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Things That Make You Go Hmmm... Like The Freaking Fed

Tyler Durden's picture


The Fed has painted itself into an almighty corner with QE, and it looks as though we are finally getting to the point in the process where that fact begins to (a) occur to people and (b) matter.

Bill Fleckenstein has often spoken about the Fed's reaching the point where it "loses control of the bond market", and it is quite possible that we are rapidly approaching that point (the signs have certainly been strong in Japan). We may be there already. We won't know until we can look in the rearview mirror, I'm afraid; but the nonvirtuous circle the Fed has created is extremely clear:

The simple truth, as you can see from the diagram above, is that the economy and the markets are now 100% dependent on the largesse of the Federal Reserve to sustain them. What you CAN'T see from the diagram is the scary proposition that the Federal Reserve in turn is entirely dependent upon hope to get itself out of this unholy cycle.

The Fed is hoping (as are the ECB, BoE, and BoJ) that the economy recovers sufficiently through massive stimulus so that the recovery will be "self-sustaining"; but, as can clearly be seen by the action of the markets in recent weeks and months, that strategy (such as it is) appears doomed to failure.

Fortunately, Obama has finally been left with just nominated Janet Yellen as the new Fed chair, and she can be relied upon to continue Greenspan & Bernanke's work in conjuring unlimited free money out of thin air

Which is great for the status quo, but if we take another look at that chart of the US 10-year Treasury yield again, we see something that ought to set alarm bells ringing...

The retracement of interest rates AFTER the Fed's refusal to follow up their tough talk with a Taper has been far less marked than the rout that ensued after the subject was first tabled; and that spells trouble, because the housing market — the engine of the US "recovery" — cannot stand higher rates without being choked off...


Well, Janet Yellen might well confound everybody and launch the Taper as her first order of business. Or Buysenberg may even begin it as his last act in power; but either way, the market will now likely call the Fed's bluff, because it knows that the gun hanging on the wall in the shape of the Taper is not guaranteed to be fired. It may even turn out to be completely superfluous to the narrative; and if that is the case, then chances are it will never be fired.

Just as Walter White's honest intentions in trying to protect his family ended up trapping him in an ever-worsening spiral where countless millions of dollars only made his situation worse, Ben Bernanke is in a similar prison of his own making.


The Fed realizes the truth of that — hence the abandonment of both the Taper and their own credibility — but their chances of averting catastrophe are receding daily.

Full Grant Williams Letter below...


Ttmygh 14 October 2013


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Fri, 10/18/2013 - 18:59 | 4070586 kw2012
kw2012's picture

Yep! the whole stupid premise of this is, as long as the Fed supplies excess liquidity, that eventually something NEW will come along and grow the economy so much faster that the Fed can end QE without any pain. That's never going to happen. EVER. 

Fri, 10/18/2013 - 19:04 | 4070602 localsavage
localsavage's picture

But ........the NAR says that now is a great time to buy

Fri, 10/18/2013 - 19:10 | 4070621 Spastica Rex
Spastica Rex's picture

Buy shares in a cold fusion company.

Fri, 10/18/2013 - 19:35 | 4070694 Manthong
Manthong's picture

Isn’t there an extra-terrestrial race out there somewhere that likes homo-sapiens tartar, to whom we could trade our immigrants, indolents, criminals and federal workers in exchange for gold pressed latinum, dilithium crystals, Cheetos or something else of value for?

Fri, 10/18/2013 - 19:47 | 4070731 economics9698
economics9698's picture

Five years, 1716. 1717, 1718, 1719, 1720, 1721, 2008, 2009, 2012, 2011, 2012, 2013,  It's on soon.

Fri, 10/18/2013 - 20:04 | 4070782 Spastica Rex
Spastica Rex's picture

Then can we send the space cowboys out to slaughter the space Indians?

Fri, 10/18/2013 - 20:11 | 4070794 El Vaquero
El Vaquero's picture


Fri, 10/18/2013 - 20:15 | 4070811 BigJim
BigJim's picture

Guys, guys, you GOT to read this - Larry Summer's review of Greenspan's new book in the FT:

I've never had such a strong urge to pull my own eyes out.

Fri, 10/18/2013 - 20:22 | 4070828 Spastica Rex
Spastica Rex's picture

Eewww, nasty.


Fri, 10/18/2013 - 20:52 | 4070888 NoDebt
NoDebt's picture

Banks hooked on constant Fed liquidity flows

Leeches, including the well-connected rich, hooked on government bennies of all manner and description.  EBT cards for the poor leeches, carried-interest exemptions for the rich leeches.

Big, influential corporations hooked on government largesse.

The government hooked on artificially low rates and the Fed's printing press to cover their deficit-spending asses.

I don't want to hear any bitching and complaining when this all stops going so marvelously.  I'll have little sympathy.

Sat, 10/19/2013 - 00:24 | 4071240 economics9698
economics9698's picture

Go to the supermercardo, it's there for you to see.


Sat, 10/19/2013 - 06:40 | 4071410 CheapBastard
CheapBastard's picture

I'm glad we don't need things like  'production' and 'manufacturing' anymore. I hate working.

Sat, 10/19/2013 - 00:34 | 4071227 Radical Marijuana
Radical Marijuana's picture

For sure, BigJim!

One of my favourite books about the paradoxical self-referentials regarding "the map and the territory" was Douglas Hofstadter's Gödel, Escher, Bach: An Eternal Golden Braid.

See also:

In the end, we are self-perceiving, self-inventing, locked-in mirages that are little miracles of self-reference. ”   Douglas Hofstadter, I Am a Strange Loop


What is crucial to understand Greenspan's new book is that it is about almost INFINITE TUNNELS OF DECEITS, that are self-referentially about deliberate ignorance towards the fundamental fact that the Federal Reserve Board is based upon the triumph of organized crime, taking over the government of the USA, in order to legalize FRAUD, in the form of privatizing the public money supply.

As already pointed out by Zero Hedge:

Theater Of The Absurd: Greenspan Writes Book On Economic Forecasting


 Greenspan, like Bernanke, and now Yellin, are figureheads for the greatest scam in the history of mankind! For a somewhat over-simplified, yet entertaining, animated explanation of that, see:

The Biggest Scam In The History Of Mankind

Greenspan was a spokesman for the MOST EVIL and DELIBERATELY IGNORANT social institution that has ever existed in human history, while Larry Summers was already tainted by being too demonstrably corrupt and crazy to be able to take over the symbolic figurehead role for that institution, which then defaulted to being Yellin.

Tearing one's eyes out, of course, resonates with the Greek tragedy of Oedipus Rex! That evil self-fulfilling prophesy most appropriately describes the Federal Reserve Board, as the most astonishing example of the Bizarro Mirror World there has ever yet been! The figureheads of the Federal Reserve Board are symbolically the most deliberately ignorant people on planet Earth, and the only ones that are more evil than those who actually filled that role are the ones that were too evil to be able to fill that role!

