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German Court Rules EFSF/Bailouts Legal But Hurdles Remain
As widely expected, the Bundesverfassungsgericht (Germany's Federal Constitutional Court) ruled in favor the German government and did not overturn the EFSF bailouts. Of course, this does not green-light the safety of each and every profligate spending peripheral and core country at the expense of the German taxpayer. The court continued on its path of demanding more from the Bundestag with regard to the strict adherence of conditions.
*RULING NOT A `BLANKET-AUTHORIZATION' FOR NEW FUNDS, COURT SAYS
*GERMANY'S TOP COURT SAYS RULING NOT A `BLANK CHECK' FOR FUTURE
*KARLSRUHE CT SAYS BUDGET COMMITTEE MUST APPROVE NEW GUARANTEES
We remind readers of the apparent risk transfer that is already underway among European sovereigns, where Germany's CDS has more than doubled from the beginning of July to over 80bps (trading wider than the UK since 8/15) as it bears the increasing burden (and implicitly - control) of the future of the Euro.
The market's initial reaction was a spike up in EUR to 1.4150 but quickly subsided back to 1.4085 (unch), Bunds are selling off, GGBs remain wider to Bunds and all-in yields higher, TSYs lost a little ground but recovered quickly, Gold/Silver unch, and the quick juice in ES fell back quickly - all-in-all no surprise.
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Bullish for riot gear manufacturers
Bearish for red satin ice cream vendor hats.
Flat capped caps and pointy helmets are so yesteryear and they used to scare the children you know.
So a court sided with the government? Who would have guessed?
there was a time in my life when i thought..."well at least the supreme court is trustworthy".
there was a time in my life when i believed in santa and the tooth fairy also......
Pussies
more valuable than Gold!
How many times have we been through this charade?Whether it's the US budget/debt ceiling debate, the CFTC imposing position limits, or the German courts ruling on whether the looting of Germany's wealth should continue the lesson is that we can NEVER rely on any person or body connected to the status quo to do the right thing. They are all bought/threatened into submission and will always yield to the demands of the powers that be.
This economic and political mess will continue to get progressively worse until, ultimately, it collapses. There will be no serious attempt by anyone in a position of power or authority to correct things before then.
And thats why im going back to fucking bed. Wake me up when the world ends or when the DXY goes below 70.23
yes, we should all go back to bed and fuck.
Those who make peaceful revolution impossible will make violent revolution inevitable.
Taxpayers tried to end the bailouts with a PEACEFUL mean... and it failed. The only alternative, considering the courts are rigged and the elections are rigged is a march on Berlin, a peaceful one at first but if it fails and the cops protect the scum, then an armed march will be needed.
That or the rape will continue and when it all collapses, because of hubris, it'll be much worse and probably millions will end up dying due to the effects of that worldwide economic collapse.
Do a revolution now, and maybe, 10, 100 or maybe even 1000 cops/protesters/revolutionaries will die... but down the line, you will have saved millions. Your choice, people of the western world.
completely agree - it is almost the same as with earth-qakes - the tensions build up slowly and if one does not have small qakes for some time a big one eventually occurs
I'd like to think there was a happy ending to this but there isn't.
In the meantime a once in 400 years opportunity to benefit from literally EVERY credit transaction undertaken by any bank, government or any other financial institution (including those gains made by surreptitious market manipulation and subsequently reinvested in credit (including those by banks and insider dealing hedge funds)) presents itself to gold bullion investors as every asset bought, paid for and valued in credit is about to be repriced in gold.
That is IF you can keep your gains away from the taxman’s clutch. If you can't then you missed it and bullion or not you will join the ranks of the many berating the few that took the time, effort and expense to put in place a tax efficient financial plan.
This decision simply means that PM’s will value even higher as a reprieve is granted to the Euro that enables the ECB to print even more money before it fails which will manifest itself in an even higher gold price ultimately.
I am sad for this decision but ultimately I am crying all the way to the bank, but not literally, of course.
"Do a revolution now, and maybe, 10, 100 or maybe even 1000 cops/protesters/revolutionaries will die... but down the line, you will have saved millions. Your choice, people of the western world."
