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Kyle Bass Warns "There Is No Way To Protect Yourself If US Treasuries Default"
"If the politicians lead us into a 'prioritization of payments' situation for Treasury Secretary Lew or an actual missed payment, there is nothing you can do to protect yourself from that!" are the ominous words that Kyle Bass uses to describe the farce that is rapidly approaching (and for now being ignored by stocks). Bass went on to pull no punches in his "disappointment" in JCPenney's performance (and dilution) coming as close as he can to saying "sell." But his piece de resistance was a dismal destruction of any silver lining for Puerto Rico and the significant implications that will have on Muni bonds in general.
On Default risk and "Un-hedgeable" implications:
On JCPenney - "Disappointed" - "didn't belive they needed to raise the capital... and now they have diluted us over 30%"
On Puerto Rico and the threat to the entire Muni market - "you look at their finances and you can only say - I have no clue how this can exist for very much longer"
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LOL, here's your headline Fonz...
BUT, there will be no default.
You see, we are led to believe that there will be a default. It can't happen. It won't happen.
I am truly thinking of joining the Pro-Yellen bandwagon. 100 years of the Fed and the only thing to show for are a few bubbles here and there. Nothing catastrophic.
I don't think there is ever going to be a financial armageddon people are envisoning.
Go Yellen. Pump it up.
Interesting. I can think of a couple ways right off the top of my head.
I've got the biggest man crush on Kyle Bass you can have, but he's beginning to let me down.
I never understood why he would put anything into JCP and said so from the beginning.
And now saying there is no way to hedge the default? I can think of several ways, but none of them involve shuffling paper around. You'd have to be in real assets, and Kyle is there in many ways. Maybe part of the questions was cut off. I still want to love Kyle, but he is just losing me recently...
Anyone who truly believes that there will be any default on U.S. debt fails to appreciate the great kabuki theater that is the false left-right paradigm of our faux republic, and the nature of the Matrix, generally speaking.
They've already worked out a deal that will let the banking/WallStreet-MIC-CronyComrades feast on...at the expense of the actual productive class.
Criminals don't throw themselves (through their installed puppets) out of power, don't 'ya know...
"Criminals don't throw themselves (through their installed puppets) out of power, don't 'ya know..."
But pitchforks can sure prick 'em real hard!!!!!
Armed Texans to meet at the Alamo October 19th:
http://americandictators.blogspot.com/2013/10/a-call-to-action-historic-...
Puerto Rico would be a great turnaround story in the right hands. They have a beautiful coastline, potential to be a trading center for the carribean, great fishing. It is one of lifes great mysteries why Puerto Rico has not lived up to its potential. They even have a little rainforest and some elevation. It is a big job, but could be something very special. In the right hands, something very very special indeed.
Good airport infrastructure, cheap labor, bigger than all the other pissant islands, some cool history. Could be vaction land. Lots of flights. Build some big ass casino resorts with nice marinas. dont know the seas nearby, but ther is deepwater and presumably some tuna grounds. Do some big prize tourneys. It is a real diamond in the rough.
Based on my conversations, they are not all that into 51st statehood. They might be all about being an offshore confederate state though. Their flag is curiously similar to both texas and cubas.
Plus, in Puerto Rico they have all those blood-thirsty, diabolical chupacabras running around, and everyone knows how the banksters just hate competition, especially when it comes to blood-sucking.
one question, king of simpletons...
If there were no bad consequences for increasing the money supply, why do governments in good financial health strenuously refrain from the practice?
Hey ... I, too, am a simple person. With a simple question. Why, if OvomitCare is so fucking great, do they have to force people to sign up at the point of a gun?
And why did Congress exempt themselves and a bunch of other federal employees?
On Oct/09, China signed 350 billion RMB / 45 billion Euro currency swap with ECB! A new bretton wood system is coming! this is very shock news!!!!!!!!
45 billion is chump change in the grand scheme of things. Better to start small I suppose, its gotta begin somewhere. Source?
Why haven't they lived up to their potential? The place is full of Puerto Ricans!
Puerto Rican'ts apparently
We didn't think we needed to raise the capital he says, what do you mean, you went around and renovated all those stores just to keep the local economy going, now the bill comes due and he didn't think. Go figure.
It's a welfare state. They don't have any potential to live up to.
sounds like new jersey really except NJ has highways and proximity to NY so how about we let PR be and work on jersey
or ohio or oregon or michigan
Yikes! Poor choice of venue.
Grassy knoll sends a better signal....or has better "optics" as they say...
Hey, that's great, the Alamo thing. I would suggest the following reading as preparation:
http://www.rollingstone.com/politics/news/rick-perry-the-best-little-who...
Not all your problems come from socialists in Washington. But go ahead and secede, we are rootin' fer ya. No civil war this time. Kick ass going away party, promise !!
Yes, I hear that the armed Texans will be meeting in the Alamo's basement.
