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Mark Grant: "2013: The Year The Resplendent Masks Are Removed"

Tyler Durden's picture


From Mark Grant, author of Out of the Box,

The Trifling Consequences Of Cyprus

“Expect the best. Plan for the worst. Expect to get surprised.”


              -The Wizard

Cyprus downgraded to Caa3 by Moodys and not a snivel, barely mentioned anywhere and thought of “no consequence” by all but a trifling few. It is not just the size of the nation but the suit of armor pronounced by Mr. Draghi and, while not tested to date, it hangs proudly in the vestibule for all visitors to note and admire and point to proudly in moments of troublesome aggravation. The country is too small, the amounts of money required but a few days work at Volkswagen or Siemens. Yet I recall Arch Duke Ferdinand and the beginning of World War I. An event thought of as “no consequence” by all but a trifling few.

“His ignorance was as remarkable as his knowledge. Of contemporary literature, philosophy and politics he appeared to know next to nothing. Upon my quoting Thomas Carlyle, he inquired in the naivest way who he might be and what he had done. My surprise reached a climax, however, when I found incidentally that he was ignorant of the Copernican Theory and of the composition of the Solar System. That any civilized human being in this nineteenth century should not be aware that the earth travelled round the sun appeared to me to be such an extraordinary fact that I could hardly realize it.”


            -Doctor Watson

You see Cyprus will raise the principles upon which Europe now rests and the decisions will cast a shadow far past the economic consequences as the conclusion is meted out to the rest of us. Was Greece in fact a one-off event or did Europe mean Greek speaking people? Will Cyprus’s refusal to shed state assets and to raise taxes raise the ire and perhaps the rancor of those resting comfortably in the Bundestag enough to cause their Prussian backs to stand-up straight again and refuse on principle regardless of monetary minutia? Will other European nations roll-over once again like dogs on a hot summer day and bow to the Bürgermeisters of Berlin and accede to the demands of “More Europe” which is the German translation for “More Germany?” I would not be casting Cyprus so listlessly aside. The resolution of pending bankruptcy here may indeed spring some interesting surprises. 

“When a resolute young fellow steps up to the great bully, the world, and takes him boldly by the beard, he is often surprised to find it comes off in his hand, and that it was only tied on to scare away the timid adventurers.”


            -Ralph Waldo Emerson

You hear it now all across Europe. “We are out of the woods, the crisis has ended, the worst is over” but I take scarce solace from these comments. The numbers have been falsified, the figures have been altered, and that which should have been counted as been ignored as a matter of political expediency. Bills uncounted do not mean that they do not have to be paid and obligations ignored do not erase them. The problems of Greece, Cyprus, Spain and Portugal have been wallpapered over and the “new look” has been sung to the Press and the citizens alike but the wet plaster remains behind the façade and the upcoming peeling will commence in our New Year. More money equates to lower yields in the short run and assurances of health prevail in the world for the moment but the raw data tells another story as capital diminishes and debts build and uncounted liabilities surface once more.
2012 was a year of a vast and complicated charade. 2013 is likely to be a year when the resplendent masks are removed.

“It is not necessary that you leave the house. Remain at your table and listen. Do not even listen, only wait. Do not even wait, be wholly still and alone. The world will present itself to you for it’s unmasking, it can do no other, in ecstasy it will writhe at your feet.”


           -Franz Kafka


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Fri, 01/11/2013 - 10:32 | 3144011 GetZeeGold
GetZeeGold's picture



Tomorrow we'll remove the bandages and let you look in the mirror.

Fri, 01/11/2013 - 10:45 | 3144047 The Juggernaut
The Juggernaut's picture

The Republic can't wait to see who is behind the curtain. 

Fri, 01/11/2013 - 10:47 | 3144048 trav777
trav777's picture

blablabla...the world is gonna end in 2013 now?  I thought all the sh!t was gonna blow up and get exposed in 2012?

Fri, 01/11/2013 - 10:53 | 3144063 SheepDog-One
SheepDog-One's picture

As soon as the banksters feel a little pinch again it will be all chaos and mayhem once again.

