains and dividends above $450,000 would be taxed at 20 percent

— The Alternative Minimum Tax would be permanently patched

— Estates over $5 million would be taxed at 40 percent, and that tax rate would be permanently extended

 

Jack Napier's picture

Backing away from this freight train? Is that why he passed an Executive Order for Congressional pay raises?

GMadScientist's picture

Yup, still full-bore in "shoot the hostages" mode.

Nice of you guys to visit.

sessinpo's picture

Renewable Life:   "!Obama doesn't want us going over the cliff, HE NEEDS IT!!"

 

That statement contradicts itself. However, I understand what you MEANT to say, and you are correct, except that what Obama is doing is only PERCEPTION. There is no SAVING of anyone.

Stackers's picture

I thought I was a bad procrastinator .... how many months have these guys had to get this worked out ???

Jena's picture

How many years, you mean?

The trend is your friend's picture

Stacker,

Not worked out....Positioned for the 2013 early bonus in thier options account

Yes We Can. But Lets Not.'s picture

Intentional.  They know that if they are there late this evening, they can get loaded on the super-fancy Gubmint liquor, on the House.

DaveyJones's picture

Yes, it is ironic that their constituents have "reached agreements" on a number of fronts:

They are all incompetent

They are all liars

They are all whores

They have no interest in American Citizens

They have no intestest in Constitutional principles

They are the result of our Supreme Court "officially" assigning them international corporate pimps

They must be prosecuted

They must be replaced 

The trend is your friend's picture

Mcconnell was apparantly spx call heavy and had to close his positions

ball-and-chain's picture

This has nothng to do with Republicans or Democrats.

It comes down to Wall Street and London.

The tail is wagging the dog.

The money men don't want to go over the cliff.

They own the politicians.

Figure it out.

http://www.angrysinner.blogspot.kr/2012/12/yesterday-i-hiked-ten-miles.html

Spitzer's picture

fckkk what a joke

rwe2late's picture

no joke

the deal appears to be to have no deal.

at least until a concocted "shock doctrine" crisis can facilitate an "emergency" rescue even more advantageous for TPTB.

Boilermaker's picture

SPX 20 handles....

DO I HEAR 40?

DO I HEAR 50?

RUT up even more.

SURPRISE!!!  THEY DID IT AGAIN!!!

fonzannoon's picture

Dow up 875 points to just nip out gold.

Any republicans left out there? How's your fiscal conservative party working out for you? Spending cuts? Nah...Fuck off!

Everybodys All American's picture

McDummy does not speak for the House.

fonzannoon's picture

They will fold. They always do. Just give us some tanks in the street talk.

Boilermaker's picture

OMFG, LOOK AT HER FLY!!!!

IT'S A NEW YEARS EVE MIRACLE!!!

WHO WOULD HAVE GUESSED IT?!?!?

ShrNfr's picture

Err, anybody that knows that the fees due are based on the end of the mark to market value of the portfolio at the end of the quarter? Oh sorry, that would be dishonest now. I mean you would be transfering the customer's money to your pocket by using the customers money to pump up the prices.

Boilermaker's picture

I remember reading about that in last month's edition of "WHO GIVES A FUCK".

Now RAMP RAMP RAMP RAMP....SMACK IT UP...FLIP IT...RUB IT DOWN!!!!!

STAWKS ARE BOOMING!!!!

Taterboy's picture

Obama doesn't want the stock market to go down. The only thing he ever liked to see go down was old white men at Man's Country.

Boilermaker's picture

WAIT?!?!

ARE YOU SAYING THIS IS RIGGED?

Joe moneybags's picture

Turn off the caps, BoilerShouter.  Your posts are just noise.

Anglo Hondo's picture

 

Wait?!?!

Are you sayint you just arrived from way out there in the Universe?

Right!!!

(Edited for Caps)

 

ekm's picture

Dark Pools;

MS sells to BAC, BAC sells to C, C sells to MS.

 

There's plenty of money sloshing around as reserves.

Beam Me Up Scotty's picture

SPEND, SPEND, SPEND!!!  Because it feels so GOOD!!

khakuda's picture

Once again, government has voted to continue growing.  More taxes and printed money to pay the bills, no spending cuts.  Who is surprised by this?

