G7 Preparing Statement To Support Dollar, EU, In Fact Everything That Would Otherwise Collapse Tomorrow, Before Asia Open

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Sun, 08/07/2011 - 13:40 | 1533096 KennyG09
KennyG09's picture

tits trickery. lulz

Sun, 08/07/2011 - 13:50 | 1533153 Libertarians fo...
Libertarians for Prosperity's picture

All of this drama from a ratings agency that scores BofA equity 5 out of 5 stars, as its collapsed ~50% in 6 months, and headed toward zero?

All of this drama from a ratings agency that MISSED THE ENTIRE FINANCIAL COLLAPSE, and had buy recommendations on companies while they went bankrupt?


I'm not defending the US dollar or US policy makers, but the S&P is a joke.  With this recent downgrade, the S&P is merely riding the coattails of popular opinion, looking to re-establish some sort of relevency as it continues to prove its utter worthlessness.

Sun, 08/07/2011 - 13:53 | 1533170 tmosley
tmosley's picture

So you are saying that Moody's and Fitch, which also missed the subprime catastrophe, are more accurate?

Or are you just so stupid and biased that you can't see that their bias is to the upside on both MBS and US debt?

Sun, 08/07/2011 - 13:59 | 1533195 Libertarians fo...
Libertarians for Prosperity's picture


Can you point to the part of my post where I made reference to Moodys and Fitch, let alone mentioned they were more accurate?

Your post is completely ridiculous.



Sun, 08/07/2011 - 14:04 | 1533217 tmosley
tmosley's picture

You are implying that you think that the US is still a AAA credit risk, which is where Moody's and Fitch put it.

I would argue that your post is ridiculous, as are all your posts, opinions, and attacks.  Indeed, I don't know why you stick around.  You should be out hanging around with the rest of the normalcy bias addled sheep shopping for iPads.

Sun, 08/07/2011 - 14:20 | 1533262 ZeroPower
ZeroPower's picture


While i wouldnt bring up anything about either the other 2 agencies, or those old MBS ratings into the current discussion, i stand wth the few who do agree the rating downgrade was ridiculous and unnecessary. 

Yes, we know the debt situation is totally unsustainable and solving the debt limit crisis by increasing the debt limit is not at all a solution, but you have to look past the explicit action which was the actual downgrade on friday and ask, why? S&P just wanted to pretend like theyre ahead of the curve in this. We know for a fact they never were, and probably never will be (in this case, its a game of politics - something which has been much discussed before).

We'll see how the S&P reacts to any outstanding EU countries that arent still at their proper levels on the rung. Anectodally, last friday on the credt side there was some flow coming into LatAm CDSs (long risk) merely due to the fact that some of those countries now trade at tighter spreads than 'staple' European ones! Whether or not CDS spreads frontrun ratings down/upgrades is another story, but we shall on keep our eyes on this in the coming important weeks.

Sun, 08/07/2011 - 14:29 | 1533322 tmosley
tmosley's picture

What the fuck is going on here?  Did the community of ZH go full retard while I have been too busy to comment actively the last several weeks?

THE POINT OF RATINGS AGENCIES IS TO APPROPRIATELY RATE DEBT.  Currently, US debt is literally can not be repaid.  This is the antithesis of the AAA rating.  It should be junk, MAYBE a bit above.

Sun, 08/07/2011 - 14:35 | 1533346 tmosley
tmosley's picture

Also funny that the only posts being modded in this thread in bulk are mine and these trolls.  I outed "Libertarians for Progress" (along with his numerous other incarnations) as having access to some form of protools which record any and all changes to posts, as he jumped all over a post that I modified within 5 seconds of posting it an hour after I did that a while back.  It looks like he's up to his old tricks, and has registered numerous fake accounts which he is using to upvote himself and the other trolls, and downvote anyone who says anything against him.

What a fucking joke.  Some people have too much spare time on their hands.  

Sun, 08/07/2011 - 14:40 | 1533374 Zero Hedging
Zero Hedging's picture

Are you guys 10 years old??  

