"Planning To Plan" - Merkozy Reach Yet Another "Agreement", Adding "It Is Too Early To Enter Into Details"
No, the day is not August 7, 2011 when we had the first joint Merkozy statement attempting to prevent the latest and greatest round of the global financial crisis with nothing but pure rhetoric, in which however the word Dexia was strangely missing. The day is October 9, and yet we get another statement from the two, this time far more desperate. From Reuters: "We are very conscious that France and Germany have a particular responsibility for stabilizing the euro," Sarkozy said at a joint news conference with Chancellor Angela Merkel in Berlin. "We need to deliver a response that is sustainable and comprehensive. We have decided to provide this response by the end of the month because Europe must solve its problems by the G20 summit in Cannes." And the kicker: Merkozy "suggested that their proposals would include a plan for recapitalizing European banks, accelerating economic coordination in the euro zone and dealing with Greece's debt problems." In other words fix absolutely everything. But the punchline remains the same as always: Sarzkoy "added saying it was too early to enter into details." Ah yes, those ever elusive details, which nobody can ever provide, because, THEY SIMPLY DON'T EXIST, at least not in a universe in which 2 + 2 is still 4.
Yes, much to Europe's chagrin, a plan that in one swoop "recapitalizes European banks, accelerates economic coordination in the euro zone and deals with Greece's debt problems" which at the same time returns peace and prosperity, keeps the locals happy, and throws in the kitchen sink, sounds truly great on paper, but merely confirms to the markets that the ruling oligarchy is now completely out of bullets and the best they can do is jawbone with ever loftier promises that can never be kept.
And, as always, nothing but more promises:
"We are determined to do the necessary to secure the recapitalization of our banks," Merkel said at a joint news conference with French President Nicolas Sarkozy in Berlin.
"Germany and France want the same criteria to be applied, and criteria that are accepted by all sides," she said. "We will ask all relevant authorities ... to check what we are doing is sustainable."
"We are not going into details today, we will present a complete package" for stabilizing the euro zone at the end of the month, Merkel added.
We have just one question: where will the $1 trillion in additional capital needed to recap said banks come from.
We can wait.
We eagerly anticipate to see the market's reaction to this moment of peak desperation when EURUSD opens for trading shortly.
Below is an artist's rendering of the Merkozy thought prorcess:
(5 votes)
»
- Login or register to post comments
- 12313 reads
- Printer-friendly version
- Send to friend
Similar Articles You Might Enjoy:
- Greek 1 Year Bond Yields Pass 150% For The First Time Ever; Presenting The Hyperbolic Bond Curve
- Slovak SaS Party Won’t Change Its Position On Voting Against EFSF Expansion
- Wall Street Journal Lays It Down: "Merkel And Sarkozy Have Lost Credibility"
- Sovereign Bond Yields - Haves And Have-Nots
- "Dexia's Funeral Will Be Announced On Sunday" As "Weakest Link" Slovakia Prepares To Bury The Euro
We have a plan and we're not tellin'!
They don't need to push the market up.
They only need a plausible explanation for the market going up.
.
"You want the plan? You really want the plan?....Well... you can't handle the plan!"
"We have a plan, and it works." -- Klaatu, "The Day the Earth Stood Still"
On Earth, not so much...
I have reached an agreement to discuss making a comment later this month.
Gotta keep it rumoresque and less newsie
Imagine the spike if the markets had been open when this came out.
fixallBiCheZ!pic
The Better New Deal: +/- 0
More like:
We have no plan, and we're not tellin!
Richard Sulik of Slovakia is LEEEEROOOOOOOOOY JENNNNKINS!!! Fucking LOVE IT!!! Merkozy, "Stick To The Plan, Stick To The Plan!!!!" ROFLMAO!!!
http://youtu.be/LkCNJRfSZBU
Divine Intervention!
Hahahahahahah......"Oh God, oh God...Leroy your so stupid"!
At least I got Bryndzové Halušky.
@Mike2756
We are not tellin', because it a secret. The secret, secret!
