BBC Does It Again: "In The Absence Of A Credible Plan We Will Have A Global Financial Meltdown In Two To Three Weeks" - IMF Advisor

Tyler Durden's picture

A week after the BBC exploded Alessio Rastani to the stage, it has just done it all over again. In an interview with IMF advisor Robert Shapiro, the bailout expert has pretty much said what, once again, is on everyone's mind: "If they can not address [the financial crisis] in a credible way I believe within perhaps 2 to 3 weeks we will have a meltdown in sovereign debt which will produce a meltdown across the European banking system. We are not just talking about a relatively small Belgian bank, we are talking about the largest banks in the world, the largest banks in Germany, the largest banks in France, that will spread to the United Kingdom, it will spread everywhere because the global financial system is so interconnected. All those banks are counterparties to every significant bank in the United States, and in Britain, and in Japan, and around the world. This would be a crisis that would be in my view more serrious than the crisis in 2008.... What we don't know the state of credit default swaps held by banks against sovereign debt and against European banks, nor do we know the state of CDS held by British banks, nor are we certain of how certain the exposure of British banks is to the Ireland sovereign debt problems."

But no, Morgan Stanley does, or so they swear an unlimited number of times each day. And they say not to worry about anything because, you see, it is not like they have any upside in telling anyone the truth. Which is why for everyone hung up on the latest rumor of a plan about a plan about a plan spread by a newspaper whose very viability is tied in with that of the banks that pay for its advertising revenue, we have one thing to ask: "show us the actual plan please." Because it is easy to say "recapitalize" this, and "bad bank" that. In practice, it is next to impossible. So yes, ladies and gentlemen, enjoy this brief relief rally driven by the fact that China is offline for the week and that the persistent source of overnight selling on Chinese "hard/crash landing" concerns has been gone simply due to an extended national holiday. Well, that holiday is coming to an end.

By the way, Reuters, Shapiro is not a Yes Man -we'll spare you the ruminations.

h/t Scrataliano

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mynhair's picture

Be nice.  It's every other day.

Broomer's picture

Strength in numbers. I'll keep piling PMs, thank you very much.

Spastica Rex's picture

It's only real money when they win. If they lose, well, you know.

Ag Tex's picture

You mean 13000 Ag and 56000 Au.

DosZap's picture

Ag Tex

You mean 13000 Ag and 56000 Au.


LOL, we wish....................

I agree the Banks are going to start a MAJOR run there on this news, and IF they , and it's a big IF, allow this to go down, the Euro is toast, and the Metals mkts in Eurpoe will be slod out in 24 hrs.

Here??........Who knows,likely a 20% DROP.(IDIOTS)

TheFourthStooge-ing's picture

Tomorrow is payday, so I hope they throw everything they have against gold, knocking it down to $1100. That way I can buy more gold and ammo.

Gold would be back above $1700 by lunchtime Monday.


Ag Tex's picture

Not as much of a stretch as you think.  It is more than likely low on the Au side.  Ag is about right.  (In today's purchasing power)  Shorts, leasing, derivatives, etc.........  Trillions upon trillions.  The enormity is incomprehensible.

Montgomery Burns's picture

I've always wanted to be a multi billionaire. And to think, my 5th grade teacher said i'd never amount to anything.

IQ 145's picture

Another "Wing-Nut" dragged on to the stage to boost ratings for the TV show. Oh, you forgot about that aspect? The producers didn't.

knukles's picture

Oh, Mother BeeB would never engage in supercilious commercial hype to boost ratings.  After all, she is the world's defender of propriety; like dropping BC and AD from years so as to be politically correct.
Never anything so silly.

IQ 145's picture

Financial Insight; brought to you by the folks who anounced that "snow" would become a rare and un-seen phenomenon in England; you're probably right; they probably believe this driveling craphead.

Motley Fool's picture

Strange. I would have thought people would not be interested in wing-nuts.


Now if he were saying something they could relate too, then I could see how that would affect ratings.

Herman Strandschnecke's picture

I imagine quite a few viewers will be wondering about their paychecks going/disappearing into the banking system in the next 2 to 3 weeks?

NumNutt's picture

The way he was going on, I was expecting one of the reporters to ask him at what point the zombies would be showing up.

Motley Fool's picture

Weren't you paying attention? 2-3 weeks. :D

11b40's picture

Another wing-nut like that guy who has been 'buying' (or pumping) BOA stock? 

How those purchases working out for you, IQ145?