Sat, 10/19/2013 - 07:02 | 4071427 mvsjcl
mvsjcl's picture

The truly evil ones don't accept any public role. They shun the limelight with the same vigour that vampires exercise in avoiding sunlight. What vile fucking creatures they are!

Sat, 10/19/2013 - 12:47 | 4071798 emersonreturn
emersonreturn's picture

RM, thank you for An Eternal Golden Braid.  as well as your insights.

Sat, 10/19/2013 - 08:50 | 4071517 falak pema
falak pema's picture

Birds of a feather to be tarred together by history! 

TO pick up on the Oedipus theme: 

These guys are like the mad king who have been irked by his people claiming he change his despotic ways, tore out their eyes and subsequently derided them : Have you no eyes to see what catastrophe awaits you in the real world?

Adding insult to injury, just like this book and the laudatory review of fellow conspirator! 

Fri, 10/18/2013 - 20:29 | 4070842 logicalman
logicalman's picture

Just give 'em space blankets infected with intergalactic pox.

Fri, 10/18/2013 - 20:33 | 4070850 El Vaquero
El Vaquero's picture

Or wipe out the space buffalo so that they starve to death.  But not before trading worthless trinkets for their sectors. 

Fri, 10/18/2013 - 21:02 | 4070902 Debt-Is-Not-Money
Debt-Is-Not-Money's picture

Watch out for those space herpes!

Fri, 10/18/2013 - 23:28 | 4071194 asteroids
asteroids's picture

Ben is praying ... "and then a miracle occurs"

Fri, 10/18/2013 - 23:26 | 4071192 MiltonFriedmans...
MiltonFriedmansNightmare's picture

Not necessarily implying an extraterrestrial origin, but there are those who believe that what you make reference to is the so called big brain species.

Sat, 10/19/2013 - 07:48 | 4071458 grid-b-gone
grid-b-gone's picture

The list of non-essentials was beta tested recently. Project Logan's Run is good to go. 

Fri, 10/18/2013 - 19:43 | 4070723 Running On Bing...
Running On Bingo Fuel's picture

How about, start a mega health care company. Force the people to buy into it or they will be jailed.

We need momentum. Any momentum.

Industrial revolution
Technology revolution
Healthcare revolution.

Get it?


Sat, 10/19/2013 - 05:19 | 4071377 falak pema
falak pema's picture

cold fusion is italian spaghetti served cold. Awesome trying to unwrap that mess. Needs to be heated up and then it all goes soggy! 

Thats the trouble with nuclear : too hot or too cold! And it sizzles toxic.

But I get the gist of your thrust,  why boil water with fission when you can cool ice with fusion. 

Hot spots make you sweat, cold spots make you freeze to death. WHy can't we have a blond spot with the eyes of black jezebel to make our energy go that is poetic, even tho I burped it.

I am drunk on the energy thread, I do admit to that addiction. 

So who was that greatest american writer of all times?

Was it Burrows, Salinger, Kerouac, Capote or John Galt's lover?

If its Ayn gone randy your choice I'll need a lot of salt to buy that. 

Sat, 10/19/2013 - 09:21 | 4071543 StychoKiller
StychoKiller's picture

My vote goes to Herman Melville

Sat, 10/19/2013 - 11:22 | 4071706 falak pema
falak pema's picture

appreciate your comment in the doom n gloom of ZH drowning in TP withdrawal pains. Oh the feeling of hangover after the free for all in COngress fisty cuffs, Gop looking like Sonny Liston or George Foreman after being "lipped".

Well so be it, good ole Moby Dick was an awesome read! The great white whale; sounds like the FED printing to infinity.

Sat, 10/19/2013 - 12:46 | 4071793 Spastica Rex
Spastica Rex's picture


Sat, 10/19/2013 - 16:28 | 4072164 layman_please
layman_please's picture

"Buy shares in a cold fusion company."

as long as petro-dollar exists every major breakthrough in energy industry is a matter of national security and just won't happen.

Fri, 10/18/2013 - 19:13 | 4070632 TheFourthStooge-ing
TheFourthStooge-ing's picture


But ........the NAR says that now is a great time to buy

Sound the klaxons!

Fri, 10/18/2013 - 19:11 | 4070626 xamax
xamax's picture

How many S&P500 points did u miss, 600,1000??
Dont fuck up the nice party please!!

Fri, 10/18/2013 - 20:22 | 4070829 Lewshine
Lewshine's picture

Uh huh....why do I get the feeling that 10 years from now when the Dow is resting at 120,000, we are still gonna be asking these same questions?

The fed threw a party for 6 years and only those stupid enough to come have now become the top .001%.

It doesn't pay to be wise and discerning.

Fri, 10/18/2013 - 20:54 | 4070891 NoDebt
NoDebt's picture

"It doesn't pay to be wise and discerning."

It never does in a kleptocracy.

Fri, 10/18/2013 - 23:45 | 4071217 infinity8
infinity8's picture

One of you guys shoot me now.

Sat, 10/19/2013 - 01:03 | 4071263 Yenbot
Yenbot's picture

Hand that man a gun...

Fri, 10/18/2013 - 19:02 | 4070595 Landrew
Landrew's picture

I am  beginning  to revert to the 2009 thought, stop listening and prepare for the worst. Bring out your dead, bring out your dead!

Fri, 10/18/2013 - 20:56 | 4070894 NoDebt
NoDebt's picture

Preparing for the worst is not something that you should do only when the mood strikes you.  It's a discipline that you practice every day.  It need not occupy your entire waking day, but it should occupy some part of every day.

Fri, 10/18/2013 - 19:05 | 4070607 deflator
deflator's picture

 All they are doing is managing terminal decline with a, "we will muddle through" strategy. They have no hope of economic recovery because they know it is impossible.

Fri, 10/18/2013 - 19:14 | 4070635 surf0766
surf0766's picture

They have allowed their friends to move all their cash/ other into safe places. When they beging to tell the truth and everyone calls bullshit you will know we are close.

Fri, 10/18/2013 - 19:52 | 4070744 JR
JR's picture

They say all politics is local but for multinational corporations paying taxes, it is not local. Case in point, giant Silicon Valley multinational corporations such as Google and Apple are knee deep in California politics, helping with its far out cultural changes and its tsunami of Third World immigration; but when it comes time to pay the rent (taxes), their profits as much as possible are parked offshore.

When it comes time, protection is available for these giants but when it comes time to help with the country’s finances, these multinationals are busy lobbying Congressional offices for every break available.

Meanwhile, the Federal Reserve makes up the slack caused by its friends, as you mentioned, with a printing press, courtesy of the stored labor and estates of the America people.

America’s tax system and its IRS need a major overhaul. And the people need to begin by ending the Federal Reserve.

Said Forbes in August, “Six of the biggest names in technology — Apple, Microsoft, IBM, Cisco Systems, Hewlett-Packard and Google – ranked in the Top 15 of the 100 publicly-traded companies (as measured by revenue) with the most money held offshore, according to a new report called ‘Offshore Shell Games’ by U.S. PIRG, a federation of public interest research groups.