Fri, 01/11/2013 - 11:07 | 3144117 GetZeeGold
GetZeeGold's picture



Heh heh......Trav thinks you can actually kill a zombie.

Fri, 01/11/2013 - 12:19 | 3144359 This just in
This just in's picture

Trav, funny, you don't look Mayan.

Fri, 01/11/2013 - 12:52 | 3144449 Snakeeyes
Fri, 01/11/2013 - 13:20 | 3144564 CPL
CPL's picture

How to make the effects of PCP permanent.  Effectively leaving a person in the passenger seat and letting the lizard brain control the person's actions.  It's been popping up in Mexico city.  News is blaming local dog packs but doctors and animal control is noting the bites aren't dog.

Fri, 01/11/2013 - 11:53 | 3144265 Itch
Itch's picture

Fret not, the longer it drags on the greater the chance of something happening. What exactly is supposed to be happening? I’m still not quite sure if its not already happening, i.e life is a piece of shit.(when you look at it) Do we all turn into peasants or something? Bring it on, you can all come down to my level.

Fri, 01/11/2013 - 13:51 | 3144713 Panafrican Funk...
Panafrican Funktron Robot's picture

Indeed.  The domino chain is clogged with wood pulp.  

Fri, 01/11/2013 - 20:27 | 3145974 Winston Churchill
Winston Churchill's picture

According to John Williams @shadowstats,2014.

Many years back he was forecasting 2020.As stupider ,and stupider,

Govt., and CB actions have unfolded ,he has brought forward the  end year.

He's been warning for years BEFORE the crash.A lot are now joining the chorus.

First you go broke slowly, then very, very quickly, and complacency will kill you..

Fri, 01/11/2013 - 11:43 | 3144238 Bicycle Repairman
Bicycle Repairman's picture

"The illusion of freedom will continue as long as it's profitable to continue the illusion. At the point where the illusion becomes too expensive to maintain, they will just take down the scenery, they will pull back the curtains, they will move the tables and chairs out of the way, and you will see the brick wall at the back of the theatre." -- Frank Zappa

We are staring at the wall now. Do you see it, or do I need to hit you with a brick?

Fri, 01/11/2013 - 12:02 | 3144285 WhyDoesItHurtWh...
WhyDoesItHurtWhen iPee's picture

Love that quote, one of my favorite of all time.

Fri, 01/11/2013 - 12:07 | 3144310 putaipan
putaipan's picture baaaaallls feel like a pair of maraaaachas!

Fri, 01/11/2013 - 12:37 | 3144410 xtop23
xtop23's picture

+1 for quoting Zappa. Brilliant man.

Fri, 01/11/2013 - 11:45 | 3144245 dmger14
dmger14's picture

(Drops the scissors)  "No change!"

Fri, 01/11/2013 - 13:07 | 3144507 monad
monad's picture

(Drops the scissors)  "No charge! This one's on the house! Got to go now, I'm late for my... something, I forgot what! Bye"

Fri, 01/11/2013 - 10:33 | 3144015 TideFighter
TideFighter's picture

Obama can't do his daughter's 7th grade pre-algebra, when does his mask come off?  

Fri, 01/11/2013 - 10:37 | 3144021 Pool Shark
Pool Shark's picture



You'll never know when his mask comes off, as there is nothing behind it - he is just a mask...



Fri, 01/11/2013 - 10:39 | 3144028 francis_sawyer
francis_sawyer's picture

Obama needs to skip right on by all that & go directly to Euler's Formula

Fri, 01/11/2013 - 10:44 | 3144041 Pool Shark
Pool Shark's picture



"Obama's greatest failing is his inability to understand the exponential function." - Albert Bartlett


Fri, 01/11/2013 - 14:04 | 3144785 Thisson
Thisson's picture

I appreciate your point but that's not a real quote, and you should indicate that you're using satire (or whatever it is).

Fri, 01/11/2013 - 10:44 | 3144043 WhyDoesItHurtWh...
WhyDoesItHurtWhen iPee's picture

Cool, it's Philosophy Friday.

Fri, 01/11/2013 - 10:53 | 3144064 francis_sawyer
francis_sawyer's picture

free pork rinds for all in attendance...

