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China Storms Back To Put Things Back In Order, Says Willing To Buy Debt Of Crisis Nations
Well, that was a brief hiccup for the ponzi scheme. Luckily, the market has forgotten that it priced in China bailing out Europe two days ago so it is time the vacuum tubes are reminded. From Bloomberg: "China's NDRC says China using foreign reserves to support investment abroad; NDRC Vice Chairman says in transcript of remarks on website double-dip recession abroad is “avoidable,” willing to buy bonds of sovereign-debt crisis nations. National Development and Reform Commission Vice Chairman Zhang Xiaoqiang spoke in an interview with the media in Dalian today, according to transcript distributed on the planning agency’s website today." EURUSD predictably soars... for at least a few more minutes, when we start the whole bailout rotation all over again, first with Russian, then Brazil, etc, etc. In the meantime, what all this means, read the post by Dylan Grice on how to deal with a whole world gone pathlogically rogue, and willing to lie and cheat in order to preserve the status quo.
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You are a fool if you have any significant amounts of money in this Ponzi scheme market.
Maybe not.
Consider
JPM stock doesnt like it, and looks like its ready to die.
All you have to do is look what happened at Best Buy yesterday...that will pretty much tell you what is going on with the US economy...let alone Europe.
AUD/USD is a big tell now...approaching the danger zone. That will be a HUGE problem for the S&P.
The index or the rating cinderellas? Maybe both, as they die by numbers. Happy orgasm time is here again; lie back and enjoy it if its unavoidalbe. Happy hour at the DJ bell. Anybody who likes to trade feels the adrenalin at the sound of the canon. The whooosh of the flying canon ball.
Maybe not.
Consider, this is a US world order. The US has always been a rogue nation, breaching their own laws and creed.
Is it not natural that under the guidance of the US, the world order is rogue world order?
Time to make good money, rogue style.
What, like this?
http://www.youtube.com/watch?v=RJAfXaziIwM
Make money by doing what? Guess what the next rumor is going to be? This is a fools game.
only fools believe they are not being played.
Play or not, you and yours are in the game.
Come on, it is perfectly feasible that a country with an economy about 1/8 the size of the EU and the US combined, can perpetually buy the debt of all countries involved....for ever and ever.
Where is your "hope"?
/sarc
China isn't going to be buying shit. Their reserves support their printing of the yuan and their export ponzi. They cannot just run out and buy everything like a CB can
lol, then how is it that they have bought everything they have bought? African farmland, silver mines, endless tons of scrap metal, etc.
I like how you ignore reality, and substitute your own.
All your examples are of "hard" assets or producing assets. No paper promises in there (ie: bonds). They may buy a bit of sovereign paper, but really, do you think the Chinese are that stupid to load up on the world's paper supply to watch it all burn? They'll continue to buy hard/producing assets, until they have to refocus on the issues at home which are certain to arise as the global system continues to become unglued.
And why the fuck not? Selling RMB to buy euro's will depreciate the RMB further, helping perpetuate their "ponzi".
If i had a fucking nickel for everytime you goddamned doomsayers said the word "ponzi", "gold", "depression", or "the bernank", i could retire and leave this useless industry today.
@corn im really thinking this red pill i took is just a bad trip.. must.....find.....antidote......to......red.....pill........... do you think taking the blue one will send me back? i need to accept reality. juicy steak and wine is what i crave.......
http://finance.yahoo.com/news/BNP-Paribas-plans-96-billion-rb-1941032463...
liquidity crunch ne one
WHOA! thats like BAC, where there's smoke there's fire -- <insert burning Morgue bank branch painting here>
Its not working
At least the Chinese people won't mind paying for the wealth of the western world.
The Chinese have plenty of money to spare for everybody!
They just love to work like slaves to make plastic crap for people who make 50 times more money in order to make sure the are rich enough to pay for the plastic crap.
I used to think about the Chinese as poor exploited people but it's pretty clear they just love to work their asses off for peanuts.
Bunch of sandal-wearing goldfish tenders, IMO.
just in china. they need to get spanked. i spanked a few of the cuter one for very modest prices.
photos or it didn't happen!
