As Lagarde Throws Germany And European Banks Under The Bus, Did She Just Truncate Her IMF Career?

Tyler Durden's picture




 
0
Your rating: None
 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Sat, 08/27/2011 - 14:49 | 1607742 Azannoth
Azannoth's picture

Now who had the 'bright' idea of putting a french woman in charge of anything ?

Sat, 08/27/2011 - 14:53 | 1607755 Fish Gone Bad
Fish Gone Bad's picture

The french government has its issues, but the french people are okay.  They did give us the guillotine and all those cool pastries.

Sat, 08/27/2011 - 14:58 | 1607769 spiral_eyes
spiral_eyes's picture

time for america to liberate france from those evil frenchies who don't believe that the solution to everything is printing massive amounts of currency and giving them to goldman sachs?

http://azizonomics.com/2011/08/25/team-america-world-police/ 

Sat, 08/27/2011 - 15:52 | 1607914 Stax Edwards
Stax Edwards's picture

Go back to your hole

Sat, 08/27/2011 - 20:13 | 1608453 DogSlime
DogSlime's picture

Erm... you're either being ironic or you haven't noticed what's been happening in the USA over the past couple of years...  Hopefully you're being ironic :)

Sat, 08/27/2011 - 15:01 | 1607776 AldousHuxley
AldousHuxley's picture

Time for french to dust off the guillotine and bring it out or turn the Effel tower in to a massive guillotine.

 

 

 

Sat, 08/27/2011 - 18:24 | 1608234 unununium
unununium's picture

TAXPAYERS to be hit before BONDHOLDERS AGAIN ???

SOMEONE please STOP the INSANITY !!!

Sat, 08/27/2011 - 19:54 | 1608423 eureka
eureka's picture

CL is just a pretty girl who takes orders from ... - well, let's say her local "big boys". 

Check her clueless responses to questions re the 08/09 financial collapse in the documentary "Inside Job" - her response: "I don't know".

Sun, 08/28/2011 - 06:24 | 1609097 falak pema
falak pema's picture

Remember she is a lawyer by training and blows with the wind and "you never know" which way the wind will blow!

Good survival instinct. But now she is in the hot seat and can't pass the buck. So she talks like the globalist clique that employs her and calls the shots.

I don't think they have the solution but I don't think that current market schizophrenia is something that will provide a better result, as its taking us faster down to the bottom. 

We're damned if we do stay "global"; we're damned if we do go "reductionist and local". Civilization in crisis...can we avoid WW3 is the real issue now.

Sun, 08/28/2011 - 02:20 | 1609003 Albertarocks
Albertarocks's picture

Not to mention some pretty fine pasties.  Always considered them as a major league visual nuisance though.

Sat, 08/27/2011 - 15:19 | 1607832 IMA5U
IMA5U's picture

because they work better on their knees

Sat, 08/27/2011 - 20:52 | 1608519 Ras Bongo
Ras Bongo's picture

She was trained to do God's work u idiot!

Sat, 08/27/2011 - 14:49 | 1607744 props2009
props2009's picture

BofA, GS and MS reports on Apple post Steve

http://capital3x.com/?p=375

 

Full reports:

http://capital3x.com/?p=365

Sat, 08/27/2011 - 15:13 | 1607808 sIewie the pi-rat
sIewie the pi-rat's picture

props2009 TROLL!!!!!!!!!!

who uz WorK 4 props??????????????? GS yes we hate GS  and you should LEAVE NOW

T-R-O-L-L

Sat, 08/27/2011 - 15:17 | 1607822 septicshock
septicshock's picture

SIewie, you havent even been a member for a week. Stop the bold face and exclamations.

Sat, 08/27/2011 - 15:18 | 1607827 sIewie the pi-rat
sIewie the pi-rat's picture

okay, sorry

Sat, 08/27/2011 - 19:00 | 1608326 septicshock
septicshock's picture

No worries bro. No one likes a troll, call em out when you see em. Zerohedge is a good site. Sometimes the passion becomes overwhelming and people think everyone that doesnt conform to the view is a troll. Tyler is working hard to bring us the news without the usual paid media spin... Of course, he has own bias... But a bias shared by us all here mostly.