Fri, 01/11/2013 - 14:01 | 3144769 Panafrican Funk...
Panafrican Funktron Robot's picture

Pork rinds are the fruit of existentialism.  

Fri, 01/11/2013 - 10:47 | 3144050 TideFighter
TideFighter's picture

It's evident that the Narcissist-in-Chief practices the Copernician theory; thinking everything revolves around him. 

Fri, 01/11/2013 - 11:01 | 3144094 lakecity55
lakecity55's picture

no, spookier than that. Remember in The Prisoner when #6 ripped off #2's mask, there was another mask, then another. Then #2 ignited his escape vehicle and tossed #6 out the door.

The 'real' Ozone is that crackberry on his belt, that and the Prompter.

Fri, 01/11/2013 - 12:08 | 3144311 monad
monad's picture

6 is 1 just like Durden is Everyman. Know thy self.

Fri, 01/11/2013 - 10:54 | 3144071 trav777
trav777's picture

she probably can't do her algebra either.  In VA, math "proficiency" under NCLB for asians is a score of 82, for Obama's sons, it's 45.  These are based off of SOLs.  The number is what percent of each group they expect to achieve 23/35 correct on a standardized test like SOL which is itself already dumbed down.  Hispanics get 52, whites 68.

For reading, VA sets the pass percents at 92 asian, 90 white, 80 hispanic, 76 black, 59 retards.

So what this means is that presto, schools are no longer "failing" because they produce graduates who can neither read nor add and subtract.

Obamakids get to go to Sidwell though; they have the other elites and a dozen armed guards.

Fri, 01/11/2013 - 11:32 | 3144206 francis_sawyer
francis_sawyer's picture

Better 'teaching methodologies' may be required... [As illustrated here]...


Fri, 01/11/2013 - 13:35 | 3144642 trav777
trav777's picture

nothing can be "done" to remedy the fundamental deficit of average black scholastic competency vis a vis asians, except eugenics.  It's biological and it's not going to be wished or hoped away.

Blacks are in many cases closer in aptitude to those with classic "learning disability" than the average asian kid in US schools.

Fri, 01/11/2013 - 13:50 | 3144708 Itch
Itch's picture

Lets hear your solutions trav. Don’t give me this bullshit about just being an observer. I can observe fish swimming in a river, but if i am hungry i will try to catch and eat one. If you could even find it in yourself to suggest some kind of low-level policy response, just to get the real debate going and the juices flowing? Don’t just point something out and walk away, its just cowardly. As it stands, when you say "its biological and not going to be washed away", in any ordinary day to day situation this would automatically be followed by some kind of alternative to a current state of affairs. Maybe its just me, maybe you are not in control of your rhetorical stance or something, maybe you just don’t know what you are saying? Do you think there is a part of yourself that you have not addressed properly? Is that what it is? The ball is in your court dude, help a brother out here.

Fri, 01/11/2013 - 14:10 | 3144810 Panafrican Funk...
Panafrican Funktron Robot's picture

He already gave his solution.  Eugenics.  Hopefully he at least intended that to mean passive vs. active.

I would suggest a test at 10th grade, no racial scoring, just simple pass/fail that falls into two camps:

Pass:  You go to community college and take university prep courses good towards a bachelors+ degree.

Fail:  You go to community college and take technical education courses good towards an associates degree.  If you don't show up or can't hack it, or become a "disciplinary problem", you're cut, just like any other college student would be.    

Two years of paid for college education either way.  Community college costs less than half of the average per-student cost of a high school.  Saves money, the kid gets a degree either way (if he chooses to give a shit), and we're probably a better society for it.

Fri, 01/11/2013 - 15:15 | 3145012 Itch
Itch's picture


Now, to cut a long story short, i don’t know much about the educational system over the water with respect to age groups and racial scoring etc, and more to the point i wasn’t expecting anything resembling a reasoned answer from trav; but since you have at least scratched the surface (and excluding the fact that i am supposed to know the nature of the passive vs active eugenics mechanisms, assuming you are not suggesting them yourself) what i want to know is, what happens on the day when more white middle class kids fail than black kids? Then its headline news right? Then we jump right to the "breakdown in family cohesion and societal failure" headlines, "we need action on this immediately because America is falling apart" headlines? To which your answer is "it wont happen because black kids are stupid, and thats why we are setting the system up like this to begin with !".

