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Italian Bonds Plunging: ECB Intervention Imminent

Tyler Durden's picture


After intervening for 3 days out of 3, Italian bonds have just taken out all recent lows and threaten to drag the entire Italian, and thus European market with them. We expect an ECB intervention any second or else the bottom is about to fall out of the market. Highlighted are all previous ECB (money losing) interventions.


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Thu, 10/20/2011 - 10:52 | 1792913 danger close here
danger close here's picture


Thu, 10/20/2011 - 11:05 | 1792980 Harlequin001
Harlequin001's picture

Luv it when a plan comes together...

There is a plan, isn't there?

Thu, 10/20/2011 - 11:18 | 1793007 gojam
gojam's picture

The EU are using the new revolutionary Bistromathics!

That explains a) Why those of us using Mathmatics don't understand and b) All those 5 star restaurant bills the taxpayer had to pick up during the last 40 years of EU/CERN "research".

A full explanation of Bistromathics can be found here -

After the development of Bistromathics it was only a small jump to Bistronomics.

Thu, 10/20/2011 - 13:56 | 1793990 FinHits
FinHits's picture

Euromafia to the rescue: "I'm gonna make him an offer he can't refuse"

"... ehh... naah"

"I'm gonna make him another offer he can't refuse"

"... ehh.. next time maybe"

[repeat ad infinitum]

Thu, 10/20/2011 - 10:53 | 1792914 Ryman1075
Ryman1075's picture

Look out below.

Thu, 10/20/2011 - 10:56 | 1792941 Ancona
Ancona's picture

Pull the fucking rip cord Guido!!

Thu, 10/20/2011 - 11:07 | 1792991 Harlequin001
Harlequin001's picture

Is this where Mutley goes 'eek, eek, eek shahslefackum, shashlfacum..."

and the wings come off...

Thu, 10/20/2011 - 11:55 | 1793303 FranSix
Thu, 10/20/2011 - 13:40 | 1793868 smiler03
smiler03's picture

eek, eek, eek shahslefackum, shashlfacum...

Thu, 10/20/2011 - 11:01 | 1792960 jdelano
jdelano's picture

OMFG--it must really be ending!  Look what just popped up FRONT PAGE on Bloomberg:



Now ZH is going to have to help bring down the socialists.....

Thu, 10/20/2011 - 11:08 | 1793000 MillionDollarBonus_
MillionDollarBonus_'s picture

It's the only solution to give POWER BACK TO THE PEOPLE. Socialism is the will of the younger trendier generation and nothing will stop them. The progressive revolution is finally here, and we can finally give more power to the government to allocate resources efficiently. Corporations need to be guided by smart, well-meaning politicians who are able to make better decisions than the corporations themselves.

Thu, 10/20/2011 - 11:09 | 1793003 Harlequin001
Harlequin001's picture

which we don't have, and never did. Stop dreamin'

Thu, 10/20/2011 - 11:10 | 1793008 jdelano
jdelano's picture

that's better.  a little ad absurdium... 

Thu, 10/20/2011 - 11:14 | 1793036 Harlequin001
Harlequin001's picture

Honestly, which orifice is this coming out of - 'POWER BACK TO THE PEOPLE. ... and we can finally give more power to the governmen' !!!

I've heard more financial sense from the 'wacky races'...

He's a fucking looney...

Thu, 10/20/2011 - 11:10 | 1793009 Ctrl-Alt-Defeat
Ctrl-Alt-Defeat's picture

"smart, well-meaning politicians"

WTF is wrong with you!!!

Thu, 10/20/2011 - 11:11 | 1793019 Steel_Preacher
Steel_Preacher's picture

You sir,

Need to be introduced to a wall, and a blindfold. After due process of course...

Thu, 10/20/2011 - 11:16 | 1793046 Harlequin001
Harlequin001's picture

I don't know, he's probably quite serious, as he places his $10 bets from his welfare check...

and then wonders why he has no money...

Thu, 10/20/2011 - 11:16 | 1793049 jdelano
jdelano's picture

hmm.  on second thought bonus, they still don't seem to get the joke.  You might have to make it even sillier next time...

Thu, 10/20/2011 - 11:29 | 1793142 Harlequin001
Harlequin001's picture

speak for yourself...

Thu, 10/20/2011 - 11:23 | 1793093 Everybodys All ...
Everybodys All American's picture

You could be the problem rather than the solution. No sense of history and in fact no sense at all.

Thu, 10/20/2011 - 11:36 | 1793188 Ethics Gradient
Ethics Gradient's picture

One of the following is true:

a) My sarcasm detector is faulty.

b) There is no cure for your weapons grade fuck-wittery.

