• BullionStar
    05/30/2016 - 21:24
    The US Gold Market is best known as the home of gold futures trading on the COMEX in New York. The COMEX has a literal monopoly on gold futures trading volumes worldwide, but very little physical...

Here's Hilsenrath: The Door Is Still Open For The Fed To "Help The Economy"

Tyler Durden's picture


One didn't think that an economic event could come and go without some commentary from the WSJ's resident "Fed mouthpiece-cum-economist" who has rapidly become a caricature of himself, and is solely known for his heretofore programmed leaks of Fed policy, which tended to work until it didn't. In a normal day when newsflow or fundamentals actually mattered, we would focus on far more important things. However, since we are caught in the manic phase of the market's daily bipolar gyrations, and nothing can make a dent in sentiment at least until Monday when the market suddenly decides it was 100% wrong in its re-interpretation of Draghi's comments (last we checked there is still no press release from the Bundesbank saying it has agreed to any bond buying, let along short-dated) and decides to plunge all over again, here is Jon with more propaganda that today's NFP beat, which is still well below the 200+ needed to maintain the declining unemployment rate trendline, means nothing for the Fed.

From the WSJ:

Today’s employment data aren’t enough to dramatically alter the Federal Reserve‘s view that the economy is growing too slowly to register meaningful improvement in the unemployment rate.


Though payrolls improved, the jobless rate hasn’t come down since the beginning of the year, keeping it well above almost any definition of maximum sustainable employment, which is half of the mandate Congress has given the Fed. (The other half, or course, being stable prices.) That leaves the door still open to new moves by the Fed to help the economy.


On Wednesday, the central bank made what amounted to a conditional promise of action. In a statement carefully worded to send a strong signal, it said it will “closely monitor” the economy and “will provide additional accommodation as needed to promote a stronger economic recovery and sustained improvement in labor market conditions.”


Fed officials get another snapshot of the job market — on Sept. 7 — before their next meeting, which is set for Sept. 12-13.

Our advice: ignore the pleading of hits hollow scribe, and focus solely on whether the Fed will continue engaging in repos in the next month. A few more of those will give the answer everyone is looking for.

Your rating: None

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Fri, 08/03/2012 - 13:03 | 2676203 Tippoo Sultan
Tippoo Sultan's picture

The Official Scribe is early this Friday. He must have plans for the weekend.

Fri, 08/03/2012 - 13:07 | 2676222 malikai
Fri, 08/03/2012 - 13:33 | 2676263 ZerOhead
ZerOhead's picture

If you excluded the new lobbyist and SuperPAC hires the print would have been more like -20K...

And I need some more adrenechrome

Fri, 08/03/2012 - 14:16 | 2676380 TruthInSunshine
TruthInSunshine's picture

Hilsenrath is a dirty, dirty little whore.

It will be interesting to see where the future takes him.

Fri, 08/03/2012 - 14:31 | 2676430 engineertheeconomy
engineertheeconomy's picture

Hilsenwrath: "The back door is still open for the Fed to rape the economy good a few more times"

fixed it for you

Fri, 08/03/2012 - 14:55 | 2676494 LeisureSmith
LeisureSmith's picture

Strong fluffing, he may have won an award and he doesen't even know about it. He made a music demo back in the day.http://www.youtube.com/watch?v=eYAAbbuEpnw

Fri, 08/03/2012 - 18:22 | 2677030 Acorn10012
Acorn10012's picture

Well, Tyler did say he was a cum mouthpiece...fluffing cums with the job.

Fri, 08/03/2012 - 13:11 | 2676231 SeverinSlade
SeverinSlade's picture

Markets are becoming increasingly volatile with wider swings to the upside and downside...Carbon copy of 2011.

Like ZH suggested, the fact that the Fed has conducted its first repo in four years gives us an idea of what is coming next.

Fri, 08/03/2012 - 13:26 | 2676274 DavidC
DavidC's picture

Tell me about it - I had a nearly 100-point stop on the Dow yesterday before Draghi spoke and still got stopped out. How can one trade with ridiculous moves like that (and yes, I realise that maybe I shouldn't be mug enough to try and trade these broken markets now)?


Fri, 08/03/2012 - 13:15 | 2676241 Hype Alert
Hype Alert's picture

I was thinking they would wait until people started thinking about how this week looked in hindsight.  Hindsight is a wonderful thing.  On Monday, after everyone has had the weekend to dig through the report and figure out it's not that good in the meat of it and had time to review why there has been a delay in QE and other forms of manipulation other than Open Mouth Operations, there may be some buyers remorse.  I was giving them until 2:00 or 3:00 to start thinking about that.

Fri, 08/03/2012 - 14:16 | 2676379 Daily Bail
Daily Bail's picture

HILSENRATH SPEAKS - Bernanke's Mouthpiece Hints At New 'MBS Buying Program': "QE3 Is Likely In September"

If you've never seen Hilsy in person here's your chance.  Short interview with PBS News Hour from Wednesday.