Since time and memorial Kings in power exist by grace. The Lord controls all, gives us free will and uses his enemies for his purpose. Christ was crucified by the greatest power the world had ever known. The same power served the Lords purpose by spreading his Gospel.
riiiiiiiiiiiiiiiiiiigggghhhht.
On the other side there is Jimmy Cliff:
They tell me of a pie up in the sky
Waiting for me when I die
But between the day you're born and when you die
They never seem to hear even your cry.
Look, a default is inevitable, whether it is an honest one or through inflation. I don't believe we'll see a default on US debt within the next ten days, though I'd welcome it. Things would suck for a while, maybe a few years even, and then we could pick up the pieces and start over. My guess is it has to get a helluva lot worse before the politicians allow the reset, though. It seems bad everywhere, but I'm confident it will get a lot worse...
If that's true, then announce the deal.
I agree it's hard to tell what's staged and what's not. But some in the House are not kidding around. Is it enough?
TruthInSunshine "Anyone who truly believes that there will be any default on U.S. debt fails to appreciate the great kabuki theater that is the false left-right paradigm of our faux republic, and the nature of the Matrix, generally speaking."hat p
Comment:
And what makes you think there wouldn't be paradigm or some other paradigm with a default?
The true left right paradigm works regardless of what happens to us, as long as it doesn't threaten them.
Can you describe what this new paradigm will be & how it will unfold?
Otherwise your statement/question is complete conjecture.
Inertia is a potent force.
Who or what is going to "undo" the present structure, structural theft - and when?
Everyone (well, most) are getting caught up once again in the pre-scripted Panem et Circenses.
edit - I don't understand why anyone is getting pissy for your stating what you did, nor for my asking you a sincere question (i.e. What will this new paradigm be and how will it unfold?).
Criminals don't throw themselves out of power, true. But factions split, and with such imbalances being fostered by the Fed et al, the time is so so juicy ripe for a faction to secretively position itself to betray and oust the primary faction
..and have the primary productive class beleive them to be heroic for doing so
Why is no one talking about how the dollar is gaining strength while we are facing default??? This is a market correction which will probably coincide with the dog and pony (debt/budget) show.
The problem Kyle has is that he's a professional who can't bring himself to get off the treadmill. The event horizon of the black hole is going to suck everything into its irresistible gravitational field and the only way to get through to the other side without getting crushed into something so small that it can't be detected without a very powerful microscope is to not have one's assets in the system.
One must pull one's chips off the table and convert them into tangible wealth not paper proxies denominated in a currency that is destined to have a few zeros lopped off it. Kyle knows this yet he plays in the (most rigged) casino (around) and gambles on crap like JC (we can't make a stinking) Penny. Gold, Kyle. Gold. Get physical and look up in ten years. You said something like that earlier this year, but it appears you may be having difficulty following your own advice. With that in mind,
This one's for you:
Kyle Bass is hedging his bets
Says gold is as good as it gets
"Just look up in ten years"
You'll avoid lots of tears
While others have drowned in their debts.
Kyle has made it clear that the best assets to own going forward are oil wells and multi family apartment complexes. So there you go. Just get yourself one of those. What's the problem?
Oil wells and apartments, yep, that's in everyone's 401k. We are fucked.
Do you think Kyle has a 401(k)?
>> Kyle has a 401(k)?
Why not? It's a huge tax dodge for the uber wealthy. Romney certainly had a huge one.
That was not a 401k. Not even close.
yeah but if you end up with deadbeat tenants...
I have literally already seen people exchanging rent-for-labor in the cities near where I live in Ca. True capitalism will always rise to the surface. (Eventually)
~"I have literally already seen people exchanging rent-for-labor..."~
It'll have to be that seeing as getting paid rent money in phony-baloney completely devalued US Dollar bills ain't gonna' cut the mustard. So is one to become a share-cropper landlord or just own the tenants' asses outright? Methinks the slumlord idea may not be such a good one. Now owning farmland for sharecroppers to come work would be a much more viable business proposition.
No one knows what the future holds, but both of the asset classes you mention have been subjected to vicious and sustained episodes of value destruction.
The world economy is a complex mechanism with many moving parts, affected by many unforeseeable events, and while it's good & well to attempt to hedge against risk of wealth destruction by acquiring stakes in the two asset classes you mention, there is no holy grail that's a "sure thing."
The inevitable boom-bust cycles inherent in an article of faith fractional fiat reserve system is a literal minefield for even the most savvy person seeking to protect & preserve wealth.
As long as a select few have the power to conjure monopoly fiat from thin air, at zero cost, and directly influence how it's used and to whom it's distributed, the economy is criminally rigged.
"Give me control of the volume of money & I care not who writes the laws."
This dude knew what the future held ~
http://ibankcoin.com/news/2013/10/08/an-amazing-number-of-predictions-co...
He has pallets and pallets of nickels. Anyone can collect those. My sister has a crazy uncle tars nickel jar for her kids.