In that case, it isn’t just a colour thing, regardless of the fact that Black kids may or may not do well in a system designed around settled white and asian kids, this is a socio-economic class issue that has implications in every country. The question is, essentially, do you paint a whole group with a broad brush and let them know that society is expecting them to fail, or do you throw everyone a lifeline and hope for the best to come out in a few? The former is to give up, the later is to signal you at least give a fuck. 


Fri, 01/11/2013 - 19:59 | 3145890 francis_sawyer
francis_sawyer's picture

Shit ~ ALL you motherfuckers are way above my pay grade... I was thinking more like, in THE GAME OF LIFE, if you just decided to steer your little plastic car towards college or gettin a job... "Millionaire's Row" is beyond anyones comprehension anymore in the joobux era...

Fri, 01/11/2013 - 21:00 | 3146060 Itch
Itch's picture

Millionaires row is a fluke, its an anomaly, a sick joke in which the 1% get to lord it over the rest through din of a crazy twist of fate; either some kind of social nepotism, or some kind of cranky idea they had and got uber lucky with...i guarantee that the people that live these fantasy lives are bigger sheep than the people trying to put food in the freezer on a week-to-week basis. But what are you to do? Stand by the poker table and worship everyone that gets a decent hand? ....make no mistake man, the majority of rich people get there by birth right, not by their innate superior genius. Don’t be disappointed, but the majority of wealth is held by some of most docile beings on the planet.

For example, >70% of homeowners in London will be millionaires in under 20 years, and most of the cretins can’t hardly feed themselves at the going rate! Ergo, if you can take your family on holiday once a year and fill your fridge with food every week then you are a rich man! Enjoy it, because you could be dead in the morning and you wont even know it. 


Fri, 01/11/2013 - 21:20 | 3146097 francis_sawyer
francis_sawyer's picture

Can't argue with that...


 I've got the the air in my lungs & I'm sitting here communicaing with all you fine people... What more could I want?...

Fri, 01/11/2013 - 16:38 | 3145376 Itch
Itch's picture

What score you would get in those math tests Trav? That would be funny to watch, that would be fucking hilarious. If you think you are up to it, give me a shout and we will set one up right here in public, time constraints and everything else. Lets see about that…

Fri, 01/11/2013 - 10:36 | 3144019 tooriskytoinvest
tooriskytoinvest's picture

Get Ready For Another Selloff: The Global Economy Is On The Cusp Of Another Super-Bank Meltdown That Would Pull The World Down In A Domino-Chain Crash Similar To—Or Worse Than—2008?

Fri, 01/11/2013 - 10:39 | 3144020 Downtoolong
Downtoolong's picture

Pump and dump on the grandest of scales, that of Central Banks and the TBTF financial institutions that control them.

Q: What’s the difference between a centrally planned economy and an economy with a centrally planned monetary system?

A: Nothing really.


Fri, 01/11/2013 - 10:38 | 3144023 Dr. Engali
Dr. Engali's picture

I don't care who gets the ball rolling, as long as it does. This is getting boring.

Fri, 01/11/2013 - 10:48 | 3144054 illyia
illyia's picture

That is what everyone was saying right before 911.

Fri, 01/11/2013 - 10:54 | 3144070 SheepDog-One
SheepDog-One's picture

Oh we'll definitely see another 9-11 one of these mornings rest assured.

Sat, 01/12/2013 - 12:59 | 3147067 Shell Game
Shell Game's picture

Not if we give away enough Liberty, right?




Fri, 01/11/2013 - 11:56 | 3144272 CrashisOptimistic
CrashisOptimistic's picture

I rant on this over and over.

No financial number is going to do anything.  Money is not a physical concept.  Gold is not a physical concept.  The value of both is only inside the minds of men.

If a number is going to cause people to die, the number will be changed by edict.

Only oil and food end the charade.  Joules and calories are immune to government decree.

