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Here Comes The Non-Boring Weekend: G7 Says "Central Banks Ready To Provide Liquidity As Required"

Tyler Durden's picture


The G-7 is in full panic mode. The organization for the prevention of harm to the Status Quo was expected to release a communique possibly over the weekend, but the speed with which one was dropped for mass circulation is stunning and confirms that its members are in full meltdown as the weekend comes. It is now certain that the G-7 will attempt some major intervention over the next 48 hours to inject a last dose of hope into capital markets, or else the Monday open will be an epic collapse.

G-7 Statement on Tackling Slowdown, Supporting Banks

“We met at a time of new challenges to global economic recovery, with significant challenges to growth, fiscal deficits and sovereign debt, stemming from past accumulated imbalances.

This is reflected in heightened tensions in financial markets.

There are now clear signs of a slowdown in global growth. We are committed to a strong and coordinated international response to these challenges.

“We are taking strong actions to maintain financial stability, restore confidence and support growth. In the U.S., President Obama has put forward a significant package to strengthen growth and employment through public investments, tax incentives and targeted job measures, combined with fiscal reforms designed to restore fiscal sustainability over the medium term. Euro area countries are implementing the decisions taken on July 21 to address financial tensions, notably through the flexibilization of the EFSF, reaffirming their inflexible determination to honor fully their own individual sovereign signatures and their commitments to sustainable fiscal conditions and structure reforms. Japan is implementing substantial fiscal measures for reconstruction from the earthquake while ensuring the commitment to medium-term fiscal consolidation.

“Concerns over the pace and future of the recovery underscore the need for a concerted effort at a global level in support of strong, sustainable and balanced growth. We must all set out and implement ambitious and growth-friendly fiscal consolidation plans rooted within credible fiscal frameworks.

Fiscal policy faces a delicate balancing act. Given the still fragile nature of the recovery, we must tread the difficult path of achieving fiscal adjustment plans while supporting economic activity, taking into account different national circumstances.

“Monetary policies will maintain price stability and continue to support economic recovery. Central Banks stand ready to provide liquidity to banks as required. We will take all necessary actions to ensure the resilience of banking systems and financial markets. In this context we reaffirm our commitment to implement fully Basel III.

“We reaffirmed our shared interest in a strong and stable international financial system, and our support for market- determined exchange rates. Excess volatility and disorderly movements in exchange rates have adverse implications for economic and financial stability. We will consult closely in regard to actions in exchange markets and will cooperate as appropriate.

“We look forward to working with our colleagues in the G20 and the IMF in the coming weeks to rebalance demand and strengthen global growth. As previously agreed, structural reforms will make an important contribution in this regard.”



Translation: the great experiment in encroaching statism, failed monetary policy and central planning continues... Until imminent failure.


And select soundbites of last ditch desperation courtesy of Reuters:



"The G7 reaffirmed its comittment to safeguarding the solidity of sovereign ratings."

"We have to get away from the idea there is only one solution for all... It's not rigour versus growth."

"It was a G7 where everything was raised. There was no dead time."


"There is an extreme tension on the markets, what's important is that very strong measures are taken by governments concerned."

"It was really a meeting of great cohesion and force. There was a determination by everyone to meet challenges."


"The G7 sees a need for a concerted effort at global level in support of strong, sustainable and balanced growth.

"We must all set out and implement ambitious and growth-friendly fiscal consolidation plans rooted within credible frameworks.

"The G7 affirmed its interest in a strong, stable international financial system."



"It is completely within the capacity of the stronger members of the euro area to absorb those costs. Those costs would be much, much greater for them and their economies if they sit here and do nothing and they recognize that."


"I hope we would all agree we have to stay the course, that we have to go through the pain of fiscal consolidation. It's not easy, it creates stresses in some countries, but it's necessary, we have to get through this rough patch.

"There's no point kicking the can down the road. If we don't deal with it now we'll have to deal with it later and we know that these problems do not get better with the passage of time."


"We support the United States in its work so that the U.S. recovery can continue, while in Europe we have our own challenges related to fiscal consolidation and restoring confidence in the European economy."

On bank funding:

"Solutions should be found from private markets, from private investors and if that is not is possible there should be national backstops in place to ensure recapitalisations or restructuring for these banks."


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Fri, 09/09/2011 - 21:38 | 1653208 scratch_and_sniff
scratch_and_sniff's picture

Can i also add, i think this whole thing is playing into the hands of the Germans beautifully, fair play to them, sometimes power goes where its natural home is, no need for malice to be involved(just a little tweaking). But if the Germans are so against backstopping Europe, what the fuck were they going to do if they had of won the war? Man its my unshakeable belief that the Germans have this all in the bag...look at the contenders, fuck sake: Ireland? Greece? (Italy is ok, they have 2500 tonnes of gold) what the fuck is Ireland going to do? The stupid fucks signed the lot away, they didnt even have a sovereign crisis, it was an irrelevant banking dilemma; bond holders went to bed one night accepting they were going to take a 70% haircut, and woke up the next morning to find santa had come in the form of the Irish gov promising 100%…for what? noooooooooooooo, something going on here, i can feel it in my salty balls.

Sat, 09/10/2011 - 12:35 | 1654517 falak pema
falak pema's picture

I think the intent of article statement is very clear :

Flexible in AMOUNT (upto 3.5 trillion), Inflexible in Intent. (We will go the whole hog.)

Fri, 09/09/2011 - 20:29 | 1653035 knukles
knukles's picture

It's not English, it's Portugese.