Fri, 08/03/2012 - 13:04 | 2676204 SilverTree
SilverTree's picture

What, a reach-around?

Fri, 08/03/2012 - 13:04 | 2676205 notbot
notbot's picture

From the mouth of the Bernank straight to us.

Fri, 08/03/2012 - 13:07 | 2676218 sabra1
sabra1's picture

do you know where his mouth has been?

Fri, 08/03/2012 - 13:07 | 2676219 SheepRevolution
SheepRevolution's picture

From his asshole, if anything..

Fri, 08/03/2012 - 13:10 | 2676229 WhyDoesItHurtWh...
WhyDoesItHurtWhen iPee's picture

....... is that ass to mouth? .........

Fri, 08/03/2012 - 13:05 | 2676210 Blopper
Blopper's picture

2nd chance for Hilsenrath to shame himself again.

Fri, 08/03/2012 - 13:46 | 2676321 jeff314
jeff314's picture

jew dont have shame...

Fri, 08/03/2012 - 13:06 | 2676213 The Wizard of Oz
The Wizard of Oz's picture


Fri, 08/03/2012 - 13:07 | 2676217 slaughterer
slaughterer's picture

"Our advice: ignore the pleading of hits hollow scribe, and focus solely on whether the Fed will continue engaging in repos in the next month."

Q: do you mean to imply that repos will take the place of any need for genuine, unsterilized LSAP/balance sheet expansion?   Clever. 

Fri, 08/03/2012 - 13:07 | 2676220 Bay of Pigs
Bay of Pigs's picture

All Hail the Hilsenrath!

Fri, 08/03/2012 - 13:34 | 2676293 Manthong
Manthong's picture

Poster child for the term “useful idiot”.

Fri, 08/03/2012 - 13:11 | 2676221 NeedleDickTheBu...
NeedleDickTheBugFucker's picture

Hilsenrath should simply write that the "door" is open ad infinitum.  He can then issue the same statement on a daily basis as a gentle reminder to the algos.  Problem solved.

Fri, 08/03/2012 - 13:09 | 2676227 Jlmadyson
Jlmadyson's picture

Oh yes, Fed Chairman Hilsenrath, it will help the economy alright.

Bankers needing capital seething out your face son!

Fri, 08/03/2012 - 13:10 | 2676232 Hype Alert
Hype Alert's picture

They will dangle the carrot in front of the donkey until he gives up.

Fri, 08/03/2012 - 13:11 | 2676234 slaughterer
slaughterer's picture

Hilsenrath IS our age's entirely visible and unpunished "Blue Horseshoe"

Fri, 08/03/2012 - 13:15 | 2676238 Cult_of_Reason
Cult_of_Reason's picture

The self-proclaimed new FOMC Chairman Hilsenrath has been obscenely desperate lately -- writing like a maniac 2-5 articles a day about incoming Fed "easing".

Fri, 08/03/2012 - 13:19 | 2676258 khakuda
khakuda's picture

Can't have QE be data dependent when he is long out of the money S&P calls.  Journalism doesn't pay.

Fri, 08/03/2012 - 13:16 | 2676246 fonzannoon
fonzannoon's picture

Can anyone tell me how the fed manages to "repo" or convert shitbag shadow assets and turn them into fungible cash? What are they selling and who is buying?

Fri, 08/03/2012 - 13:16 | 2676247 Everybodys All ...
Everybodys All American's picture

It has become obvious the only way that these banks do not close their doors due to insolvency is by having the market continue to rally qtr after qtr. Fundamentals be damned. Flow must continue.

Fri, 08/03/2012 - 13:21 | 2676262 Jlmadyson
Jlmadyson's picture

Oh the flow will continue at all cost.

Fri, 08/03/2012 - 15:05 | 2676248 khakuda
khakuda's picture

$91 oil, 1400 S&P, 1.5% 10 year, 3.5% mortgage rates, ag commodities skyrocketing, 1600 gold.  Once again, so much liquidity already pumped in the system a blind man could see it yet these idiots keep creating more and more and more.

Fri, 08/03/2012 - 13:17 | 2676249 Martial
Martial's picture

Help the economy....by closing their doors.

Fri, 08/03/2012 - 13:18 | 2676251 SmoothCoolSmoke
SmoothCoolSmoke's picture

Some day, in the distant future, it will all be revealed how much market manipulation is currently going on.  I'm sure will be justified in hindsight that it was the "patriotic" thing to do, or some BS to thaat effect,  to save the US economy

Fri, 08/03/2012 - 13:18 | 2676252 Duke of Con Dao
Duke of Con Dao's picture

funny, back in the 80s I worked for a small M&A boutique in the Olympic Tower in Manhattan. 

it was a 4 person operation. I bs'd my way into it knowing I needed a job to impress my gf's old man. 

a worked alongside the founder of the firm, a guy named Fred. yes, I knew he was once a big honcho 

at Morgan Stanley but when they told me he was also former FED vice-chairman it was ho-hum to me...

dumbass me had little clue what the FED did besides set interest rates....

here's another Creation Myth for you: a real MONSTER story 


Fri, 08/03/2012 - 13:36 | 2676296 ReactionToClose...
ReactionToClosedMinds's picture

brilliant .... I love the scene cut-aways.  The best was ... " ... a lot of smart people" ... and you cut to angry mob with Pitchforks & torches scene.


