Goldman Sees An "Unusually Uncertain" Future And Another Debt Ceiling Hike Just In Time For The Presidential Election

Tyler Durden's picture

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X.inf.capt's picture

and where the hell have they been....

oh, yeah, extracting wealth....

whats the matter, squid,....

running out of victims....?

AldousHuxley's picture

Unusually uncertain about their bonuses unless main st. bail them out

tarsubil's picture

I don't know what it is about this headline that made me start laughing out loud uncontrollably. Things have just gotten so ridiculous. Yayhoo, muthertruckers!

Hman's picture

How the hell are they going to fund social security and medicare without a deficit! 

binky's picture

The deficit is mostly funded without social security and medicare. Enact "take an axe to work" day at the pentagon and the problem is solved.

AldousHuxley's picture

cut defense spending. nearly half of your taxes go here.

tarsubil's picture

SS is a tax. There is no trustfund. Defense is 1/3. Don't fool yourself into thinking that is all that needs to be cut.

Pool Shark's picture

"cut defense spending. nearly half of your taxes go here."

Uh, no:

Congress could eliminate the entire defense budget, and it wouldn't even cover half of this year's budget deficit.

Not saying we shouldn't cut defense spending, but that alone is only a small part of the solution.

Math is a bitch...

LawsofPhysics's picture is thermodynamics.  The question is whether or not both of these subjects continue to be ignored.

chubbar's picture

Obama is without a doubt the most vile, corrupt and disingenuous president we have ever had and that's saying something after shrub and clinton.

Here's some of his latest handiwork which isn't really covered anywhere. There are dozens of examples equally egregious domestically but we are all continually amazed at his total disregard for international law, so that seems to dominate most coverage of the alternative media (the msm won't cover any of it)

"The report also states, "The design of the patch with the U.S. eagle image superimposed seems to imply a hierarchy in which the U.S. 5th Army exerts its military command under the authority of USNORTHCOM, with its domain defined as all North America, including the U.S., Mexico and Canada, for the United Nations, as implied in the orange and blue motif."

See the report.

As most of my faithful readers know, USNORTHCOM is a combatant command "created to respond to national emergencies in North America." Readers should also be aware that the United States and Canada signed an agreement earlier this year allowing the armed forces from one country to assist the armed forces of the other country during a "domestic civil emergency, even one that does not involve a cross-border crisis." (Emphasis added.)

Creation of a North American Union has long been the goal of the elitists at the Council on Foreign Relations (CFR) and its sister organizations. This objective is so far along now that anyone who would question it simply isn't paying attention — or has an ulterior motive for denying it."

Not only has President Obama and Attorney General (should be demoted to Attorney Corporal at best) Eric Holder openly told the American people that they are not going to enforce various federal laws such as the Marriage Act or any one of a number of immigration laws, but now government employees are being ordered to defy court orders and US federal laws.

The president of the union that represents officers of Immigration and Customs Enforcement, Chris Crane, testified before members of the House Judiciary Subcommittee on Immigration that ICE officers have been ordered not arrest any illegals that have been previously arrested, deported and then re-enter the US illegally again, even though that constitutes a federal felony. Furthermore, they have been instructed to not arrest any illegal that is a fugitive from court ordered deportation if they have no other prior criminal convictions.

Read more: Immigration Agents Ordered to Defy Court Orders | Godfather Politics



X.inf.capt's picture

and dont forget, 


northcom has the 1st brigade, 3rd infantry division under its direct control...

read up on that unit...

bradleys, abrams main battle tanks, field artillery, special troops...

for crowd control....

something BAD this way comes.....

slaughterer's picture

Say goodbye to 1% of GDP in 2012 and 1.5% in 2013.  Given low, decreasing growth rates right now, looks like a multi-year balance sheet recession to me.  Thanks O...

PulauHantu29's picture
<<Refinancing's hidden costs Mortgage rates are at record lows. But are you ready for the fees that come with a refi?>>


<<Mortgage refinancing rates are enticingly rock-bottom. But don't be hypnotized by the low percentage points when you are trying to decide whether to refinance. Consider this: There is a price to pay even above and beyond the "points" you'll be required to shell out. Make sure you factor these costs into your considerations.>>

Alex Kintner's picture

But but... O-bomb-a just ended the Iwreck war. Ok true, he just transferred most of the troops and machinery to Afukustan, so there's that. Hey gotta keep the MIC smokestacks belching. It's O's jobs strategy -- immoral as it may be.

knukles's picture

Be very very careful of any assumptions drawn from his position that the "troops will be home by Xmas" bullshit.  As per further readings, there are gonna be US military presences aplenty over there where our troops just left in the form of....  State Department Protection goons, trainers, laisons, civilian contractors, privae police and assorted mercinary armies paid for by the Good Old US of A.

Another triumph of form over substance.

PulauHantu29's picture

Massive spending and No Cuts...and lots more Record high Bonuses is what I predict.

This is an election year....there will be zero "austerity" here imo.


I am Jobe's picture

The Squid er I mean God has spoken. All take cover. Grab Guns , Bullets and gold.

PulauHantu29's picture

Excellent work Mr Tyler.