I noticed that in your exhortation to violence, you didn't offer to take the lead. Why is that?
“Today you were lucky, but you will have to be lucky always. We only have to be lucky once.”
IRA statement after trying to assasinate Margaret Thatcher October, 1984
The IRA claimed responsibility the next day, and said that it would try again. Its statement read:
and just what did it get you?
Well paid pussies (aka "whores")
Gold is "unch?" Really... I'm betting that tonight's Gold flash was the result of a leak of this news...
Me too. Something leaked.
News usually leak.
Sometimes I wonder whether earthquakes do leak, too...
d00d. I totally aspire to your state of mind. srsly.
Yes, they are called volcanos.
Tyler you're up early...
my thoughts, exactly :) but thanks for update, Tyler ;)
Don't you remember? Tyler Durden is an insomniac!
up early , or late to bed :D
The German 'Constitutional Court' is a manipulated clown show! Remembers me of 'Volksgerichtshof '. Fuck them.
Corrupt or incompetent judges could reach such judgement.
Are they corrupt, incompetent, or something else?
How about "both"?
Wheres Roland Freisler when you need him (oh yeah, he got hit in the head with a 500 pounder).
The politician whispers to the pope: "Keep them dumb, I'll keep them poor".
Epic Fail. Sad day for Germany. CDS speak for themselves.
Fuck them. It's a total scam anyway.
Germany has no constitution at all, only "basic low" created temporary purpose during post occupation times. So its transitory.
There is also no constitutional court and no judgement "in name of the people". They judge "in the name of occupational allied forces".
People tolerate this only because they get enough bananas. When hard time come (export collapses), nothing will hold back the people and the criminal cartel will be abolished.
Still, it's fun to pretend there is a constitution and that it actually means something. If not, all those judges would have no job to do, which would add to the unemployment rate.
The glory of the legal monopoly on parade. Historically it's interesting how German courts uniformly ruled in favor of the legality of Hitler's outrageous tyrannies. Like the nine men in drag comprising the US Supreme Court, which hasn't been Supreme since FDR's successful court-packing threat, the German constitutional court is ruling on the law to a political purpose. They are part of the gang gang-raping the public. Blah, blah, blah, blah, blah. A 15-year old could see past their horseshit. Well the central problem is - as it always is for the criminal gang called the state - retaining legitimacy. And this ruling debases that legitimacy considerably. If the law is this infinitely flexible, why have law at all? Go long riot gear indeed. If you think hard-working German savers are going to work double-time so indolent PIIGS - or worse, bankster scum - can live the good life, think again. A violent public reaction may have nothing to do with the insect intricacy of the tortured opinion issued by the German constitutional court but it will have everything to do with justice. One thousand years of European history is written in blood and it's almost as if someone were trying to start a war.
BTW.. now that this is officially ruled to put Germany into "we pay for all!"-puppet-on-a-string --- how long will the AAA persist?
2yr Bond +16% - right on.
Germans are nothing but slaves ...they r being used
They'll be able to cast their vote in next years election when all the damages to their economy are done.
TAXES BITCHEZ!!!! WE COME TO COLLECT!!! HAHAHAHA!!
No surprises here, just another step towards the dismantling of the German state, the dismemberment of the German Nation and the destruction of Western Civilization. The international banksters and their political whores will keep on governing through mayhem, theft and lies until the final collapse.
Thank you Bundesverfassungsgericht for clarifying that international treaties signed by the Government, as well as the very Basic Law are merely pro-forma documents devoid of legality or legitimacy. You are not aware of it, Dear Justices, but you have just done a great service to the German people by exposing your own corruption.
What is "unch"?
Unchanged.
BTW: told you.
Kick.The.Can.Down.the.Road...
Told you so. Boring world we live in.
OCCUPY WALL STREET! MAKE THE US TARHIR BEGIN!
http://www.adbusters.org/campaigns/occupywallstreet
indeed, let the the good times roll!
http://www.entendance.com/forums/viewtopic.php?f=6&t=784&p=19176#p19176
Will get teargassed in a heart beat if you do this.