Olympic Tower .... former vice-chair .... in the formative Plunge Protection Team days  ..... impressive ... did you 'get the girl'? 

Fri, 08/03/2012 - 14:07 | 2676362 Duke of Con Dao
Duke of Con Dao's picture

I appreciate that you enjoyed it, really. 

a better cut away is with James Dean in this version - Giant: You Didn't Build that Oil Rig, James Dean sez Prez Obamahttps://www.youtube.com/watch?v=2mFRJLxJ5KQ


as for the girl, yep for a few more years but then I pissed that away as is my wont and with it her millions in inheritance. (heir to plastics fortune) 

oh well... live and....



Fri, 08/03/2012 - 13:20 | 2676259 WeekendAtBernankes
WeekendAtBernankes's picture

The cum.  It is so close to the mouthpiece. This - close.

Fri, 08/03/2012 - 13:20 | 2676261 slaughterer
slaughterer's picture

Can't wait for tonight's video from Sausalito with our beat-up went-100%-short-70-ES-points-below bear oracle.

Fri, 08/03/2012 - 13:25 | 2676266 Itch
Itch's picture

You have to admit, these markets are powerful at the minute. That reversal in the euro is a monster, just a monster, and a nasty lesson to people who look for a black and white reason to place a currency trade. We are getting to a level of subtlety where, unless you’re marvellously sophisticated, only price should matter to most... because the bullshit is flying from EVERYWHERE. I have to have a chuckle at people who trade currency on fundamentals. In fact i find that fucking hilarious.

Fri, 08/03/2012 - 15:08 | 2676532 Bastiat
Bastiat's picture

"We are getting to a level of subtlety where, unless you’re marvellously sophisticated . . . " or marvelously wired.

Fri, 08/03/2012 - 13:25 | 2676269 bugs_
bugs_'s picture

We all know the Fed can't help the economy.  All it can do is part savers with their purchasing power and dilute the value of income.  I cringe when I hear someone talk about the Fed helping.

Fri, 08/03/2012 - 13:27 | 2676276 Madcow
Madcow's picture

We've got a magic wand in the back - we swear! - we really do!!    It was tough telling my kids that there's no tooth fairy, santa claus or easter bunny - but they're better off now.

All the Fed can do now is continue to bluff - and to swear that there's some way for them to stop the deflationary collapse - to prevent people from dumping there assets and fleeing the country or loading up on bullets and canned beans and heading fot the hills. 


Fri, 08/03/2012 - 13:31 | 2676285 slaughterer
slaughterer's picture

Tempting as it is, I just cannot bring myself to short WTI below $92 right now.   

Fri, 08/03/2012 - 13:35 | 2676286 Dr. Engali
Dr. Engali's picture

Either shit or get off the pot,stop with these daily teases. I either want to enjoy a turkey sandwich courtesy of Kito or buy him a ham sandwich but for crying out loud stop with the jaw boning , this is getting ridiculous.

Fri, 08/03/2012 - 13:44 | 2676311 fonzannoon
fonzannoon's picture

The jawboning has stopped and the actions have begun. This is the fed yelling "Look at this hand (QE3) Look at this hand!" while the other hand is infusing the banks with capital.

My question is still, what shadow crap assets are they selling and who is buying? How are these assets becoming fungible?

Fri, 08/03/2012 - 13:45 | 2676314 Bullionaire
Bullionaire's picture

I love it when TD uses the words "mouthpiece" and "cum" adjacent to each other in the first line!

Fri, 08/03/2012 - 13:51 | 2676332 Peter K
Peter K's picture

"However, since we are caught in the manic phase of the market's daily bipolar gyrations, and nothing can make a dent in sentiment at least until Monday when the market suddenly decides it was 100% wrong in its re-interpretation of Draghi's comments (last we checked there is still no press release from the Bundesbank saying it has agreed to any bond buying, let along short-dated) and decides to plunge all over again,...."

Yea, but it was a costly re-interpretation. :(

Fri, 08/03/2012 - 14:07 | 2676364 My Days Are Get...
My Days Are Getting Fewer's picture

Hülsenrath =

Hülsen = a capsule ( the covering for your pill); a husk (the covering for grain)


Rat(h) = advice

= "a wisdom pill"

Our new Pluge Protection Team Leader

Sat, 08/04/2012 - 08:46 | 2677751 Haager
Haager's picture

Nice. I've named that guy Helserat recently (dutch: hellish rat)

Do NOT follow this link or you will be banned from the site!