Santelli Blasts Bernanke: "Whatever You're Doing, It Isn't Working"
While some would look at the surge in government spending in Q3 last year (ahead of the election) and subsequent plunge in Q4 as conspiratorial, CNBC's Rick Santelli takes a step slightly further back as he draws the analogy between the mystical monetary experimentation of Ben Bernanke and his horde of central bank cronies and the "bloodletting of leeching" of medieval medicine providers. The point being that if you were sick in the middle ages, leeches were applied; and if you returned weeks later (still sick), more leeches and blood-letting took place - with no lesson learned. The fact that we borrowed $300bn in Q4 and managed a dismally dire drop in GDP growth offers little hope as the world glares agog at the Dow Jones Industrial Average index while Bernanke, six years on from the start of the recession continues to apply the same medicine that has done nothing to resurrect our economy. In Rick's words, "Whatever you're doing; It isn't working!" and in fact the monetary support could potentially hurt the economy in the medium-term as debt piles up exponentially. An epic rant...
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Really? I am really to believe that Santelli is this beacon of light out in the giant matrix of an ocean that CNBS has somehow overlooked?
All those bond auctions that he gives an "A plus" to knowing full well there is only one buyer in there?
All that data that he begrudgingly (no fucking idea how to spell that) admits is a positive sign the economy is on the right track
Every once in a while he rants like a crazy person who just got out of being locked in the basement for 2 minutes.
Sorry, I may have become totally jaded and have a complete mistrust for everything. But I ain't buying it.
fonz +1 These rants have gone on for so long, I'm even tired of him. Nothing ever changes and CNBC needs to have Santelli as a counter to all the Bernanke ball lickers on their station. Rick plays his role well. If it wasn't just a role, he'd have been gone long ago
haha, exactly! Santelli is to CNBC what Biderman is around here...
Santelli essentially got lucky the one time his first "epic rant" happened to get lumped in with the tea party.
I really wish zh would ban the words "epic rant" sometimes. They really arent all that epic when you get one evey couple of days
Not much luck involved when he's the mouthpiece for the Kochs.
Sanrally is holding his dick, knowing his 401k is the only one that is sustainable. The 80/20 rule on cnb whatever. +1
I think it also has to be the fact that he may be the only one on there with a conscience. The rest are souless farm animals that have been taught how to wear clothes and speak.
Helping the economy would be desirable, but it is incidental to the Fed's two main goals: enrich the big banks, and help fund the US government.
Bingo!
did it really take ol' rick this long to figure it out?
or maybe it is just going exactly as planned...
http://silvervigilante.com
The only thing the FED, ECB and IMF have done thus far is keep the derivitive dominos from falling. They will print another 20 TRILLION if they have to just to keep the 600 TRILLION DOLLAR DERIVITIVE CASINO from blowing up. What a fustercluk these compulsive gamblers have got us into. Problem is, they are runing out of ways to keep a lid on the scam.
Doesn't matter. The disaster is far enough along, they can let the whole thing blow, and nobody can stop it.
Obviously, it's not working, but Rick's paradigm is also wrong. The whole idea that we need to (or can) GROW out of this system collapse is pure folly. We, as a society STILL ARE IN DENAIL about the fact that this game is over. It's time for society to collectively figure out a DIFFERENT, and SUSTAINABLE way to live.
Why can't people figure THAT out? None of this debt even matters at this point because 100% of it will be DEFAULTED!
Oh ye of little faith in ZIRP. Defaults are part of capitalism, and thus have no place in our future.
All of that debt will be rolled up into one big black hole, so powerful, why, they'll base a new currency on it.
And now stocks close in the red?????
Potter, this is your one warning. One more down day and you're done.
cnbc makes me sick. they r saying how the gdp report means nothing, buy stocks, economy is recovering, its comical.
fuck them all
In A Right World One Could
Make Banks Suck Up Their Own
Losses And Where They'd Be Systemically
Dug In One Could Run Them Temporarily On
The Basis Of 2 Sets Of Books:
Business As Usual
Business Per Force Majeure
In A Right World ObamaCare's Protected
Cartel Combined With Elaborate Profit
Formula That Actually Serves To Maximize
The Profitability Of Cartel Status, With
A Dearth Of What Makes Sense For Doctors
And Patients, A True Castles On The Rhine
System, Is Busting The Trust Immunity,
Requiring By Charter Shows Of Public Benefit,
Requiring By Charter Physician And Patient
Committee Material Decision Making Input,
And Risk Equalization Such That There's No
Such Thing As Dodging Or Gaming Risk.
Having No Way To Make Money But The Right
Way, Carriers May Yet Then Have Trouble
Making An Affordable System. Provider
(Physician) Last-Mile Committees Can Adjust
Practice Standards To Fix That Last Bit.
ZH: Not seeing. Please delete per taste any double post.