Here it is in full details: http://www.youtube.com/watch?v=iesXUFOlWC0
The credit markets are just a little stuck: http://youtu.be/JlSQAZEp3PA
Why worry that pretty little brain over details, eh?
No Fuss! No Muss!
What did Merkel & Sarkozy say, "you'll have to pass the plan in order to know the details"???? ROFLMAO!!!!! This is truly some classic stuff!
Stick Save, Bitchez!
'We have agreed... er... (waiting for market reaction) yes! rest assured... we will... ... ... '
Yep. Game over.
Right now sark and merk are arguing whether to use efsf to either bail out banks or countries. France wants to recapitalize banks. Why? Because in order to nationalize dexia, socgen,et.al they cant risk their own governments money. To do so would automatically lead to a french downgrade.
Germany wants to use it to bail out greece and the other countries.
I have a feeling that france's banks are at immediate risk now and germanys could afford to kick the can a little longer.
Its really now french vs german banks with dexia(part french) taking it first. Germany knows this.
Slovakia see's no benefit either way so they stay out (unless that payoff purse gets bigger;)). Greece is also going down at anytime. Something tells me that 167 billion the US borrowed this last week went directly to MS, BofA, and greece.
Dexia is too big to save and too big to let fail. The eurozone either prints to cover the losses or takes the losses. Borrowing more wont even work for a month because the efsf is not big enough. And not everyone can agree on how to do eurobonds.
Sounds like checkmate to me. Any thoughts?
There was no agreement?
There is no plan!!
Yep this is bearish for stawks! Dow 6k coming...
More like Dow 20000 & ES to 1500. They just went full retard promising the markets whatever they want to make stocks go up. How is this bearish?
The hedgie shorts are a bunch of pussies. With this headline, it going to be like Walmart on Black Friday. There will be people trampled as they cover.
Advantage --> PTB. They're going to buy another year here to get through the US Elections, Chinese power turnover(biggie!!!!) and Euro elections.
They have effectively defused the Greek situation by dangling shiny new money to the markets. In other words, "take a virtual haircut to help us ruling class out and we'll give you stock prices to infinity to make up the difference"
Disgusting.
Merkel is getting ready to give Sarko a French Kiss....and he can't wait.
Wedding announcements soon, it will be a group wedding.
The "agreement" is for the endless shrip special at RL for dinner!
What is Luxembourg going to do? They are at what, 3,000% debt to gdp now?
"arguing whether to use efsf to either bail out banks or countries" - So far as I can judge it they are arguing about whether to bail out either themselves or their banks (or perhaps both) by borrowing money from each other and lending it back to each other to bail each other (or each other's banks)(or both) out. A bit like the UK where (quote) 'the Bank of England, which is 100pc owned by Her Majesty's Government, is buying up a third of the debt owed by Her Majesty's Government. The Treasury is becoming ever more in debt to itself. It's as strange as that.'
The only prediction we can make with any certainty is that if this nonsense carries on much longer currency collapse is the inevitable outcome. We don't yet know which one will collapse or when. But when the first currency collapses they will all collapse because of loss of confidence, and paper money will die for a time. But not yet... patience... not just yet.
Agreed - except the bit about the BOE. Some of it belongs to "bank of England nominees" good luck finding out how much though, the shareholders in BOE nominees have their identities protected by act of parliament.
Is anybody able to get a read on dexia's expsure on the shadow liability side. We can see stuff in the surface but whats in the shadow system?
Saw a figure for about $950 billion earlier....somewhere.
So, the 60-40 plan adds about another 100B$ to Belgiums' debt. http://www.bloomberg.com/news/2011-10-09/belgium-is-said-to-get-france-s-approval-to-buy-dexia-consumer-bank-unit.html
Best Plans have no details
A plan to make a plan. Now I feel better!
what about planning a stress test for the plan to make a plan? hmmm? THAT would make me feel good & safe.
Great news! That is exactly what is rumored to be be in he planning stage as we speak. Details to follow!
Hopefully Slovakia fails to pass the EFSF and this whole farse can reach a far quicker conclusion, this is getting really tiring.
