Germany Rejects Geithner, ECB Refuses To "Print", Greece Gets Final Warning
Looks like no more official trips for G-Pap anywhere very soon:
- ECB'S WEIDMANN-IT IS WRONG TO ABANDON ALL PRINCIPLES OF MONETARY POLICY BY CITING A GENERAL EMERGENCY-SPIEGEL
- GERMAN CSU HEAD - IF GREECE CAN'T OR WON'T KEEP TRACK WITH RESCUE PLAN THAN AN EXIT FROM THE EURO ZONE IS CONCEIVABLE-SPIEGEL
More from Reuters:
European Central Bank Governing Council member Jens Weidmann told Germany's Spiegel magazine in an interview he considered it wrong to "throw out all established principles of monetary policy by citing a general emergency."
In a preview of an interview to be published in the new edition of Spiegel, Weidmann, head of the Bundesbank, said: "Once people start to use monetary policy there will always appear to be reasons suggesting it should continue to be used."
Abd:
The leader of Germany's Christian Social Union (CSU), part of Chancellor Angela Merkel's centre-right coalition, reiterated in an interview with Germany's Spiegel Magazine that Greece might have to leave the euro zone if it failed to meet conditions set by the European Union, European Central Bank and International Monetary Fund.
"If the Greek government and parliament can't or won't keep to the path then we shouldn't wait for the financial markets to force us into accepting reality. Then an exit of Greece from the euro zone must be conceivable.
And in other official news, Germany officially slammed the door on Geithner's face:
Germany’s top two finance officials rejected using the European Central Bank to boost the euro-area rescue fund’s firepower, rebuffing a suggestion by U.S. Treasury Secretary Timothy Geithner.
Inviting Geithner to a euro meeting for the first time, European finance chiefs who wrapped up two days of talks in Wroclaw, Poland, today also said the 18-month debt crisis leaves no room for tax cuts or extra spending to spur an economy on the brink of stagnation.
The German stance risks leaving the euro area without sufficient means to prevent the crisis from engulfing Spain and Italy. Geithner floated a variation of a 2008 policy he developed while at the New York Federal Reserve that would expand the reach of the 440 billion-euro ($607 billion) European Financial Stability Facility using leverage in a partnership with the ECB, said Irish Finance Minister Michael Noonan.
“The EFSF’s sole purpose is the financing of states and that’s in order as long as it’s done via the capital market,” Bundesbank President Jens Weidmann told reporters today. “If it’s done via the central bank it constitutes monetary state financing,” which is forbidden under European Union rules.
"Luckily" for the US middle class, adhering the rules never stopped Timmy-G before...
But the biggest slap down is not that of Pinocchio, but of Bernanke himself:
Luxembourg Prime Minister Jean-Claude Juncker, who chairs meetings of euro region finance ministers, said yesterday: “We’re not discussing the increase or the expansion of the EFSF with a non-member of the euro area.” Instead, the ministers recommitted to a July 21 decision to empower the fund to buy bonds in the secondary market, offer precautionary credit lines and create a bank-recapitalization facility.
“We don’t think that real economic and social problems can be solved by means of monetary policy,” said German Finance Minister Wolfgang Schaeuble, speaking alongside Weidmann after the meeting of EU finance ministers and central bank governors. “That has never been the European model and it won’t be.”
Funny: does Bernanke realize that Europe just mutinied? What happens if the head USD printer suddenly decides to shut down those expanded swap lines after all.
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I have this funny feeling shit is about to get really ugly on the 20-21st........
bs--this warning will be followed by ANOTHER warning etc-game will never end djia new all time high this time next year
This is your final final final.....final warning. Can YOU hear me!?
I really, really, really mean it this time!
Double secret probation...
It's like having a teenager who won't leave his room. All he does is sit in there playing video games. And the punishment offered is to ground him.
Remove the video games and gadgets from the room!
BreakingNews Breaking News
More: Greek media reports PM cancels US trip because of the gravity of his country's financial crisis - AP bit.ly/pOoe7S
----------------
BTW, we are in mass panic window:
http://thespiritoftruth.blogspot.com/2011/09/autumn-panic-update-will-ci...
that sucks, because US had an African immigrant maid all ready to press fake rape charges against him in order to swiftly replace him with someone else.
Is gravity stronger in Greece than it is here?
Should I not get the extended warranty on my new truck, or is it bad enough that I not worry about getting green bannanas?
Make them go outside and play. Worse than waterboarding to a teenager...
Maybe in the U.S. Here its just great. Meet your friends and drink in the park.
The sin of self abuse still trumps the punishment ...