“Many large U.S.-based multinational corporations avoid paying U.S. taxes by using accounting tricks to make profits made in America appear to be generated in offshore tax havens—countries with minimal or no taxes,” the group says in its 35-page report on the legal loopholes used to shift profits offshore. “By booking profits to subsidiaries registered in tax havens, multinational corporations are able to avoid an estimated $90 billion in federal income taxes each year. These subsidiaries are often shell companies with few, if any employees, and which engage in little to no real business activity.”

The Top 15 companies for 2012 are: General Electric, Apple, Pfizer, Microsoft, Merck, Johnson & Johnson, IBM, Exxon Mobil, Citigroup, Cisco Systems, Abbott Laboratories, Procter & Gable, Hewlett-Packard, Google and PepsiCo. Together, they held $776 billion off shore through a combined 859 tax haven subsidiaries.” …

Here are some of the other findings from the report, which says the use of tax havens is “ubiquitous” among the 100 companies it studied:

• As of 2012, 82 out of the top 100 publicly-traded U.S. companies operated, collectively, 2,686 subsidiaries in tax haven jurisdictions. …

• Only 21 of the top 100 disclose what they would expect to pay in taxes if they didn’t keep profits offshore. “All told, these companies would collectively owe over $93 billion in additional federal taxes. To put this enormous sum in context, it represents close to the entire state budget of California and more than the federal government spends on education.”

• The 15 companies with the most money offshore hold a combined $776 billion overseas., which is 66 percent of the approximately $1.17 trillion held abroad by the 100 companies studied.

• The average tax rate these companies currently pay to other countries on this income is just 6.9 percent, well below lower the 35 percent statutory U.S. corporate tax rate. …

You can find the complete report here or read it below:

Fri, 10/18/2013 - 21:09 | 4070918 Debt-Is-Not-Money
Debt-Is-Not-Money's picture

I wonder how much $$$ these top 15 corporations bribed (oops-I mean donated to their campaign accounts) the congresscritters to get these loopholes passed?

Fri, 10/18/2013 - 22:18 | 4071067 Yen Cross
Yen Cross's picture

  J.R. , My best to Sue Ellen.

I've known you since 2009-early 2010. You were instrumental in developing my currency trading.

  Why, with you're diverse education , do you waste your time on such menial/servile matters?

Sat, 10/19/2013 - 01:27 | 4071279 JR
JR's picture

It’s because, in this case, Yen, Silicon Valley and Hollywood have taken captivity not only of California but of the Democratic Party and, thus, America.

It’s a story, as Matthew Continetti puts it, “about politics and power in the golden land, and it begins with the money."

It’s a story of “money so big that more of Obama’s 2012 campaign haul came from California than from any other state, where contributions from the Los Angeles-Long Beach metro area were behind only those from Washington, D.C., and New York City, and the president has drawn ideas and resources and personnel from Hollywood and Silicon Valley.”

It’s the story of the Democracy Alliance, “a secret, invitation-only organization of liberal moneybags that since its formation in 2005 has directed some $500 million in contributions to progressive groups,” with currency speculator George Soros perhaps its most famous member.

Continetti’s got it right when he says that “the dream factories in Los Angeles, California ought to have a reputation as the financial and ideological epicenter of Barack Obama’s America.”

It’s a mutual admiration society that needs exposing, an arrangement whereby one side makes huge political contributions and the receiving side awards back massive largesse from the taxpayers’ treasury as well as lucrative worldwide connections.

You know, like Jeffrey Katzenberg, the Hollywood mogul who in 2012 donated or raised more than $30 million for Obama, personally donating $2 million toward the production of ads accusing Mitt Romney of causing a woman’s death from cancer, and in return received “for his support of the president” a “$430 million tax break for Hollywood studios as part of the fiscal cliff deal, and White House support for a distribution deal with China that would open the dictatorship to additional Hollywood blockbusters.”

And when Chinese leader Xi Jinping visited Washington, D.C. in 2012, guess who “scored a seat next to Xi at a State Department luncheon” – Obama’s $30 million bell cow, Katzenberg.

And don’t forget it was the Google Factor, using its power of insider captured information in the Arizona presidential election, that threw the electoral vote to Obama.  Google provided the profiling information to the Democrat Party that would identify and link campaign workers on the ground to the Obama voters not likely to vote and get them to the polls.

In short, California, where Google rules foremost in Silicon Valley, is the connection to the Democrats’ political power. That’s where Obama gets his money for re-election; that’s where Feinstein and Boxer, two of the most dangerous senators in Washington, get their money.

The connection starts with the money in the Bay Area and Silicon Valley and on to Hollywood.

There’s no way to beat these people until the nation disallows government-connected monopolies the likes of Google – who trample grassroots support in elections, don’t pay their share in taxes, and yet determine the political and cultural direction of the nation.

If you want to read Continetti’s full article in The Washington Free Beacon, it’s here…

Sue Ellen says thanks, Yen, for all the good times. And hopes you're enjoying your new digs.

Sat, 10/19/2013 - 04:28 | 4071367 falak pema
falak pema's picture

thats a pretty one sided picture of Corporate America and the time line  of Crony Democratic party elitist cabalism in California.

I could tell you another story that begins with Nixon and continues with Ronnie and the Bushes. It involves the MIC and the oil lobby and is centered around the names of Bechtel and Bohemian Grove and Yale and skull & bones. Its about the great Bush Machine and Houston and Midland and K's assassination mystery. Its about big oil and how the GOP cornered the Saud connection and Halliburton and Enron and Carlyle became their lead brand names.

Its about the two Kochs of Kansas, today. 

Its about a disease the world has seen since Pax Americana went global under Nixon's MIC/OIL/Petrodollar banking via BW revoke. Its about WS shenanigans under Ronnie and Bush's NWO leading into China delocal and ZIRP bubble. Thank you deregulation and greed is good.

That Clinton joined that wagon, that the Dems under him and Silicon and Hollywood "cut and pasted" the "all the king's men" scam of Watergate MIC cabalistic type crony collusion, is an evidence.

Democratic USA as lead player of Pax Americana went as crony corrupt and entitlement crazy as GOP USA was MIC and WS finance crazy.

So its the same thread and now red and blue mean the same thing : Corporate CP and FED cornered into print to infinity or its goodbye.

You forgot Donald Segretti and the "rat fucking" in California, JR; it all began under good ole Nixon. 

Sat, 10/19/2013 - 08:44 | 4071509 g'kar
g'kar's picture

I'd go farther back to Woodrow Wilson in 1913. Federal Reserve, Income Tax, 17th amendment.

Sat, 10/19/2013 - 11:57 | 4071744 depression
depression's picture

The Tea Party Extremists are destroying America... get back on message will ya... sheesh

Sat, 10/19/2013 - 11:03 | 4071691 Winston Smith 2009
Winston Smith 2009's picture

JR, you have nailed the core problem.  When money is "free speech" and every level of government is so dependent upon that money to successfully navigate our insanely long and mainstream media dependent nomination and election process, multinational corporations that are loyal to no nation will capture the legislative process. Without an educated citizenry to see through this, this will endure forever. 