...Trudging slowly over wet sand Back to the bench where your clothes were stolen This is the coastal town That they forgot to close down
Armageddon - come Armageddon! Come, Armageddon! Come!
Everyday is like Sunday Everyday is silent and grey Hide on the promenade Etch a postcard : "How I Dearly Wish I Was Not Here" In the seaside town ...that they forgot to bomb Come, Come, Come - nuclear bomb....
whatever the details i'm guessing it involves printing presses
German terms for Linke (Leftists) Undeutsche un-Germans, Rotfaschisten red fascists, Humanisten humanists, Sozis socialists, Autonome autonomists, independents, Anarchos anarchists, Zecken ticks, blood-suckers
don't forget to include untermensch ;D
A Merkozy is a very ugly chimera. lol.
A Sarkerkel too.
those two, meet as much as the TOTUS appears on TV!
dust-whack-shun
Why they are consulting with Dexias board is beyond me, beggars can't be choosers.
Merkozy and Dexia both don't have any plans.
" I am more afraid of an idiot with a plan then of a genius without one"! The politicians are the geniuses WITHOUT A PLAN!!
They got nothing and won't have nothing come Oct17th! Markets are at critical tech levels, Alcoa will report shit, FOMC minutes will be shit so....?!?!?!?
What are you folks thinking will the market response BE?!?!
You're an optimist to think it waits until the 17th
Crash the market and let the bitches French'es enter the long waited heart missing transformation to communism. nationalize everything and put a midget like Sarkozy in power to heal his frustration on the lazy nation and his personal secretary.
That little pebble called "Dexia", at the top of the rotten debt pile has started to roll down hill!
As it does, it will start all the other pebbles and rocks sliding into the valley of debt death!
Look out below!
Good for 2-3% on European equity indices tomorrow, and minus 10% by the end of the month.
You guys are way too negative!
You've been saying that since dow 12,700... how does it feel to sit down?
as cramer might say. buy buy buy ...........on the news............
And there in lies the problem, every single one of them is mathmatically challenged.
For fuck's sake. How long can these markets be talked up? It's amazing how long markets can remain delluded to the final outcome of all this.
It took 100 years for the Roman Empire to fall (completely).
My 3 part business plan addresses ALL of the Euro issues:
Phase I: Collect Underpants
Phase III: Profit
Clear?
So the Sarkozy plan won out eh? I knew Merkel would give in.
He's a clever little gnome.
The underpants gnomes are far more effective economic planners than are the ECB
My iPhone has an app that translates politicianese. A summary translation: "We have no idea what we're going to do. But we will lie, cheat, and steal as the entire ship sinks."
They are sliding into the hole and their words do not fit what’s actually happening. After all, it’s Sunday, right, the day before the markets? These statements are just following them all the way down to the bottom. Did you hear what Sarkozy said: “"It Is Too Early To Enter Into Details"!!
They’re running a race with Obama... on who is the biggest liar.
Your iPhone missed the the critical part "we will present a complete package" for stabilizing the euro zone at the end of the month". The fireworks will be over by the end of the month. Their timing says they are giving up. Translation: When this blows up in the next two weeks remember we were going to save it but just didn't have time...
And then they will blame it on Slovakia or some other scapegoat for delaying it just. over. the. line.
Kind of like the entire world now blames the Tea Party for all the US economic ills because they (though in the minority) did not vote for the debt ceiling increase. Remember, that was the House. There was no filibuster. Just individual loosely aligned as a group refusing to vote yes. With no more rights than any other congressman
"We are not going into details today, we will present a complete package" for stabilizing the euro zone at the end of the month, Merkel added.
The end of the month? LOL
I guess they will anounce Greece default at the end of month. And transfer those money to recap. banks.
http://www.hark.com/clips/kyyphfkvtp-5-grand-no-problem-have-it-in-the-morning
By "package" they mean gag gift. The one where you open the box to find a box which opens to reveal another box... Massive equity raises coming.
If CDS's are never triggered, what value are they in insuring against a debt default; and at what point does the availability of debt go to zero along with the faith in ISDA?