Sat, 08/27/2011 - 21:02 | 1608376 Id fight Gandhi
Id fight Gandhi's picture

But he's good at sniffing out trolls.

Really I am sick of these READ MY BLOG posters.

Sat, 08/27/2011 - 18:59 | 1607768 Newsboy
Newsboy's picture

Panic now Christine!

Go for the Eurobond fight!

Piss on the German constitution; they're pigs, anyway!

(Trashers oblivious to sarcasm are in evidence again)

Sat, 08/27/2011 - 15:02 | 1607779 Spitzer
Spitzer's picture

The ECB doesn't care what the IMF demands. The IMF has no power over the ECB.

They are separate entities. If the IMF thinks that the problems in the EU will bring down the dollar system then she can bail out Europe herself.

Sat, 08/27/2011 - 16:11 | 1607960 Snidley Whipsnae
Snidley Whipsnae's picture

Christine should go to her copy machine and print up however many SDRs she needs to bail out the entire flocking world!

SDRs, what a joke... Just more god damned paper...

Germany... Time to tell the PIIGS, the Fed, and Christine to take a flying flock at themselves... Go your own way...

Sat, 08/27/2011 - 19:28 | 1608383 destiny
destiny's picture

They may not be officially linked...but we all have the same few masters so do these two toilet paper shit holes..

Sat, 08/27/2011 - 15:03 | 1607781 bugs_
bugs_'s picture

YEEEAAAAAAAAHHHH!!!

Meet the "dangerous new phase"!

Same as the "dangerous old phase"!

 

Sat, 08/27/2011 - 15:26 | 1607849 sIewie the pi-rat
sIewie the pi-rat's picture

 bugs_  this is a classy hood.

So stop with the UPPERCASE and exclamations.

 

Sat, 08/27/2011 - 18:16 | 1608212 Problem Is
Problem Is's picture

HaHa... Touche...
Nice touch of do unto others as others have done unto you, new guy...

You won your first fight at fight club...

Sat, 08/27/2011 - 19:03 | 1608333 septicshock
septicshock's picture

Look at him go. :)

Sat, 08/27/2011 - 15:08 | 1607792 septicshock
septicshock's picture

It Is becoming Clear that world governments have no plan for peak oil and are now just trying to hold the system together as long as possible... The hope and prayer chance that some miraculous new energy source can be found to be exploited.

Long gold, cause I would rather carry a few pounds of gold than haul a carload of silver or a shipload of fiat paper.

Long beans, bullets, and barbwire... Cause this shit is on like donkey kong.

Oh, and tyler... Thanks for the good work. I have unfortunately not been able to capitalize on them well. Your short term predictions are about fifty/fifty.... But your long term predictions are 100%. This is the single best site on the web for economic news... Ofcourse, the additional commentary is the icing on the cake.

Sat, 08/27/2011 - 15:22 | 1607835 IMA5U
IMA5U's picture

the hardest thing about the market is not knowing the facts.  it's timing the trade correctly

Sat, 08/27/2011 - 19:05 | 1608337 septicshock
septicshock's picture

Whats the saying imasu? "What does the other guy know that i don't?"

Sat, 08/27/2011 - 16:11 | 1607962 oldman
oldman's picture

Hey Septic,

Not-to-worry about peal oil nor peak anything----the imf is saying that peak capital is the real problem(read crowding out of the capital markets everyone else except the US of A). It seems that this thing is much worse than anyone imagines---even the doomers are too light in their prognosis----the future is with us.

Gotta wipe the slate clean---maybe everybody loses----'no loss-no gain' is all we need to remember

This oldman has no idea, but it certainly is becoming interesting        om

Sat, 08/27/2011 - 18:43 | 1608273 Nate H
Nate H's picture

"peak capital is the real problem"

 

define capital

Sat, 08/27/2011 - 18:57 | 1608310 septicshock
septicshock's picture

Chanting does help my sanity. :)

Sat, 08/27/2011 - 19:32 | 1608392 destiny
destiny's picture

@ septicshock

You actually can have FREE and Unlimited energy...only ain't too good for the buck business, that would be too easy and it ain't the same chess board ! 

Sat, 08/27/2011 - 15:13 | 1607800 PulauHantu29
PulauHantu29's picture

The King is dead. ....Long live the Queen!

