(Non) News Of Dexia "Bad Bank" Sends Market Soaring

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Tue, 10/04/2011 - 15:46 | 1738427 dwdollar
dwdollar's picture

Yeah... cause you know... that will solve everything... it's all sunshine and unicorns from now on.

Tue, 10/04/2011 - 15:47 | 1738444 buck4free
buck4free's picture

Wow. Absolutely frigging nuts.

Tue, 10/04/2011 - 15:50 | 1738456 spiral_eyes
spiral_eyes's picture

Some relevant music:

Drexciya, bitchez

Digital Tsunami 

(Chosen in honour of all the algos, and in honour of the massive tsunami of defaults we'll see when Greece goes under)


Tue, 10/04/2011 - 18:30 | 1739315 AldousHuxley
AldousHuxley's picture

pulling from the archive


  • Belgium - Dexia: 180%of GDP
  • France - BNP Paribas, Credit Agricole, SocGen: 237% of GDP
  • Germany - Deutsche Bank: 84%
  • Italy - Unicredit, Intesa Sanpaolo: 101%
  • Netherlands - Fortis: 155%
  • Spain - Banco Santander: 92%
  • UK - RBS, Barclays, HSBC: 337%
  • Switzerland- UBS and Credit Suisse: 600%

Compare that to the top 5 banks in the US (a list which excludes hedge funds such as Goldman Sachs).

  • US - JP Morgan, Citigroup, Bank of America, Wells Fargo and Fannie: just 56% of GDP.

Unfortunately for Europe, there is a dramatic concentration of bank assets precisely in some of the most precarious regions. Which is why Germany may have kicked the can down the road for at least a month, but the issue will come back with a vengeance for the simple reason we have noted from the start of this crisis: only Bernanke has a money printer. Everyone else actually has to produce "stuff", sell it and collect taxes if they want to fill catastrophic budget deficits. And the latter, as we have seen, is something the developed world has been horrible at doing over the past decade, courtesy of the Goldman-facilitated innovation explosion.


Asia-> America "capitalism"

America-> Europe "socialism"

Europe->Asia "communism"

Africa...fucked as usual..."colonialism"

Tue, 10/04/2011 - 15:50 | 1738472 GenX Investor
GenX Investor's picture

The ALGO must bid it up before it can sell it off.  Must hit targets, must fill gaps, must retrace, must must must.

Tue, 10/04/2011 - 15:53 | 1738494 Ancona
Ancona's picture

The Bank of America in St. Louis is surrounded by cops and barricades refusing to allow customers in to withdraw money. They're telling them that they have to use ATM's or do their banking on-line. Wait for it, it's coming to a neighborhood near you.

Riots, it's what's for dinner.

Tue, 10/04/2011 - 16:01 | 1738558 Missiondweller
Missiondweller's picture

Is this a joke or for real? Can you cite a source?

Tue, 10/04/2011 - 16:05 | 1738583 Miss Expectations
Miss Expectations's picture

I wish I'd had my camera yesterday, the parking lot at a local BAC was absolutely packed.  I thought business was booming.

Tue, 10/04/2011 - 16:09 | 1738611 Missiondweller
Missiondweller's picture

Or maybe acct closings.


The website being down for several days looks like an on-line bank run. Something smells rotten. Maybe I'm just paranoid.

Tue, 10/04/2011 - 16:08 | 1738602 john39
john39's picture

well its not raining in STL today, and that video has people carrying umbrellas.... something is off.

Tue, 10/04/2011 - 16:54 | 1738940 Smiddywesson
Smiddywesson's picture

It's not rain, it's tears

Tue, 10/04/2011 - 16:17 | 1738695 catacl1sm
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Shenanigans. That video is from Aug 12 2011 during a rally in which people were protesting.


You can't protest at a bank, duh. <snarf>

Tue, 10/04/2011 - 18:14 | 1739278 AldousHuxley
AldousHuxley's picture

Putting your deposit into Banksters of America is entrusting your grandfather's trust fund into Goldman Sach's hands.


Tue, 10/04/2011 - 16:17 | 1738697 catacl1sm
catacl1sm's picture

Shenanigans. That video is from Aug 12 2011 during a rally in which people were protesting.


You can't protest at a bank, duh. <snarf>

Tue, 10/04/2011 - 16:10 | 1738625 CvlDobd
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source, link, proof?

Tue, 10/04/2011 - 15:52 | 1738485 crazyjsmith
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Is it 3:30 yet? Yep, right on Q!

Welcome to the Truman Show.

Tue, 10/04/2011 - 15:57 | 1738523 jdelano
jdelano's picture

Loving every minute of this--watching these desperate fucks try sooooo hard to stop the bleeding, only to have the credit markets come along and chop off the other arm.  "It's a bloody flesh wound!  I'll gnash you with my teeth!"  Hahahaha.  

Tue, 10/04/2011 - 16:12 | 1738628 SpaDe
SpaDe's picture

Wait for it because the arms are now gone, next will be the legs so that it can't run while it gets put down.


Btw where did you get that coconut shell?

Tue, 10/04/2011 - 16:56 | 1738948 Smiddywesson
Smiddywesson's picture

Run Away!!!!!!!!!

Tue, 10/04/2011 - 15:58 | 1738534 Jonas Parker
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And the unicorns shit "Skittles" too...

