Obama Sends Request To Congress For $1.2 Trillion Debt Ceiling Increase

Tyler Durden's picture

Update:

  • HOUSE TO VOTE JAN. 18 ON OBAMA'S DEBT-LIMIT INCREASE REQUEST

Two days ago we wondered how long it would take for Obama to restart the debt ceiling theater. Not that long it turns out.

  • OBAMA SENDS CONGRESS REQUEST TO RAISE DEBT CEILING
  • OBAMA NOTIFICATION STARTS 15-DAY CLOCK FOR CONGRESS TO VOTE

So with Congress in recess, will Obama succeed in passing another automatic vote using base trickery? The same Obama, who as recently as 3 hours ago warned Congress that any attempts to pass approval on the Keystone Pipeline without his involvement are "counterproductive"... In other news, America' new debt ceiling of $16.3 trillion, or 107% of GDP is now just a formality, about to be interrupted by a little circus clowning.

From Bloomberg:

President Barack Obama formally notified Congress today that that the government needs more borrowing authority.

 

The written certification to raise the debt ceiling to $16.394 trillion starts a 15-day clock for Congress to consider and vote on a joint resolution disapproving of the increase.

 

Under legislation passed Aug. 2 after months of wrangling between the
administration and Republican lawmakers, the president is given the
power to veto any disapproval resolution that clears both chambers of
Congress.

 

The law calls for Obama to notify Congress when the debt came within $100 billion of the current $15.194 trillion limit.

 

While the threshold was reached Dec. 30, when the president was in
Hawaii and Congress was on holiday break, Obama agreed to a request from
congressional leaders to delay the notification request, ensuring the
deadline for congressional action didn’t lapse before lawmakers returned
to Washington.

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nmewn's picture

In the context of this conversation...they only pissed on their enemies heads. They didn't chop them off & hold them up for the camera.

A small difference to be sure...but still.

Where was the outrage when AQ was carving off other Arabs faces with piano wire to terrorize them into allegiance to them? Where is the outrage now of Taliban making snuff films as recruiting tools? And what of a minority of that culture that abides pediphelia?

Don't be so shocked you forget the things you saw for yourself and wish weren't true.

Captain Kink's picture

All those government services that we would have to miss out on....

 

You've nailed it.  What services?  Highways and Defense are about all I "use".  Maybe one could argue that I benefit from the FDA, though I don't take any prescriptions.  Federal Education spending is useless.  I work until June 30 for all the govt I get.  Instead of cutting my spending 50%, let's just cut the govt 50%.

StychoKiller's picture

Captain, Star fleet does not work for free...

Cathartes Aura's picture

if you are an amrkn, your "services" include a lifestyle based on commodities that the majority of the world cannot afford, combined with not having to host a "war" in your hometown, as amrka outsources those too. . .

amrkn government services you in ways you are just beginning to be made aware of, but many others in the world have known of for decades.

SteveNYC's picture

Systemic failure is so baked into the cake already, it's almost irrelevant. It could take a while though, these things just seem to happen when they feel like it (at least that's what it looks like, the hidden ripening of millions of interconnected conditions and causes.....).

Be well.

TruthInSunshine's picture

This one's "automatic" as a result of the "debt ceiling compromise," but still, let us just see which Republicans do and do not vote to increase the debt ceiling again, whether next year, or again, 6 months thereafter, or 9 months later again....etc.

[I'm not even going to bother mentioning Democrats, because to suggest anything close to more than 5 of their ilk would NOT rubber stamp whatever debt ceiling increase was requested would be the epitome of naivety]

Votes (genuines one) talk & Bullshit (like the majority of empty suit, self proclaimed fiscal "conservatives" blabbing away in GOP debates) walks.


Obama requests $1.2 trillion increase in borrowing limit Salt Lake Tribune - ‎7 minutes ago‎

Washington • President Barack Obama asked Congress Thursday for another $1.2 trillion increase in the nation’s debt limit, a request that is largely a formality but that carries election-year implications.