 

Looks like someone must print a whole lot a whole lot sooner then expected.

Sat, 08/27/2011 - 15:11 | 1607803 Mister Ponzi
Mister Ponzi's picture

The Sofitel maid may be a liftboy in this case...

 

The graph, however, is not up-to-date. Last week we had at least two covered bond issuances by European banks, one of them was UniCredit. Doesn't really change the big picture though.

Sat, 08/27/2011 - 15:28 | 1607859 palmereldritch
palmereldritch's picture

Breaking News

This one appears to be Italian

http://tinyurl.com/3ds3po3

Sat, 08/27/2011 - 15:12 | 1607804 Dick Darlington
Dick Darlington's picture

On the menu very soon: massive political crisis in eurozone. That will mark the rapid beginning of disintegration. You can already feel the tension between the countries, politics (blaming others) through national newspapers instead of actually having a real conversation etc etc. In the end Germany will take care of itself and leave the insolvent southern europe and France crying after the tit of german taxpayer.

Sat, 08/27/2011 - 16:07 | 1607950 sqz
sqz's picture

Spot on. The market will force the fiscal union minimum requirement with any half measures (e.g. cdo funds and untested "guarantees") just acting as bait to the modern equivalent of gov. bond vigilantes, compounded with increasing distrust of central banks, politicians in rigid democractic systems and therefore the value of fiat currencies.

I think further Eurozone political union with a minimum of fiscal union will be an incredibly hard sell. The natives will gradually cotton on to "fiscal" as a bad word: as long as no one needed to care about how the Euro is funded and it was just a shiny new source of money, no one cared. It's a whole different ball game when it means giving up control of spending on jobs, pensions, access to credit, housing, benefits, medical care - basically everything REAL. Iceland, yes ICEland, [which few in the market or even ZH seem to comment on/realise] is the prime example of what happens when the population wakes up and smells the coffee.

The only question is how quickly this all plays out. Central bankers seem to have realised this is inevitable and are simply trying to delay as long as possible, hoping that the economic reality on the ground gives them any kind of policy breathing room. Good luck on that front! Even the Emerging Markets cannot work miracles in the "short" term, with incomplete markets and structural issues, and all the main players in the West are dead in the water from debt overhang with almost no monetary (or fiscal) policy bullets left.

Sat, 08/27/2011 - 16:27 | 1607983 drider
drider's picture

The suggestion of embedding fiscal policy requirements and deficits limitations in the european countries constitutions, is merely a defensive strategy put forward by Merkel and Sarkozy. Since they realize that upcomming elections in various european countries will result in majorities that will press for the redistribution of wealth heisted by the banks back to common people, they try to put up a scheme that will prevent just that.

Ofcourse dictated deficits cuts means that the recession will grow bigger and the only way to meet the deficits limitations will be to tax the rich more heavily (hint: Buffet)

Sat, 08/27/2011 - 19:33 | 1608396 destiny
destiny's picture

oh no it won't be a crisis, DSK is back ! hahaha

Sat, 08/27/2011 - 15:12 | 1607806 pain_and_soros
pain_and_soros's picture

So Germany needs to backstop euro countries (& banks) that haven't been able to control spending & deficits & leverage & risks...all so that these countries & banks can continue doing what they did to get themselves into this trouble in the first place???

And if Germany doesn't acquiesce to such ridiculous demands, they'll be shunned by the rest of europe and seen once again as the bad guys who caused europe to implode...

I think the end game has already been disclosed - since the PIGS can't discipline & control themselves, Germany will make further bailouts conditional - the PIGS agree to provide collateral that will enforce discipline on them - namely gold.

Simple solution - we'll lend you paper, but to ensure it doesn't go into a black hole again & that you don't come back later saying you can't pay it back & need more, we'll take gold as collateral. If you don't like it, go wallow in the mud some more with your corrupt political leaders & see if that makes you better off...

Sat, 08/27/2011 - 15:37 | 1607882 Confused
Confused's picture

 

And if Germany doesn't acquiesce to such ridiculous demands, they'll be shunned by the rest of europe and seen once again as the bad guys who caused europe to implode...