So what's the rationale for holding a large mass of US nickels?
Will it become inflation's penny? Or?
The idea is that inflation will make the Ni and Cu content of the coin more valuable than the face denomination, and worst case, still worth the $0.05 face value. Think hoarding Ag quarters in 1963. Also based on the idea that in a currency redenomination the coins would not be revalued, thus retain their purchasing power vs printed paper fiats. While the redenomination concept is sketchy, there was a point in the last two years where the melt value of nickels did technically exceed face value by about 20%. It's a long term play at best and a hell of a weighty way to hedge currency devaluation.
sounds like Kyle lives in Texas
What tipped you off?
It wasn't the tag that said "Larue Texas- Live" on the TV was it?
yeah i know level 4 sarcasm can whiff
I ordered my oil well from Amazon. Should be here in 3-5 days! Yay!
I agree Hoof, I started losing interest when Kyle said there wasn't anything the "average" guy could do about the coming troubles.
Really Kyle. Thanks for the update. Do nothing...
Striving for self-sufficiency, in whatever form that takes, given one's passions, aptitude, skills, resources & willingness to learn & adapt, is the best hedge against loss (during busts, especially since the self-reliant are less likely to have assets that are able to be debased) and enabler of the ability to accumulate & preserve wealth.
The more valuable (i.e. in-demand & scarce) the skill(s), the better it/they will help you accumulate & preserve your wealth.
I refer to this as "in sourcing."
Kyle's long US housing move baffled the shit out of me. His only rationale seemed to be average housing bust length over the past few decades. Putting aside sampling problems, you would think it's different this time given the consumer's over indebtedness and youth's lack of jobs.
He is talking as a fiduciary to those with investment clients not usually on a personal level.
I'm more and more of the opinion that "The Plan" is for the "Economic Titanic" to sink just until the 3rd and 2nd class decks are underwater...long enough for the passengers in those 2 classes to drown...since 'bodies float' there should be enough force to provide buoyancy for the 1st Class passengers...
Hunger games, here we come. Two class society.
At least the targeting will be easy with only two classes. Yeah, I know, it works both ways, but it's better than allied factions against allied factions.
Plan? I don't think there's any "plan" other than to continue to do what they've always done. And, well, perpetual growth on a finite planet would provide the very same result: massive collapse.
"1st class" may be able to float on bodies for a while, but there will be NO rescue crafts or land (no safe harbor).
@ Seer:
Respectfully, I disagree. At the absolute pinnacle of the world, you have a handful of people who wield almost God-like power over nations, corporate empires, and organizations. Is it a stretch of the imagination to consider the possibility that these individuals collude and conspire amongst each other, in order to effect an outcome that is desirous to them? In a word, we're talking about a "conspiracy".
These individuals are also smart enough to realize the finite nature of Earth's resources; perhaps that's why "population reduction" is one of their primary objectives.
War is one way of accomplishing 'reduced numbers'...but the casualty rates aren't high enough (in their thinking). Disease is another, but it's harder to localize, and control.
A deliberately created economic meltdown, would instead create numerous social problems, affect billions of people, and if protracted enough, would cause starvation, poverty/disease, war, and high crime.
Plenty of ZH comments mention that "the top has the most to lose", as a reason that "the top doesn't want the collapse", but I think these comments most oftentimes fail to take into account that most of "the top" has "more than enough", in terms of real assets.
Their "paper losses" would be absolutely staggering...on paper.
Just as Goldbugs "still have their Gold" even after the price drops, the top "still has their real assets". Real assets are the proverbial lifeboats in our Titanic analogy, and while we both agree that the inevitable outcome is collapse, I still maintain the idea that the collapse is orchestrated, and deliberate.
@ Croesus:
Here is an explanation I was once given from someone who put on their 1% hat and sees the world. fwiw.