Sat, 10/19/2013 - 11:32 | 4071721 dogmete
dogmete's picture

No, the IRS doesn't need an overhaul, it needs to not exist.

Fri, 10/18/2013 - 20:31 | 4070848 logicalman
logicalman's picture

They don't care about recovery - they just don't want to be blamed for the upcimig disaster.

Sat, 10/19/2013 - 08:02 | 4071467 grid-b-gone
grid-b-gone's picture

They "have no hope of economic recovery.."

There are actions that could reverse the trend of decline, but they involve shrinking government, reducing money from politics, and working toward a more even distribution of wealth. 

Mr. Potter isn't suddenly going to give George Baily and the Building and Loan Company a level playing field.

Fri, 10/18/2013 - 19:08 | 4070615 xamax
xamax's picture

What are these stupid charts??
Want NFLX @ 500 and TSLA @ 300 by year end

Fri, 10/18/2013 - 19:11 | 4070627 Waterfallsparkles
Waterfallsparkles's picture

Just like the welfare state.  Once you start you cannot stop.  We saw that with the Food Stamps not working.

It is not any different with Wall Street.  Stop the Wall Street Welfare State and all hell breaks loose.

We will just have to print ourselves into oblivion until everything collapses all at once.  No money for food stamps, welfare and no printing for Wall Street.

Fri, 10/18/2013 - 19:25 | 4070667 Cdad
Cdad's picture

Really?  All hell breaks loose if the market corrects?  Honestly, how many people would actually care?  Even more so, how many people still riding this ridiculous helium machine deserve to be rewarded by it?  The answer to both questions is the same.

Define "all hell breaking loose."  If to you it means the SPY goes down...I think you are rather disconnected from the concept to which you refer. 

Fri, 10/18/2013 - 19:32 | 4070681 Running On Bing...
Running On Bingo Fuel's picture

But what about the $300,000 / yr pensions for the first responders?

What will they do?

Fri, 10/18/2013 - 20:05 | 4070783 JR
JR's picture

Let everything collapse. Let the Rothschilds fend for themselves for the first time in 250 years.

As Ron Paul said this week:"The future of the US economy with Chairman Yellen at the helm is grim indeed, which provides all the more reason to end our system of central economic planning by getting rid of the Federal Reserve entirely.  Ripping off the bandage may hurt some in the short run, but in the long term everyone will be better off. Anyway, most of this pain will be borne by the politicians, big banks, and other special interests who profit from the current system. Ending this current system of crony capitalism and moving to sound money and free markets is the only way to return to economic prosperity and a vibrant middle class.”

Fri, 10/18/2013 - 21:07 | 4070911 Teddy Tenpole
Teddy Tenpole's picture



Dude, the Rothschilds make a fortune on the collapse.  Who do you think, other than the Chinese, is buying physical gold?  The IMF is already lining up its new money, "SDR"s, for the post collapse economy.  George Soros is the spokesbillionaire for it and guess what?  It's gonna be gold backed!

The Fed loans money into creation -- they take 0 risk!  They then make the interest.  The profits are paid out (with which the shareholders stack gold bars no doubt) so if the music stops they don't care.  It's criminal!

Isreal is not a country, it is the Rothschild's private company.  The Star of David comes, as does Zionism, from the Rothschild Family.


Sat, 10/19/2013 - 01:42 | 4071291 JR
JR's picture

Excellent points, but the way I see it there’s just one little glitch in the program. After the Fed’s great international paper money heist, ain’t no country with a mind of its own gonna want them Fed/IMF SDRs - backed no doubt with fool's gold.

Fri, 10/18/2013 - 23:29 | 4071200 emersonreturn
emersonreturn's picture

+10 ron paul and youJR.

Sat, 10/19/2013 - 10:42 | 4071667 Sizzurp
Sizzurp's picture

He's exactly right, but the folks he mentions, the one's that get hurt, they make their own rules.  Maybe it is time for an amendment convention.  All it takes is 2/3 of the states, and we could have new amendments for term limits, limiting size of government relative to GDP,  Sound money, and no more Fed.  Want change? That would be change.

Fri, 10/18/2013 - 19:28 | 4070673 Hang Em High
Hang Em High's picture

Send Fleck a copy of "the Mastero's" new book...............

ps. couldn't find the sarc. toggle

Fri, 10/18/2013 - 19:32 | 4070683 q99x2
q99x2's picture

You need the other chart. The one that shows the conveyor belt moving the money that is being printed into the banker's pockets.

They are at war with the United States of America.

Fri, 10/18/2013 - 19:34 | 4070687 Running On Bing...
Running On Bingo Fuel's picture

I'm guessing this was a Guest Post but not marked as such.

Am I close?

The Tylers usually are not so illustrative.


Fri, 10/18/2013 - 21:17 | 4070721 Yen Cross
Yen Cross's picture

  The 1/2 life of the 1st $trillion was 3-6 months. The 1/2 life of the untaper was 3-4 days. The 1/2 life of replenishing $323 billion($400 billion borrowed in May) (extraordinary measures) WHERE"S the other 77 billion that was appropriated?

  I can smell the acrid vapour from the "event horizon" aka accretion disk... I'm waving as they they slip away into $15 happy meals.

Fri, 10/18/2013 - 19:49 | 4070737 Notarocketscientist
Notarocketscientist's picture

Grant Williams is one of the best financial commentators on the planet. 

Fri, 10/18/2013 - 19:58 | 4070767 ebworthen
ebworthen's picture

Good stuff in the full article, very pithy.

QE forever to keep markets up and rates down, or a coordinated taper to crash markets and let rates rise - but look what happened last time when Greedspun raised rates (yeah, the collapse of ARM's, CDS's, and MBS's and thus 2008 crisis).

The FED is trapped in in their own circular reasoning.

"Round and round she goes and where she stops...nobody knows."

Fri, 10/18/2013 - 21:04 | 4070905 seek
seek's picture

They can never let rates rise. We're arguably past the Minsky moment, with certainty within a few more years. First Japan, then Europe, and now the US. None of the developed economies can handle rates going up appreciably without blowing up the system. They're completely trapped, the only decision they have on the ticking time bomb is what time it's set to go off at -- now or later. They always pick later.

Ergo... QE forever.

Until that doesn't work anymore.

Fri, 10/18/2013 - 22:02 | 4071025 ebworthen
ebworthen's picture


They'll try it to appear "responsible"; then markets will crash, rates will rise, and they will say "the economy is not ready" - not realizing (or knowing with intention) that it was the FED itself and TBTF that caused the problem in the first place.

Bottom line will ultimately be:  "If banks, insurers, corporations, and .gov don't have to pay their bills, neither do I.  Now give me food and shelter or I will riot."

Sat, 10/19/2013 - 04:07 | 4071361 agent default
agent default's picture

Bottom line will ultimately be:  "If banks, insurers, corporations, and .gov don't have to pay their bills, neither do I.  Now give me food and shelter or I will riot."