Fri, 09/09/2011 - 21:27 | 1653185 New_Meat
New_Meat's picture


Fri, 09/09/2011 - 18:32 | 1652736 Herman Strandsc...
Herman Strandschnecke's picture

XRAYD. I'd say it meant 'Warping'

Fri, 09/09/2011 - 18:39 | 1652753 falak pema
falak pema's picture

what is the ductile strength of "flexibilization"? What is its limit of elasticity? When does plasticity defintely set in?

The honorable society of pseudo science, called the "G7 financial wizards", can be relied upon to provide us all the scientific answers. 

A true experiment in the making will tell us how this flexibilization works first for Greece, then Portugal, then Spain, then Italy. 

In the meantime as chief Chaman Triche has ordained : there will be unlimited liquidity for all EU banks...

So there...let the great euro experiment now proceed. 

Fri, 09/09/2011 - 18:52 | 1652793 Poule Mouillee
Poule Mouillee's picture

falak, you neglected to mention crazing.  Crazing has already begun.

Fri, 09/09/2011 - 19:04 | 1652834 Herman Strandsc...
Herman Strandschnecke's picture

Is this Crazing like splitting up on the veneer with a bloating of debt underneath?

Fri, 09/09/2011 - 19:53 | 1652958 Al Gorerhythm
Al Gorerhythm's picture

Will Flexibization ever get Gription?

Fri, 09/09/2011 - 22:14 | 1653291 TheFourthStooge-ing
TheFourthStooge-ing's picture

Will Flexibization ever get Gription?

No, but Flexibiliquidicuritization will get Tractionalized into the Defaultranche.


Fri, 09/09/2011 - 21:12 | 1653136 WmMcK
WmMcK's picture

I've heard Au and Ag are very ductile (and malleable and fungible), but, alas, not edible.

Fri, 09/09/2011 - 21:30 | 1653190 New_Meat
New_Meat's picture

fp: in honor of -10 yearz:

"... What is its limit of elasticity? When does plasticity defintely set in? ... "

Hook's Law is a function of local temperature.

God love them all and the follow-on playaz'

- Ned

Fri, 09/09/2011 - 20:02 | 1652985 Clampit
Clampit's picture

Another sentence example: flexibilization of capital markets will continue until moral improves.

Fri, 09/09/2011 - 21:24 | 1653171 scatterbrains
scatterbrains's picture

It's morale yo

Fri, 09/09/2011 - 22:31 | 1653336 Al Gorerhythm
Al Gorerhythm's picture

Or not. maybe he meant to add an "s" for morals.

Sat, 09/10/2011 - 09:54 | 1654234 Chaffinch
Chaffinch's picture

They have no morals. It is possible they have Morrells (which is, or was, a brand of beer) hence the references to liquidity.

Fri, 09/09/2011 - 18:16 | 1652667 JupiterAndBeyond
JupiterAndBeyond's picture

European Union = New Coke

Fri, 09/09/2011 - 18:16 | 1652668 gookempucky
gookempucky's picture

This reminds me of when Sherlock Holmes and Watson went camping;

During the first night Holmes wakes up around 2 am and was looking at the stars..perplexed he elbows Watson to wake up..Watson still half asleep says what in the bloody hell is wrong Holmes ? I was sleeping like a log...Holmes motions to Watson towards the sky and says ..what do you see Watson ?  Watson a little perplexed finally says WOW the stars are giant tonight..what a beautiful night, what a beautiful sky...this is what you wanted me to see wasnt it Holmes...NO Watson look harder...Watson squints his eyes and stares very hard only to say, I dont see what you are talking about Holmes...What is it Im supposed to see ? Holmes finally says WATSON SOMEONE HAS STOLEN OUR TENT !!!!!!!

Fri, 09/09/2011 - 18:25 | 1652705 juslen
juslen's picture

lol, real laughter did indeed occur on my part.

Fri, 09/09/2011 - 19:00 | 1652822 Marx_it_2_market.
Marx_it_2_market.'s picture

Thanks for the laugh.  It was so funny that I went to verify the source.  Turns out the exact version is even funnier, and more apt in showing how details can lead one astray, something the MSM knows all too well.

“Holmes and Watson are on a camping trip. In the middle of the night Holmes wakes up and gives Dr. Watson a nudge. “Watson,” he says, “look up in the sky and tell me what you see.” “I see millions of stars, Holmes,” says Watson. “And what do you conclude from that, Watson?” Watson thinks for a moment, “Well,” he says, “astronomically, it tells me that there are millions of galaxies and potentially billions of planets. Astrologically, I observe that Saturn is in Leo. Horologically, I deduce that the time is approximately a quarter past three. Meteorologically, I suspect that we will have a beautiful day tomorrow. Theologically, I can see that God is all powerful, and we are small and insignificant. Uh, what does that tell you, Holmes?” “Watson, you idiot! Someone has stolen our tent!”

Fri, 09/09/2011 - 18:19 | 1652669 bob_dabolina
bob_dabolina's picture

Uh....are we forgetting Obama and his job plan? It's clearly going to put humpty dumpty back together again (if it's done NOW, we'll pass it and find out what's in it later)

Fri, 09/09/2011 - 20:47 | 1653079 SilverIsKing
SilverIsKing's picture

Obama, master of the "pull my finger" gag.

Fri, 09/09/2011 - 18:17 | 1652670 MonkeySmoke
MonkeySmoke's picture

Now we know, fully, the reason for the attempts at keeping gold and silver under control. Should be interesting to see how gold and silver react to this news, Monday when the market opens.