Thu, 10/20/2011 - 12:53 | 1793628 viahj
viahj's picture


Thu, 10/20/2011 - 11:47 | 1793267 Hedgetard55
Hedgetard55's picture
Standing tough under stars and stripes
We can tell
This dream's in sight
You've got to admit it
At this point in time that it's clear
The future looks bright
On that train all graphite and glitter
Undersea by rail
Ninety minutes from new york to paris
Well by seventy-six we'll be a.o.k.

What a beautiful world this will be
What a glorious time to be free
[ Lyrics from: ]
Get your ticket to that wheel in space
While there's time
The fix is in
You'll be a witness to that game of chance in the sky
You know we've got to win
Here at home we'll play in the city
Powered by the sun
Perfect weather for a streamlined world
There'll be spandex jackets one for everyone

What a beautiful world this will be
What a glorious time to be free

On that train all graphite and glitter
Undersea by rail
Ninety minutes from new york to paris
(more leisure for artists everywhere)
A just machine to make big decisions
Programmed by fellows with compassion and vision
We'll be clean when their work is done
We'll be eternally free yes and eternally young

What a beautiful world this will be
What a glorious time to be free

Thu, 10/20/2011 - 11:52 | 1793287 i-dog
i-dog's picture

LOL ... -21 already. Like shooting fish in a barrel....

Thu, 10/20/2011 - 12:37 | 1793540 Harlequin001
Harlequin001's picture

My all time best is -85...

Thu, 10/20/2011 - 11:12 | 1793015 Quixotic_Not
Quixotic_Not's picture

OWS is blocks from where I work (no, not in financial mafia) and I was for a short time a member of it...when I thought there might be hope to stopthe tyrants with the RULE OF LAW...

I can't speak about the other locations across the nation (I have no interest/affiliation with Europe et al.), but what I see happening at OWS Manhattan is scary, if you care about the AMERICAN experiment, because there are -0- AMERICANS @ OWS.

Have you read the book Animal Farm?  If not I suggest you do it asap if you want to understand where this is headed...

When you see the likes of Karl Dickinger calling for violent revolution, it is truly time that the adults pay attention before the children burn the house down!


Thu, 10/20/2011 - 11:19 | 1793071 jdelano
jdelano's picture

heheh, and who, in this version, plays trotsky?

Thu, 10/20/2011 - 11:27 | 1793129 Quixotic_Not
Quixotic_Not's picture

Based on my personal experiences in the kamp, I'd say Obummer...

OWS= Obama/Stalin 2012

Thu, 10/20/2011 - 11:12 | 1793023 flacon
flacon's picture




Thu, 10/20/2011 - 11:13 | 1793031 Josh Randall
Josh Randall's picture

In the article:  "Blood, who worked at Goldman Sachs Group Inc. (GS) for 18 years before starting fund manager Generation with former U.S. Vice President Al Gore in 2004"

So an Al Gore lackey from Goldman Sux is trying to sway people to the Michael Moore way of thinking. We don't even have Capitalism, we have state funded auto, banking, airline, insurance, and other propped up industries -- with too big to fails.

Nice spin job Blood

Thu, 10/20/2011 - 11:20 | 1793069 Quixotic_Not
Quixotic_Not's picture

Now ZH is going to have to help bring down the socialists.....

Got news for you, the Tyler group have been part of the OWS uprising from the beginning...didn't you know that?

Thu, 10/20/2011 - 11:35 | 1793177 jdelano
jdelano's picture

I'll let the Tylers field that one, if they're so inclined.  OWS appears to me to be a heterogeneous and at times conflicted movement, though the baseline does seem to be 'this system is fucked'.  

Thu, 10/20/2011 - 11:44 | 1793246 Quixotic_Not
Quixotic_Not's picture

The emails to and from the official OWS organisers... and, globalrevolutionmedia, and other organisers, to and from some big names in the media is interesting........ You can also search the emails yourself.....

I've been reading the emails, and doing searches for different words and terms..... Chilling stuff.


The emails are fascinating, if accurate.

Bill Black. Tyler Durden. And Karl ...

Again, I'm all for an end of crony capitalism, but we can't just look at banks. We have to look at all the institutionalized fraud that has occurred, and the fact that Taibbi, Ratigan, and others from the left ignoring Solyndra is simply a bridge too far for me to get involved until the left gets behind taking down crony capitalism on "green" energy projects as well.