Sun, 08/07/2011 - 14:46 | 1533407 Thomas
Thomas's picture

Would that be great or what? Just heading into our prime grope and gulp years. Oh to do it all over again.

Sun, 08/07/2011 - 15:24 | 1533519 tmosley
tmosley's picture

10 years old and apparently RIGHT, because no sooner did I point it out than the up/down votes were disabled.  I would guess that they looked at the IP addresses and noticed they all came from the same one, or from the same block, or from TOR exit nodes or some such.

Sun, 08/07/2011 - 15:32 | 1533571 tmosley
tmosley's picture

For my next highly insightful prediction, I predict a Slashdot-style karma system will be implemented such that these fools won't be able to manipulate the moderation any more.

But since that is a pain in the ass, I wouldn't expect it for a couple of months at least, especially with all these server meltdowns they have been having.

Sun, 08/07/2011 - 14:39 | 1533362 narapoiddyslexia
narapoiddyslexia's picture

S&P has made it explicit the emperor has no clothes. We've known it all along, but Joe the Six-pack drinker, has not. Now, maybe, JSP is slowly raising his unshaven face to the light, saying, "Huh?" This, the politicians do not want.

Why S&P has decided to do this is not important, at least, not important to me. 

Sun, 08/07/2011 - 14:42 | 1533372 Mesquite
Mesquite's picture

Hope you're feeling better soon, tmosley...

Personally attacking people for having different opinions ,

is..well sad..There is already enough of that in the world..

Be safe n well all..

Sun, 08/07/2011 - 14:43 | 1533395 ZeroPower
ZeroPower's picture



Yes, but we know of the ratings agencies as always being behind the curve, hence the mockery most people associate towards the agencies. If rating agencies truly were the appropriate risk assessors, the market would wait for THEM to initiate a downgrade (or up) and then move in-line to either decreasing the price of their bonds, a widening of the entities CDS, etc etc basically any means necessary to say 'we believe the rating agency does their job, and thus the market trades on this a posteriori.

But, looking at what was happening in Greek CDS ever since over a week ago, taking a look at what is happening in the periphery+belgium+France the past few weeks, one can determine unfortunately the rating agencies clearly not only as beneficial as one would hope, but basically have little to say in the grand scheme of things.

Note that Moodys will likely never ever downgrade the US, since the Omaha is their Boss. And yet again we see a conflict of interest which is quite prevalent at Moodys, and surely exists somewhere inside S&P as well.

Sun, 08/07/2011 - 14:30 | 1533327 macholatte
macholatte's picture

the rating downgrade was ridiculous and unnecessary. 

Is it important who or what took action to get the attention span focused on this problem?

Yes the rating agencies have a poor track record and have a lot of work to do to gain credibility. Let us hope that credibility is what they want and actually evolve and become an unbiased third party "watch dog" as they were meant to be. Will the other agencies now follow S&P? Will the Congress return and get to work to fix the mess? What will the ratings be next week for Jersey Shore?

Sun, 08/07/2011 - 14:36 | 1533354 cossack55
cossack55's picture

CONgress will probably return in order to be protected by the DC Mili/Pol resources, but get to work.  That was a good one.


Sun, 08/07/2011 - 14:53 | 1533420 Mountainview
Mountainview's picture

I start to look only at Datong ratings... For tomorrow, the FED will come in tobuy T-bonds and than the USD will take it on it's chin! My bet!

Sun, 08/07/2011 - 14:29 | 1533326 Freewheelin Franklin
Freewheelin Franklin's picture

Not sure, but  think he is implying that the US should have been downgraded years ago.

Sun, 08/07/2011 - 14:41 | 1533382 geminiRX
geminiRX's picture

All I know is that a lot of vacations to the Hamptons probably got cancelled.

Sun, 08/07/2011 - 15:32 | 1533563 trav7777
trav7777's picture

you stupid dipshit, at no point did he say ANYTHING about the US's deserved credit rating, NOR about other raters.

What he DID SAY was that SP is stupid and useless and only did this downgrade as a political statement to try to rehab their reputation.