Fri, 01/11/2013 - 10:38 | 3144025 AccreditedEYE
AccreditedEYE's picture

Bob Pisani JUST told people not to BUY and to HOLD!! ALL IN BITCHES!!!

Fri, 01/11/2013 - 10:44 | 3144044 Unprepared
Unprepared's picture

That's some heartless advice. How else can the Algos make a profit off every trade if nobody is buying?

Fri, 01/11/2013 - 13:18 | 3144561 Bohm Squad
Bohm Squad's picture

The same way a soccer team that crashed landed in the Andes eats?

Fri, 01/11/2013 - 15:51 | 3145189 Lin S
Lin S's picture

Pisani is a douche.

Fri, 01/11/2013 - 10:39 | 3144029 Smuckers
Smuckers's picture

Well the clothes are already gone, so why not the mask.

Fri, 01/11/2013 - 10:40 | 3144032 Unprepared
Unprepared's picture

Grant the Grand Quoter at it again:


2013: The Year The Resplendent Masks Are Removed... Only to Show the Other Layer of Splendid Masks Underneath Them

Fri, 01/11/2013 - 10:40 | 3144034 I am more equal...
I am more equal than others's picture


The whole banking/FED system is a Kafka story.

Fri, 01/11/2013 - 10:41 | 3144035 jldpc
jldpc's picture

Let's see Mark Grant predicted the end of the civilized world's financial systems at least 365 times last year (err every day). But the markets in both bonds (principal value) and stocks (retail value) are close to or near all time highs. HMMMMM............. what's wrong with this picture? And BTW gold is falling.................. HMMMM... So what good does it do to wait for the final inevitable crash and burn - the world can only end once - how do you make money on that? Waiting is not a money making strategy. 

Fri, 01/11/2013 - 11:07 | 3144098 forwardho
forwardho's picture

J, Thanks for sentiment.

Hell. I don't know if I'll be alive tomorrow.

But I sure as Heck got to pay the bills today.

Life? its going to happen no matter what I do...

Have a blast untill you can't!

Fri, 01/11/2013 - 11:08 | 3144105 adr
adr's picture

Oh I don't know, you could sart a business and provide something of value instead of pretending gambling is actually earning money. I actually earn my income. The stock market "economy" is making it nearly impossible to do so.

The idea that the stock market is the only path to wealth is the first thing that needs to go. If we're talking Copernicus, the worshippers of Wall Street surely believe the universe revolves around them.

Fri, 01/11/2013 - 13:18 | 3144563 e_goldstein
e_goldstein's picture

You could, but then you would be paying taxes and won't be starving the beast.


Fri, 01/11/2013 - 11:09 | 3144124 Winston of Oceania
Winston of Oceania's picture

War is not a very good money making strategy on the scale of which it will unmask itself. If you think you can better ride out the storm trying to make money rather than preserve it then the best of luck to you.

Fri, 01/11/2013 - 11:38 | 3144225 tango
tango's picture

I am so sick of all these modern day prophets.  They never seem to remember that they said the same thing in 2010, 2011 and 2012. I like the Kyle Bass approach - analysis, inevitability, invest.   If something is inevitable, forget the timeline and start worrying about timing.   If these guys were convinced things were collapsing in 2013 they'd be preparing for the worst instead of fighing with CNBC "hosts".

Fri, 01/11/2013 - 10:41 | 3144036 ziggy59
ziggy59's picture

Perception Deception

Fri, 01/11/2013 - 10:47 | 3144053 illyia
illyia's picture

I wonder what Mauldin will write...

Fri, 01/11/2013 - 10:55 | 3144077 chubbar
chubbar's picture

muddle through?

Fri, 01/11/2013 - 10:59 | 3144088 unplugged
unplugged's picture

“We are out of the woods, the crisis has ended, the worst is over”

Very true, because what they mean is:  We have found a way to implement tyranny.

Fri, 01/11/2013 - 11:30 | 3144200 From Germany Wi...
From Germany With Love's picture

Define tyranny.

Fri, 01/11/2013 - 12:33 | 3144403 unplugged
unplugged's picture


Fri, 01/11/2013 - 13:32 | 3144627 From Germany Wi...
From Germany With Love's picture

Well, not in my book. I associate tyranny with forceful suppression of criticism of government. There is clearly a difference between Greece today and Eastern Germany. Also in a tyranny there wouldn't be a collapse of PASOK and the rising fortunes of Syriza or Golden Dawn.