Thu, 10/20/2011 - 11:21 | 1793075 Rynak
Rynak's picture

Nice, now if only they would ban words like capitalism, socialism, communism, libertarianism and fascism.... from the dictionary..... and just settle with "crapocracy".... they may be at the threshold of fixing anything at all. Because, you know - they'd be forced to discuss what they actually mean :)

Thu, 10/20/2011 - 11:25 | 1793109 Quixotic_Not
Quixotic_Not's picture

Nice, now if only they would ban words like capitalism, socialism, communism, libertarianism and fascism.... from the dictionary..... and just settle with "crapocracy".... they may be at the threshold of fixing anything at all.

It would be nicer if sheeple banned tme from their frontal lobes are solutions to ponder!

Then again, having observed OWS leadership up close and personal, there aren't many totalitarian models the huddled mongrels will follow once you remove divine right of kings as an option...

They certainly aren't interested in restoring this:

The state of nature has a law of nature to govern it, which obliges every one: and reason, which is that law, teaches all mankind, who will but consult it, that being all equal and independent, no one ought to harm another in his life, health, liberty, or possessions ~ John Locke 1690

Thu, 10/20/2011 - 16:40 | 1794697 anonnn
anonnn's picture


Thu, 10/20/2011 - 11:06 | 1792983 wombats
wombats's picture

They've already banned shorting.  How soon before they ban long sales too and make the bond holders swallow their holdings?

Thu, 10/20/2011 - 11:08 | 1792996 earnulf
earnulf's picture

How long until they just make them swallow?

Thu, 10/20/2011 - 11:31 | 1793155 Quixotic_Not
Quixotic_Not's picture

Well, T-Direct just announced "New Security Features" that look like THEY'll be banning US Treasury withdrawls shortly, looks like continuation of the pattern to me:

Dear TreasuryDirect Account Holder:

We're committed to providing a secure environment for your investments and personal information.

In a few weeks, we'll be replacing the access card with personalized images, one time passcodes, and computer registration as new layers of security to your TreasuryDirect account.  Continue to use your access card until you're notified within your TreasuryDirect account.

Thank you for using TreasuryDirect.

Thu, 10/20/2011 - 10:53 | 1792917 jmcadg
jmcadg's picture

Race to the bottom

Thu, 10/20/2011 - 10:53 | 1792918 Dr. Engali
Dr. Engali's picture

Clearly this is a bullish chart.

Thu, 10/20/2011 - 11:08 | 1792999 Harlequin001
Harlequin001's picture

You can just see the size of the bounce that's comeing...

Thu, 10/20/2011 - 11:30 | 1793150 srsly-wtf
srsly-wtf's picture

Cramer says back up the truck!

Thu, 10/20/2011 - 11:34 | 1793181 Dr. Engali
Dr. Engali's picture

Just an FYI ... I was being sarcastic. My position has been and will remain short.

Thu, 10/20/2011 - 11:49 | 1793280 Harlequin001
Harlequin001's picture

FYI, so was everybody else...

Thu, 10/20/2011 - 12:15 | 1793402 i-dog
i-dog's picture

...except for the three infants that junked him. Americans need an "applause" or "boooo" sign to guide them...

Thu, 10/20/2011 - 12:30 | 1793500 Harlequin001
Harlequin001's picture

Yes I have my own little puppy dogs that seem to follow me around hitting the red arrows too...

Thu, 10/20/2011 - 10:53 | 1792919 Nedly66
Nedly66's picture

Isn't the ECB tired of losing money yet?

Thu, 10/20/2011 - 10:54 | 1792930 john39
john39's picture

they might be, if the money was real to begin with.

Thu, 10/20/2011 - 11:06 | 1792984 hedgeless_horseman
hedgeless_horseman's picture

OPM.  Only Peasants' Money.

Thu, 10/20/2011 - 11:10 | 1793011 Harlequin001
Harlequin001's picture

It's not like they're short of it, is it?

Thu, 10/20/2011 - 10:54 | 1792931 achmachat
achmachat's picture

they're not losing any money.

they're losing currency that they created out of thin air. of course that doesn't hurt!

Thu, 10/20/2011 - 11:43 | 1793226 Rynak
Rynak's picture

It doesn't hurt, until it hurts a lot of people more than they like to be hurt, which is when they start hurting others. So, they're basically creating hurt-debt out of thin air.

Thu, 10/20/2011 - 10:57 | 1792946 DeadFred
DeadFred's picture

Ink is cheap and electrons are cheaper, but the trend line doesn't seem to realize that.

Thu, 10/20/2011 - 11:02 | 1792969 jmcadg
jmcadg's picture

ink is cheap .. but  seemingly not cheap enough for Greece LOL

Thu, 10/20/2011 - 11:52 | 1793286 gatorengineer
gatorengineer's picture

they will just print some more....