That's not the way it works. See Greece.  They will strip you of all wour assets gradualy in the name of averting a collapse, but in reality the collapse will happen gradualy and will be designed to affect you and not them.

Sat, 10/19/2013 - 04:38 | 4071370 ebworthen
ebworthen's picture

Correct, but that will only last so long.

Sooner or later it will be "give me food or money for food or you die". 

History rhymes.

Fri, 10/18/2013 - 20:00 | 4070775 madbraz
madbraz's picture

That's why Japan's interest rates continue to move lower, 1.62% on the 30 yr...

As much as we may hate this dynamic, for currency issuers like Japan and the US bonds and currency are interchangeable. The interest on long term bonds in such instances will reflect growth prospects, which are and will be non-existent. So the US will have long term yields below 2% in the long run, wether zerohedge or the Fed like it or not.

The Fed wants to manage long rates to a level they want, to a level banks want. To this end they use QE, they use securities lending (now average $25 billion a day and are seemingly permanent, despite being defined as tenporary assistance). Remove QE, remove support to the repo market and risk assets collapse maybe 50-75%. A treasury bond that pays 2% a year is the best option in this scenario, as pathetic as it may sound.

There is no "normalized" level of the 10yr at 3, 4 or 5%, no issuer other than a currency issuer can generate cash flow to pay 5,6,7,10% for long in a world devoid of growth.

Sat, 10/19/2013 - 01:02 | 4071220 Yen Cross
Yen Cross's picture

  Let me get this straight madbraz   You're using ABEnomics to define the usd/jpy "risk trade" differential? The assclowns that upvoted you actually think that 20 basis points on a 10 year JGB will make them millionaires? 

    Your thesis is obsurd. If the Fed wanted to keep a (tight) differential on the curve vs Japanese bonds, then why is the usd/jpy declining when risk is purchased? (Bond yields vs equities) (carry trade)

     Call me after you've settled your new basement....

Fri, 10/18/2013 - 20:09 | 4070789 blindman
blindman's picture

fishing for civilization.
Largo with Taj Mahal and joan Osborne
Garth Hudson - Garth Largo
Mink DeVille - Change It Comes
Willy DeVille - Cadillac Moon
ji links!

Fri, 10/18/2013 - 23:11 | 4071166 Yen Cross
Yen Cross's picture

 You're not forgotten blindman

   Pick better friends.

Fri, 10/18/2013 - 20:14 | 4070807 djsmps
djsmps's picture

Well, Obama did promise hope, but dude, I didn't get my change back.

Fri, 10/18/2013 - 20:17 | 4070816 cornflakesdisease
cornflakesdisease's picture

Yellen will not taper.  She will probably buy $200 billon per month of bonds or or even more.


Fri, 10/18/2013 - 21:19 | 4070942 lotsoffun
lotsoffun's picture

correct.  but it will go from 85BB to 100BB instantly, the 115BB in 3 months, to 130BB in six months.... etc.    because she is going to be 'easing', 'printing', 'qe-ing' whatever to lower 'unemployment.  so, yes, she will eventually hit 200BB which will only add 1 TT to the debt every 5 months. - but you don't understand the fed's unemployment mandate?????   (sarc)

Fri, 10/18/2013 - 20:20 | 4070822 monad
monad's picture

Phillip K Dick wrote several hundred short stories. He had lead underpants 50 years ago in Do Androids Dream of Electronic Sheep? He even had feds on him. 

Greatest Science Fiction Writer Ever. 

Fri, 10/18/2013 - 20:21 | 4070825 Spastica Rex
Spastica Rex's picture

One of the greatest writers ever.

Total nut job, however.

Fri, 10/18/2013 - 22:51 | 4071132 el Gallinazo
el Gallinazo's picture

Along with  Frank Herbert.

Sat, 10/19/2013 - 07:27 | 4071441 mvsjcl
mvsjcl's picture

And Asimov. The Foundation Trilogy, truly a triumph of forecasting.

Sat, 10/19/2013 - 22:49 | 4072818 monad
monad's picture

Asimov was a pawn.

Fri, 10/18/2013 - 20:27 | 4070837 Eric L. Prentis
Eric L. Prentis's picture

Very soon, the Fed will have to significantly increase the $85 billion a month QE eternity ante, as the U.S. economy noticeably stalls and then falls into recession. I expect the bond market to react negatively to this occurrence, putting increased downward pressure on the real economy— exacerbated by problems in the $700 trillion dollar derivatives market—thus producing an economic collapse. The question is—how are the financial elite going to lie their way out of this on Fox News—given their obvious insanity?

Fri, 10/18/2013 - 23:31 | 4071202 Deo vindice
Deo vindice's picture

"The question is—how are the financial elite going to lie their way out of this on Fox News—given their obvious insanity?"

They will have to tell even bigger lies.

It seems the bigger the lie, the more plausible it is to the gullible.

Fri, 10/18/2013 - 20:39 | 4070857 Yen Cross
Yen Cross's picture

    Anything that can be commodified is trading {loaned at 3-500 basis points} above the feds +- 10/25 basis points protocol back in 2008. 

   Car loans/student loans{human servitude}/ value on redemption-gold & silver/ stock-equity ect...  This shit is mind numbing.

  Even {real Estate} after the FEd. subsidy is 4-500 basis points above the Feds. base lending level!


Fri, 10/18/2013 - 21:40 | 4070981 tao400
tao400's picture

And up goes the market. I hope everyone here is darting in and out, making a few k. The only stocks I am down on are my gold stocks. Literally. I guess it is insurance but I need to offset the loss by buying apple (and others), which I just sold for a profit too soon.

Sat, 10/19/2013 - 01:12 | 4071267 Yenbot
Yenbot's picture

God, that's deep.

Sat, 10/19/2013 - 06:52 | 4071419 tao400
tao400's picture

Are you making money on the market or not. or are you one of those zh bloggers who scream gold bitches as the value of the gold goes down and then they read king world news which has been screaming for 3 years now that the whole system is going to explode tomorrow. that site is the most worthless piece of shit i have ever encountered.

Fri, 10/18/2013 - 21:45 | 4070993 Ned Zeppelin
Ned Zeppelin's picture

The issuance of treasury debt is the rehypothecate-able vampire's blood the Fed constructed system needs. Stop the deficits and you will starve their machine. They will fight this with great vigor, and it may be too embedded to stop at this point. "We need to increase the debt ceiling to pay our bills." Sure we do, sure we do. Fooling most of the people most of the time.

Simple as that. Read David Stockman's book, the Great Deformation. Intense and long, but explains all. The guidebook.