Oh they just love it! So much so they are committing suicide:
http://www.independent.co.uk/news/world/asia/tenth-worker-at-ipad-factory-commits-suicide-1982897.html
I'm sure their "work ethic" has nothing to do with fear of starvation and destruction/seizure of agricultural land by a rapacious Central Government bent on enslavement of it's own people to enrich their elites.
Sorry to interrupt your racist rant, please don't let facts about the common people get in the way of your hatred of yellow people.
For fucks sake people their government is essentially the Nazi Germany of modern Asia complete with slave labor plants. If they weren't restrained by the US and to a lesser extent Russia I think they might be just as imperial as well. Quit blaming the common people for the decisions of the elites.
Bring the Gold, meet sardonicism, sardonicism, meet Bring the Gold.
China............. the world's new crack dealer. Central Banksters of the World have a new competitor on the block. PRICELESS
Anyone think this market is NOT broken.
Just the algo-bots and front runners, but they're about the only people playing anymore.
They are trying like crazy to keep this thing up till Fri when Sept options expire...good luck with that.
why would you buy this shit?
Buy more time to unload worthless dollars with your worthless dollars.
This makes no sense...why come in and rescue now? Wait for it to fall apart and pick up huge...huge deals. Everything from banks to many corporations and even land will be dirt cheap. Bonds all you get is a peice of paper and a promise that maybe they will pay you back without a loss. Doesn't seem like a good strategic move...
How many traders have made a years worth and then lost it the next minute? Holy shit this market is schizoid! But like i said- no major moves until we find out what qe3 is all about.... Unless greece for sure defaults. Then its donkey kong time!!
The QE3 will be a "sell the news" moment if there ever was one.
something wicked this way comes
So let me see if I understand this correctly: the movement of every stock and forex pair on the face of the earth is determined solely by a soundbite delivered from a little Chinese guy nobody knows?
Is this a Monty Python routine?
If he represents the Chinese top Oligarchy he speaks for the greatest creditor nation of the world, the greatest Oil consumer, the greatest steel consumer and the greatest exporter of industrial goods to the west. Now...if you add up all those facts...you are looking at a giant, maybe a young giant that has grown too fast, has clay feet etc., but a giant none the less, and to boot with a vested interest that his export markets don't collapse. As then, all his fiat credit reserves are worth NOTHING.
I think you can give them credit to know where their bread is buttered and where they should spend their pile of accumulated fiat wealth. In the dire circumstances created by the corrupt Oligarchs of their debtor clients.
How the broken, ponzi market reacts is not really his concern...but yours...
I think what you're looking at with China is more of a glory hole with rumors of a giant on the other side of the wall.
all those empty cities are not exactly the hallmark of "greatness".
Falak, you're aiming ther right direction. However you missed the real driver of thes Chinese leadership, living.
If China doesn't keep their growth under control, either direction, the people will rise up. And in China, a nation without Western/Christian values, when the people rise up they don't vote the leaders out of office. They pull a French Revolution.....
That is why the Chinese leadership has bought into the fiat system of bailing out the West. If they don't, to where do they run? They can't stay in China. And if they let the West collapse, no Western nation will take them and no third world country can protect them.
If you dobt this, recall the way the US got Pakistan onboard after 9/11; "if you are against us we will bomb you back into the stone age". (paraphrased only in sentence structure, "we will bomb you back into the stone age" is a direct quote)
Behind the scenes, International Politics is far far closer to a La Cosa Nostra Meeting than the stage play that is the UN.
in my book China in not scared of US power. The last Seventy years have proven this since 1949 upto Vietnam.
China is a centrally controlled political system. It will never surrender to a people's revolution. It controls it at all levels. If there is an economic down turn it will clamp down on the depressed regions. Period. Like North Korea does.
La Cosa Nostra in China is the Communist Oligarchy. Not O'bammy's CIA. They run their own country. They will run their region as US power declines. This country is not a push over. Take your rose tinted glasses off. China will make its voice felt, what ever happens in the West. Those empty cities are their expression of local muni "irrational exuberance" in a country that has enjoyed 10% growth rates over more than a decade. Its a young country and has no hang ups like the Japanese, who were defeated in 1945 and aging.
And WSJ Breaking News: NASA announces plans for $35 billion deep-space rocket.
Wait...where am I??