Fri, 09/09/2011 - 19:54 | 1652962 jdelano
jdelano's picture

That's exactly what I saw in this--they will be going after gold. Goddamn it. Now they're really pissing me off. Insurrection time.

Fri, 09/09/2011 - 22:02 | 1653271 TheFourthStooge-ing
TheFourthStooge-ing's picture

That's exactly what I saw in this--they will be going after gold.

Fuck it, let them go after gold. Let them drive it back down as much as they can. How long will it last? A week? A day or two?

The increasing desperation of the manipulation is being matched by a decreasing duration of the effects. Those who are waiting for a big dip before buying will soon be wishing they'd bought when gold was still under $2000. Those who believe that paper gold is worth something will soon be wishing they'd bought physical when it was available and an ounce cost less than a wheelbarrow full of hundred dollar bills.


Fri, 09/09/2011 - 18:17 | 1652671 --Freedom--
--Freedom--'s picture

Does "provide liquidity" just mean printing money? Serious question. Does this just mean the European central banks will print money for the banks, and, if so, will the gold market react the same way it did under US qe programs?

Fri, 09/09/2011 - 18:34 | 1652742 unky
unky's picture

Also interesting will be the EUR/USD, today at 1.36, its not very nice for you if you havent bought PMs already.

Fri, 09/09/2011 - 18:42 | 1652762 --Freedom--
--Freedom--'s picture

Well, I'm pretty much all in on the metals. Have been waiting for a big move up before unloading some UGL to buy another couple years worth of dried goods. So I've been watching the gold market closely for the move up toward 2k.
Of course, the physical metal won't be sold at 2k.

Fri, 09/09/2011 - 19:59 | 1652974 NumberNone
NumberNone's picture

The CB's are screwed.  They are in a suicide pact and Greece is about to slit its wrists.  They have to keep Greece on anti-depressant cashflows because they know when Greece declares bankruptcy and kills've got 5 more countries that say fuck it and will throw their lot in with the bankruptcy suicide pact almost immediately.  Last one out is the loser...right Germany??  Can't you just feel Germany squirming and getting ready to raid the US bases for tactical nukes to kick some fucking teeth in?  "Gott im himmel, you bastards will pay for this"  It was their own poverty that drove them to military action in will be everyone elses poverty that will drive them into action this time. 

In the end, CB's are down to printing money and praying for a miracle.  It's all they got. 

Fri, 09/09/2011 - 18:18 | 1652674 pillory
pillory's picture

zerohedge freaks me out.

waiting on the "just head for the hills" headline. (when, tyler, when?)

changing avatar to super-attractive ostrich.

Fri, 09/09/2011 - 18:36 | 1652749 Poule Mouillee
Poule Mouillee's picture

If only the avatars were bigger so we could truly appreciate it.

Fri, 09/09/2011 - 19:49 | 1652950 toady
toady's picture

You're not the only one. At least once a week I load all the weapons and the truck after reading ZH.

A day later I calm down. I'm getting pretty good. It takes less than an hour now...

Fri, 09/09/2011 - 19:59 | 1652973 mayhem_korner
mayhem_korner's picture

Nice fowl trifecta.  I personally prefer the ostrich (with a good chianti).  Little gamier than the chix or gooz.

Fri, 09/09/2011 - 21:33 | 1653197 Rodent Freikorps
Rodent Freikorps's picture

If you wait to hear the final "Eject" you will be alone in this airplane.

Sat, 09/10/2011 - 06:39 | 1654032 mayhem_korner
mayhem_korner's picture

Didn't recognize the new pic, RF.  Presume he's sporting a glock under the trenchcoat?

Fri, 09/09/2011 - 18:19 | 1652683 SumSUN
SumSUN's picture

Ohhh i get it.  They are doing more of the same at a more furious pace to solve the problems.  Brilliant!  Everyone sell your PMs and deposit your cash to help capitalize the banks!

Fri, 09/09/2011 - 18:41 | 1652760 andybev01
andybev01's picture

Kind of like having a bad steering box so you move the steering wheel before you reach the corner.

Fri, 09/09/2011 - 22:45 | 1653373 Conax
Conax's picture

Sell to whom? Who ends up with the gold?


Let them rage and make threats, if it gets too ugly, I'll bury it for the grandkids.


Lookout for some new PMs tax/regulations. They have the printing press and a monopoly on the use of force.

I have a shovel.

Fri, 09/09/2011 - 18:20 | 1652686 LookingWithAmazement
LookingWithAmazement's picture

"Central Banks stand ready to provide liquidity to banks as required"

No banking crisis. The doomers can go to sleep again. Boring world we live in.

Fri, 09/09/2011 - 19:13 | 1652861 Amish Hacker
Amish Hacker's picture

Right, there's absolutely no problem, but if you give us enough money, we can solve it.

Fri, 09/09/2011 - 20:50 | 1653083 Lord Welligton
Lord Welligton's picture
"LookWithAmazement" At how stupid I am. Well done. You do your education a credit.
Fri, 09/09/2011 - 23:07 | 1653424 LookingWithAmazement
LookingWithAmazement's picture

Believe me: TPTB can play this "game" for as long as they want. Just protect yourself and go to sleep or do something useful.

Sat, 09/10/2011 - 06:43 | 1654035 mayhem_korner
mayhem_korner's picture

Believe me: TPTB can play this "game" for as long as they want.

So thought Belshazzar and the elites Roman Empire.

The delusion of invincibility is most vivid just before its downfall...

Fri, 09/09/2011 - 22:16 | 1653295 TheFourthStooge-ing
TheFourthStooge-ing's picture



Fri, 09/09/2011 - 18:20 | 1652687 hambone
hambone's picture

I don't even have time to read the comments - I'm off to buy more PM's.