“Moreover, the judges insisted that parliament may not approve any deal that leads to a pooling of national debt, apparently ruling out the idea of “eurobonds.”
Economists fear that requiring parliamentary approval for future rescue deals may slow down the process of helping debt-wracked eurozone nations, where rapid decisions to stem swift market moves are often required.”
http://www.thelocal.de/national/20110907-37435.html
It makes future “rescues” more cumbersome.
Armageddon avoided.
But new hurdles established.
Fiscal union looks like a non-runner under the German Constitution.
So, it will be changed. Big deal.
Not sure I follow you there.
Do you mean that the court will come up with a contradictory ruling in the future?
The constituton will be changed.
OK
But easier siad then done I would suggest.
Well, yes ;)
Hurdles :)
Dictator don't know that word.
Too true.
But the less "democratic" the EU becomes the more it is likely to fall apart.
Unfortunately violence may be part of the mix.
So The Germans will ultimately bail out the PIIGS, Greek,Italian etc.. debt will go to 2% like the GGB....The banksters will hold onto their 'Fortress Europe' for a while longer..The Greeks will retire @ 55 while the Germans won't retire until probably 70 now!!
The ECB will become the first institution to actually run out of computer screen/or ink creating this Eurobond monster!!
The Swiss will become the Fed 2.0 and monetize everything and anything (it will be fascinating to see the balence-sheet of the Swiss Central Bank vs. Swiss GDP in the near future) Can the Swiss Central Bank balence-sheet become larger than swiss GDP.. Stay tuned! Really!!
The dynamic between the Swiss and Europe proper will be something to behold as the 'begger thy neighbor' f(x) goes full-blast...
What does all this mean in the end? money is dying drip by drip, inch by inch, step by step... no suprise...
Their just making the problems worse and pretending/promising to solve the problems later...
Gold needs to go down (Bankster opinion) before QE whatever plus New Deal 2.0 is announced, coming to a country near you!!
I probably left some stuff out, but.. but...
Germans like to work. And these Eurobonds give the a goal to work for.
and for that retirement age: THEY STARTED WOI AND WOII!!! PAY UP BITCHEZ!!!
SAVING PRIVATE GREECE!!! and private Ireland and private Italy and private Spain and private Portugal and private Belgium and the Admirals of the sinking banks.
EVERY GERMAN NEEDS TO WORK!!!! ONLY 1 UNEMPLOYED WILL BE ALLOWED IN GERMAN NEXT YEAR!! : Merkel.
Those interested in the ruling of the court can find the document here: http://www.bundesverfassungsgericht.de/en/decisions/rs20110907_2bvr09871...
It's gonna be a cool new country that's not reallly a country. And it'll issue bonds. Awesome.
Every time you play monopoly, the game ends when the banks are broke. Unless you change the rules during the game.
And in this game you have to pay a tax when you pass start instead of receiving 4K. The game continues and the one who has the less cash only loses faster.
Hey Sudden Debt
We should play monopoly 3-D... More properties & more Funny money
The game never ends.....I will only continue to play if I can have all 3 reds and greens plus 3 Atlantic and Ventor Ave's.. Nobody ever lands on Marvin Gardens
Too bad for the Germans...they will be propping up the toxic countries which will bring them down with it.
Here's the press release:
http://www.bundesverfassungsgericht.de/en/press/bvg11-055en.html
Hooray! The court ruled in favor of German hegemony just in time for the Greek, Italian and Spain collapse! Winner Winner chicken dinner. How lucky was that? The German people must be thrilled they'll have to invade the rest of Europe again to get lazy Greeks and Italians to pay their bills.
/s
Hooray, too ! (and sorry for junking you, gwar5 - I missed the /s ...)
Vote No. Bring suit. Report everything.
Bitte, aber mit Sahne. Schweigen unf schaffen. Jawohl !
Maybe I'm reading the press release wrong but seems to me they're trying to skate around the issue and never said that Germany CAN'T bail them out!?
It matters not... What did that German General say back in WWI when going around the Maginot Line via invading Belgium !!?
UUHH?? something about a piece of paper
Where is fat Göring when you need him?