Sat, 10/19/2013 - 01:04 | 4071265 palmereldritch
palmereldritch's picture

The diagram looks like a schematic for the cooling pond at the Fedushima reactor...that or a smiley pumpkin

Sat, 10/19/2013 - 12:06 | 4071758 depression
depression's picture

Happy Haloween from your friends at the Federal Reserve

Sat, 10/19/2013 - 01:13 | 4071268 disabledvet
disabledvet's picture

not only is QE nothing new....but it has been done on this scale before and it has been done so on a sustained manner and under very inflationary circumstances thus leading to in fact very mild inflation but truly massive productivity gains. that time was in the 1930's and 40's....perhaps the best time to be in equities ever. (a time that gave birth the mutual fund i might add.) everything changed obviously once the war was over but up until the point QE worked extraordinarily well. I think this time around (sans the war and thus the inflation) will yield a similar if not greater impact. (there is no draft and no Vietnam this time around.) thus the economy has been devolved to the simplicity of "whatever the market will bear" which when your talking oil and natural gas production on the scope and scale underway is "quite a lot actually." i still would be very wary of the real estate bubble that appears to me to have been burst. having said that this should be good for productivity going forward as the "home on a 1/4 acre" becomes the de facto "gold standard" upon which all future leverage will be based. there will be a lot of this property coming on line i think as the baby boomers retire and move into "old fogies homes" that don't require all the maintenance. that says to me a lot of deals await those willing and able to buy this asset class...and asset class that could move materially higher over the coming decade or two to the extent to which the occupants (who really are the owners. an unoccupied home besides being an eyesore worth less than a simple vacant piece of real estate) can maintain said "occupation." we still have a jobs and incomes crisis in the USA...but i think that could very quickly turn the corner...perhaps by next the "solutions providers" (Tesla, Solar city, Amazon, Google, Oracle, Microsoft, Intel, IBM, etc) deploy the "data weapon."

Sat, 10/19/2013 - 01:14 | 4071269 yogibear
yogibear's picture

The current state is finite. At some point the Ponzi will blow. In the mean time as long as people keep believing in unicorns that poop money the game continues. How long game can continue cannot be determined. Maybe 5 or 10 years?

Japan hasn't blown up yet. Japan is the canary in the coal mine. 

Sat, 10/19/2013 - 02:08 | 4071308 PT
PT's picture

Ummm, pardon my ignorance, but ... we keep real estate prices artificially high, until such times as the market can sustain those artificially high prices without us ... is that it?  Am I getting warm?

Sat, 10/19/2013 - 07:53 | 4071463 auric1234
auric1234's picture

Yes. Except in order to activate the real economy what you need is LOWER real estate prices which will make it easier to open a store and stay in business.

So we basically are keeping real estate artificially high in order to save the 1% by keeping their books balanced.


Sat, 10/19/2013 - 05:33 | 4071356 falak pema
falak pema's picture

2014 to be a banner year for stocks according to MSM all fed on huge market liquidity and FED opiate.

Read all about it, the year of the great MELT UP for 1%. (BI)

Looks like ZH and the doomers will have to sit this one out for one more year! 

Lol, central planning sure runs the market to infinity and beyond! 

We have just come out of a huge political and budget crisis with the can being kicked three months down the road and WS is jumping on its bean stalk to the Moon.

Talk about "yes we can kick the can to the moon and beyond", Krugman's signature song!

Next year the favorite word at WS cocktail parties will be : Hello Tovarich... Oh Hi Dolly do you like my NEW lolly?  

Tovarich 1%er indeed! 

Sat, 10/19/2013 - 04:18 | 4071365 World of Debt
World of Debt's picture

It's a freakin' WORLD OF DEBT!! See Hilarious Music Video Below "WORLD OF DEBT":

Sat, 10/19/2013 - 04:31 | 4071369 jballz
jballz's picture


I love how Tylers get so MAD when stocks go to new highs. 

Like watching little kids having a temper tantrum at the grocery store because mommy won't let them have the gummy bears.

no gummy bears for you Tylers. 

And ZH chicken littles.

No bears for YOU


thanks for playing, me and my Jewish brothers will spend your money wisely. We always do. HAHAHA.


Later bear bitchez...

Sat, 10/19/2013 - 04:48 | 4071371 mrpxsytin
mrpxsytin's picture

Bears are omnivores which means they can pretty much eat anything. So while the bulls are charging through the stock markets, the bears can quietly gobble up bargains in other parts of the economy. That is what the smart bears are doing right now. In fact, we want the bulls to keep chasing the stocks higher and higher. It just means that there's more and more money being sucked out of the rest of the economy, providing great opportunities for us to GORGE.

Stock markets really are for dummies. What is it they call these types of things? A Fool's Paradise?  

Sat, 10/19/2013 - 05:21 | 4071383 Teddy Tenpole
Teddy Tenpole's picture



Amazing analysis, you should write a book.

Sat, 10/19/2013 - 05:39 | 4071389 mrpxsytin
mrpxsytin's picture

Maybe after I'm done gorging myself... Keep staring at the ticker buddy. 

Sat, 10/19/2013 - 06:59 | 4071422 tao400
tao400's picture

exacty, there are so many losers on this site, ted cruz type losers, who because they want to US to crash more than anything miss making money out the ass. Stock markets are not for dummies. The stock market is a money machine right now. throw some in, more comes out. All you have to do is buy the blue chips, enough of them to be diversified, and you make money. Put it in gold stocks, you lose money. that should be the mantra of this site. yes it will end but it looks like it could go on for quit a while, espeically with yellen jumping in.

Sat, 10/19/2013 - 07:51 | 4071462 mvsjcl
mvsjcl's picture

Yes, keep making money. Mmmmmm, money. Mmmmmmoney. Mmmmmmore.


Feed the beast, or run like hell from it. Personally, I tend to avoid creatures that only grow hungrier the more you feed it.

Sat, 10/19/2013 - 08:03 | 4071469 Mordenkainen
Mordenkainen's picture

Fool that I am, I once thought that the stock market was supposed to be an efficient means of allocating capital to productive enterprises, thereby generating returns from companies that actually contribute to a healthy economy. No, according to you it's just a way to turn a buck into a buck and change thanks to the FED. So pat yourself on the back for taking advantage of the very system that's eating the nation alive until only the carcass is left. Life without a conscience must be grand.

Sat, 10/19/2013 - 10:14 | 4071623 tao400
tao400's picture

That's exactly what it is now. And what's the alternative. Work hard, make money and then watch the money loss value while it basically sits in the bank. In other words, work hard and make less money than I am getting paid and have difficulty paying my bills or buy gold which they are driving down . I did all that for the last couple years and it didn't work.

Sat, 10/19/2013 - 13:59 | 4071939 Alexandre Stavisky
Alexandre Stavisky's picture

Ah yes! Give over to the dark side!  Forget what modest Jedi training you acquired.  Afterall, a few decades of illusory material wealth acquired by whatever means possible (mostly corrupt) is worth the price exchange.  Presume a six percent return beginning at age 35 with another 45 years of life.  Double your money every 12 years.  You may gain 400% in your workable lifespan.  And what have you bought, and what have you sold?