Fri, 09/09/2011 - 18:23 | 1652696 SumSUN
SumSUN's picture

I would be as well, but i only have gold and silver... And some calls and puts.  I'm Maxed out!!

Fri, 09/09/2011 - 18:29 | 1652723 juslen
juslen's picture

Same here, 75% of my assets are in PM, 100% of my savings are in physical.

Fri, 09/09/2011 - 18:37 | 1652752 Poule Mouillee
Poule Mouillee's picture

It's been HOURS since I did that.  I'm jonesing for more too.

Fri, 09/09/2011 - 18:21 | 1652688 BurningFuld
BurningFuld's picture

"We support the United States in its work so that the U.S. recovery can continue" BaHaHaHa.

Aren't things continuing on a downward slant. I mean correct me if I'm wrong.

Fri, 09/09/2011 - 18:31 | 1652728 andybev01
andybev01's picture

*I know man; the fell for it!!*

Fri, 09/09/2011 - 18:57 | 1652809 SamuelMaverick
SamuelMaverick's picture

right off the cliff.....

Sat, 09/10/2011 - 06:45 | 1654036 mayhem_korner
mayhem_korner's picture

Double black diamond downward slant.

Fri, 09/09/2011 - 18:21 | 1652689 Herman Strandsc...
Herman Strandschnecke's picture

The one thing I am looking for has not been mentioned anywhere: how can we have faith and sustainability in a system, particularly in EU but also in the US, when there is no democratic say so and when politicians election promises are lies? How can you plan and invest in marxism, socialism and a world of stinking political charlatans? And they wonder why PMs are the future.

Fri, 09/09/2011 - 18:28 | 1652710 --Freedom--
--Freedom--'s picture

how can we have faith and sustainability in a system, particularly in EU but also in the US, when there is no democratic say so and when politicians election promises are lies?

In short, we can't, and don't.

Fri, 09/09/2011 - 19:20 | 1652879 Hansel
Hansel's picture

+1 Herman, but maybe planning and investing have always been illusions.  Maybe the flaw is your perception of rules, or that there should be rules, when there are none.  Selectively enforced rules and laws are just tyranny or mob rule by one group over another.  Same as it ever was.

Sat, 09/10/2011 - 01:59 | 1653807 MsCreant
MsCreant's picture

At first blush I feel like I want regs to keep people like polluters from doing what they want in other folk's back yard. I am starting to come around to your way of thinking though.

Any thoughts on this? Free market may not handle that one...

Sat, 09/10/2011 - 06:14 | 1654022 Mitzibitzi
Mitzibitzi's picture

"There are two kinds of people in this world; those with loaded guns and those who load all the trash they just dumped back onto the truck. You dig?"

Fri, 09/09/2011 - 18:22 | 1652692 Sneeze
Sneeze's picture

Anybody think Jim Flaherty is going to make Jack Layton roll over in his grave and actually "fiscally consolidate"?

The majority support his government has could allow him to tell the G6 to enjoy sex with their hats while they print and deficit spend themselves into oblivion.

My guess is the status quo of self inflicted head shots will prevail.


Fri, 09/09/2011 - 18:22 | 1652695 Subprime JD
Subprime JD's picture

S&P is a tight range right now, im curious to see if the bottom of 1100 will fall out. If it does then SPX 1000 here we come.

Fri, 09/09/2011 - 22:06 | 1653279 max2205
max2205's picture

Tight?! Like 1250 to 1100? Trading ranges are never tight when vix is over , wait for it... 40!

Fri, 09/09/2011 - 18:23 | 1652698 LstrzMnyn
LstrzMnyn's picture

Global response from unconsulted billions in regards to continued government tampering with no regard for long term disintegration:


Fri, 09/09/2011 - 18:24 | 1652701 AladdinSaneGirl
AladdinSaneGirl's picture

The Status Quo must not be harmed! My favourite song of theirs is DOWN THE DUSTPIPE .. check it on Youtube. 

Fri, 09/09/2011 - 18:24 | 1652702 exiledbear
exiledbear's picture

Flexi-what? Is Dubya running the show now? Or have the worms finally eaten into their brains?

Fri, 09/09/2011 - 18:29 | 1652722 caerus
caerus's picture

but it was only a fantasy

Fri, 09/09/2011 - 18:30 | 1652726 scratch_and_sniff
scratch_and_sniff's picture

lol flexibilization, yeah that one threw me too. Its a word, but probably the wrong one in this case.

Fri, 09/09/2011 - 18:25 | 1652707 What_Me_Worry
What_Me_Worry's picture

G7- We have too much debt.  But, its okay, we talked it over and realize the only solution is to make more debt.  Fight fire with fire.

Fri, 09/09/2011 - 20:43 | 1653068 Ponzi Unit
Ponzi Unit's picture

Flexibilization = ramp the Ponzi

Fri, 09/09/2011 - 18:26 | 1652709 TradingJoe
TradingJoe's picture

Again, they got nothing, printing is not even short term of any help, everyone and their momma would sell into that rally! I know I would! We'll see Greece go, aided by most likely the Germans, helped by the French, once it is clear it's too little too late, markets will tell THEM the whole story!
We'll gap down on Monday, by how much, where the fuck should I know, fact is, S&P @ 875ish might just be the signal for Benster to come into the ring! Once selling commences and momentum gains "strength" he'll knows where we stop!
Happy Weekend and lets don't forget the ones missing for 10 years now!