Thu, 10/20/2011 - 10:54 | 1792928 Yancey Ward
Yancey Ward's picture

Just confirms my theory that once a central bank starts this process, it must buy them all.

Thu, 10/20/2011 - 10:59 | 1792962 Monkeyfister
Monkeyfister's picture

I think you're correct in this. But, of course, that was the folly of this course of action from the very beginning. Those falling knives will cut you one at a time, or by the drawerful, but you'll bleed out just the same if you try to catch them.



Thu, 10/20/2011 - 11:27 | 1793083 Harlequin001
Harlequin001's picture

Of course they do. Once they start buying them they ARE the market. When they stop it all falls down.

The auction rate securities scam should have taught us that. Only difference here is that instead of the decision to crash the market being in the hands of the Board of Golman Sachs, this decision is in the hands of a few central bankers and politicians. If you aren't privy to that decision making process then you exist to lose your money, just like those who thought they knew what they were doing in auction rate. It's not a commercial decision, it's a Board level decision based on non commercial information that we don't have...

Thu, 10/20/2011 - 10:59 | 1792963 tekhneek
tekhneek's picture

I'll second that theory.

Thu, 10/20/2011 - 11:06 | 1792982 Clorox Cowboy
Clorox Cowboy's picture

Yes sir.

Thu, 10/20/2011 - 12:59 | 1793661 viahj
viahj's picture blance sheet to rule them all

Thu, 10/20/2011 - 10:55 | 1792932 Corn1945
Corn1945's picture

Italian 10 year at 6%.

Thu, 10/20/2011 - 10:55 | 1792933 Ctrl-Alt-Defeat
Ctrl-Alt-Defeat's picture

Fucked bitchez!

Thu, 10/20/2011 - 10:55 | 1792934 Fish Gone Bad
Fish Gone Bad's picture

Think of it as the water receding before the sovereign default tsunami comes onshore.

Thu, 10/20/2011 - 10:57 | 1792950 maxmad
maxmad's picture

Think of it as the salty taste in your mouth before you are about to puke!

Thu, 10/20/2011 - 11:00 | 1792966 Ctrl-Alt-Defeat
Ctrl-Alt-Defeat's picture

Don't put it in as far next time!

Thu, 10/20/2011 - 11:10 | 1793012 maxmad
maxmad's picture

that's what she......


-Michael Scott

Thu, 10/20/2011 - 11:17 | 1793053 Dumpster Fire
Dumpster Fire's picture

Think of it as the salty taste in your mouth before you are about to puke!


That's from the ass-to-mouth which is what this market really is.

Thu, 10/20/2011 - 10:56 | 1792938 Bansters-in-my-...
Bansters-in-my- feces's picture

This will make the markets rally ,if nothing else works....

Bullish all the way.

Thu, 10/20/2011 - 10:59 | 1792965 maxmad
maxmad's picture

Looks like the market isnt listening to you anymore... LOL

Thu, 10/20/2011 - 10:55 | 1792939 misterc
misterc's picture

Holy calzone, Batman! Now 6,001% on the 10year!



Thu, 10/20/2011 - 11:06 | 1792987 machineh
machineh's picture

Super Mario Draghi to the rescue!

How about an early transition here?

We've got work to do!

Thu, 10/20/2011 - 10:55 | 1792940 GerritB
GerritB's picture


Thu, 10/20/2011 - 10:56 | 1792944 smlaz
smlaz's picture

Buying Japan

Thu, 10/20/2011 - 10:57 | 1792948 PaperBear
PaperBear's picture

Gaddafi’s Death is Rumor spread by TNC for Hillary Clinton

“Green Committees have confirmed that the leader is alive”

We are in such a MASSIVE media war.

Thu, 10/20/2011 - 11:15 | 1793042 fuu
fuu's picture

Look at that! That is a complete fucking fraud, and it looks a hundred percent real. It's the best work I've ever done in my life, because it's so honest.

Thu, 10/20/2011 - 12:48 | 1793598 pods
pods's picture

Man, that is just crazy.  

Anymore I would not be surprised to wake up one day and realize that in fact I am stuck in a liquid filled coffin being fed the liquified dead, all the while dreaming of life.


Thu, 10/20/2011 - 10:57 | 1792951 orca
orca's picture

As of today an Italian is running the show, so no sweat, they have a plan.

Thu, 10/20/2011 - 11:18 | 1793063 Bam_Man
Bam_Man's picture

The Italian plan:

Take a three hour lunch and think it over between sips of a 2001 Brunello.