Dear German holidaymakers:
please carry on with your plans to visit Greece next spring, all this talk of expulsion is for optics only
Next year Croatia joins, so no worries...
The Greeks are getting another warning via Turkey!
The banksters control. If you don't shape up, we will unleash Turkey against you.
http://www.google.com/hostednews/ap/article/ALeqM5g2fSZzpaJdPyyBE8EwJSvkgFEjEw?docId=3f22562792aa4871a22c8ea5baf3331d
Right on... a food fight. Lots of turkey and greece. I hope everybody's hungary.
Thanksgiving's coming.
What are YOU thankful for this year?
ZH. And my hoard of Silver Eagles.
The hungary made that pun.
This would be a beautiful Black Swan, no?
A black swan and a deer in the headlines during a perfect storm.
You just wait until your Father gets home.
Oh...wait....sorry....right.....I'm a single mother.
You just wait until your step-father gets home...and....
Wait....sorry...er....he's not your step-father as well.
You just wait until my pimp gets here.....that's right my P.I.M.P. bitch
and his name is Ben Bernanke. And he'll....he'll....aw hell....what am I saying....
He'll backstop anything.
Go ahead with your 35 day nude sabbatical to the Santorini beaches. Mommy will be right here when you get back.
Wait till your father gets home (1972) opening titles.http://www.youtube.com/watch?v=ecQkZ_xIQJQ
I think you are mistaking Germany with the U.N.. Bad idea.
The solstice; how ironic.
And Autumn at that. Better known as Fall. You know, when things start dying...
Where I'm from, things started dying a long, long time ago.
Equinox ...
Right...
More like Equi Kicks this time around.
And they don't do these things without good reason and better timing.
ORI
Hey, I think you folks have got something here! Let's call the Druids! Maybe they can save us after all!
What do you think they do in the Bohemian's Grove?
The equinox; equality can't be bad for everyone; can it ?
In a rational world it would.
Unfortunately, we seem to occupy some space between bizzaro world and the twilight zone. Given the rash of horrible economic news these past few weeks and combined with the Euro mess, if the floor under the market were removed, things should devolve rather quickly and the potential to spin completely out of control would be huge. On the other hand, it may be hard to justify QEn/Twist or any further spending with a 1200 S&P and a 12,000 Dow.
I'm expecting another can kicking.
This is a funny quote from the post: "Once people start to use monetary policy there will always appear to be reasons suggesting it should continue to be used."
He is right, of course. But it is funny because even though he knows this he does not understand it.
Dude, it is too late. The monetary policy genie has already been let out of the bottle. There is no getting it back in until everyone has made their ill-fated wishes and total destruction has ensued.
The only possible outcome is a monetary reset. The only question is if it will take the path of hyperinflation before it is done. Given human nature and the lessons of history this is the likely path. Best to just accept that and plan accordingly. The monetization will happen and I think if you try to prevent it then you are just prolonging the suffering. If you want to do the right thing then you need to focus on making the reset happen sooner than later, not continue to play the existing game by it's flawed and broken rules.
First, saying that a monetary reset is the only outcome is just poppycock. Besides, that's jumping way ahead of reality. What's the big hurry? Have you really no idea of what stage we're in and of the tools still available to them? Really, what a waste of a perfectly good tactical nuke, and on Europe no less.
No, this is just bargaining over how much debt the creditors forgive, how they apportion debt forgiveness amongst themselves, and what form this debt forgiveness will take. Based on what happened to little Timmy recently, I doubt they'll be calling it the Geithner Accord.
Even though it's too early in the game for your monetary reset, you DO get points for expressing the thought, whether it was originally yours or not, as I am interested keenly in the workings of that particular machine.
If you step back and think about all that needs to happen for enough of the major G-20 players to believe that such a reset is in their best interest, i.e., what they get as valued through their perceived position at the game table, well, it's quite an exercise.
That's where the argument gets bogged down and inaction/deadlock takes over. Each party has an inflated opinion of their own self-importance.
Exactly and unitl each of them feel the reset is the upside this will continue for much, much longer than most think.
If your power is unlimited and the bankers power is that, the toolbox is still half full and they are more desperate than ever. The more I see them act to ensure the survival of a flawed system the more I begin to agree with those pushing for acceleration of the reset..
I can't take credit for the thought, history is my guide. Historians have documented the end of fiat money and economists have pointed out the problems with fiat money for over a hundred years.
I agree that no one will agree willingly to a reset because it will have to get much worse before it makes sense to the people in charge. Meaning that they see guillotines in their future, or the velocity of inflation has built to the point that their commerce becomes impossible.