It was the third and final such request the president was allowed under a deal the White House reached with lawmakers in August to prevent a government default.

The increase would boost the debt limit to $16.4 trillion, which should be enough to allow the government to keep borrowing until the end of 2012, or just after the presidential election.

 

Ron Paul is the only one who wouldn't vote to raise the debt ceiling, even if he didn't have some form of political "cover" that his alleged "fiscal conservative Republicans" resort to when they are....geee....gosh....forced to vote to increase the limit, "even though they really have to hold their nose" while doing so, and all.

Republicans & Democrats, working together to produce an Oscar Award worthy production of Kabuki Theater in terms of convincing Amerikan Sheeple that they don't have the same major goals and don't work for the same Masters.

The false left-right paradigm imperils the nation further with each passing day.

 

Arkadaba's picture

I was somewhat heartened by RP's performance in NH. Loved that the exit polls showed he is resonating with a young and somewhat socially liberal crowd. But I think he is going to gain traction among the older folks too. Exchanging emails with a friend who is an ex-wall street guy since 2008 (and a boomer) he sent the following to me:

"I voted yesterday [sic - probably for Romney]. Then watched with great interest Romney’s speech and then Ron Pauls. Like you I always disregarded him as a nut bag [sic - not true - he is projecting]. NO MORE. Although there are a lot of things that I completely disagree with him on, his message of personal liberty, personal responsibility, the need to change the status quo captured my interest. Plus, in a quirky way he is a very engaging character. Glad that his themes are not going to disappear. They are a much more rational point of view than the “tea party” or at least what the tea party has turned into."

TruthInSunshine's picture

The way that Ron Paul is catching on - in a way I've not ever seen, and no flash in the pan, but on a deep connection level with the people - I do believe many Americans are ignoring the rubbish dressed as "conventional wisdom" that they'd ordinarily be more swayed by in years past.

The sooner the average person realizes that the Main Stream Lame Ass Media (from CNN to Fox/NewsCorp to NBC to Rush Limbaugh to Rachel Maddow to NPR to CBS to Time to USA Today to The New York Times & The Wall Street Journal, and everything in between) is a proxy of the Money Masters/Kleptocracy, and that they are effectively perpetuating the lies that lay at the heart of honest peoples' problems, the sooner the battle is won.

The Deleuzian's picture

Too funny...Obama and Romney are like interchangeable political action figures or Mr Potato Heads...You can change the Party, the Head, social security, the arms, the economic advisors, the ears, the Healthcare system...it won't matter...It's all the same....God.........

valley chick's picture

the best so far today.  +100  ;)

Tyranny is Love's picture

The question to answer is whether Obama is a one term President or there for two. The election date is (almost) set in stone, even TPTB cant change that (easily). If its one term then they need to collapse Greece and start the dominoes soon so Romney can come in and "FIX" everything. Crash the old system, wright everything off, restart with a New system, blame it all on the last guy! The people are happy. Create chaos (a state of flux) the people demand change, make the changes TPTB require for the next stage.

 

Timing rides on whether Obama is there after Nov or not. Also if its decided to give him a second term then don't be in Iran in October.

Citxmech's picture

JFC - What's the doubling-time of our debt down to now, anyway?

BigJim's picture

Depends on how many carriers Iran manages to sink

surf0766's picture

I don't think there will be elections in November. Just a gut feeling...

In Fed We Trust's picture

It aint cheap running 400 FEMA camps,

If you know what i mean,

greased up deaf guy's picture

time to dust off this old gem from then-senator obama all the way back in 2006...

"The fact that we're here today to debate raising America's debt limit is a sign of leadership failure. Leadership means 'The buck stops here.' Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better. I therefore intend to oppose the effort to increase America's debt limit."