Hephasteus's picture

The only honerable thing to do is since all these debts can't possibly be repaid. Instead of just ignoring them we should enter into a debt repayment competition. Let's call it World War III.

Just remember do not target the commanders and the ranking officers. They are there to keep the soldiers who need guidance in line. Keep all the bullets and swords and stuff pointed at the lower class soldiers.

kito's picture

Do entitlement program cuts include pentagon welfare?

knukles's picture

What were you thinking?

This year's so far ballyhooed (you know, where nobody's got any money to spend) federal austerity is a +5% increase in spending.
Increase in Spending.

(One more time boys and girls)
Increase in Spending.


devo's picture

My question: would the gold/silver i own go up or down if we move to a gold/silver standard again?

americanspirit's picture

Hi Devo - hate to be a wet blanket but because you've posted that you own gold/silver, and because the gov't can easily trace your IP address and get your location, your gold/silver will actually go to the government. Don't talk, don't post, and don't keep it in a safe deposit box. In fact it wouldn't hurt to wait a while and then call the police and file a report that your home has been burgled and all your PMs were stolen. Hang in there.

devo's picture

I just wanted to sound cool and hip. I don't own any yet, but I am looking to buy on a dip.

I assume the price would go up if we move to a gold/silver standard, since the government would reprice it at ~3x current value. Correct?

americanspirit's picture

Hi again - the real answer is nobody knows. A personal opinion is that it will depend on howidespread gold/silver ownership is. The wider the ownership, the less control the government will have of the price. Same advice - when you do buy it, buy for cash without a record, and tell nobody, ever.

devo's picture

Thanks, mate. If I do buy, where could I buy from all cash to avoid a paper trail? Seems like friends, etc would be the only way.

saulysw's picture

The "solution" of more debt to solve the debt problem, is becoming a problem. That damn can keeps re-appearing on the road, despite all the kicking!

I believe the debt ceiling will become a problem again well before the end of this year. This will wake up even more people, who have short attention spans, but not that short. If we see the same issue pop up in Feb/Mar 2012, all hell will break loose. The new solution might be to legislate the removal of the ceiling, and I think that card might be played at some stage, there were weak suggestions about this even recently. No news is good news, right?

DutchR's picture

Keyser Söze the Goldman.

Lazlo Toth's picture

Goldman needs a new Magic 8 Ball.


Damn.... We in trouble now.

knukles's picture

Did you all read that Goldman's economics and market foreacasting team was awarded the Gold Star of The Year for Great Fucking Work the other day by Larry Summers.

Fuck me.
I've done a better job forecasting than Goldman. 
And Larry Summers.

MrBinkeyWhat's picture

WOW! Lets get cynical.  Bithez!

Manthong's picture

??   What could possibly be the problem ??

After all, we ARE borrowing and spending tremendous amounts of money now are't we?

Didn't the trillions we borrowed and spent on the war on poverty and the school systems solve all of our poverty and education problems?

How could there possibly be a problem with the economy, employment and prosperity after borrowing and spending all those other trillions, not to mention assuring secure housing for everybody by borrowing and spending trillions on the housing market.

This is sure perplexing.  

Use of Weapons's picture

The moment that GS realise that their input into this equation has become transitory, and that the entire dance macabre has entered a far more serious zone than they play in...

Will be Biblical in schadenfreude.


And the Jews' passover was at hand, and Jesus went up to Jerusalem,
and found in the temple those that sold oxen and sheep and doves, and the changers of money sitting:
and when he had made a scourge of small cords, he drove them all out of the temple, and the sheep, and the oxen; and poured out the changers' money, and overthrew the tables;
and said unto them that sold doves, Take these things hence; make not my Father's house a house of merchandise.
and his disciples remembered that it was written, The zeal of thine house hath eaten me up




Coming Soon[tm]

Grand Supercycle's picture

SP500 weekly chart shows megaphone wedge and looks bullish.

Market consensus became clearer on Friday so back to the original bullish analysis and SP500 weekly chart reverts to bullish/neutral.

More info:

RoadKill's picture

As usual for Goldman - good analysis (Better then most) bad conclusion.

Just like their Euro bank recap analysis.

Euro banks need E1ttn of capital to fully deal with everything headed their way. But the summit in progress will likely come out with 10% of that (see latest Economist). Instead leveraged bond buying and gauranteed will be relied on. Maybe enough to kick can to 2013. But it won't address the lending freeze - gauranteeing a Euro recession in 2012 along with numerous bank-rupcies that will be handled by new Euro-FDIC. But no big disaster.

On US their will be NO super committee agreement. Their will be no agreement on 90% of jobs act. We will face mandatory cuts of $1.2ttn, loss of 2% GDP I'n stimulus and a new debt ceiling debacle before elections. With a big export market in decline, this spells a recession I'n US for 2012. So SPX EPS will be close to 80 not 95. At a minimum this will result I'n 20% SPX decline from here.

Of course all of this is great for Asia. :)

You read it here 1st. At 1090 we were over sold technically, not fundamentally. I've gone from 2/3rds net long (via 3x levered ETFs) to 2/3rds short. If we hit 1,350 before 1,000 it will hurt, but the odds are 3:1 I'n favor of red. Please place you're bets