Never mind found him.... Salon Kitty on Giesebrechtstrasse having a few shots and a beer and a little slap and tickle.
Tyler, I'm an ex lawyer and read the arguments closely... this Court has lost it's independence and followed political calls - the rest now remains unknown, and to be charted by legit folk like you
of course we know the markets reaction for today, this one day's BRILLIANT news..
and a chief judge who is publicly a member of the ruling party... go figure
..
We used to have a saying - 'Follow the Moolah' transalated it means 'who paysa hisa pension?
You see, many pensions are EU provided if you have worked within the eu system and with clauses that if you disrespect or become unsupportive of the eu then you lose your pension. Simple really. Likewise you have no hope of working within the system if you disrespect it beforehand when being chosen.
Vosskuhle the chief judge is not a member of the CDU.
He is nearer at the SPD.They appointed him.
Looks like the banker's wet dream, Eurobonds, will be out of the question for good. Of course there's still the monster CDO, but actual Eurobonds will never happen it seems.
Long rope and lamp posts.
"It makes future “rescues” more cumbersome.".....
what future rescues......we have been told over and over again that it was fixed...that first Greek bailout fixed it...then the second...and now they are asking for a third..all have fixed it....weell..its not fixed....it just costs more and more and more....and the little guy pays as all that cash flows to the top...I thought the Court would make a stand....they did not..just another kick the can....its getting depressing to see what humans have turned into....jello
The Germans are fuckwads. They set this EU bullshit up. They can deal with the consequences. They thought they were being cute when they ensnared the little turd world countries to the south with the euro, so they could endlessly export their shit. The average Germans don't spend money, in case you haven't been there. They are frugal and cheap bastards. Jut like the Chinese, they thought they could play economic chess on the gluttonous and spendthrift fucks like us. Little did they realize that the profligate ones tether is attached to their hip, too. Now they have to PAY the unwashed minions to BUY their shit. Plus, they didn't count on Wall Street or the City using their wily and criminal ways. Serves 'em right.....fuckers.
They sure weren't complaining about the Greeks/Italians 5 years ago, that's for sure. Trade manipulaters are getting their comeupance.
Brought to you by the same kind of people who claim that corporations are people. Of COURSE the courts are bought and paid for. Was there ever any doubt? Like Americans, Germans will pay the price for their apathy towards corruption and fraud and those who perpetrate both.
This should serve notice upon all the people of the EU that were coerced into voting YES for those unions/treaties. They are stuck with the Union but have no way to enforce the language/rules of that union/treaty and will be treated according to what the bankers want at the time. No citizen should feel secure in their property as this ruling shows that the law is not what is written, but what is deemed politically necessary at the time. Same goes for the US citizenry as well. Although most on this board already have come to that conclusion.
riots in berlin?? not going to happen.. the new young german is a wimp.
I have had the displeasure of meeting 2 young german men this summer on tour in USA..
when I talk of the greek bailouts they say it's ok for we are all
"Euro-pee-ans"- not that they were German. something in the water?
mind control? the modern German youth are looking like the American youth..metro sexual wimps..no storming the banks or government unless the mob is composed of old men.
I met an American.
He was a complete fuckwad.
So all Americans are fuckwads.
You are a great mind.
man , point taken..however these two were not traveling together did not know each other.. a small sample yes..but do you disagree that the youth of Germany are wimps?? seeing what has happened without riots so far does also lend some support ..PS American youth are not much better.
socialism breeds this type of personality..mush dull gray mush
Uh, I wonder who taught them...
This is the end of German sovereignty and the financial dirge of the German population. A betrayal of the people is second to none!
We have no sovereignity since 1945.
hahaha, well said.
What was 1990 - present?
Well then just the pre-played.
Well then just the pre-played.
Who actually thought they wouldn't? Freedom isn't going to be achieved by hoping the slave master gives it to you. You have to take it by force.
Reuters points at the courts descision shifting power from the government to the parliament:
http://www.reuters.com/article/2011/09/07/us-eurozone-idUSTRE78612C20110907
Yeah the constitutional court should've done it's job, it's not only unconstitutional, it's also against everything Germany signed in on, when entering the european monetary union. This bailout should never have happened. They're cowards in that they understand what they should've done (their job) but that this would blow up the worldwide ponzi.