Thu, 10/20/2011 - 11:36 | 1793189 Mark123
Mark123's picture

don't forget a shopping trip on the way back to the office - better when you are a bit sloshed.


Eh Mario, letsa go buy soma new fancy shoes....passa da hair gel when you finish.


Thu, 10/20/2011 - 10:58 | 1792954 the not so migh...
the not so mighty maximiza's picture

It would be nice if the charade ends today.

Thu, 10/20/2011 - 10:58 | 1792955 101 years and c...
101 years and counting's picture

when the Fed printed and bought, EUR up.  when the ECB prints and buys, EUR up.  for an explanation, please turn to chapter 5 of your Ponzinomics 321 book.

Thu, 10/20/2011 - 10:58 | 1792956 bania
bania's picture

you fringe blog, you!

Thu, 10/20/2011 - 10:58 | 1792958 Deadpool
Deadpool's picture

must read Zero Heads:

Central banks are engaged in a desperate battle on two fronts

What we see at present is a battle between the central banks and the collapse of the financial system fought on two fronts. On one front, the central banks preside over the creation of additional liquidity for the financial system in order to hold back the tide of debt defaults that would otherwise occur. On the other, they incite investment banks and other willing parties to bet against a rise in the prices of gold, oil, base metals, soft commodities or anything else that might be deemed an indicator of inherent value. Their objective is to deprive the independent observer of any reliable benchmark against which to measure the eroding value, not only of the US dollar, but of all fiat currencies. Equally, their actions seek to deny the investor the opportunity to hedge against the fragility of the financial system by switching into a freely traded market for non-financial assets.

It is important to recognize that the central banks have found the battle on the second front much easier to fight than the first. Last November, I estimated the size of the gross stock of global debt instruments at $90 trillion for mid-2000. How much capital would it take to control the combined gold, oil and commodity markets? Probably, no more than $200 billion, using derivatives. Moreover, it is not necessary for the central banks to fight the battle themselves, although central bank gold sales and gold leasing have certainly contributed to the cause. Most of the world's large investment banks have over-traded their capital [bases] so flagrantly that if the central banks were to lose the fight on the first front, then their stock would be worthless. Because their fate is intertwined with that of the central banks, investment banks are willing participants in the battle against rising gold, oil, and commodity prices.

Central banks, and particularly the US Federal Reserve, are deploying their heavy artillery in the battle against a systemic collapse. This has been their primary concern for at least seven years. [That's since 1994 - Ed] Their immediate objectives are to prevent the private sector bond market from closing its doors to new or refinancing borrowers and to forestall a technical break in the Dow Jones Industrials. Keeping the bond markets open is absolutely vital at a time when corporate profitability is on the ropes. Keeping the equity index on an even keel is essential to protect the wealth of the household sector and to maintain the expectation of future gains. For as long as these objectives can be achieved, the value of the US dollar can also be stabilized in relation to other currencies, despite the extraordinary imbalances in external trade.

The link to the entire Warburton article is here.

Thu, 10/20/2011 - 11:07 | 1792995 jdelano
jdelano's picture

Always good to hear somebody else saying it but pretty sure we all knew this already...

Thu, 10/20/2011 - 11:14 | 1793021 SheepDog-One
SheepDog-One's picture

Deadpool...I aint buyin this load of crap.... 'Central banks engaged in battle against systemic collapse yadda yadda'....hell, they PLANNED it! I've been saying here for 2 years this is a planned bankrupting and implosion of the Western World and in particular the US! Anyone with clear thinking abiliity can easily see this is NOT the World Banksters trying their darndest to ward off collapse for us and save us, theyre making SURE theres no way out at all! ALL PLANNED!

Thu, 10/20/2011 - 11:14 | 1793041 Deadpool
Deadpool's picture

good, 'cuz I ain't sellin' it. They didn't plan their own demise, Bopeep. One world currency will NEVER fly. they are on the death march and what comes next is anyone's guess, but it ain't central banking.

Thu, 10/20/2011 - 11:17 | 1793059 SheepDog-One
SheepDog-One's picture

LMAO you really dont get it? OF COURSE they didnt plan for their OWN demise! THEY own the fuckin WORLD! THEY planned for OUR demise? Starting to get it yet?

Thu, 10/20/2011 - 11:20 | 1793078 jdelano
jdelano's picture

the farmer can't make butter if the cows are all dead....

Thu, 10/20/2011 - 11:21 | 1793082 SheepDog-One
SheepDog-One's picture

I never said they were SANE!

Thu, 10/20/2011 - 11:24 | 1793099 jdelano
jdelano's picture

you might have a point there.