And there is no truth to the rumor that all the garbage MBSs will be on board.
pods
I just receieved word from a reliable source that this is for Obama's next vacation.
The Krugman Plan?
Cheap leverage, and a way to get rid of more of their worthless mountain of paper. :P
you actually have a valid point there, great way to continue yuan pegging, save their biggest market for the chinese trinkets and gain leverage...
A market built on lies
Fuckin hilarious
You gotta love this. China has grown wealthy by selling products we do not really need back to us for decades. In order to maintain our unsustainable lifestyle of decadence and prance around in Imagationaland we had to resort to printing paper out of thin air and issuing growing debt which is purchsed by China with our own money. They in turn do the same with Europe because their wealth comes from feeding the lifestyle of luxury with their slave labor but none realize that is the fulcrum shifts back toward equilibrium eventually the middles class of the EU & U.S. (AS CONFRIMED BY DATA) shows more and more citizens simply are out of money. This can only end in war.
da "money" always had to come back "home".
To you that are just waking up to this, well, BOL to YA!
yup. Already China exports have been falling off. Right in the middle of an economic bubble. The model is unsustainble.
Anyone who is not part if the cultural insanity that currenly infects our halls of power knows that bail-outs are just another hit for the junkie, it solves nothing and wastes money.
Therefore, China will not do full on bail-outs. It will be: "here is 30% of what you asked for at 100% interest, and we get our pick of real estate in your capital city. You can have more when we think you're headed in the right direction and that will come at 150% interest", and so on.
it's all a pony show. if you have 1.5 trillion in reserves , the question is not will you help.....but how will you take advantage of your distressed opponent.
who cares what the media says. a default of one major bank is going to happen. one way or another. then you will see some truth spoken after a few rich people get fired from their banks.
Now, just where are those algo servers located?!?! :)))
buy the phu cking dip!
What did the EU offer in return...?
So if China is to buy some Euro debt with its reserves, and its reserves are UST, it has to sell...................
This is going to end well.
pods
If China is willing to buy, then shut up already and buy!
I'm sure Italy and other "soverign-debt crisis nations" are happy to sell.
Or stated visually: When you have to shoot... Shoot! Don't talk.
ChiComs are playing their assigned role. Jubilee to the Global Governance 2025!
Yeah but this is like eating chinese take out ... you get hungry again about an hour later
That's what I always feel after having fucked a Chinese chick an hour earlier.
Greek default or not?? does that really affact AAPL or MSFT????? pls explain?
If Greece defaults, Greeks will no longer buy iphones, ipads and windows... that and the fact that the euro dollar will collapse and take then entire financial system with it.
Just one question...why don't the Chinese want to buy there own trinkets?
Enter William Banzai with a Global Ponzi Distribution Decision Tree schematic.
so ur telling me italy had a crappy bond auction yesterday
and now they tell everyone their buying?
right...
In Bailout land a crappy auction just means that you will get more forced buyers the next time around.
1 year bonds getting 114% just means you are doing a bang up job.
Wall Street has become 100% dependent on government bailouts . ZH should start a peticition to change Wall Street to Wellfair Bailout Street, Tax Payer Street , Save us with free money Street .
The only difference between Wall Streeters and ghetto welfare queens is that the streeters get to live in better looking government subsidized housing.
That will change though when Obama tries to do his best Oprah impression yelling out, "Everyone gets a house".
Why wouldn't China want to spend some FRN's on some other fiat? Trading worthless paper for worthless paper keeps the game afloat while they continue to buy metal.
lets drag china to hell..and have a revolution there
Kenneth Lieberthal director of the John L. Thornton China Center states on Yahoo's Daily Ticker that: "When China sees a diplomatic opportunity they may put a little money behind it and reap some diplomatic benefits," "I wouldn't be surprised if they do buy some [Italian debt], I will be surprised if they buy a lot."
If he's right then I don't see China's intervention as much reason for optimism for a Chinese bailout of Europe as I think it will take a lot more than a token diplomatic gesture bond purchase to rescue the Eurozone.
http://finance.yahoo.com/blogs/daily-ticker/china-offers-buy-italian-deb...
Welcome to TeaCup Syndrome.
First one to puke and the party's over.
All Fail together....