Maybe you just can't fucking read?

Sun, 08/07/2011 - 15:35 | 1533589 tmosley
tmosley's picture

Oh look, it's Trav the Lonely here to take advantage of any quasi opportunity to try to tear down the man who has proven to be better in every conceivable metric than himself.  Imagine that.

Here, he proves that he is neither capable of remembering past conversations, NOR reading between the lines.  It is further implied that he doesn't understand the motivations of ANY party involved in any conversation he butts his big fat nose into.

Sun, 08/07/2011 - 15:47 | 1533621 r101958
r101958's picture

You should have been calling them stupid and useless prior to this latest edict. At least for once, this time, they made the right call. This makes them at least a notch better than the other two clusterfrig rating houses.

Sun, 08/07/2011 - 16:28 | 1533763 NumNutt
NumNutt's picture

I love fight club! Ooops...forgot....never talk about f.c.......

Sun, 08/07/2011 - 14:17 | 1533275 BrianOFlanagan
BrianOFlanagan's picture


I suggest you look up the word "tact" and try using the concept in your posts.



Sun, 08/07/2011 - 14:30 | 1533329 tmosley
tmosley's picture

Right, this coming from the jackass troll Brian OFlanagan.  Go fuck yourself, no-one is interested in anything you have to say.  How's that for tact?

Sun, 08/07/2011 - 14:34 | 1533344 cossack55
cossack55's picture

Could still use a little work.  LMFAO

Sun, 08/07/2011 - 14:41 | 1533381 narapoiddyslexia
narapoiddyslexia's picture


Sun, 08/07/2011 - 14:40 | 1533383 BrianOFlanagan
BrianOFlanagan's picture

indeed, just a little.

Sun, 08/07/2011 - 14:14 | 1533260 Lednbrass
Lednbrass's picture

Though their previous incompetence is obvious, as far as I can tell the section of the Donk financial reform that actually makes ratings agencies liable for farcical ratings is still written into the law even though the SEC has publicly stated that they wont enforce it.

They have to be more realistic now, though the toothless regulators wont do anything I suspect they rightly fear a school of sharks with JD's tucked under their fins.

Sun, 08/07/2011 - 14:04 | 1533218 disabledvet
disabledvet's picture

we like tits trickery. i just posted some here about a week ago. it fell under the title "why Americans will actually celebrate a Double D rating when it comes."
just in case you forgot.

Sun, 08/07/2011 - 14:36 | 1533353 DeadFred
DeadFred's picture

Some typos are more equal than others

Sun, 08/07/2011 - 15:55 | 1533666 toady
toady's picture

Thats what she said(does).

Sun, 08/07/2011 - 17:08 | 1533898 tictawk
tictawk's picture

If they REALLY want to defend the dollar, then at a minimum it means no more QE3 and it means a raise in SHORT term interest rates to attract capital to US shores.  If the Fed will not do it, China and Japan simply have to dump their holdings and long rates will rise.  In fact neither wants to yell dump but if you were to yell "dump" (panic), you have to be sure that you are near the exit.

Sun, 08/07/2011 - 13:41 | 1533098 Azannoth
Azannoth's picture

Bank Run! Bitchezzzzz better make a full ATM withdrawal ASAP

Sun, 08/07/2011 - 14:00 | 1533202 jplotinus
jplotinus's picture

Chill. The masses are not in the least concerned about the downgrad or what the markets might or might do tomorrow; for, whatever it is the markets do tomorrow, they are likely to do the exact opposite the day after.

Here's why:

If the Internet and ZH, not necessarily in that order, had been in existence in 1971, when Nixon yanked the gold out from under the $$$, the hue and the cry of collapse would have been as loud or louder than it currently is; and that for good reason. Turning the $$$ into a fiat currency was a massively deceptive thing to have done; yet, the financial system did not collapse and Americans who were as gun loving then as they are now, did not need to kill themselves or each other with their guns at any greater (or lesser) rate than they otherwise would have done anyway.