Thu, 10/20/2011 - 11:38 | 1793198 Harlequin001
Harlequin001's picture

It's always handy when you can throw in an insanity plea. It's about as useful as having the 'magic' excuse in a logical argument.

Utter bullshit Sheep-Dog-one. You need to go away and rethink your theory, from a common sense perspective me thinks...

Thu, 10/20/2011 - 11:21 | 1793079 SheepDog-One
SheepDog-One's picture

You just DONT FUKIN GET IT Deadpool! Whatever! Hey just sit there and keep thinking the world banking elite just one morning said 'OOPS! Wow we got a problem BOY we sure never saw THIS one comin with $1.5 QUADRILLION in bad swaps and fake derivatives bets and all....but BOY we'll really get busy now and fix it all for YOU, the peasantry!'

YEA SURE man believe whatever you want I dont really care but dont try to tell ME I'm wrong when I called ALL this shit right from way back many years ago!

Youll soon SEE for yourself!

Thu, 10/20/2011 - 11:23 | 1793089 SheepDog-One
SheepDog-One's picture

You guys want to think the global elite central banksters are out there with their sleeves rolled up trying to figure out a way around all the quadrillions in debt THEY PURPOSELY created for YOUR benefit, then fine! Good luck to ya!

Thu, 10/20/2011 - 11:23 | 1793087 DosZap
DosZap's picture

Sheep Dog,

And I the same, pre planned destruction..................... MUST kill the Golden Goose.

Job Over.

Thu, 10/20/2011 - 11:24 | 1793098 SheepDog-One
SheepDog-One's picture

Yep exactly! Hey I dont hold any delusions that theyre SANE! They just want it all! 

Thu, 10/20/2011 - 12:00 | 1793323 Jim in MN
Jim in MN's picture

This is why I coined the term 'psychopathocracy'.

People know it, all the way to the top.  They WISH (or know it would be better for society, not quite the same thing) someone would stop them, make it better, but the corruption is so thorough that no one can attain power without being part of the psycopathocratic elite.

No they are not sane.  Bernanke is like the dude showing off his jello shot skillz at the edge of the hotel roof...but he's got the world economy in his other hand...they are all like that.  Nucking futs, cunning linguists, able to abuse the rules but not to save the system if it runs counter to their narrow interests.  Much like a pack of six-year-olds.

Thu, 10/20/2011 - 14:57 | 1794293 Pancho Villa
Pancho Villa's picture

I would go for the term 'sociopathocracy'.

Believe me, the guys at the top are making out like bandits. And I certainly know a bandit when I see one!

Thu, 10/20/2011 - 12:57 | 1793558 i-dog
i-dog's picture

Don't stress, dogg! You've got the plot right, but have overlooked the 'timing' factor.

The very fact that the plan started a long time ago (like, mid-90s for this end-game), means that they have an end date in mind (which I believe is 3Q-2012) ... and that they are desperately trying to keep the financial balls in the air in the meantime until they have the geopolitical issues sorted.

Qdaffy threw one spanner in the works for them by holding out so long against the "popular" uprising ... by Al-CIAda, FFS! ... you can't make this shit up!

Now the EU is throwing another spanner in the works by self-immolating before they could bring the former Soviet states into the EU fold (hence, RasPutin is now hastily trying to cobble together a Eurasian Union to keep that flock together ... as a sheep dog, you should readily understand this).

If the EU splinters before mid-next-year, then we win!!! They'll have lost their home base - which any gamer will tell you, is a bummer and to be avoided. :)

Just nuke another bowl of popcorn and wait a little longer for the central planners fuck themselves.

Thu, 10/20/2011 - 11:31 | 1793157 defn8Dog
defn8Dog's picture

Gah'bless our Fed, spooning funds into the mouths of the hungry PDs ... bid to cover on the sale of 8.87 bln 12s and 13s:  23.02. 

Thu, 10/20/2011 - 12:24 | 1793466 Belarus
Belarus's picture


I've heard damp squids tell me I'm crazy when I say that the investment banks who own the HFT's (with their HFT patented technology that no one is allowed to analyze, along with the co-commitment of banks and central banks to massage public price-level appearances, and the full implied consent of the regulators since their only job is the mantra "to get along, go along) are mandated to use their machines to ramp asset prices when we are in bidless market. But the real joke is on them and their financial well being as they relegate me to lunatic status or a tin-foil hat conspiracy guy or a freak or just some random and weird outlier of a person. But perhaps, and of course they selectively did, miss this little nuance in said article, re:

Keeping the equity index on an even keel is essential to protect the wealth of the household sector and to maintain the expectation of future gains. For as long as these objectives can be achieved, the value of the US dollar can also be stabilized in relation to other currencies, despite the extraordinary imbalances in external trade. 