Fri, 09/09/2011 - 18:55 | 1652800 TwelfthVulture
TwelfthVulture's picture

A week's worth of hard selling right before the 2-day September meeting,  Just in time to announce the QE3.  Perfect.  How convenient.

Fri, 09/09/2011 - 20:02 | 1652983 mayhem_korner
mayhem_korner's picture

I gotta believe Benbux is pretty pent up with the abstinence since June.

Fri, 09/09/2011 - 20:17 | 1653015 SumSUN
SumSUN's picture

That is exactly how I imagine the next couple weeks to play out as well.  Bank stocks getting hit the hardest hopefully.

Fri, 09/09/2011 - 18:28 | 1652713 TruthInSunshine
TruthInSunshine's picture




On bank funding:

"Solutions should be found from private markets, from private investors and if that is not possible there should be national backstops in place to ensure recapitalisations or restructuring for these banks."



   Bend over taxpayers. More & bigger bailouts on the way. Take the pain, bitchez.

Fri, 09/09/2011 - 18:27 | 1652715 Fix It Again Timmy
Fix It Again Timmy's picture

Looks like the Euro-Peons have their work cut out for them this weekend; feel lucky, punks?

Fri, 09/09/2011 - 18:27 | 1652716 Lazarus Long
Lazarus Long's picture

if these assholes were smart they load up their planes and take the 48 hour headstart the weekend gives them.

Fri, 09/09/2011 - 20:45 | 1653076 Ponzi Unit
Ponzi Unit's picture

Fucking great line, Lazarus!!!

Fri, 09/09/2011 - 18:27 | 1652719 dwdollar
dwdollar's picture

They'll think of something to push the bulls into a feeding frenzy come Monday morning.  It's so pathetic.

Fri, 09/09/2011 - 18:28 | 1652721 scratch_and_sniff
scratch_and_sniff's picture

Flexibilization=the ability to use 1 word where 25 are needed.

Fri, 09/09/2011 - 18:31 | 1652727 El Gato
El Gato's picture

Let them eat liquidity

Fri, 09/09/2011 - 18:31 | 1652729 Cui Bono
Cui Bono's picture

Ugh... So Tyler, are you saying that if the Saints still had Reggie Bush this could all have ben....... aah ben.....

Can't believe Timmay G said the US is fine but Eurall fuckedup..... sigh...

Fri, 09/09/2011 - 18:33 | 1652734 Ag1761
Ag1761's picture

We will take all necessary actions to ensure the resilience of banking systems and financial markets. In this context we reaffirm our commitment to implement fully Basel III.


Basel III from what I've read will reduce GDP growth! Whats pumped out of Central Bank will be used to bolster higher tier 1 capital in the failing banks.

Utter pish, let them collapse....

Fri, 09/09/2011 - 18:33 | 1652739 Rockfish
Rockfish's picture


The organization for the prevention of harm to the Status Quo

Spot on TD +1



Fri, 09/09/2011 - 18:34 | 1652741 RobotTrader
RobotTrader's picture



No doubt TPTB must be desperate to utter a statement on a Friday night.

They must be planning a barrage of "feel good" support statements to roll out the rest of the weekend so Asia has a green "Happy Print" when it opens.

Fri, 09/09/2011 - 18:47 | 1652777 Rainman
Rainman's picture

Fri night crisis news used to be reserved for bank it's sovereign takeovers......all progressing as scheduled. 

Fri, 09/09/2011 - 18:49 | 1652788 Muddy1
Muddy1's picture

I read "udder" a statement, nice tits

Fri, 09/09/2011 - 18:51 | 1652790 ReactionToClose...
ReactionToClosedMinds's picture

this early release just may mean that the USA/Fed will backstop Germany (with or without PRChina &/or Japan &/or Saudi visible support), so Germany can fake tell vigilantes that it will backstop ECB which will ride to the Greek default, CDS implosion 'rescue' of Euro/Int'l banks ...

or is it Charge of the Light Brigade ... onward onward into the valley of death they rode ....

Fri, 09/09/2011 - 18:53 | 1652796 The Deleuzian
The Deleuzian's picture


I agree with you for once.. I seriously doubt we get a red monday...but a blue monday for sure...

This is where the rubber meets the road and the ultimate power of the CB's will be seen...

Call it a hunch, call it that hair on your neck going straight what have you.  I would go long everything (except reverse ETF's and such)  The only winners vs. losers will be the spread traders (you know, long this-short that)......

The algo's are full steam ahead....

Fri, 09/09/2011 - 19:03 | 1652829 TwelfthVulture
TwelfthVulture's picture

I'm not so sure, it appeared the algos tried several times today to do that crazy vaporless melt up they do so well only to be roundly bitch slapped down.

Fri, 09/09/2011 - 19:46 | 1652934 The Deleuzian
The Deleuzian's picture


No doubts.. tough call here, my take is the last 'battle of the bulge if you will is going to leave lots of corpses but the risk/reward is so one-sided towards the big miners and quality juniors that

I would be happier to be wrong and bet than to not bet at all..

It's just so skewed!!!


Fri, 09/09/2011 - 19:53 | 1652955 XitSam
XitSam's picture

As the number of desperate reassuring statements approach infinity, the probability of collapse approaches certainty.

Fri, 09/09/2011 - 20:50 | 1653086 Ponzi Unit
Ponzi Unit's picture

Nothing is confirmed until officially denied.

Fri, 09/09/2011 - 22:27 | 1653325 TheFourthStooge-ing
TheFourthStooge-ing's picture

Nothing is confirmed until officially denied.