So, once again,


Sun, 08/07/2011 - 14:40 | 1533379 Freewheelin Franklin
Freewheelin Franklin's picture

The masses are not in the least concerned about the downgrad or what the markets might or might do tomorrow;


After subjecting myself to watching CNN for a little while yesterday, I think the "masses" will be worried about the interest rates on their maxed out credit cards. Personally, I wouldn't mind a few basis points on my money market account. 

Sun, 08/07/2011 - 15:57 | 1533673 tekhneek
tekhneek's picture

You have some cash in a money market account? That's hilarious. What's your rate? 1.5% LOL.

Should have just´bought gold, man. Best savings account.

Sun, 08/07/2011 - 14:41 | 1533388 CynicLaureate
CynicLaureate's picture

> ... when Nixon yanked the gold out from under the $$$ ...

Please, that was only "temporary" :-)


Sun, 08/07/2011 - 19:20 | 1534448 MrSteve
MrSteve's picture

Don't say temporary, today's NEWSPEAK word is "transitory". Gentle Ben said that. He is a closet bear from an old TV show and currently in charge of the FED.

Imagine how great things would be if competent people were making fiscal nad financial policy. There's hope!

Sun, 08/07/2011 - 19:21 | 1534453 MrSteve
MrSteve's picture

Don't say temporary, today's NEWSPEAK word is "transitory". Gentle Ben said that. He is a closet bear from an old TV show and currently in charge of the FED.

Imagine how great things would be if competent people were making fiscal and financial policy. There's hope!

Sun, 08/07/2011 - 14:21 | 1533289 Waffen
Waffen's picture

I cahsed out 80% of my bank account saturday morning.   All the teenybopper banker girls were all wondering wtf I was gonna do with so much cash.  I was suprised to hear that there wasnt an uptick in withdrawls that AM.


Sun, 08/07/2011 - 16:26 | 1533769 jplotinus
jplotinus's picture

Oh boy. Can you not just chill? A bank run is unlikely unless and until there is no gas at your local Exxon/Chevron/Amoco/Citgo/etctero station; and, at the same time, nothing on the shelves at WalMart.

That situation is not imminent, as joe6 sees it, thus, no need to panic.



Sun, 08/07/2011 - 16:55 | 1533868 HyperLazy
HyperLazy's picture

The last time I pulled a stack o' cash out of my bank account the tellers gathered around and joyously cheered, "HyperLazy's throwin' a Pahrtay!".

Then I told them, "Your all not invited." LOL

Sun, 08/07/2011 - 13:42 | 1533104 Boilermaker
Boilermaker's picture

So, in other words, they'll do whatever the fuck they want to do.

Sun, 08/07/2011 - 13:49 | 1533131 CrashisOptimistic
CrashisOptimistic's picture


All of them will.  

This is the lesson of the last two years.

Governments will do ANYTHING to keep it all going.  This should not surprise us.  Their positions depend on "it all going".  If they let it stop going, they lose everything.

The real issue and surprise in this is not them doing it.  It's the definition of the word "Anything".   They've already tried to murder Gadaffi.  There is really no limit at all.

Sun, 08/07/2011 - 13:49 | 1533152 Boilermaker
Boilermaker's picture

No kidding.  What's more disgusting is that you come to a realization that the last 30 years or so have been nothing but bullshit also. 

Are they just going to declare that things are better?  Seriously, they'll just intervene to no end?

Sun, 08/07/2011 - 14:38 | 1533363 cosmictrainwreck
cosmictrainwreck's picture

affirmative to all points. will continue till it is literally fucking impossible to do otherwise, any and all actual effects, pro or con, notwithstanding. it's what they do. PS: after "impossible" they simply change the rules (again)

Sun, 08/07/2011 - 13:43 | 1533107 ATM
ATM's picture

I am ATM

Sun, 08/07/2011 - 13:43 | 1533108 slaughterer
slaughterer's picture

Please post the statement when it is made accessible, ZH.  Besides the Fed announcement on Tuesday, and sundry anouncements from ECB and Germany, this G-7 statement will be the most important statement of the week.  

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