IQ 145's picture

Can't add and subtract? all the trades are posted. it's instruction in a method that doesn't relie on blogs.

11b40's picture

Where are they posted?  I would like to look.

catacl1sm's picture

He bought @ 5.70. They ended at $6.28 today. It was a trade, not a long hold strategy. Pretty much any wing-nut can make a killing a market like this. Just buy in the red, hold until its green.

FinalCollapse's picture

Dead cat - sorry dead dog bounce.

UBIGDummy's picture

great time to load up on FAZ, DRV, and other short funds.

crazyjsmith's picture

Is that a threat or a promise?

reader2010's picture

Bring it on, and starve those motherfuckers to death!

SheepDog-One's picture

Nevermind all this catterwailing... awaiting certain global economic total collapse... we're having fun doing +2% daily stock rallies!

Hey Ive got my hockey helmet on for the show! Derrrrrr....

RafterManFMJ's picture





Thanks for the laugh tho!

anonnn's picture

Sarcastic news header fom Reuters via Google, just now:

OSLO (Reuters) - Barack Obama needs to make good on the promises that won him the Nobel Peace Prize...

Promises get a Peace prize?


knukles's picture

You mean the one to release all sealed records?

Cash_is_Trash's picture

You mean records like the Osama photographs?

Monedas's picture

I'd like to see Obama's baby pictures ! Where's the family album and fotos taken by family friends ? The Kenyan years, the Jakarta years and even the Hawaii years ! This guy no got history nor credible birth certificate ? Where are the interviews with people who knew him way back when ? There is serious media money to be made ! All we have is his big ears flappin' in da breeze ! He does have bigger ears than Mike Tyson ! Monedas 2011 Friends, Romans....lend me your ears !

saiybat's picture

It's because Barry was a male prostitute before he got his forged Harvard law degree (he was never enrolled at Harvard except much later when he became a professor) after he got back from prostituting for the wealthy in Pakistan. The only school he actually attended was Columbia which he flunked out on when he got hooked on heroin and found his boyfriend that took him to Pakistan.

Someone powerful must have liked Barry's ass a lot and paved the way for him.

my puppy for prez's picture

Don't forget his time as a CIA asset in Kenya!  Both his "parents" were CIA operatives to spy on the commie goings-on in Kenya, too!  Thus, a highly creative (created, rather) bio and resume, complete with a Connecticut BC of a dead guy!  Then, he told his youngest that he had a "homework assignment" for her:  "Hey, a good girl for Daddy and make me a birth certificate on the's due tomorrow...thanks, sweet girl!" 

knukles's picture

Didja see that the Dems introduced a bill to keep Yomamma's records permanently sealed post government service?  Didja, didja, huh, huh?
Talk about preemptive CYA.

john39's picture

kissenger got a nobel peace prize in the special catagory of mass murder.   that alone explains the true nature of the "prize".  more of a "cover my ass" in advance sort of deal.

TheFourthStooge-ing's picture

Peace is to Peace Prize as patriotism is to Patriot Act.


zorba THE GREEK's picture

Nobel, who the prize is named after, invented dynamite. That don't sound peaceful to me.

jekyll island's picture

Yeah, he created the award to deflect the association of his name with violence and death.  Kind of like what the Federal Reserve did.  

my puppy for prez's picture

I see you did smashingly on the English part of the SAT's......good one!

disabledvet's picture

You just made me think of a new word. "sarcicisstic"--a combination of sarcasm and narcissism. Kind of the ultitimate in "up-yours-ology." can't wait to hear it at the Spelling Bee finals!

Gringo Viejo's picture

No worries here. Bought 2 more rolls of Nickels this morning.

CH1's picture

I love the smell of junk silver in the morning. Nickels too.

Hearst's picture

Junk's for the trunk.  I like mine .999 fine.

rickadoh's picture

little junk, more .999

catacl1sm's picture

Silver fuckin rolled this morning. I'm hoping it breaks down some before the weekend so I can buy some dimes.

fonestar's picture

Usually, when trillions of dollars of debt explode on the world market I reccomend buying three rolls of nickels.

ClassicalLib17's picture

stupid question:  why nickels instead of pre 1982 pennies?  I would appreciate the education.  I am not wise in the ways of the business discussed on this forum.

disabledvet's picture

Speaking of "up-yours ology" imagine if Bernanke actually came out with a real copper penny! Then we could stop gaming the system for five minutes or so!

saiybat's picture

Not if he gave that penny a 100 billion dollar nomination. At least it'd be a step toward fractional reserve rather than no reserve fiat.