This is why hyperinflation is the only likely path to a reset. We will only reset when there is no other option. Such events usually either result in or are the end result of civil strife or war. So a reset is in the best interests of the general populace (who don't want war or inflation), but certainly not in the best interests of the powers that be (who don't give a shit about sending their people to war and can benefit the most from inflation).
Greece = Bear Sterns. So in little Timmy's fantasy world, like taxes, he's technically not lying when he says they wont let another Lehman occur.
The question now is who is the Lehman....
"Grease" is pretty slippery, keep that in mind.
Threat to not bail, threat to default = buy the rumor, sell the news.
Bring on the endgame.
We joke here about timmy and his tax troubles, but I am of the opinion he did it intentionally. Keynes said that taxes are unessecary. he said that the only intellectual pursuit with any reward is the avoidance of taxes.
http://www.quotationspage.com/quote/1346.html
Timmy avoided his taxes. That shows he is an intellectual. He was also rewarded for it. If he did not do it, would he be a true keynesian?
Doesn't Tyler make us burn our hands with boric acid before he alows us to be part of fight club?
Lye != boric acid
Banks & Buzzcuts on Greek Soverign === FUGLY
Nothing has changed. The EU has said this all along. I´ve been reading this blog for six months now and have asked several times anyone to give me a reason why the euro is considered weaker than the dollar by people in the US when it obviously has not been----no European has seriously believed that the common currency would fail; all of the noise has come from the msm in the US for propaganda in favor of the dollar. For Europe the best thing that ever happened was the Euro beginning in the late 70´s----they have become the world´s largest economy since then whether measured in Euros or dollars.
Why is this news? We really need to get out of our jet fighters and bombers and get with the program the rest of the planet is on---we need to get out more, period---it´s just too crazy at home.
Anyway, I voted green for your looking ahead
thanks for your post, vast om
The US wants a weak dollar not a strong dollar. Everybody wants to have a weak currency. That's how the debt backed monetary system in decline works.
you are very welcome oldman.
there's no country for anyone at the rate we're going.................
once a date is set/known it will be acted on immediately.
Strong arming Greece with a threat to eject from the Euro gravy train
Fuck off Timmeh.
http://azizonomics.com/2011/09/17/europe-to-geithner-go-away/
Now we know why the bank sell off in europe friday afternoon. I didn't want to be long thru the weekend either.
And this weekend the market is at the top of the easy trading range, not the bottom.
http://www.alexa.com/siteinfo/azizonomics.com
its working....
which is why i took a chance and shorted the dax at the very last minute, hoping for bad news over the weekend
i'm such a vulture
.
Gypsies pickpocket Geithner: shocking photo!
The Polish TMZ aired an incredible photo of gypsies picking the pocket of U.S. Treasury Secretary Geithner as he stood outside the main railway station in Wroclaw, Poland. Geithner did not report the crime to Polish police, nor did he report the loss of billions of U.S. taxpayers money to the American consulate in Poland. Surveillance cameras showing Geithner whistling and winking at the gypsies by the railway station have sparked rumors that Geithner was "soliciting pickpockets". Asked for comment, Ron Paul promised Congressional hearings on allegations that Geithner allowed European gypsies to pickpocket billions of dollars.
http://en.wikipedia.org/wiki/File:Wroclaw_Central_Station.JPG
I have taken a train from that station, I did not see gypsies!
They were not picking his pockets, they were checking to see if he actually had balls.
Nope.
If this is true ...WOW what a bitch slap to the US and a major pivot away from this disaster Timmay and Bernake engineered. We dont need no stinking advice from you. The chairs on the Titanic are now being rearranged.
they lie
Fan, meet the shit. It's about to hit.
Not to worry. US sending C-17s loaded with Benjamins in time for the open.
If those C-17s returned with pallets of gold bullion, I think that'd be a good trade.
Rules? What happened? After already bailing out illegaly via ECB they now pump up "adhere the rules" to the US?
Funny!! Damnit, short on popcorn again!
All us gold bugs on ZH should agree to meet in Greece 2 years hence. Heck - utter the magic password (fidelio) and you'll be allowed into my secret underground brothel right in the heart of athens under the acropolis where desperate greek chicks are only too happy to do anything you desire of them! Later we can go round town and watch those over 50 greeks actually working - yes working! - for a living, cleaning tables, shining shoes etc etc - when they expected to be living off handouts from forigners for the rest of their lives!! get your popcorn ready for that!
this comment illustrates exactly why some see that freegold, gold standard (or whatever you want to call it) will not be anything but indentured servitude for 99% of the people on the planet, just like it is now.
let me be the first to say to take your popcorn & shiny rocks and put them where they belong, up your fuckwad asshole.