Just add them to the other mark-to-fantasy stuff...
So...????
And...????
Er...????
Ah!!!! Bullish, absolutely bullish
One size fits all.
The only detail being waited on is how Ben is gonna hide the "loan".
Whether it's Ben, the Chinese, the Martians or a newly made up fund labelled with alphabet spaghetti it really doesn't matter. The only 'bailing out' that anyone is going to do is with some magic fiat money called into creation especially for the purpose. Whether the countries involved in this mega mess ( err - that would be just about all of them, right?) go down owing $16 trillion a piece or $98 godzillion a piece I can't see what difference it makes. The politicians can only delay (and you've gotta hand it to them they're fantastic at delaying). In the meantime buy PMs because we're all going to live to see fiat blowing in the wind.
Sarko is bringing the Trojan Horse rubber to the party. The loan will be veiled and someone will turn out the lights. When its all over and the lights come back on...Merkel will be on top.
How could even the most bullish listener feel anything but emptiness after an announcement like that?
The markets are hell bent on a rally, and I believe the politicians have given them enough mirage to chase and keep this rally alive for few more weeks or perhaps even until the start of next year; however I expect the shit to hit the fan in 2012 once all options are truly exhausted including empty talk press conferences.
"We have just one question: where will the $1 trillion in additional capital needed to recap said banks come from."
Simple... some financial vehicle indirectly funded by the United States. Problem solved. It's great being part of a reserve currency country that can print on a whim, with no real capital backing, and only promises capital will be available in the future.
In the words of the Slovac party leader, when told that non ratification will cause banks to fail -
"SO WHAT?"
The market loves these statements. They haven't failed yet. Nevermind the details, this will be good for another 7% week. Remember, the market was oversold. <Sarc>
I'd like to point out how I absolutely loathe the word oversold and/or overbought. The markets have over-pretended and over-extended on bogus fiat paper for long enough, and we know the banks in the plan to have a plan will see zero executive pay-cuts while human potential is gang raped in emotional exhaustion over every bogus fucktard of a plan known to mankind.
Expect Bob Pisani and Steve Liesman to be beyond excited over this tomorrow.
"It is too early to enter into details". Where have I heard that before?
"A most marvelous and profitable undertaking, nobody to know what it is".
Written on a London stock kiosk during the South Seas Bubble. From "Extrordinary Popular Delusions And The Madness Of Crowds" by John Mackay.
One of the Euro zone countries will decide to save themselves, whether the Slavs or Germany or whoever. When that happens and the bailouts end we will see who bankrupts and how far it goes. The oligarks will try to hold it together as long as possible and may succeed for a long time. It could be that the US craters this November when the SuperGoobers don't accomplish anything which triggers military and social cuts that start riots and a market crash. The train is rushing tword the blown up tressel and will crash into the valley, we just don't know who the driver of that train will be.
Or even legal !!!!!
"Legal" is gone and ain't comin' back 'bro. You can now be sanctioned, in secret and extra-judicially. Better grow eyes in the back of your head.
Like a skipping record that repeats and repeats, and repeats...
Sort of like my realtor who repeats..."it's the best time to buy a house" over and over and over.
Me think markets are range bound, albeit in a new range!
1010-1150ish?!
They can't rally that hard into year end so they sell off hard and then rally hard and so on until they can no more or...some country no matter how big or small is saying NO MORE!
Me short, me stay short, me think next leg is down before year end bonus rally!
Not promoting Charles nenner, but his charts showed the nice drop this summer many months before it happened. His lastest chart on the S&P shows a small small rally then drops lower than we are now into late november December with a freefall into January 2012. Then 3 quarters of range bound in 2012 until November it looks like. Then it shows a rally somewhat like we saw in 2009. I know Nenner has been wrong before, but hey you can't always be right. His timing has been impecable though ever since January of this year.
they need to pass the plan to find out what's in it.
The plan will be to have IMF off load the crap on to the USA. Watch and see.
Merkel is the wingman. Nice.
"THE PLAN, THE PLAN!"
Herve Villechaize must be rolling over in his pint-size grave.