Fighting the good fight against an evil which has insinuated itself for hundreds of years in this garden of good and evil will not be overthrown in a moment.  The biggest miss by all the economic actors of this generation is pursuing a daily comfort of raiment/amuse' bouche to the complete exclusion of a much higher order.  Whether one is able to overcome such institutions as fractional reserve banking and its bondage in this short-run life is unlikely, but it is of highest importance that one mightily DESIRE a replacement institution.  One founded on a virtue such that men are rewarded proportionally to their contribution and theft/extortion removed from the marketplace.  Because this crime element that has been imbedded in the instruments/institution such that the violence goes quiet, yet the act remains felonious, marked for judgement.  One's position in this matrix is also a remark upon one's position in the spiritual world. "For with what judgment ye judge, ye shall be judged: and with what measure ye mete, it shall be measured to you again."  Ignorance of these mysteries is the greatest of poverties.  What value is a beautified husk when the grain is rotten.  Wheat/Tare. Threshing floor.  The millstones will grind out the fine flour with the remainder gathered and cast back again into the fire.

One reaps what one sows.  VICE VERSA. This world, if you occupy high position and obtain through hard rigour over fellow beasts, subterfuge, manipulation of institutions and storehouses--as you seem to have gotten that "divine right".  Still the hole you tear in the universe must be refilled once judgement is passed.

What is a collosal abundance if obtained through the darkest acts, and how may it be enjoyed when its method of delivery strips all the shine and joy out of the world?  No transcendence if one cannot overcome the moral turpitude of this order.  Lifetime to lifetime in a topsy-turvy realm of hungry ghosts and hellish experience.  No trap for the unsatiable greedy than ill-gotten gain.  Who wouldn't quail in old age moving nearer the next existence having full knowledge of the blood and sins attached to their shade and due to follow.  Due to make claim as one repo's this life's great/evil work and bond, for the mansion built on the other side.  Wheel of samsara.  How do you define the space of your life exertions? How do you color the mandala?

The wheel of samsara

Sat, 10/19/2013 - 21:37 | 4072713 tao400
tao400's picture

thank you. that was awesome and something i needed. you are of course right all the way through. please respond to this so that i know you received my gratitude, since it is the least i can give you in return. Tao400

Sat, 10/19/2013 - 06:20 | 4071405 jballz
jballz's picture


Clearly the bears are getting really good at eating their own shit... is that what you mean?

Hey Tylers maybe you should draw that virtuous circle on a flow chart!


Double down, bitchez...



Sat, 10/19/2013 - 06:35 | 4071408 mrpxsytin
mrpxsytin's picture

+1 That actually was a pretty good call sir!

But seriously, there are other things a man can invest his money into other than the stock market right? right??? 

And if every bull and his dog are fixated on stocks then it lowers demand for other asset classes. Lower demand leads to lower prices. Which is what bears are all about. My family just found an amazing deal in the tourism sector. Seek and ye shall find... or some such story. I'd prefer it if you just stuck to the stock market though. I prefer going to auctions where I'm the only bidder. 

Sat, 10/19/2013 - 07:50 | 4071461 auric1234
auric1234's picture

Why yes, I AM doubling down. Been doing that for 2 years now.

Bring it lower, if you dare.


Sat, 10/19/2013 - 05:47 | 4071391 Peter Pan
Peter Pan's picture

It seems that the Fed and the government think they can ignite a sustainable recovery through QE. I guess that is the equivalent of believing you can repair a sinking boat simply by bailing faster.

It remains to be seen whether they wake up to the fact that QE cannot of itself initiate and perpetuate structural changes.

In the meantime we will have to put up with a bloated finance function within all economies based on unrepayable and often unserviceable debt.

Sat, 10/19/2013 - 06:48 | 4071416 Winston Churchill
Winston Churchill's picture

Paper burns with the right ignition.

Nothing like a Bonfire of the Treasurys.

Guess we have to wait until early into the new year.

If the looting increases in what is left of this year,it will look like its on.

Sat, 10/19/2013 - 09:27 | 4071551 Winston Churchill
Winston Churchill's picture

Paper burns with the right ignition.

Nothing like a Bonfire of the Treasurys.

Guess we have to wait until early into the new year.

If the looting increases in what is left of this year,it will look like its on.

Sat, 10/19/2013 - 07:03 | 4071428 SmittyinLA
SmittyinLA's picture

The fed ain't pulling the strings, the Chicoms are, and they will keep the credit flowing until there are no assets left, then they'll call, then things get really interesting.

Sat, 10/19/2013 - 07:33 | 4071445 Dr.Engineer
Dr.Engineer's picture

The problem here is leverage.  All the banksters and hedge funds have levered up so they can't be caught late or they go bankrupt.  Hence they are super sensitive to any notion of the Fed's pipe clogging or the free flow of new money stopping.  This is what is known as an unstable system.  It won't even take an event to cause the bond sellers to dump their wad.  All it will take is the suggestion that it will happen soon.  This is why the Fed is trapped -- then can't even mention tapering.

Sat, 10/19/2013 - 07:38 | 4071448 Element
Element's picture

OT ... oops 

Obamacare sites pirated copyrighted web scripts, British company plans to sue
Published time: October 18, 2013 16:52
The list of complaints waged at the White House over its site continues to grow, but the latest incident involving the online home of the Affordable Care Act is one that could end with legal action being taken.
The main “Obamacare” website has been marred with bugs and glitches since it went online over two weeks ago, and the problems are still piling up. Now according to The Weekly Standard, the Department of Health and Human Services could be sued by the British developers who coded part of the site but were never credited.
Standard reporter Jeryl Bier noted on Thursday that one of the scripts used in powering is called DataTables, and it was released by a British company called SpryMedia on condition that anyone who utilized the open-source software provide proper attribution.
“DataTables is free, open source software that you can download and use for whatever purpose you wish, on any and as many sites you want,” Bier quotes from SpryMedia’s website. “It is free for you to use! DataTables is available under two licenses: GPS v2 license or a BSD (3-point) license, with which you must comply (to do this, basically keep the copyright notices in the software).”




Sat, 10/19/2013 - 10:18 | 4071631 Non Passaran
Non Passaran's picture


Sat, 10/19/2013 - 07:48 | 4071457 jmcadg
jmcadg's picture

The longer this BS lasts, the more time we have to prepare. Think of it as a gift.

Let's hope we have at least another year!!!

Sat, 10/19/2013 - 07:53 | 4071464 Tabarnaque
Tabarnaque's picture

Something a little off subject. Google Chrome and their Big Brother policy. Since about 2 weeks now I was unable to access ZeroHedge, King World News and Silver Doctor’s web sites. In the rare periods that I was able to access ZeroHedge, I was unable to post any comment. I’d get rejected from the site all the time. My Google Chrome was also showing a weird and long secured address every time I’d open it. It wasn’t like that before.

In the end I got tired. I uninstalled it. I installed FireFox from Mozzila and all the connection problems disappeared instantly.

So I say FUCK GOOGLE and their Big Brother Policy. Fuck’em, Fuck’em, Fuck’em. They can go to hell mother fuckers. I hate these bastards.