And then there is the following, and yet very shrewd observation, of which I have wondered here many times over, that everyone seems to just blatantly ignore, which is what the fuck is the Federal Reserve exactly doing with the $100+ billion in "other" and unexplained assets on their balance sheet that keeps growing and which no one, including Ron Paul for fear of life, dares to question. Well, this phenomenon has also thankfully been made clear in intent per this insightful article with the following nugget:

I estimated the size of the gross stock of global debt instruments at $90 trillion for mid-2000. How much capital would it take to control the combined gold, oil and commodity markets? Probably, no more than $200 billion, using derivatives 

You see ladies and gentleman, nearly every single major price you see is only the price the central banks and investment banks WANT you to see at any given time:  should that be an index, a commodity spot price, or the spot price for French snails......

So the takeaway is if you're all wondering why nothing makes sense when you're trading today, and going counter-facts has indeed been the only winning strategy of late, then look no further than this perspicacity: there are virtually zero real "price discovery" markets. It's all a managed perception. 

And that is all. You know, every time the NYSE short interest gets to nearly all time highs, you might want to rethink your trading position given the unlimited firepower of the HFT's and "other" portion of the Fed's balance sheet. The despots certainly don't want more moms and pops with the perception there is no future money making opportunies in stocks(because there isn’t), even though said mom and pop is becoming fully aware of this as they are piling out of every financial instrument at the dismay of the central banks, and they certainly don't won't mom and pops staying away from the strip malls and the car dealerships.....

Which is to say, it's no wonder Wall Street is acting so bi-polar in regards to Europe: its one area where they simply can't control the first equation: the shear collapse in debt and a panic for everything not nailed down. I'm guessing secretly, when a big bank in EU fails, and it poses massive counter-party risk to a large U.S. bank like BAC or MS, you can indeed expect "mums the word" on the under the table bailout.

They say the secret to success in being a politicain is "controling your environment." I think that is main nerve in which our central banks and investment banks operate under. In this new world order, the prolem is, they can't control the whole charade when their are far too many moving pieces. So when this fucker goes down, it’s gonna be epic. Watch out, here comes the Cardinal Climax.  


Thu, 10/20/2011 - 10:58 | 1792959 Eurodollar
Eurodollar's picture

The ECB will probably have no choice, but Trichet and co must become increasingly annoyed by the utter incompetence in the regulator camp. Maybe, just maybe this is the time they actually stop junking up their balance sheet with this italian crap and put the ball in the regulator half of the field. ECB is already in deep water when looking at its mandate. They are not 100% convinced they should be doing this in the first place and the farce goes on and on.

Thu, 10/20/2011 - 11:03 | 1792973 lolmao500
lolmao500's picture

Italy is done. And so is Europe along with it.

Thu, 10/20/2011 - 11:03 | 1792976 misterc
misterc's picture

Can't Silvio Berluscioni just take 10 million EUR out of his wallet, setup a bank (banco di bunga), put 1 ATM in place and start buying up those Italian bonds?

Thu, 10/20/2011 - 11:03 | 1792978 Tense INDIAN
Tense INDIAN's picture

like it or not ...stocks are flying higher ....from here.

Thu, 10/20/2011 - 11:13 | 1793029 maxmad
maxmad's picture

Oh Please,please, please.... where's my hopium?    C'mon you can't make me quit Cold Turkey!

Thu, 10/20/2011 - 11:16 | 1793044 maxmad
maxmad's picture



<stomping his feet like a 2 year old>  I want my candy NOW!

Thu, 10/20/2011 - 11:06 | 1792985 monopoly
monopoly's picture

I am just sitting here waiting for the endgame. Then, I will move on it.

Thu, 10/20/2011 - 11:06 | 1792986 Timmay
Timmay's picture

This is a different kind of war soon to be followed by a very conventional one.

Thu, 10/20/2011 - 11:08 | 1793002 SheepDog-One
SheepDog-One's picture

Bingo! People this this is all 'economics'? Dream on, its what happens before every world war, financial war, very soon to be followed by the one where billions of 'soul-diers' will be sacrificed. Yep, billions. And wait till you see the false flag attacks that set it all off!

Thu, 10/20/2011 - 11:28 | 1793132 treemagnet
treemagnet's picture

Sadly, I agree.

Thu, 10/20/2011 - 11:07 | 1792993 misterc
misterc's picture

Merkel canceled a meeting with ministers of education. She was outside for quite a while & being photographed telephoning in her car, when this was realized, they drove her away.,text...