For a nice touch, the official denial should be accompanied by a laugh track.


Fri, 09/09/2011 - 18:38 | 1652754 Seasmoke
Seasmoke's picture

just bought a 4 month supply of 25 year freeze dried food for the family ......suggest others do the same as i dont think we be testing the 25 year life (more like 25 weeks)

Fri, 09/09/2011 - 19:03 | 1652831 Rainman
Rainman's picture

The family dogs might start to look a little tastier after 14 days of eatin that shit. Plump em up.

Fri, 09/09/2011 - 20:39 | 1653058 yabyum
yabyum's picture

Do not forget the supply of wine!! A nice Malbec goes well with the family pet or rats. MRE's and most "YEAR"  supply type food will go down better w/some"etoh", since you will not have your xanax or antidepressants  it will be a great help.

Sat, 09/10/2011 - 02:04 | 1653812 MsCreant
MsCreant's picture

Some Vodka is great because it has multiple uses. Drinking, pain killer, sterilization, barter, it's a good one. Unlike wine, no expiration date (I like wine better but can't afford the quality stuff that would keep for years and years).

Sat, 09/10/2011 - 03:00 | 1653894 Conax
Conax's picture

copper tubing, bitchez. 

nice work at home plan.

Fri, 09/09/2011 - 18:38 | 1652755 Mentaliusanything
Mentaliusanything's picture

When will they learn - The very definition of insanity is doing the same thing over and over again only to get the same results.

DO NOT Feed Pearls to PIGS - It is very expensive and the PIGS just have no appreciation and will turn on you.

Fri, 09/09/2011 - 18:38 | 1652756 dwdollar
dwdollar's picture

These Vyvanse Ads are f'cking annoying.

Fri, 09/09/2011 - 18:50 | 1652789 Herman Strandsc...
Herman Strandschnecke's picture

dwdollar. I'm getting Ads for Diarrhea treatment in Europe

Fri, 09/09/2011 - 18:55 | 1652802 machineh
machineh's picture

Issue a year's supply of Vyvanse to every man, woman and child, and watch this moribund economy rock!

Housewives'll be scrubbing da kitchen floor wif a toothbursh at 2:30 am, yo!

Better living through chemicals, comrades!

Fri, 09/09/2011 - 21:11 | 1653126 knukles
knukles's picture




Don't ever snort that shit! 
It'll  make          


n   uh               

h             u           






Fri, 09/09/2011 - 18:39 | 1652757 Withdrawn Sanction
Withdrawn Sanction's picture

"flexibilization" really.  You cant make this stuff up....well... actually you can

Fri, 09/09/2011 - 21:12 | 1653135 knukles
knukles's picture

Yeah, somebody with way the fuck too much Vyvanse on their hands.

Fri, 09/09/2011 - 18:40 | 1652758 Racer
Racer's picture

Act in a timely manner

sub-prime is well contained


yeah yeah... liar liar pants on fire

Fri, 09/09/2011 - 18:41 | 1652759 Lord Welligton
Lord Welligton's picture

Nothing more or less than an act of surrender.

Fri, 09/09/2011 - 18:42 | 1652764 Id fight Gandhi
Id fight Gandhi's picture

Another weekend shit festival and a late Sunday save to help open Asian markets?



Fri, 09/09/2011 - 18:44 | 1652766 Lord Welligton
Lord Welligton's picture


"The G7 sees a need for a concerted effort at global level in support of strong, sustainable and balanced growth.

"We must all set out and implement ambitious and growth-friendly fiscal consolidation plans rooted within credible frameworks.

"The G7 affirmed its interest in a strong, stable international financial system."

Have "they" got this mans child hostage?

Fri, 09/09/2011 - 18:44 | 1652767 ReactionToClose...
ReactionToClosedMinds's picture

Yo' Adrian .... what times the fight again?

Fri, 09/09/2011 - 18:45 | 1652772 gnomon
gnomon's picture

A new multi-trillion dollar Marshal Plan for Euroland, now THAT will set well with the American Public!

That will be Bernanke's last act as Fed Chairman.  The hook will come out, and not even Obummer will be able to save him.

Fri, 09/09/2011 - 18:47 | 1652778 Johnny Lawrence
Johnny Lawrence's picture

Am I reading it correctly? Canada is the only nation arguing against more central bank manipulation.

Fri, 09/09/2011 - 18:53 | 1652779 Newager23
Newager23's picture

I guess the market didn't believe Obama last night when he said his jobs bill would be paid for.... Or perhaps people understood that this jobs bill is just more debt being piled onto the heap. I shook my head when he said that he will be releasing a new bigger and better deficit reduction plan soon. Didn't a "super panel" just get formed? What is he doing by saying this? It seems like he his undermining this panel. 

How can we have a $500 billion jobs bill and attack the deficit simultaneously? He talked about getting our priorities straight. So, which is it? Deficit constraint or stimulus? You can't have both (unless your are a politician). He even used the phrase that we need to use common sense. Well, the deficit is either a problem or it isn't. Common sense says that it is, but I'm not hearing that in this jobs bill.

So the day after this major jobs bill speech, the market tanks. Anyone else think it has to do with debt? And the lack of constraint in Washington to add more of it. This isn't a jobs bill, it is a stimulus bill. That's why it includes increasing unemployment benefits, payroll tax reductions, and aid to states. It is a pork bill. It is a debt bill.

The market is saying, enough of this debt, we can't take anymore. I have been amazed that the stock market has traded over 11,000. In my opinion, it should be around 8,500 with the current state of affairs. When it drops 300 points like it did today, I'm expecting it. This post that the G7 is nervous coincides with what I'm seeing. Governments and financial institutions are over-leveraged and many are insolvent. Growth is needed but not possible without major fundamental changes -- which are not politically possible.

