Despite Calls For His Head, Geithner Tells White House He Is Staying

Tyler Durden's picture

Following a flood of demands for the head of Tim Geithner on a silver platter, the head of America's one-ply paper issuance and tax evasion department, has just told the White House he is doing the wrong thing (of course) and not going anywhere. "Treasury Secretary Timothy F. Geithner, a central figure in the U.S. government’s bailouts of Wall Street banks and efforts to raise the debt limit, told President Barack Obama that he intends to remain in his job, according to a Treasury Department spokeswoman. “Secretary Geithner has let the president know that he plans to stay on in his position at Treasury,” Jenni LeCompte, assistant secretary for public affairs, said in a statement today in Washington. “He looks forward to the important work ahead on the challenges facing our great country.” Translation: goodbye foreseeable future. The only good thing is when the house of cards collapses (pretty soon at the going rate) Tiny Tim will be at the very top, and serve as the focal point of all accrued (if somewhat sharp, stainless steely and quite stabby) public "admiration."

From Bloomberg:

Geithner, the last remaining member of Obama’s original economic team, made his announcement after months of speculation over his future. He told White House officials this year that he was considering leaving once a deal to raise the nation’s borrowing limit deal was reached. Obama signed an increase in the limit on Aug. 2. 

 

His decision allows the administration to maintain continuity in economic policy at a time of investor concern that the two-year-old expansion may be stalling and after Standard & Poor’s cut the U.S. credit rating for the first time. The S&P 500 Index of stocks slumped 7.2 percent to 1,199.38 last week, the biggest weekly drop since November 2008 and the lowest level since Nov. 30, 2010.

 

Geithner’s challenges for the rest of Obama’s term include reducing unemployment, overhauling the housing-finance system, working with Congress to further cut the budget deficit and helping European leaders contain their debt crisis.

Of course, the unspun truth is that there is nobody, in either the public or private domain, stupid enough anywhere to take on Geithner's job. Which of course means the US economy is about to unleash its 5% annualized GDP growth rate for the next 10 years... Or maybe not.