Tue, 10/04/2011 - 20:30 | 1739661 Buck Johnson
Buck Johnson's picture

Yea, no kidding.  Sunshine and Unicorns here we come.  This is what you call EPIC FAIL!!!!!!!!!!  Now what about the servicing of the debt (180 billion euro's) that must be sent out to all the bond holders including Belgium, who's going to pay that?  If Belgium (I don't know why they are calling this debt backed also by the Belgium govt., because didn't they dissolve their govt. over a year ago?) can't service this debt, then essentially what they did was say we are defaulting.

Tue, 10/04/2011 - 15:45 | 1738432 qussl3
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Bear Stearns.

Tue, 10/04/2011 - 16:59 | 1738961 kaiserhoff
kaiserhoff's picture

Tyler is getting picky, picky, picky...

You can't expect markets to look forward 24 hours, er, 8 hours, uh, oh whatever.

Tue, 10/04/2011 - 15:45 | 1738433 oogs66
oogs66's picture

Dexia stock going to zero. France going to be put on ratings watch. Short this rally

Tue, 10/04/2011 - 15:49 | 1738436 fuu
fuu's picture

BAC is black.

Tue, 10/04/2011 - 15:52 | 1738490 Abitdodgie
Abitdodgie's picture

The stock market is not rallying because of that supid bank news, it is going up because Kim Kardashian has bought a Ferrari, we should all buy one now we know what to drive.

Tue, 10/04/2011 - 15:58 | 1738530 Quadlet
Quadlet's picture

MS ramp to the moon!  Short the EOD BS.

Tue, 10/04/2011 - 16:07 | 1738593 junkyardjack
junkyardjack's picture

Epic rally is epic

Tue, 10/04/2011 - 16:11 | 1738630 fuu
fuu's picture

Epic dollar fall is epic.

Tue, 10/04/2011 - 15:59 | 1738538 Gene Parmesan
Gene Parmesan's picture

I assumed it was because investors were optimistic that the Japanese might learn a thing or two about entombing toxic shit from this exercise.

Tue, 10/04/2011 - 15:46 | 1738437 Christoph830
Christoph830's picture

Fade this BS

Tue, 10/04/2011 - 15:46 | 1738438 Spastica Rex
Spastica Rex's picture

Whew! I was getting worried there for a bit.

Tue, 10/04/2011 - 15:47 | 1738441 Zeilschip
Zeilschip's picture

A bear rally that lasts 2 or 3 days can kill you though...

Tue, 10/04/2011 - 16:08 | 1738603 junkyardjack
junkyardjack's picture

I'm so glad I covered my shorts this morning.  I'll keep an eye on my candidates and put it back on once they show weakness again

Tue, 10/04/2011 - 15:48 | 1738443 Racer
Racer's picture

These vacuum tubes are as clever as the chairSATAN


they have to keep squeezing shorts to keep the 'markets' from collapsing.. yeah, healthy that is

Tue, 10/04/2011 - 15:47 | 1738448 EscapeKey
EscapeKey's picture

Another press release to the rescue.

Tue, 10/04/2011 - 16:10 | 1738622 fuu
fuu's picture

Big dollar dump there in the last 40 minutes.

Tue, 10/04/2011 - 16:13 | 1738658 LongSoupLine
LongSoupLine's picture

yep...and the front of Bob Pisani's pants just exploded.

Tue, 10/04/2011 - 16:03 | 1738449 Arkadaba
Arkadaba's picture

What the hell ???? Ha ha just noticed S&P and Dow charts looks like this W

Edit: That lasted for about a minute - can't believe this crap!

Tue, 10/04/2011 - 15:48 | 1738452 spartan117
spartan117's picture

must.... close.... green....

Tue, 10/04/2011 - 15:48 | 1738454 lizzy36
lizzy36's picture

Nah it is the weak story by the FT about some coordinated EU plan to recap the banks.

Amusingly the Spanish Finance Minister came out this morning after the meeting and specifically said the the EU ministers DID NOT talk about a recap plan.

There is an increasingly shared view that we need a concerted, co-ordinated approach in Europe while many of the elements are done in the member states,” Olli Rehn, European commissioner for economic affairs, told the Financial Times. “

So there you have it the mouth piece of the EU versus an actual Finance Minster.

Tue, 10/04/2011 - 15:54 | 1738508 socratesplus
socratesplus's picture

Amusingly the Spanish Finance Minister came out this morning after the meeting and specifically said the the EU ministers DID NOT talk about a recap plan


I guess they discussed it in the afternoon session...

Tue, 10/04/2011 - 15:55 | 1738517 socratesplus
socratesplus's picture

"Amusingly the Spanish Finance Minister came out this morning after the meeting and specifically said the the EU ministers DID NOT talk about a recap plan"


I guess they discussed it in the afternoon session...

Tue, 10/04/2011 - 15:49 | 1738455 hungarianboy
hungarianboy's picture

Well Tyler, you've sum it up as it is! And the thing is the markets will hopefully realize tomorrow that things are indeed as you wrote and then turn south.

Tue, 10/04/2011 - 15:49 | 1738458 RSloane
RSloane's picture

And the DOW moves to positive territory.

Tue, 10/04/2011 - 15:49 | 1738461 Bastiat
Bastiat's picture

Manic-depressive psycho clownfest.

Tue, 10/04/2011 - 15:49 | 1738464 Thought criminal
Thought criminal's picture

All day trading profits erased in 30 minutes on this idiocy... gotta love this market.

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