As long as I'm all right, thats the main thing.
If you can't aford any bullion ask your boss for some overtime. I'm sure those floors of the brothel your mother works in could do with an extra shine.
If you want to save the world go put on a rainbow t shirt, hug a tree, and kiss a bum...and I'll go play with my bullion!
Don't you have to give your bullion a rest when it gets flaccid?
thanks for proving my point more clearly than i could ever have done, bub. and good lookin out on the tips but i have already all the gold one could ever need:
http://syedakbarindia.blogspot.com/2011/04/quantity-of-gold-in-semen-dec...
but knock yourself out playing with your lucre, i understand that some of us need to overcompensate to make up for deficiencies in other areas. just leave the rest of us alone to live out our 'poverty' in peace.
So the purpose of you holding bullion, if indeed you do, is not that you desire sound money or that you are concerned about the collapse of fiat society.
It is that you want to be the slave master.
Why don't you get a job with JPM and cash in just before the collapse.
Because JPM is too hard to get into. I agree with the old agage, if you can't beat em join em. But I can't join em so I'm going to beat them.
Yeh, sure people who leave fiat in insolvent banks deserve everything thats coming to them; and you can be damn sure I'm going to put myself on the right side of whats coming.
Great, I will have a golden ASS.
fyi, i wasn't referring to you unless you're one of the nimrods who voted green for this troll's adolescent fantasies of using his newfound "wealth" to exploit other human beings. it's really amazing that most seem to equate that with goldbashing, when it's the same argument that smiddywesson makes here on a daily basis.
funny how critical thinking is gained only when there's nothing left to lose, isn't it?
LOL
It is fucks like you like that will be among the FIRST to swing.
Now that will be a party!
who knows who'll swing - bullion holders are well positioned to benefit and protect themselves from whats coming. I presume you're advocating some kind of autocratic government that confiscates bullion and punishes holders, redistributes wealth etc etc. I can't begin to tell you how pathetic I find that.
What a bunch of shit.
The Eurocrats will give the US the two handed salute.
They will flip us off with one and have the other outstretched.
Let ECB print its' way out.
Just like an ex-wife.
It will be shit only, Greece can't afford a fan.
Yeah, but the shit will be reclassified as an asset and there is enough of it around to keep all of Europe afloat.
Nowadays bankers are nothing more that manure brokers.
The Greeks will hand it to the ECB as collateral for more emergency loans.
Sweet! It's Wall Street rumor unwind day. Of course, most understood this would be the case...now that options were unloaded at "historically RICH valuations."
Greece gets final warning of what? That they won't get a bailout? That the money printers won't share their precious paper?
The system is so far gone that people STILL believe that paper has any value. Paper is an IOU, and you can't eat IOUs.
The world will not end if the system goes under, it will begin anew. It will be fresh in the face of reality. Sure, there will be a lifestyle change, which means Americans will have to get off of their sofas, and retirement will be spoken as a once in a lifetime event, but it will be better for the community.
And there will still be opportunity for entruepanuers, if not more than now; once the banks get out of the middle, there will be more room for growth.
Give up your blood soaked dollars! Trade them for silver! End the system!
Retirement will be a once in a lifetime event called Soylent Green.
FTFY
The unemployed taste just like chicken.
Nabisco Chicken In A Biscuit
I think Greece may have been told "No" yesterday, but the Germans and the French don't want that to be generally known yet.
Funny, a day after half the world backed the Euro and banks. Things were going so good before.
Granted there is some validity to questioning more derivatives to cure a derivative problem. But Germany does need exports or it will resemble Greece.
I do find it particularly stupid to blame Bernanke and Mr. G. for the mess we are in.
Blame ourselves, blame others, don't blame anyone, whatever floats us to the banks of the great shore. It is the Zionist Bankers, it is the Protestant Industrialists, it is the Kings of Europe, it is Lizard People, whatever. We just need to understand that what we are doing is not working and that we need to change the way we live.
A changing climate has NOTHING to do with the fact that we are polluting the shit out of our world, and we only have one earth. Printng fiat has nothing to do with growth and it is obvious, except to jaded ignoramuses.
There is no hope- There is nothing outside of our own actions that can determine the change. We must act. We must be the change we want.
Warning. Secretive appologist campaigne alert.
Re. I do find it particularly stupid to blame Bernanke and Mr. G. for the mess we are in.
Why would anyone not beholden to Bernanke and Mr. G. - The MAESTRO!! ... say such a thing?