It comes down to what Balzac once said: “Nothing so fortifies a friendship as a belief on the part of one friend that he is superior to the other” What you do not understand is how we are totally aware of how we depend on the masses. All we care about is our own privilege, as long as we have that we could give a shit about the rest of the world, we only care about ourselves and satisfying our want for folly and one upsmanship. (http://autos.yahoo.com/photos/velvet-wrapped-ferrari-599-hits-london-str...). This is it, as long as we have that we couldn’t give a rats ass about the rest of you- all we want is for Zabars to have a minimum selection of 20 caviars (we want globalization as that means MOAR luxury goods). We do not like social upheaval- you know why? Not only does it create unpredictable consequences for our elegant system that keeps us where we are, but if you look at history, all times of even minimal social upheaval have caused social mobility- ie when the poor have sudden opportunities to become rich, and for the rich to fall from their ranks. A perfect system to us is one that limits social mobility at a pace acceptable to us. We can accept some new blood among the 1% and kick a few David Siegels out now and then (the NY social register has seen families come and go all the time), but there can be no sudden changes we aren’t prepared for. So this is why we want things running smoothly and not just from one economic crash to the next. Then let me explain to you why we will never “cull” or do away with the masses. If anything we need way, way more of them. Why would that be you ask? Because it takes 6 billion people+ just to produce the few million (the cream of the crop if you will) that we really need to keep us happy. Let me explain to this to you in statistical terms: Out of an ordinary pool of a million people from the masses: -Maybe 100 out of 500,000 women will be attractive enough to become a $1000 per hour hooker, and I don’t do less than 2 at a time. I know the Japanese are working round the clock on sex robots, but for now I’ll have to pass. Besides we still need attractive women from the masses to be our many mistresses and make us happy as we approach old age. And even if we did only intermarry amongst our 1% selves (and then you’d end up looking like Prince Charles), which we don’t, its still good to have hot women around, you know? So the masses are needed by the truckload just to produce a small ore of hot women. -Out of the 500,000 men, maybe only 10,000 would be smart enough to design a Porsche, and those babies aren’t going to design themselves… Plus when I get a disease I expect a small army working on a cure for me… -Out of the total million, maybe 10% are skilled enough with their hands to ‘handmake’ all my luxury goods. And even my mistresses, who are of the masses, demand their leather goods to be handmade. So robots and automation in factories are great, but I demand there is some artisan who personally crafts my shoes, my watch, my clothes, my car, my haircut, etc. etc. We only want the best, you see, and mass production just can never offer it by definition. Robots are never going to be able to hand restore the frescoes in my villa, or cook me a Heston Blumenthal feast of whimsy. -Then we like entertainment just as much as everyone, so we need a huge proportion of these people working in some form of the entertainment industry, because I want movies just like everyone, my kids want videogames, just like everyone. You know how big of a population you need just to get a few good looking and/or talented people that you can put on tv? -Then I hope for my childrens sake that they will have Rosie the Robot (from the Jetsons) to replace those awful maids and butlers (they judge us when they go home and then spread gossip, who wants that…) I have to hire right now to clean up after everyone. But right now I need a small army to clean up my dogshit, open my limousine door, each of us needs a stewardess of our own on the Learjet, etc etc. Just the lawn on my house requires a gardening team of 12. Again, I hope for my childrens sake the topiary can be ably performed by robots in the future, but for right now, we have to hire that gardening team to keep the trees looking like elephants. So we need 200k from the million just to be our servants and maintain our little ‘eloi’ bubble existence, until hopefully robots can replace them. http://www.youtube.com/watch?v=zYu1qW8Dctk (Preview) -Then we need a massive chunk of people just to protect us. That is why we have organized the mafia to end all mafias: law enforcement. Check mate. So we need a big proportion of those people just to staff this law enforcement network. Then I need private security. Those little punks smashed the windows in one of the beach houses I haven’t gotten around to visiting for 5 years now and so I need a security team just to watch over it… -Then you need a massive chunk of these people to staff the MIC so our system isn’t in any external danger and we keep calling the shots worldwide by ultimately resting most military power in a place where we have a good grip on it. See what I mean, pretty soon, from the million people, many are all involved in our own quest to maintain our privilege, and we understand that we depend on them to realize this. The ones that we don’t want, well that is exactly why we created the free shit army in the first place, so they can have a shopping mall to shuffle around in while we go about our 3-hooker orgies. Remember we cant have these people threatening our notion of social mobility by getting uppity, so we have to organize a whole entertainment system for them to keep them distracted, not to mention a massive political system where they can fight with each other over the bones we toss them. So you understand where this goes: http://www.southparkstudios.com/full-episodes/s05e06-cartmanland We need 6 billion people just to produce the few hundred million that sustain our bubbles (our maids and doormen, and chefs and waiters, and hookers and entertainers, our security guards, and cops and soldiers), and then we need to skim off the cream of the masses, the 10% with the highest IQs, to run our shit for us so we don’t have to (make our porsches and learjets, and our botox injections, and our handmade leather iphone cases- all of which robots can never do). So you cant just do away with the masses or else we wouldn’t get all the above, and at the same time, we can’t afford to let them get uppity (that threatens our stability). So the only answer was the free shit army, and it doesn’t cost us a cent, its actually the reverse. The more the free shit army grows from year to year, the more proportionately rich we actually become! So the detritus of the masses we don’t need we will stick in little pods just like in Wall-E. Similar to the matrix for them, except we will not be so stupid as to impose those pods on them, we will let them design their own pods, and trust me, they will come out looking just like in Wall-E.Wow, fonz, that was one hell of a post!
Dochen I know the person who wrote it would thank you for the compliment. I was just relaying their thoughts.
Awesome post fonz.
There's a whole lot of truth in those words. Had to chuckle in some parts because they described what I'm experiencing right now in my current role to a tee (commissioned R&D for a very wealthy individual who has cancer). The person is dying but it doesn't stop them playing hardball, demanding basically all the IP on four different technologies I've developed. I think they'll still be walking the Street making deals after death.