In A Right World One Could
Make Banks Suck Up Their Own
Losses And Where They'd Be Systemically
Dug In One Could Run Them Temporarily On
The Basis Of 2 Sets Of Books:
Business As Usual
Business Per Force Majeure
In A Right World ObamaCare's Protected
Cartel Combined With Elaborate Profit
Formula That Actually Serves To Maximize
The Profitability Of Cartel Status, With
A Dearth Of What Makes Sense For Doctors
And Patients, A True Castles On The Rhine
System, Is Busting The Trust Immunity,
Requiring By Charter Shows Of Public Benefit,
Requiring By Charter Physician And Patient
Committee Material Decision Making Input,
And Risk Equalization Such That There's No
Such Thing As Dodging Or Gaming Risk.
Having No Way To Make Money But The Right
Way, Carriers May Yet Then Have Trouble
Making An Affordable System. Provider
(Physician) Last-Mile Committees Can Adjust
Practice Standards To Fix That Last Bit.
Did Rick call the Bernank an invertebrate, blood sucking moron?
I concur.
If you understand that Bernanke's real goal is not to improve the economic well-being of the average American, but to continue to strengthen and enrich the banking elite by consolidating their power and control (particularly of the government) and converting their bad assets to national taxpayer debt, while they and the MSM tell us it is good for us, then you understand that his approach is working quite well.
CaliGirl - Spot on.
So if we cut Fed Gov't spending that will take the price of assets down, if Ben stops printing (buying MBS) price of assets come down (bonds included here).
If we don't allow illegals full amnesty then our economy will suffer (who will pick the lettuce and work in NYC restaurant kitchens?)
If we don't increase Homeland security there will be an attack in a lrage US city.
According to Bernank and the Lame Stream media ....if we don't continue the dream of insanity then reality will be worse.
So lets all dream. Dreaming is good for the banking elite, the Media elite, and the Gov't elite. Very bad and getting worse for everyone else.
And if we criminally prosecute Wall Street banksters, then the financial system will collapse....
Pure B.S. meant to shut us up so they can run all over us!
If I were President, I would not look to destroy banks with massive fines or otherwise, taking down pension plans and other innocent parties along the way. I find it insulting that Breuer thinks we are stupid enough to fall for his the-world-will-end B.S. A bank is not going to collapse because they have to get a few new executives and upper management folks to replace the crooks, though the bank may collapse because of high risk gambles entered into by the crooks. However, that is the case either way, whether or not fraudulent accounting hides the truth.
As a customer, I would have more confidence in a bank that replaces its crooks than one that keeps them in place, and whose reckless and criminal behavior just might result in another massive, nasty earnings surprise and stock price plunge.
The banks did not create the problems. It was the People that ran the banks. Any miscreant behavior by their employees was also management's fault for not putting a proper control structure and personnel in place, and for not setting the proper tone at the top.
The DOJ needs to prosecute the executives and upper management, as well as the individuals directly involved in the fraud. The consequences of their criminal behavior should be forfeiture of their ENTIRE wealth (all physical and monetary assets) and lengthy jail sentences. If they don't have enough money left over to buy a cup of coffee then they should not have committed fraud in the first place. They won't need money in jail anyway. And if they can no longer pay for their kids college education, well, too bad. They should have thought about their kids and spouses before they threw their ethics out the door. Many parents cannot pay for their kid's schools. I worked 30 hours per week through college and managed to graduate in four years debt free and with multiple job offers. In the long run, numerous prosecutions (as a deterrent) will save significantly more taxpayer money than trying to claw back a few billion of hundreds of billions of continuing fraud, with little or no consequences to incentivise banksters to change their behavior.
Either Bernanke, Holder, Breuer, etc. are complete idiots, which I doubt, or they are intentionally trying to scare us into submission because they think we are all morons and easily fooled.
I made this analogy months ago:
http://dareconomics.wordpress.com/2012/07/06/bloodletting/
FUK U BERNANK!
Rick is kept on cnbc to be the capitalist clown but the real joke is on the network and the nation that believes the crap they push. Think of how many "realists" on this website thought the Q4 was going to suck and just ridiculed by media types. All you had to do was go x-mas shopping to see that the media was wrong talking about how good the shopping season was. Now we find out that inventories were a reduction to gdp which means that the business community expected it to suck. FU Obammer and Ben! and double FU to the media trying to spin this as good news!
Wait, people went Christmas shopping last year?
We just passed a twenty around amongst ourselves.
Congratulations and thank you NA. You and your people generated a contribution to economic stimulus. :-)
Reminds me of this story. It's long but worth the read.
$100 Bill
It's a slow day in the small town of Pumphandle and the streets are deserted. Times are tough, everybody is in debt, and everybody is living on credit.
A tourist visiting the area drives through town, stops at the motel, and lays a $100 bill on the desk saying he wants to inspect the rooms upstairs to pick one for the night.
As soon as he walks upstairs, the motel owner grabs the bill and runs next door to pay his debt to the butcher.