If I ever buy a smartphone, I’ll make sure to avoid the Android operating system. Too bad they killed the blackberry. It was the only independent and secured system (No wonder they killed it). All the others are playing the same games as Google. Damn I hate these bastards. They are destroying our society a little more every day, imposing their new Fascist order. Anyone know about a smartphone working on Linux?!!

Sat, 10/19/2013 - 08:15 | 4071476 Running On Bing...
Running On Bingo Fuel's picture

Open source gets tricky on cellular platforms because of monopolistic patent claims from the big brother corporations but

If you're at all handy you can use their base code to roll your own with a very light footprint.

Or Google did release Android as open source so you can just hack it, right? If your not on zerohedge all day preparing for the grand reset and annoying the christians.

Cyanogenmod is based upon Android OS.

Best practice is to just fuck the whole smartphone movement and stick with a burner or Jitterbug for your 'sensitive' calls to the ME or local sleeper cells.


Sat, 10/19/2013 - 08:27 | 4071493 Tabarnaque
Tabarnaque's picture

Thanks for that. I own the cheapest cell phone on the market. No GPS or fancy touch screen. It does the job.

It's the entire Big Brother BS that makes me mad. These bastards truly have no limits.

Sat, 10/19/2013 - 08:53 | 4071512 Running On Bing...
Running On Bingo Fuel's picture

Word. Simple is best. Spend your time perfecting your anonymity but don't be afraid to fight the fuckers if they single you out.

Fight them the way you would a bear. Stand up straight, make a lot of noise, draw attention to yourself. They don't like other people watching because they have been taught that it will snap those others out of their Matrix trance. As soon as The Agent Smiths stand down, blend back into the scenery as quick as possible.


Sat, 10/19/2013 - 08:23 | 4071487 6th of May
6th of May's picture

Android has a Linux Kernl.

I'm with you on the Big Brother thingy, though I doubt that Mozilla steers clear from all this.


Sat, 10/19/2013 - 08:29 | 4071495 Tabarnaque
Tabarnaque's picture

At least now I can access ZeroHedge and post comments...! Google Chrome simply blocked me from several sites.

Sat, 10/19/2013 - 08:58 | 4071525 mrpxsytin
mrpxsytin's picture

Why can't you people just see that the censorship is for your own good? Sites such as ZH will only fill your head with nonsense and cause you to go mentally insane. Then you will have to be incacerated in a mental asylum at the expense of the state. You don't want that do you? Noone wants that. Visit Bloomberg or Business Insider instead. The information on those sites will make you more informed and improve your mental health. 

I wish I had never come across ZH. I've learnt so much useless information that it has alienated me from my fellow sheeple, errr I mean fellow man. See what I mean? I called them sheeple instead of people. ZH is to blame for that! 

Sat, 10/19/2013 - 10:13 | 4071621 Took Red Pill
Took Red Pill's picture

Ignorance is bliss

Sat, 10/19/2013 - 09:31 | 4071559 withglee
withglee's picture

Android is Linux. They just have each app running as a separate user.

Sat, 10/19/2013 - 10:08 | 4071614 Non Passaran
Non Passaran's picture is one and there's a new company in Holland.

And yes, fuck Google. I've had similar experiences recently but those seemed like API-related bugs to me.
Anyway, as far as I am concerned the company's products and services are worthless.

Sat, 10/19/2013 - 09:28 | 4071552 withglee
withglee's picture

I'm picturing an analogy where the fuel line to an engine has sprung a big leak (i.e. government spending), and the operator is violently jerking on the throttle (i.e. treasury purchases) and the choke (ie. bond purchases) in a futile effort to keep the engine  running (i.e. stock market rising). What should the operator do in such a condition? Fix the leak!

Todd Marshall
Plantersville, TX

Sat, 10/19/2013 - 09:32 | 4071562 KenShabby
KenShabby's picture

I hate reading shit like this first thing in the morning. It makes me crazy for the rest of the day. Going on five years now ...

Sat, 10/19/2013 - 10:50 | 4071676 cocoablini
cocoablini's picture

The diagram is wrong- the cycles keep moving inward- like a black hole. Depressions are a bitch

Sat, 10/19/2013 - 11:29 | 4071715 VillageIdiot00420
VillageIdiot00420's picture

Hello everyone this is the nsa google rant guy who you all love to ridicule and seem to have have all kinds of personal information on somewhere including what I listen to and that I owe on my taxes as the one poster Vuze said to pay my taxes ( and no that fox shit was me clicking on some random link someone posted that was some wierd shit) I was wondering where you all are getting this information from, can you give me the link to the site I just want to take a look because this whole thing is so bizare for 2 months now these hackers I am assuming since I doubt Vuze is in the NSA like he claims have been at it. I am also wondering why these people are so interested I mean other than typing random stuff into google search and notebook( that also gets posted somewhere I guess) what did I do to anyone?

Sat, 10/19/2013 - 11:29 | 4071716 VillageIdiot00420
VillageIdiot00420's picture

Hello everyone this is the nsa google rant guy who you all love to ridicule and seem to have have all kinds of personal information on somewhere including what I listen to and that I owe on my taxes as the one poster Vuze said to pay my taxes ( and no that fox shit was me clicking on some random link someone posted that was some wierd shit) I was wondering where you all are getting this information from, can you give me the link to the site I just want to take a look because this whole thing is so bizare for 2 months now these hackers I am assuming since I doubt Vuze is in the NSA like he claims have been at it. I am also wondering why these people are so interested I mean other than typing random stuff into google search and notebook( that also gets posted somewhere I guess) what did I do to anyone?

Sat, 10/19/2013 - 11:51 | 4071740 RMolineaux
RMolineaux's picture

The Fed is stuck in an unsustainable position now because it attempted (with some hubris) to resolve the recession by monetary measures without the cooperation of congress which controls fiscal policy.  We now have demonstrated before us a situation in which expanded credit has failed to raise us out of recession.  There are several reasons for this: 

1.  The expanded credit has ended up in excess reserves at the Fed, bloated corporate treasuries, and capital repairs at banks.  The payment by the Fed of interest on excess reserves, for the first time,  has given banks an easy way to repair earnings without the effort of offering loans to productive sectors.  Corporations with bloated cash reserves have used them to buy back stock rather than finance capital expenditures, thereby artificially boosting stock prices and their management's bonuses.

2.  Consumer spending and authentic housing purchases have been suppressed by unemployment and the worsening mal distribution of income.  A good demonstration is Blackstone's entry into the trailer park business, in which they stated that the residents of such housing will never be able to buy a house.

3.  Congress continues to be unable to repair its revenue stream which was damaged by the Bush tax cuts.  The sequester was a sledge hammer attempt at budget balancing.  But it can be predicted that the first thing to be freed from its effects will be pentagon spending, which is exactly the wrong thing to do.  It is pentagon waste that is one of the prime causes of fiscal imbalance.  It prevents domestic capital investment by government, which could be a prime mover to recovery.  McConnell was right for the wrong reasons when he snuk in dam and locks works on the Ohio river in return for his capitulation on the shutdowm. 


Do NOT follow this link or you will be banned from the site!