What we have instead in Europe is an atrophied political establishment, political party oligopols and societal inertia due to structures that have been solidifying over decades.

Europe needs a good shake up or two, it's about to fall asleep.

Fri, 01/11/2013 - 11:01 | 3144096 adr
adr's picture

The inside circle wishes to prove to themselves that they can push the market to all time highs, under their manfactured and false leader.

It will prove to them that their domination is complete and that the sheeple have been fully suppressed.

All that is left is to take away the guns. Then they will believe they can live and plunder without fear.

Fri, 01/11/2013 - 11:05 | 3144107 AnAnonymous
AnAnonymous's picture

The 'american' masquerade is to keep going.

Wont cease so soon.

Fri, 01/11/2013 - 11:21 | 3144165 SmoothCoolSmoke
SmoothCoolSmoke's picture

OK..... so when is the vote that, surely, will be the wrong Jenga piece for the banksters.   Uh-huh, right.

Fri, 01/11/2013 - 11:23 | 3144175 shovelhead
shovelhead's picture

I'll take the #13 with extra poodle in the fried rice.

Fri, 01/11/2013 - 11:29 | 3144198 From Germany Wi...
From Germany With Love's picture

The alternative to 'More Germany' is 'More Greece'.

Fri, 01/11/2013 - 12:05 | 3144288 monad
monad's picture

Judex ergo cum sedebit,

Quidquid latet, apparebit:

Nil inultum remanebit.

Fri, 01/11/2013 - 13:27 | 3144604 s2man
s2man's picture

Tyler, thank you for putting Mark's name in the headline.  Generic "Guest Post" leave me wondering.  There are some commentators I don't want to miss, and others which I ignore.  A heads-up in the title sure helps.

Fri, 01/11/2013 - 13:48 | 3144698 AgAu_man
AgAu_man's picture

A 'filthy rich' friend of mine, but a decent human being said of ZH:

The problem with predicting doom, gloom and boom 7x per day for 365 days, year after year, is that EVENTUALLY -- 'in the long run' -- you will be right.

The problem is, by then you've become so depressed, that you've missed out on life. You do NOT want to become a hermit or hide in your 1-family Prepper compound. Rather, be part of a Resilient Community of intelligent, decent and like-minded people with real-life skills.

Look, hope for the best (live, laugh, love), plan for the worst (food, shelter, water, meds, G&A, cash, PM, etc.), and expect to be surprised by real events on an unpredictable schedule.

Now go DO something, instead of spending too many hours on the internet!

Fri, 01/11/2013 - 15:29 | 3145083 KnightTakesKing
KnightTakesKing's picture

Actually, fairly sage advice. Thanks for sharing.

Fri, 01/11/2013 - 14:01 | 3144773 chinaboy
chinaboy's picture

They are out of the woods and into the forest. Long dark road ahead. Good luck.

Sat, 01/12/2013 - 03:04 | 3146674 nastaking
nastaking's picture

Its latest offering, however, is the PiPO U1Pro D2 Android phone and it has been designed to compete at the top-end of the market.

Sat, 01/12/2013 - 03:27 | 3146692 polo007
polo007's picture

The Feds Mission Is to Drive Down the 30 Year Mortgage Rate - Bloomberg Markets Magazine

“To revive the housing market, the Fed has thrown a lot of firepower at agency mortgage-backed securities,” Narula says. “Policy makers have worked hard to let homeowners refinance. They’ve been clear that that’s their mission -- and you want to be careful going against that mission.”

In addition to his intuition on Washington policy moves, Narula uses mathematical models to calculate how long homeowners will make payments at their current interest rates before either refinancing or defaulting. The models predict behavior based on a homeowner’s credit score, address, loan size, loan age and other factors. The algorithms also allow sophisticated investors to hedge against wrong-way bets.

“You want to come up with wagers where if you’re right, you’ll do really well and if you are wrong, you don’t get hurt too badly,” Narula says.

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