End of rant.

Fri, 09/09/2011 - 18:59 | 1652820 TwelfthVulture
TwelfthVulture's picture

So the day after this major jobs bill speech, the market tanks. Anyone else think it has to do with debt?


I'm not seeing that anywhere in print, television, or net.  Except here.

Fri, 09/09/2011 - 20:53 | 1653096 Ponzi Unit
Ponzi Unit's picture

That's why it's called double talk.

Fri, 09/09/2011 - 18:51 | 1652782 Stax Edwards
Stax Edwards's picture

Decent amount of powder deployed long at close today. Starting to scale back in...

Fri, 09/09/2011 - 18:48 | 1652783 Lord Welligton
Lord Welligton's picture

Reading that it does rather seem that they are setting the scene for a Greek default.

If that happens.

Can Ireland have back the €100bn it put into dead Irish banks to save dead German and French banks?

Fri, 09/09/2011 - 19:07 | 1652812 TwelfthVulture
TwelfthVulture's picture

Ho ho ho!  Tee hee hee! Har de har har!  That money is LONG gone Lord Welly.  Spent it on booze, blow, and hookers at last year's bonus/holiday party.


Or, did I spend it on bonus and holiday at last year's booze, blow, and hookers party?

Fri, 09/09/2011 - 19:07 | 1652844 alien-IQ
alien-IQ's picture

at least the hookers will put some of it back into the economy.

Go long Manolo Blahnik.

Fri, 09/09/2011 - 19:09 | 1652850 TwelfthVulture
TwelfthVulture's picture

What's the multiplier on that?  You know?

Fri, 09/09/2011 - 19:22 | 1652887 alien-IQ
alien-IQ's picture

not sure...but it's gotta be huge. those girls like to live large...and when it comes to shoes...forgetaboutit. No limits.

Fri, 09/09/2011 - 19:10 | 1652854 Lord Welligton
Lord Welligton's picture

You will find that the ECB spent the "money".

If the ECB wants’ to talk to hookers and blow monkeys about where the money went they should ask Trichet.

He paid the bill.

This is the end.

“Turn off your mind.


And float downstream”


Fri, 09/09/2011 - 22:42 | 1653362 Cathartes Aura
Cathartes Aura's picture

excellent bait 'n' switch!


Fri, 09/09/2011 - 18:55 | 1652801 Everybodys All ...
Everybodys All American's picture

Liquidity injections could just as well mean that they are expecting Greece to give it up. The liquidity would be necessary in order to keep the markets and banks from complete failure. Or it means that they can save the markets for a few weeks before the inevitable.

Fri, 09/09/2011 - 18:56 | 1652803 Belarus
Belarus's picture

Expect a margin hike on PM's Sunday in thin trading. It is immenent. With more tax payer money being thrown in the banking system, and with monetary policy addressing market stability, you just know this kind of jargon means we're totally fucked. Again. But we knew that already. Therefore, since it makes no sense, on this news markets will advance 5% on Monday while they try to take down PM's. 

I for one am so sick of these hail marys. Digusting. I hate central banks. 

Fri, 09/09/2011 - 19:03 | 1652828 10044
10044's picture

no way jose, it's come and gone

Fri, 09/09/2011 - 19:09 | 1652849 LeBalance
LeBalance's picture

Margin increases only go as far as they go until paper and physical markets part ways.  That day is swiftly approaching and is actually heralded by the "good news" of all these margin calls.


On that fateful day ye shall not be able to purchase gold with paper.  It just will not be possible.  And on that

Fri, 09/09/2011 - 20:34 | 1653047 SumSUN
SumSUN's picture

And on that day I think it is safe to assume the masses will have no...fucking....clue.......

Fri, 09/09/2011 - 18:57 | 1652813 alien-IQ
alien-IQ's picture

How exactly is it that they plan to have a bunch of insolvent nations bailout a bunch of insolvent nations?

Or must I get a PHD in Economics to understand that?

Fri, 09/09/2011 - 19:02 | 1652823 Racer
Racer's picture

Did you not know about PHuckeD one that you can easily pay for?

Fri, 09/09/2011 - 19:05 | 1652837 TwelfthVulture
TwelfthVulture's picture

BS: Bull shit

MS: More shit

PhD: Piled high and deep

Fri, 09/09/2011 - 19:08 | 1652848 g
g's picture

(P)hucking (h)orrible (D)epression

Fri, 09/09/2011 - 19:10 | 1652852 LeBalance
LeBalance's picture

Spoken as one with certified knowledge!  oh how true!

Fri, 09/09/2011 - 19:57 | 1652967 theinebriatedsot
theinebriatedsot's picture

...from the Keynesian School.......

Fri, 09/09/2011 - 18:58 | 1652815 Racer
Racer's picture

And if the ChairSatan had been stopped from doing his insane QEs then hyperinflation in things that the other people need in order to exist... aka the 99% of the non leeches.. then the depression would have ended, but no, he perpetuated it

Fri, 09/09/2011 - 18:59 | 1652818 Racer
Racer's picture

Blah blah, we will continue to meddle until we have f*cuked good

Fri, 09/09/2011 - 19:04 | 1652835 g
g's picture

Would seem Stark got out just in time, eh hosers. Anyways everything is fucked up. About the only hope I have is Ron Paul in 2012, but he faces formidable foes and a lot of history. At this point I am not sure that would do any good. Interesting times.............