(Stay with this.....and pay attention)
The butcher takes the $100 and runs down the street to retire his debt to the pig farmer.
The pig farmer takes the $100 and heads off to pay his bill to his supplier, the Co-op.
The guy at the Co-op takes the $100 and runs to pay his debt to the local prostitute, who has also been facing hard times and has had to offer her "services" on credit.
The hooker rushes to the hotel and pays off her room bill with the hotel Owner.
(Almost done...keep reading)
The hotel proprietor then places the $100 back on the counter so the traveler will not suspect anything.
At that moment the traveler comes down the stairs, states that the rooms are not satisfactory, picks up the $100 bill and leaves.
No one produced anything. No one earned anything. However, the whole town now thinks that they are out of debt and there is a false atmosphere of optimism and glee.
And that, my friends, is how a "stimulus package" works!
Rick... SHHHhhhhhhhsh!! Uncle Ben the bone-Smokin' Butthole will help our gold go to $3000!!! keep it on the down low, bro...
In short, the emperor has no cloths.
How about - the emperor has clothes, but there is no one inside of them?
what about
the emperoress....
6 years and no progress.....wow.
More like 100 years of predation.
i disagree completely, what the Bernank is doing is working 100% as planned, want proof? DOW at a 5 year high.
end of discussion.
Bernanke is doing exactly what he set out to do:
Devalue the dollar, propping up asset prices so that pensions can return a nominal amount to keep GDP positive....
....wait, GDP went negative?
Oops!
GDP down, probably the story of the day (though kind of MSM-like).
Wonder why the Tylers missed this one.
In previous decades they called what Bernanke is doing "healing the banks' balance sheets". At least that was straightforward. Quantitative Easing is Owellian Disinformation.
Of course, no amount of printed money given banks to collect a risk free spread can work now. The banks are long dead, in spite of all the life support tubes from the Fed. No one in power wants to post the obit..And most of the rest of us don't want to face it.
To embrace todays reality, is to dance with chaos.
We live within the confines of a collective fanasty. Just because you see the world as it is, does not mean that those with everything to lose will choose to do so.
Those who extend and pretend are trapped, there is no escape, there is no other option.
As bad as things seem, consider the alternative.
CNBC and all the financial networks are doing there best to ignore everything that is "negative" for the market. Bloomberg and Fox are only slightly lesser cheerleaders for this craziness. It's not going to change. This game just gets more and more exposed as the farce that it is until even these psychopaths can't stomach their own nonsense.
Of course I'm being sarcastic, I think, or maybe not, I don't know cause maybe I'm getting old, but if you want to be a real patriot, why don't you quit you're job? Go on welfare, food stamps, section 8, and anythng else the government is giving away. What would happen if everybody starting doing this? I'd guess, martial law, forced labor, FEMA camps, rationing food, health care, death panels, etc. Then perhaps the people will garner enough courage to say no more, we are the government, not you.
Change isn't going to come without sacrifice.
OMFGSTFRWTFROFLFOMCBBQ SRS!
I am debt free as of this month. I also have $600 in coins at home. I will NOT be paying any of "YOUR" debts if I can help it. I WILL continue to cash any govt cheques sent to me. I hope the system collapses TODAY. Maybe the people in debt will be the ones laughing in the end but I wouldn't want to read in the morning paper that interest rates have gone to 18% over-night.
Why do people believe these numbers yet disbelieve good numbers?
Pretty sure they can't stop printing at this point so everything is massaged (either good or bad) to justify that behavior and slow down or speed up markets. Seems like that to me at least.
Oh it's working alright.
party like it's 1999...
with the Silver Liberation Army...
at...
www.ZIRPinUSA.com
yep if GDP is down, it's bad data according to LIESman, if it was up 3%, LIESman would pull his teeny prick out and jack off on TV
It's working just fine for the banksters, Santelli, either wake up or go away!
Santelli is an eliitest blowhard.... where was the great Santelli when Paulson/Geitner/Banking elites screwed the country's treasurey/citizens with OTC derivatives, high speed trading, and unlimeted illegal short selling?
What about advocating for criminal charges for his ultra rich buddies!
He blows a lot of smoke but NEVER creats any real fire.... 'cause he's an overpaid, CNBC blowhard.
So sayeth the Fox!
Totally agree, fox. Santelli like all the rest are either dumber than rocks or a bunch of lying spineless whores.
Lol,
Nobody controls the economy you dumb bastards.
Financial markets are NOT the economy. Prices are not activity.
Bernanke is just taxing everybody, via inflation, to plug the gaping fiscal deficit. The only way to avoid the inflation tax is to get out of USD and into assets, any assets.
So as long as the deficit is there USD will sink and all other prices will trend higher.
Sort your books out you dumbfucks. What is the point of striving to earn money in an environment of negative real rates?
The US deficit is an Albatross around your necks. It's killing your economy by killing any motivation to earn and save.