Thu, 10/20/2011 - 11:14 | 1793040 PY-129-20
PY-129-20's picture

She is leaving the country. Angie auf der Flucht aka The Fugitive.

Thu, 10/20/2011 - 11:07 | 1792994 AndrewJackson
AndrewJackson's picture

Is this an 3/6 month low or just over the last couple of days?

Thu, 10/20/2011 - 11:10 | 1793013 Deadpool
Deadpool's picture

high was set Aug 15th after a crash low on June 29th. Been downhill ever since.

Thu, 10/20/2011 - 11:08 | 1792997 Double R
Double R's picture

I do not believe there is going to be any intervention at all for Italy now. ECB wants Berlusconi out and it is using the rate weapon to force Italian parliament hand.


Thu, 10/20/2011 - 11:09 | 1793006 SheepDog-One
SheepDog-One's picture

Mama MIA! Just think you can soon buy a new Ferrari Enzo for about $10,000.

Thu, 10/20/2011 - 11:12 | 1793022 mt paul
mt paul's picture


you bunch of

fermented seal eating 


Thu, 10/20/2011 - 11:12 | 1793026 americanspirit
americanspirit's picture

Italy is officially bunga bungad - in English, screwed

Thu, 10/20/2011 - 11:19 | 1793072 Randall Cabot
Randall Cabot's picture

FTSE MIB down 3.2%!!!

Thu, 10/20/2011 - 11:13 | 1793032 economists_do_i...
economists_do_it_with_models's picture

Investing 101: Don't fight the trend.

Central Bank mandate: Must fight the trend at ANY cost.

Thu, 10/20/2011 - 11:14 | 1793035 YesWeKahn
YesWeKahn's picture

All this will be solved over the weekend. We gonna rally hard on Monday right Brian Suck?

Thu, 10/20/2011 - 11:19 | 1793074 treemagnet
treemagnet's picture

push the stick forward and auger in hard - get it over with

Thu, 10/20/2011 - 11:20 | 1793077 franzpick
franzpick's picture

Looks bad enough to me for the financial wheels to be coming off now or soon, and the NAZ going thru 2600 shows the one-year index failures best:

Thu, 10/20/2011 - 11:23 | 1793091 buzzsaw99
Thu, 10/20/2011 - 13:49 | 1793954 Rusty_Shackleford
Rusty_Shackleford's picture

Fess up.  The first time you heard that was in this:

Thu, 10/20/2011 - 11:23 | 1793095 Undecided
Undecided's picture

Equity bubble 2008, bond bubble 2012...

Thu, 10/20/2011 - 11:26 | 1793111 High Plains Drifter
High Plains Drifter's picture

ah, does this mean that there may be some displacement activity in the cds area?    ah, is it about time for the fdic (american taxpayer ) to bend over and take one for the gipper?  courtesy of boa of course?

Thu, 10/20/2011 - 11:27 | 1793128 pmcgoohan
pmcgoohan's picture

time to find out what a long squeeze looks like...

Thu, 10/20/2011 - 11:28 | 1793140 Ctrl-Alt-Defeat
Ctrl-Alt-Defeat's picture

Unicredit drop 11.2 lol

Thu, 10/20/2011 - 11:37 | 1793167 Kreditanstalt
Kreditanstalt's picture


Thu, 10/20/2011 - 11:42 | 1793168 Kreditanstalt
Kreditanstalt's picture

You'd think REAL gold would be SOARING.  Maybe it is...but we'll never know - until we try to 'buy' some.

But the paper USD is soaring: gold (or, rather, the paper gold derivatives that drive the market) is plunging...

Thu, 10/20/2011 - 11:35 | 1793183 Fallschirmjaeger
Fallschirmjaeger's picture

This is really SAD.

Thu, 10/20/2011 - 11:43 | 1793234 Eurodollar
Eurodollar's picture

Looking at the EZ government bonds trading today one could wonder if any upcoming deal will be really sh**** for the periphery and good for France/Germany. With the french banks and their exposure to risks left right and centre one would not believe the french bonds would represent a picknick stroll to safety.

Thu, 10/20/2011 - 12:02 | 1793334 jmcadg
jmcadg's picture

Mark Blyth - by far the best interview on bloomberg radio, possibly ever.

He nailed it.

Thu, 10/20/2011 - 12:02 | 1793335 Grand Supercycle
Grand Supercycle's picture

NASDAQ megaphone pattern on daily chart indicates big move ahead.

USD weekly chart remains bullish and as predicted for some time further dollar upside expected.

Thu, 10/20/2011 - 12:42 | 1793554 FinalCollapse
FinalCollapse's picture

Be careful with that axe, Eugene.

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