Bollixed's picture

I've never seen a weed commit suicide...

khakuda's picture

Great analogy.  They just strangle all the useful plants, fruits and vegetables until people get off their butts to remove them.  The country has lost vigilance and it feels like we are on the cusp of yet another jump in government growth, financed by higher taxes, accelerating borrowing, the failure to reduce spending and a complicit, money printing Fed.

Snakeeyes's picture

Obama is like Lucy pulling the football away from McConnell (Charlie Brown). What a joke these politicians are.

http://confoundedinterest.wordpress.com/2012/12/31/lets-make-a-deal-rais...

OldE_Ant's picture

insert right hand into right pocket. 

Cue Boehner UP!

Beam Me Up Scotty's picture

insert righthand up Boehners ass.

Cue Boehner UP!

 

Fixed it for you.

TheFourthStooge-ing's picture

.

insert righthand up Boehners ass.

Cue Boehner UP!

Bhoaner - the Diddle Me Elmo of Capitol Hill.

Renewable Life's picture

If he does it, cue up Speaker of the House Paul Ryan, because Boner will be a politically dead motherfucka!!!

NotApplicable's picture

What's your opinion of the upcoming WWE matches?

Zer0head's picture

frontrunning when I say no deal BTFD BTFD

(the signal was the jovial upbeat mood of Obama and all of  the partisans who attended his speech)

Seriously the congressional insiders who can frontrun with impunity are milking this for all they can get

davidsmith's picture

Very much like the finance bill shenanigans which scuttled the Weimar Republic.  In the end, it all ends with a failure to agree on a financing provision.  In the Weimar case, the differences were also vanishingly small.  However, the sequester issue seems to be the smokescreen behind which the Tea Party Republicans are hiding.  It appears right now that they are holding.  It's now or never for them.  One more compromise and they are finished, whereas if they hold the line they can overthrow the government.  It all depends on what the oligarchs feel is in store for the economy.  I suspect they smell disaster, and want state-sanctioned cartels.  If we go over the cliff, it is a HUGE Tea Party victory and the political system will crumble.

ghostfaceinvestah's picture

Great analysis.  This is the Tea Party's moment of truth.  If they crumble on spending cuts, they are finished, and we will likely see a third party arise.

davidsmith's picture

So far, dead silence from the Tea Party House Republicans.  My sense is that there is now planning for the next stage of the coup.  Obama can only declare a national economic emergency BEFORE a vote on the debt ceiling.  If Tea Party House Republicans don't cave now, they won't cave on the debt ceiling, claiming that the ceiling can't be raised until the tax and spend issues are resolve.  That freezes the political system.  If Obama tries a declaration of economic emergency after a failure to raise the debt ceiling, Tea Party House Republicans will claim it breaks the Constitution.  I suspect they will do something dramatic like walk out of the Capitol and refuse to come back.  Since Boehner is required to stick to his "majority of the majority," nothing will move in Congress.  Then the call for tax and other strikes will begin.

Beam Me Up Scotty's picture

This is about the time Senator Palpatine becomes Emperor Palpatine.

sessinpo's picture

Moment of truth? Only in the political, non violence sense, which they have demostrated. The real political truth is when they take arms. Hence the movement to disarm Americans.

muppet_master's picture

SHORTED spx @ 1419

just ADDED @ 1424...didn't short in the morning (@ 1398)....was sleeping.

come on bQE i know your under monkey order (QEorganizer) to ramp up his ponzi house of cards casino...

major sell-off on the news on Wed-Fri......spx below 1350....

not a stupid daytrader.....will ride and cover on a maaaaAAAJOR sell-offS. stupid bQE if you pump up spx to 1430, my avg short price = 1425...will cover @ sub 1350..thanks !!

ptoemmes's picture

I posted this yesterday 

"

Wait until they all scramble to the mics and cameras proclaiming how they came together to save America....and the gutless reporters and pundits will all nod in awe. I figure before 3:00PM tomorrow to ramp the markets. You know it's gonna happen but you are powerless to stop it.

Unless I'm (hopefully) wrong.

"

 

I am really not that smart..it's just they are so predictable.