Fri, 09/09/2011 - 20:39 | 1653059 knukles
knukles's picture

The Chinese proverb "My you live in interesting times" is mean not as a blessing, but a curse. 

Fri, 09/09/2011 - 22:00 | 1653263 g
g's picture

Trust me the phrase is not used in the positive sense at all.

Fri, 09/09/2011 - 23:10 | 1653432 Sgt.Sausage
Sgt.Sausage's picture

No hope for anyone. Not even Mr. Paul. I'm a big fan, but nothing anyone can do will help at all. Mr. Paul would be perfect to lead the rebuilding, but I wouldn't want him in charge when it all goes down. He'll get blamed for it. All of it.

Fri, 09/09/2011 - 19:06 | 1652840 PulauHantu29
PulauHantu29's picture

pass the ouzo and Goat Cheese, please:


The Herald Scotland is on the story:

“The UK economy will almost stagnate in the second half of this year, and the global growth outlook is “much worse” than three months ago, the influential Organisation for Economic Cooperation and Development warned yesterday.”

And even the IMF is getting in on the action. DSK’s replacement, Christine Lagarde, cosied up to George Osborne in London this afternoon and whispered in his ear: “le British economie is going down ze tubes… you must print monnaie…” or words to that effect.

Britain’s economy is heading back to the “decade of decimation”, they believe. That’s wealth destruction on a grand scale, if they’re right.>>


from the Daily Reckoning

Fri, 09/09/2011 - 19:08 | 1652846 granolageek
granolageek's picture

Jeezus. Quit pretending the problem is government. It's the @#$% bankster owned PRIVATE ly ownedcentral banks, and the @#$%%^& private owned banks that own them.

Dear Austrians,

The Fed is your flippin' creature, not ours. Man up and accept it.


The socialists

PS.I never thought I'd agree with William Jennings Bryan, but he got you gold bugs right.

Fri, 09/09/2011 - 19:12 | 1652857 TwelfthVulture
TwelfthVulture's picture

The Post Office, a government agency, specifically enumerated in the Constitution, which is also a MONOPOLY, is going broke, as in, bankrupt, belly up. 

Yeah, you're right, I'm wrong, the government is the most efficient use of resources EVER.

Fri, 09/09/2011 - 19:14 | 1652867 Rodent Freikorps
Rodent Freikorps's picture

We can trust the government to ride herd on them?

"We're from the Government. We're here to help."

How's that working out for you, so far?

Fri, 09/09/2011 - 19:22 | 1652883 TwelfthVulture
TwelfthVulture's picture

Let me add.

Wasnt' it the SEC (also a government agency), tasked with oversight of the financial markets, which audited the firm of one Bernie Madoff, once a years for 30 years and never once discovered that the firm, which held itself out as a broker/dealer, executed zero trades in 30 years and did not provide segregated accounts for its investors.


I don't know what solutions the government is offering for what problem, all I know is that I want fuck all to do with their "expertise."  As would most rational individuals.

Fri, 09/09/2011 - 19:23 | 1652891 Crab Cake
Crab Cake's picture
“A government is like fire, a handy servant, but a dangerous master."

- George Washington


The US government, most state governments, and the rat faced bought and sold politicians of both major parties have long since abandoned being servants of the people.  What we have now is beyond dangerous, and the monster will show its teeth when the time comes.  When this moment does come we as a people must be willing to water the tree of liberty, or the US as we have known it (or at least understood it) will disappear forever.

Fri, 09/09/2011 - 20:58 | 1653106 spinone
spinone's picture

Pleez, take it easy. When you flush the toilet, pour a glass of water, thats government. When you use internet, thats government. When you ride in an ambulance, or the fire department puts your house out, or you get vaccinations, thats government.

Fri, 09/09/2011 - 21:32 | 1653181 akak
akak's picture

When the US military invades a foreign nation posing no threat to the US under flimsy pretexts for the sake of megacorporate defense and neocon wet dreams, that is government.

When you are extradited to a shithole foreign dictatorship and tortured by the CIA, while being held incommunicado and stripped of your dignity, every fundamental human right and perhaps your very life, that is government.

When you car or other assets are taken from you without any semblance of due process or equal justice, merely on the "suspicion of illegality" by a militarized robocop, that is government.

When federal stormtroopers burst through your door unannounced, in complete violation of the Fourth Amendment and every notion of liberty, to arrest you simply for using a substance in your own body that is much less harmful than others which are officially approved if vastly more personally and socially damaging, that is government.

When 5 or 10% of your savings and financial assets are confiscated annually by the illegal tax euphemistically called "inflation", which the official counterfeiters who levied this surreptitious tax then deny ever even happened, that is government.

When you spend an obscene amount of time and energy having to document every possible financial move or bit of income, and then agonizingly spend days of confusion, frustration and worry to prepare your annual income tax return, that is government.

Fri, 09/09/2011 - 22:34 | 1653343 TheFourthStooge-ing
TheFourthStooge-ing's picture

When your children are subjected to cavity searches at the airport, that is government.


Sat, 09/10/2011 - 02:25 | 1653842 WaterWings
WaterWings's picture


*Holy Shit! Post of the Year!

Fri, 09/09/2011 - 19:16 | 1652869 Crab Cake
Crab Cake's picture

Why is it that whenever I hear the word "growth" anymore, all I can think is "Ponzi scheme"?

Fri, 09/09/2011 - 19:17 | 1652872 Zgangsta
Zgangsta's picture

What a vacuous statement. When you have a fiat currency, you are always ready to provide liquidity as required!

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