What would happen if you go on a vacation to Thailand, secretly take all your toys with you, then tell him that these technologies will be published on the internet under creative commons/GPL, or you won't come back? Tick tock, motherfucker. What does he need the IP for anyway? Does he want to leave his spawn a perpetual allowance for hookers and blow? Or maybe he is horrified at the thought of accidentally (by your hand) having a lasting positive impact of the world. Probably against his religion.
Why won't you make a few quick millions by giving him cannabis oil and call it a miracle cure you just stumble upon? That's a win/win situation since the guy will get cured, you pocket the millions while doing a quick QA on the oil for later use (for yourself and your loved ones)?
“Nothing so fortifies a friendship as a belief on the part of one friend that he is superior to the other”
Woofty. Now that is one dessicated friendship.
On second though, maybe it explains why I have so few friends (3); no drama.
Fonz - I rarely comment but that was a humdinger of a post! I laughed several times but I also recognized the overriding mentality.
Worked on Wall St for 11 years in the 1980's and met many people who had very similar mentalities but just weren't at the 1% level. They're users, protect their own and largely lack empathy. But then, you could say the same about plenty of people in the bottom 75%.
fonz - post this all over the internet and there may be a growing number of people becoming simply fed up with this BS. When the masses wake up the fireworks begin.
indygo55 - unfortunately, barring an astonishing calamity, I think it's going to take a LONG time for the masses to wake up.
Plenty of people I know still defend their politcal party of choice like a favored football team (which is to say, the defense is primarily emotional), the media and their friends tell them the real estate market has rebounded -- happy days! -- but they don't realize the weak underpinnings of it and lots more.
A favorite lyric from a great band of yesteryear, Tears for Fears, is: "nothing ever changes unless there's some pain". Alot of truth to that and it going to need to get much more painful.
Lastly, Karl Marx declared "Religion is the opium of the people". Well, it still is but another opiate has been added and has as much influence, it seems. That drug is TV.
HEY, there's a way to create the needed calamity --- kill off access to TV...that'll create a revolution. The withdrawl will be ugly, but good for ya long term!
I'm glad to see that someone gets it. Who cares what the value of fiat currency is if you own everything. New money is created all the time, land (the abillity to grow food), energy, and power are the things that actually have value. Many may argue that gold and silver also have value, but only if you have the power to protect them. In my opion the true powers that be think there are to many people on the planet. It seems the next leg down whether it be through war, inflation or Japan or all of the above will take care of part of that problem. I'm not saying I agree or want to see any of this happen, but as I often tell people who'll listen there is no way the rest of the people on the planet can live the way that we in the west have lived. Only a new energy source can make that happen and it doesn't seem TPTB want that to happen.
Nakki, this is just math. You are right in the grand scheme of it all. But, it is human nature. TPTB are just scumbags who are playing it for personal gain. It really is this simple.
@ Fonzannoon, and Nakki:
Gentlemen, there is a slim chance that you'll see this post, but I'll take that chance. I had a social engagement late last night, which is why I couldn't reply until this morning:
Fonz: First off, great post! (As usual) It captures the mentality, beautifully. The top does have a need for toys, and certain things that cannot be outsourced, simply due to the skills required in producing them. I would point out, that things, such as the "Georgia Guidestones" mention "maintaining humanity under 500,000,000 in perpetual balance with nature".
Among 500M people, surely there is enough talent, skill, ingenuity, and creativity to design the gold-plated cat litter boxes, or customized cures for ___ that some people are desirous of, no?
The point is not to completely eradicate humanity, just to bring the human population into perpetual equilibrium, vis a vis the rate of resource consumption, and environmental impact, in such a way that there is an achievement of balance, and harmony.
All the "toys" in the world, e.g. Faberge eggs, Patek wristwatches, and hot girls who are DTF, are meaningless, if there is no clean water to drink, no clean air to breathe, etc.
The tippity-top, to people like us, seem to behave with complete disregard for humanity, but I can't help wondering, if perhaps, just maybe:
They're working several steps ahead of us, and frequently 'tip their hand' as to what the next play is. WE are perceptive enough to see the game, that "so few people" even have a clue about...so maybe, WE are the "intended survivors"???
The point:
You & I, may have 1 of the 500,000,000 tickets being sold aboard the life rafts, while the average person, obsessed with meaningless distractions, continues to "head toward the iceberg", unaware of "their stateroom's proximity to the boiler room"...
Put yourself in "God's shoes":
If you had to make a choice between "who lives, and who dies", who would you choose? Would you choose "mindless drones", or would you keep "the potentially useful"?
I'd keep the smart, talented ones, if you were to ask me...
Croesus,
Moth to the flame? How to cull the herd? Maybe some new tech can melt people's brain through the Tele
Upon entry to your local fema camp, we will be given an assortment of tests to determine usefulness.
