• Monetary Metals
    05/02/2016 - 01:28
    The price of gold shot up this week, and silver moved proportionally. Headlines are screaming for gold to hit $10,000 or $50,000. Does this alleged new bull market have legs?

Fed Pre-Monetizes 30 Year Bond To Be Reauctioned Off Tomorrow

Tyler Durden's picture


Steven Spielberg gave us Pre-Crime; Ben Bernanke gave us Pre-Monetization. Moments ago, as part of today's concluded $1.464 billion market funding POMO operation, one of the issues purchased by the Fed was the 30 year Treasury identified as CUSIP 912810QZ4.

Why is this CUSIP interesting? Because at 1:00 pm tomorrow, the US Treasury will issue $13 billion in the form of a 29 year 11 month bond reopening. The CUSIP of the issue: 912810QZ4.

Because the only thing better than monetizing the US debt is, well, pre-monetizing the US debt.

The best part: The NY Fed's market-making (literally) desk at Liberty 33 didn't even have to pass 88 MPH.

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Wed, 03/13/2013 - 11:16 | 3325951 Popo
Popo's picture

Tyler, FYI

Today's latest from the always entertaining Mr. Farage


Wed, 03/13/2013 - 11:26 | 3326000 yogibear
yogibear's picture

Liar. He perjured himself. He needs to do some time with Bubba.

Wed, 03/13/2013 - 11:32 | 3326023 JackT
JackT's picture

Seems the aution tomorrow is $2m lighter than the pre-monitzation of the today?

Wed, 03/13/2013 - 11:40 | 3326058 Cognitive Dissonance
Cognitive Dissonance's picture

The daily vig.

Wed, 03/13/2013 - 11:54 | 3326102 BeerBrewer09
BeerBrewer09's picture

Someone please explain what this actually means...

Is this completely new (not built-in) issuance?

Are they just assuming (not very hard to) that the FED is making the purchase at this point?

Wed, 03/13/2013 - 11:59 | 3326116 I am more equal...
I am more equal than others's picture

Preposterous predetermined premonetization

Wed, 03/13/2013 - 11:42 | 3326066 Troll Magnet
Troll Magnet's picture


Wed, 03/13/2013 - 11:31 | 3326024 McMolotov
McMolotov's picture

It's true that he lied, but at least it wasn't about something truly important like steroid use in baseball.

Wed, 03/13/2013 - 11:33 | 3326028 CH1
CH1's picture

He perjured himself. He needs to do some time with Bubba.

Right, and where is Jon Corzine these days?

Bankers don't go to jail. The politicians are far too reliant on them.

The system will NOT be fixed.

Wed, 03/13/2013 - 12:15 | 3326166 machineh
machineh's picture

The Bernank might want to pre-monetize his retirement, since he's out of his ear when his term ends next January.

You know he's leaving, because the Federal Reserve is poised to lose up to $500 billion as rates rise, leaving it INSOLVENT.

Nice work, Ben! What are you going to destroy as an encore -- civilization?

Wed, 03/13/2013 - 13:18 | 3326375 DeadFred
DeadFred's picture

Hang in there. The reset starts this year.

Wed, 03/13/2013 - 14:43 | 3326810 DavidC
DavidC's picture

Which is why it WILL break.


Wed, 03/13/2013 - 11:52 | 3326092 SkottFree
SkottFree's picture

No its called executive privilege so it can not be a lie!

Wed, 03/13/2013 - 12:13 | 3326155 God Bless The V...
God Bless The Virtuous's picture

Yeah Yogi,

right in the big house!

This scumbag has a set of balls on him even Slick Willy envy's!

Bernanke, destroyer of MIDDLE CLASS working Americans!

Rot in hell you prick!

Wed, 03/13/2013 - 11:30 | 3326018 sansnobel
sansnobel's picture

And his european scum counterparts are on record saying " When it's serious, you have to LIE"  This man is nothing more than a common cockroach.    A discredit to the honest Jooos of the world. 

Wed, 03/13/2013 - 11:51 | 3326049 michael_engineer
michael_engineer's picture

I suspect that the "when it's serious you have to lie" and the "doing God's work" phrases were both bandied about in the same top level meeting of the WFed and the banking execs when they discussed how to handle the crises/predicaments facing people.

Am I right Ben?

So in summary, it' ok to lie if you think you are doing God's work.

Sounds like the same faulty reasoning many ex spouses use when they pervert justice and betray the truth, themselves, and others.

Religion is supposed to put a break on and curb sociopathic rationales like this. It would seem ironic and hypocritical for religion to be used as a justification/rationale of sociopathic actions.

Wed, 03/13/2013 - 11:56 | 3326105 mick_richfield
mick_richfield's picture

When they lie they are indeed doing their god's work.  Or at least -- the work of some divine being.

It's just not the divine being you are thinking of when you say 'God'.


Wed, 03/13/2013 - 12:17 | 3326176 machineh
machineh's picture

Their god has cloven hooves.

Pleased to meet ya, hope you guessed my name ...

Wed, 03/13/2013 - 11:42 | 3326063 madbraz
madbraz's picture

Europeans were taught the "Larry Summers school of thought" that you need to lie, lie, lie to get market confidence up.  This wisdom was probably passed by Geithner, on one of his many trips and phone calls to Europe in 2011.  That's why a great majority of our economic data is now rigged, as Obama has put Robert Rubin puppets in key places such as the Treasury, BLS etc.  No coincidence that economic data went from terrible on October 2012 (gasp, right before elections!) to wonderful shortly thereafter - a miracle!  No wonder Hilda Solis "suddenly" left the BLS to be replaced by a new shill...