Looks like its stacking up this way. The Germans will constantly be the scapegoat. 

 

Sat, 08/27/2011 - 17:45 | 1608055 SovietCong
SovietCong's picture

What many don't realize is that the public opinion in Germany is strongly divided on this. People don't understand how Eurobonds should work, and they don't understand because they are being intentionally misguided by the banking lobby. Even the influential Handelsblatt notoriously lies in the matter (think what CNBC would have to say when given the mandate by Junckers and Trichet and you'd have the picture).

Interestingly, some right-wing media, like the conservative FAZ, point out that the very name "Eurobonds" is a PR spin. The word is foreign to the German populace used to the German word "Anleihen", the term an average German understands and clearly does not like, particularly when he hears it used together with something suggesting his being jointly liable with Greeks et al. But the "bond" has a nice ring to it: in German, it sounds like "Bund" (association, union) or "Bonitat" (good faith). Moreover, Germans are used to the idea of joint issuing of some "European bonds", because that is how German states issue their "munis" for better marketability.

Generally, people are not informed that Eurobonds would result in backstopping everyone else. The whole public debate is about how much extra German taxpayers would pay in their public debt service relative to the Bunds and whether this burden is overweighted by the benefit of rescuing poorer countries from bankruptcy. Another issue is moral hazard and ensuring joint fiscal austerity, an issue close to every German heart. But nobody, repeat: *nobody*: tells the people the truth - either the Germans backstop the rest, France included, or the Eurozone implodes. So the French are trying to sway the public by creating the impression that the Eurobonds are a forgone question and the only thing on the table is how to structure the issuance. This is what, IMO, Lagarde is doing with her statement.

Sat, 08/27/2011 - 17:58 | 1608175 oldman
oldman's picture

The germans who I know are hip to the game-----bad music, but not dumb.

Sat, 08/27/2011 - 18:35 | 1608255 destiny
destiny's picture

Swaying the public and creating impressions is a French specialty, this is called "défoncer des portes ouvertes" (bursting open already opened doors..).  The French are sick and tired of these clowns.

Sat, 08/27/2011 - 22:00 | 1608644 pain_and_soros
pain_and_soros's picture

I suspect the division you are referring to is between the ruling elite (including the banksters), who overestimate their understanding & abilities and the German people, whose understading of the situation is being underestimated by those same elite.

I think the elite are much more committed to the eurozone, since they would reap most of the benefits and incur little of the costs of the solutions being tossed around publicly, which will be left for German taxpayers to pick up. 

I do think typical Germans generally support a eurozone, but not at any cost - they will want to see a proportionate burden being born by those being bailed out & they will also want to ensure that the bailout includes specific measures to ensure this situation won't be allowed to be repeated.  Anything short of this will mean the political end of whichever German politician(s) attempt to ram thru a suboptimal solution.

Someone mentioned that 1 in 3 Germans is seriously considering buying gold - most are aware of their Weimar history and foresee what the end result of mindless Euro printing will be, 

That is why I think von der Leyen's suggestion that gold be used as collateral is so signficant - it signals that some politicians are hearing what the electorate are saying & "get it"...and unless those in positions of authority safeguard german taxpayer interests, they will earn the wrath of the electorate.

Sat, 08/27/2011 - 15:13 | 1607810 how to trade ar...
how to trade armageddon's picture

And the first capital injection is in ...

From those charitable Qataris ...

Putting 500m euros into Alpha bank ...

To fund its merger with EFG Eurobank.

Kind of like a wedding between two terminal cancer patients.

Sat, 08/27/2011 - 15:27 | 1607852 drider
drider's picture

Why did the Quataris blessed this wedding? What is in for them?

Sat, 08/27/2011 - 15:48 | 1607907 how to trade ar...
how to trade armageddon's picture

They have a big investment in Alpha that they're trying to bail out. I guess the Greek government used its leverage, saying we won't support Alpha (with Germany's money) unless you kick in more and take this Eurobank dog.

Sat, 08/27/2011 - 16:00 | 1607930 drider
drider's picture

Thank you. Increasing their position in Alpha is making sense in terms of protecting their investement. I also guess that the merger with Eurobank will help them lower their overall operating costs. We will known the details on Monday

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