Great posts to all of you.
Uh, no. The collective effort of various "factions" amounts to nothing more than noise. People pulling one way while others do the same in the opposite direction, or left, or right, etc.. A 3-dimensional (4- dimensional really) rope pull. The end result is that there is no real control. There is no plan. This is just history repeating itself with worse and worse consequences. The passions of men never change - but technology does.
hasta have some merit, this theory: explains the inertia within the fed and congress to alter course in any meaningful way
Crazy people always have plans. Always.
Not according to Mike Tyson...
"Everyone has a plan, until they get punched in the face"...
Awesome, definitely laughed out loud there. Good reply post tbone.
The culling has to happen though.
The living float; the dead sink--at first, thus inevitably dragging down those who were supported above. Only after all have been dragged down to their demise will the decay process begin, eventuating a massive ascencion of the collective rotten corpse. Once again, those above will be supported by those below, but only for the benefit of the scavengers to pick their bones...
And ObamaCare fits right into that plan.
'Can't happen....won't happen'....yet absolutely inevitable it will happen 1 day near or far.
Would it be a default if no one was around to hear it? If the same ends were to occur -the USD becomes worthless- then wouldn't that be the same as a default?
It happened slowly, then all at once...
Either the currency collapses or the government.
And the choice is up to the government (more accurately, the ruling Elite, of whom the gov is but a puppet). Hmmmm.....
King of Simpletown
when you ride your bike you're supposed to use a baseball card to make the rad sound of clickety click in the spokes, not your lips
Apparently king doesn't grasp the level of evil and deception the banksters and Obama are capable of....
The Stock Market Crash of October 18, 2013
I went to Puerto Rica once, I got the first plane back to the States.
No one had told me, the whole place was overrun by Puerto Ricans.
That's because you are like every other American tourist you got scared by what you saw. If you had spent some time there and got to know the locals you would have a different opinion. Most Americans fly into SJU and go right downtown to the Condado. They never see the beauty of PR. I bought my fresh fish from the guy under the tarp in Fajardo and my pollo from the women on the side of rte3 in Rio Grande. The fish was caught that morning and the chicken was plucked hours before I bought it. Americans are nieve to real living. If they don't buy their 8 day old fish in safeway then their not comfortable. I was in Peurto Rico the last time the funding stopped under Bush and guess what? Nothing happened other then the corporate owned Hotels like the Conquistador almost shut down. Once the tourism dropped and the American owned Corporate Hotels that were backed by Wall ST. started plummeting the money came rolling in. Funny how that works? When SHTF I would much rather be in PR then Cali...Bitchez
Zorba's comment was very funny - and any location could be subbed
but what tahoe says is true - PR is a wonderful place (crime notwithstanding) some of the best diving in the Caribbean on its south coast
Thank you Zero for seeing my post for what is was, just jest, but please don't ask me about
my trip to Africa.
I go to Puerto Rico every year for the last ten years.... Please do not go there. I think the Bahamas are better for Americans. No, better yet go to South Beach. Leave that nasty ass Rico for the peasants. They will steal your children there. Oh, and I think I saw Francis_Sawyer there.
Let's see... I can't vote in the general elections, but I don't have to pay taxes. All you quants, do the math on that one.
Fuck me running.
I think I know what the main problem with Puerto Rico is....but I'll let you guys toss your ideas my way and I'll tell you whether or not I concur.
That's not very sly of you. But by all means, continue to let others speak for you.
Main problems...let's see...
1) They cost like a welfare state but don't pay taxes like a US state
2) It exists in the fuckin' Caribbean...it's hurricane fodder which gets FEMA involved
3) The population has already learned generational welfare dependency
How's that?
I think its becoming pretty clear to even the professionals that this market is fucked.
I think we're at the point they could announce $50 trillion new QE tomorrow, and it wouldn't make much difference at all.
They should do it... just for the lulz of it.
And we might as well raise the credit limit to 50 trillion. We need to force them to cast off all illusions. Allowing this "big fucking lie" to continue is enabling these fuckers to have their way without accountability. They will just keep saying all they need is a little more. We have seen the debt double in a very short time and it was always just going to be a little more. If the conservatives can't stop it for what ever reason then they should just let go of the rope. Every attempt to stop it has only strengthened these asshole's hand with the compliant help of the press. We will just have to let it burn down with them holding the box of matches. Its going to hurt alot and for many of us we will never see any benefit from it, but it is our responsibility. and it still probably won't work.
What's becoming clear is that the "professionals" can no longer hide the man behind the curtain... (no one can be fooled any longer)
Probably because what's behind the curtain isn't a man.
I like how the empty headed host misunderstood the ominous tone and still advocates going "all in". What a NeoMaxiZoomDweebie!
I wonder if the false flag terrorist attack and/or bad guy somewhere gas attack on a a bunch of children, compelling both sides to come together and raise the debt ceiling by infinity to defend freedom, happens before the fake deadline, or just after. I'm leaning on just after so they can get some good clips of Cramer screaming about the end of the world on YouTube first.