Hören Sie? Sie sind alle Feiglinge!
Did you really expect anything different ? Erstaunlich.
As a German, I would think that bailout of the periphery in exchange for control is a better alternative for you, than breaking away, followed by depression and unemployment skyrocketing ... in Germany. If you can't see that this would be the result, then you haven't thought it through.
Non-sense. This is total capitulation by the German High Court's constitutional mandate. The EFSF is in a direct breach of the Lisbon Treaty, which by the way, forbids EU governments from bailing out other EU governments. Regardles of whether it is a direct bailout or througnt a third party SPV. The take away is that the ball is in the Market's court:)
The Budget Committee is going to be under control of the new political majority which is unlikely to include Merkel. The people will trump the banker-manipulated legalese of the so-called Constitutional Court. It’s obvious the court courtiers were paid off for the decision.
that's kinda the way i saw it, too, P_K. this make sense in the "save europe (EU)" camp where the SNB changes its mind in the nick0'time and germany falls in line w/ the NWO fascists. i can't wait to hear how all the "germany won WWII" crowd will interpret this one!
we got a marxist 'interpretation' from "of 2 minds" smith yest
i'm wrong all the time, especially where the "law" is concerned, and even more especially when the pols put it "up for interpretation" by activist courts. you seem to know more about the devilish details than slewie, but i had read a handful of cogent analyses as to why this ruling could not happen under present law
now the norwegian crown/krone is the "safe have currency du jour" and they're going: oh, shit! not us! so they're getting schooled, too, by the banksters of the NWO here, as we get fed the bullshit of "currency wars>>leading to trade wars>>leading to real wars" by TPTB
jon "fukhead" nadler is giving gold the needle: how could a "reserve currency" such as gold be so volatile?
of course PMs are not "reserve currencies" but real money. if norway becomes the new "target" of the fx traders, i would encourage them to print every krone they can manage and buy trainloads of gold and silver bullion. they better be smarter than the swiss or they're gonna end up in the same EU omelette
“Who says government intervention is always a bad thing?” -- even as regards the German decision, i.e., banker-manipulated government. The intervention quotation comes from Antiwar.com columnist Justin Raimondo who today wrote the following:
NOTES IN THE MARGIN
I want to thank everyone who contributed to the success of our summer fundraising drive – including the Federal Bureau of Investigation, whose ridiculous “investigation” of Antiwar.com, myself, and webmaster Eric Garris was exposed during the drive and contributed greatly to its success.
Every fundraiser provokes waves of anxiety in me, which only get stronger as the days and weeks progress: but this time, with the economy tanking so dramatically, I was especially petrified at the prospect of having to ask my already impoverished readers for money. Miraculously, however, I was rescued from the Vale of Depression when a blogger published a secret internal FBI memo online, released through the Freedom of Information Act, that deemed us “a threat to National Security” and in all likelihood “agents of a foreign power” The outcry was immediate and our readers and supporters rallied ‘round Antiwar.com: a trickle of donations became a torrent.
As one wag put it: “Who says government intervention is always a bad thing?” Well, I’d rather not be the subject of an FBI witch-hunt investigation, but then again sometimes good things come out of the worst travails.
http://original.antiwar.com/justin/2011/09/06/islamist-neocons/
Yep, so if Germany is going to be the policeman for Europe's bankster's fraud, somehow I don't think the fascism they'll unleash will be tolerated very well.
If they start demanding conditions to pay off other people's frauds, then it wouldn't surprise me to see bombings in Germany as a reaction to Germany's fascism.
Germans who rebuilt Germany after WWII are spinning in their graves this morning.
The court didn't side with the gov't, the court sided with the banksters who control the German gov't. Merkel is a bankster whore.
Also OF COURSE it's a blank check. They don't really think it will be used any other way right? If it's legal, and it's now deemed to be, then they'll use as much as they want. It IS a blank check. The Heineken must have been flowing rather generously. Or are they really that stupid and out of touch...in german la la land? They can't possibly think that way, but yep, the idiots do.
Glass-Steagall