Do you believe for a minute the GDP and industrial production numbers in Europe (not to mention the German "confidence" indexes, what a UMich joke!) when car sales in France and Germany now are 10% below year ago levels?  I guess the shyster "investors" JPM, GS et all do... 

Wed, 03/13/2013 - 11:41 | 3326064 DaveyJones
DaveyJones's picture

it did fall flat

Wed, 03/13/2013 - 13:20 | 3326383 insanelysane
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How did they know on March 7th that they would own this specific ID that they didn't buy until March 13th?  </sarc>

Wed, 03/13/2013 - 11:22 | 3325988 sotto
Wed, 03/13/2013 - 11:16 | 3325956 the iD
the iD's picture

your jacket is now dry!

Wed, 03/13/2013 - 11:18 | 3325957 Gordon_Gekko
Gordon_Gekko's picture


Wed, 03/13/2013 - 12:08 | 3326142 Bay of Pigs
Bay of Pigs's picture

No doubt Gordo. All we can do is smile at the absurdity of the situation.


Wed, 03/13/2013 - 11:18 | 3325962 drbill
drbill's picture

When you can't print money fast enough today, you simply print it yesterday as well as today. The possibilities are truly mind blowing!

Wed, 03/13/2013 - 11:25 | 3325997 TheAlchemist
TheAlchemist's picture

I'll gladly trade you a bond today for fiat on Tuesday...

Wed, 03/13/2013 - 11:33 | 3326030 optimator
optimator's picture

The money isn't printed, they wire money they don't even have.

Wed, 03/13/2013 - 11:18 | 3325965 pan
pan's picture

How currency is made, bitchez!

Wed, 03/13/2013 - 11:18 | 3325966 Spastica Rex
Spastica Rex's picture

Philip K. Dick gave us "pre-crime." Stephen Spielberg gave us 1941.

Wed, 03/13/2013 - 11:23 | 3325989 bigwavedave
bigwavedave's picture

You got me by 2 seconds :-) fucking wank Speilberg couldn't lick Dick's balls

Wed, 03/13/2013 - 11:25 | 3325999 Tyler Durden
Tyler Durden's picture

"A seasonally-adjusted Philip K. Dick = Steven Spielberg"


Wed, 03/13/2013 - 11:28 | 3326003 bigwavedave
bigwavedave's picture

Gotta love a guy who admits he is wrong eh?

Wed, 03/13/2013 - 18:06 | 3327741 MisterMousePotato
MisterMousePotato's picture

If that girl got a back scratcher, she wouldn't have to scratch her back on a tree.

Wed, 03/13/2013 - 11:35 | 3326037 shovelhead
shovelhead's picture

Ok. That was funny.

Wed, 03/13/2013 - 11:48 | 3326078 DaveyJones
DaveyJones's picture

Do Drones Dream of Complacent Sheep?

Wed, 03/13/2013 - 12:13 | 3326159 Orly
Orly's picture

Good one.

Let's not forget that Minority Report was a pretty good flick.  I think Mr. Mapother's best acting job to date.


Wed, 03/13/2013 - 12:20 | 3326192 tarsubil
tarsubil's picture

Funny thing. Deckard and I turned out to be replicants.

Wed, 03/13/2013 - 12:40 | 3326263 Orly
Orly's picture

More human than human is our motto...

Wed, 03/13/2013 - 11:30 | 3326019 medium giraffe
medium giraffe's picture

On a long enough timeline, everything turns to kipple.

Wed, 03/13/2013 - 11:39 | 3325967 Mercury
Mercury's picture

Who came up with this idea Jamie Dimon?  What are the chances that the WI seller covers higher? I'm guessing zero.

Let's see...printing dilutive money to buy non-existent debt for an indefinite time period to manipulate the price of money downward before the first leg of the trade causes the opposite outcome.

I think this is the synthetic equivalent of being short the USA on a when-issued basis but I have to check the math...

Wed, 03/13/2013 - 12:49 | 3326295 eclectic syncretist
eclectic syncretist's picture

Jamie Crimin, Lloyd Blankheart, Ben Schlong Bernanke, who gives a fuck who came up with the idea.  Jail the motherfucker for crimes against humanity.

Wed, 03/13/2013 - 11:23 | 3325968 Cognitive Dissonance
Cognitive Dissonance's picture

"Fed Pre-Monetizes 30 Year Bond To Be Reauctioned Off Tomorrow"

Pre-Crime a la Minority Report?

<Besides Tyler, it's already March 14th somewhere in the world.....right?>

Wed, 03/13/2013 - 11:19 | 3325972 Everybodys All ...
Everybodys All American's picture

When will the bond vigilantes decide enough is enough?

Wed, 03/13/2013 - 11:22 | 3325984 hedgeless_horseman
hedgeless_horseman's picture



Extinct.  They all drowned in the great (currency) flood.

Wed, 03/13/2013 - 11:20 | 3325976 bigwavedave
bigwavedave's picture

Tyler. Please issue a retraction. Philip K. Dick gave us Pre-Crime not some sugar coated piss-ass movie director.

Wed, 03/13/2013 - 12:19 | 3326191 machineh
machineh's picture

Schpielberg gave us Lincoln, who gave us greenbacks.

Wheel in the sky keeps on turnin' ...

Wed, 03/13/2013 - 11:21 | 3325979 Cdad
Cdad's picture

The only thing left to be revealed in this never ending financial crime wave, this full on assault against the free market by Ben Bernanke, is...as you have suggested many times Tyler...for the Federal Reserve to announce the S&P closing levels at the opening bell.

This is a complete financial market wasteland.  Thank you Ben Bernanke, Washington DC, and criminal Wall Street syndicate.   

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