Maybe they should stage a false flag nuclear bomb attack on Puerto Rica, and
kill 2 birds with 1 stone, so to speak.
Takeaway: Kyle is camping out in Texas. Hmmm...
Pretty sure that was a moat behind him and if I'm not mistaken thought I spotted a few maginot line sunken turrets in the background.
Bass, hmmmm you are what you eat!
"All the money you're going to have is under your pillow."
What a strange place to keep your phyzz Kyle lol.
Bet he has a rottweiler named Pillow.
This man is seriously wealthy, so you have to think bigger. A rhinoceros named Pillow, perhaps. I just wonder how he got Pillow to eat a million dollars worth of nickels, though.
If you listen to it again, pretty eerie.
If x, y, and/or z happens... "Ya, all the money you`re going to have is under your pillow."
He's basically saying, everything is gone... banks etc. Except for whatever you've got in hand. (Phyzzzzzzzzzz included)
Yes, yes, it's a riddle! "Money under your pillow" means "like the Tooth Fairy", because she does not exist!!!
I guess were screwed then because with close to 160 TRILLION in total debt obligation backed by a 700 TRILLION dollar derivative ponzi scheme any science rocket knows this isn't going to end well...
It's not the end that were worried about. It's living through hell till we finally arrive
9% funding of pensions. Clearly in trouble, yet if they were a bank and levered 10:1, we'd call that healthy.
That's because the bank is earning interest on 10 times their deposits, v. the pensions earning interest on 1/10th of what they're supposed to have on hand.
Doesn't matter, both are equally fucked when it goes down. The difference is the upper management of the banks already knows this and will retire to comfy estates outside the US, while pensioners will wake up one morning to find they can't afford a hearty dinner of meow mix.
They will retire in Puerto Rico
To be fair, Meow Mix is a rather high-end option. There are plenty of more cost-effective dry cat food alternatives.
Add a little water, like they used to show on the old commercials and it DOES "make it's own gravy"!
Kibbles 'n' Snouts?
Nothing beats a fresh plate of Chop House Originals-Filet Mignon.
Best I have found and believe me sonny I have tried them all.
Interesting what Dr. Paul Craig Roberts has to say.
http://www.youtube.com/watch?v=ui4wTYyDNRA&feature=player_embedded
If there was only one person that I had time to listen to or read it would be PCR.
Kyle Bass will be among the first in line to buy the distressed debt for pennies on the dollar, whatever that is worth.
But there IS a way to easily protect yourself from all this paper/cyber-$#!+ defaulting.
After buying non-perishable food, steel & lead and Mad Max supplies, convert excess financial assets into gold & silver bullion, in your gun safe (surrounded by steel & lead) and in different offshore vaults outside the banking system!
Everyone talking thier book. No wonder it is all doomed.
I'm a big fan of Kyle Bass however he is totally smoking the JCP hopium pipe now that he has skin in the game. I can't believe he fell into a Cramer trap? And as far as Puerto Rico goes? They have a total underground monetary system that doesn't include taxes. Having spent alot of time there, I can honestly say that Puerto Rican's will be much better off then most Americans when shit hits the fan!!! They have a network they live by which takes care of each other. America on the other hand will be in total Chaos, meanwhile the Puerto Ricans will still be enjoying the same quality of life they always have...SIMPLE
My guess is that Kyle is already long gone in JCP, having taken his hit- he didn't bother with any forward take on it- sounded more like he was just venting about the dilution screwing- no one with half a brain is gonna continue to ride this turd down.....
Listen Kyle is the fuduciary for UT and had them take physical possesion of their gold. I think he is telling you how to hedge a default, look at his actions!.
Hecho in Puerto Rico.
Odd how they selected Puerto Rico to trial the original contraceptive pill...
Perhaps there was no legal liability if it turned out badly,class-action lawsuits,etc.
Lets see : Tourism,Yankee aerial bombing range they keep missing,airbases?
Kyle is correct: after muni-defaults happen bigtime,they won't be able to fund themselves.
Also,the police and fire guys will have to negotiate,otherwise bankruptcy and all contracts
are up for renegotiation,pension funds are screwed.Nice climate,pretty women when they
aren't slicing your willy off (John Wayne Bobbitz),and the occasional hurricane...
Might need a modified chastity belt. A BUTT BELT.
No Japan Talk?????
Puerto Rico?
Never too late to give it back to Spain.
Return it to the Puerto Ricans, even better in my opinion. The kosher nostra stole it from them with the aid of their American and European political patsies.
Of course, the IRS iis headquartered there....right?
I wonder what holdings the Vatican has there.I am sure they lost big in Cuba,and the mob (US Mafia) lost big as well.
Funnily enough these big leaks and disclosures,Julian Assange,Pfc. Bradley Manning,Edward Snowden,have a historical counterpart not many people have touched on. During the 1917 Bolshevik revolution the secret treaties of the Tsar and the European countries were exposed and a resourceful journalist on the scene recognized a scoop when he saw one dropped in his lap.This should be included in any collection of major "non-events" for the 20th century.
Being a lil ol colonial, unsophisticated in the ways of the ol' world, I still say this:
End the Fed.
End the Monarchy.
End the Vatican.
G'luck to you and yours. The Fed-Monarchy-Vatican and their hofjuden axis of evil should end, the sooner the better, in my opinion.
I want the Constitution and Bill of Rights, not some back-stabbing old world triumverate which has failed miserably in every land it occupies, except that it enriches most its own leaders and bureaucracy.
No disrespect to Pope Francis, the Jesuit General, now trying to clear up the mess.
There's the blurb on Puerto Rico I was looking for. I said it would take 24 hours for it to show up here.... I was wrong. About 36.
Detroit with warmer weather and many times the debt. Lots of Muni funds hold it, too. Yet, it won't get the coverage of Detroit because..... I dunno. Further away? Nobody knows it's even part of the US?
Texas will be producing ten million barrels of oil a day probably within a year. amazingly "that will still not be enough" (though it should cover Texas just fine.) closing coal mines is the "canary in the oil patch" to me. these things are hugely expensive to start up again...but the price at the meter hasn't moved one penny. the reason is the massive increase in natural gas production "which has only just begun" and obviously the already huge use of renewables in the USA and their increasing use "at the margin." natural gas prices have already collapsed...certainly recovered dramatically...but i think are about to head south again. DC could "unleash the Kraken" and allow for exports of oil and natural gas...that would probably triple the price of natural gas overnight. hard to tell with oil...but Venezuela is currently hyperinflating (amazingly in my view) so that says to me "more product no matter what." they do have the world's largest oil reserves. as with solar which is capping prices at the meter...so i think it's true with Venezuela and oil...but we'll see. natural gas is a whole nother story of course so we'll see.
ten million barrels of oil a day ( I find that very exaggerated, but even assuming its true) ... and 100000 rigs to do it...with a depletion rate of 80% over five years. That is the math of the equation. As for fracking gas...its the same and it only gives as sidestream condensate at best.
Good luck with trying to sustain that. According to some studies the current production of shale oil of 800000 B/D will drop to 450000 B/D in three years assuming the SAME number of rigs, from Permian, Eagle Ford and BAkken.
So to keep up that type of performance on a sustainable basis Texas will need a Mongol army of "drill baby drill" rigs n soldiers.
PS : the current production of US oil is less than ten million B/D, and its depleting at 3-5 % from conventional wells.
Yellen is the new face for the old tactic: QE to infinity and beyond. Her money masters at the privately owned Fed will be pleased in their usurious way, and so will the politicians who love to spend other people's money - while they insider trade and remain exempt from Obamacare$, and the other norms of this morally and financially bankrupt U.S. government/Fed whose only safeguard is that it is less ugly than other regimes in the world...at the moment.
Sorry 'bout your losses, Kyle. Win some. Lose some. Keep stackin'
Mine IS under my pillow. I'm invincible!
http://www.youtube.com/watch?v=ILKolTI1s50
Kyle Bass says Obama admin official told him "We're going to kill the dollar"
Believe it. Yellen will finish off the job begun in 1913 with the founding of the Fed and federal income tax (both unconstitutional).
The $ has lost more than 98% of its purchasing power since then, but usurious debt has kept the dream of endless riches for central banks and their appointed politicians alive.
Now that they have drained the life out of the host, their parasitical central bank cartel shifts to the East to perform the same tricks.
Maybe Yellen will be the last fed chairWOman before this ponzi scheme ends
Is a $ worth more today than it was, say, 20 years ago?
Right....we have had ongoing default for decades....sometimes it moves quickly and catches our eye, but mostly it moves slowly but inexorably along.
I beg to disagree "silver bitchez"
Silver For The People
Physical gold, silver and other hard assets or goods that can be bartered or swopped for cash in the local communities. The Fed is in the final stage of its 100-year plan. Its owners have moved their core interests to the East; the parasite has found a new host.
Personally, I'm relieved. I'd rather return to a working constitutional republic, and the Bill of Rights, rather than this bull$hit: cajoled, coerced or blackmailed CONgress selling out for its thirty pieces of silver. Judas.
And the irony of that? The USA is still the only country on earth that can water, feed and house itself without imports if needs be.
So I am looking forward to the end of the Fed in all its forms. G'bye, and don't let the door hit your ass when you depart to Israel, and other Eastern places.
I think you might find that without cheap oil it is not so easy to feed ourselves. With a 20-year leadup, maybe, but overnight? Forget it. Mass starvation as soon as the trucks stop running, which will be about 3 days into commercial collapse.
Hitler will annex canada.