LawsofPhysics's picture

What, Politicians lie?  That must be why that conservative house gave him clearance up to 18 trillion.  The two party lie has never been more transparent than it is right now.  Where is that congressional crack suicide squad when we need them?

nope-1004's picture

I always knew Osama was full of shit.  Never thought he'd actually admit it though.

What a loser he is.  No conviction, no leadership, no spine.  All talk, no action.  FAILURE of a president.

 

Golden monkey's picture

Take it easy. The latest stage of insanity is coming soon to a TV screen near you.

The Deleuzian's picture

Nope-1004...It's very likely we'll have 4 more years of it...Just think of it...The fun we'll have!!!  I seriously doubt Romney is elected...But like I said above...It doesn't matter...

Kaiser Sousa's picture

Yes he has proven himself to b a very trustworthy house nigger and servant of the elitist lead by the international banking cartel....he really fooled yall didn't he???? Well now u know....
There is no democrat....there is no republican....just the bankers and their servants - the politicians.......

The Deleuzian's picture

What most Gen Xer's knew 20 years ago goes double today...The political process is broken...Now, beyond repair......

Cathartes Aura's picture

curious statement - "most Gen Xer's knew 20 years ago" that the "political process is broken" - while I agree with the "broken" part, in fact doubt it was ever whole, if you catch my drift - I wonder what you've got these wise Gen Xer's doing for these past two decades?  have they voted even though they knew it was nonsense?  have they been vocalising their wisdom? 

genuinely curious, as I haven't seen any evidence of your statement - certainly not "here". . .

Arkadaba's picture

Lots of us work in tech. We've drifited. Many friends work in countries around the world. Not proud of my generation but we did come to age in economically depressed times:

http://www.youtube.com/watch?v=V1Gn0e7kvTA

Maybe this time round willl be better. Definitely a malaise associated with people around my age. I wish it wasn't so.

Cathartes Aura's picture

there's a "malaise" in all age groups, as much as there is "interest" in voting, or as much as there are people receiving some type of "benefits" - these things cross all media-created "groups" of age/birth.

this tendency to group people by age is a big red herring, ignorance is ubiquitous, as is apathy - so is resourcefulness, and self-reliance - just trying to poke holes in this "age group herding" story is all. . . it's too convenient a metaphor.

bigdumbnugly's picture

obammy: "debt ceiling?  i don't need no stinking debt ceiling."

 

slaughterer's picture

Short the shit out of this pig colony market, the Janjuah Bear Army wants you in its ranks.   

erdab's picture

Must be Bullish, Yahoo fianance say volume for DJI is 1.4 billion. Either they really messed up, or we just had the largest volume day in 12 years.

http://finance.yahoo.com/echarts?s=%5EDJI+Interactive#chart7:symbol=^dji;range=20000103,20120111;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on

Cadavre's picture

Only if the bull is not gelded - in that case it would be "steerish".

Government by continuing resolution - who could've imagined - the days of a "budget plan" look more like old stained and blurred black and white family album photos in the basement of the K-Street Bazaar, also known as the Rayburn Office Building.

Time to get another fist full of silver Liberdads, and buckshot reloads!

Joshua Falken's picture

Does this guaratee QE3

 

Buy Gold, Oil, NOK, AUD BRL 

inkarri9's picture

Must be...oh and I'm sure the Chinese are celebrating.

youngman's picture
Federal Deficit at -$86 Billion

I think he is going to need more..and fast

Jlmadyson's picture

S&P might as well make that 26 sovereigns this week. No need in waiting for later on downgrade #2.

youngman's picture

Makes are those newly issued bonds that more valueable right....lol...

Rainman's picture

Debt ceiling is just a political hoax to make the peeps think the runaway spending train really has brakes !

Chupacabra-322's picture

Hmmm, let me see here.  A request for an increase.  Answer, Go FUCK YOURSELF!!!  And the Horse You Rode In On. 

Cognitive Dissonance's picture

You're gonna need a bigger line of credit. Will that be 1 or 2 extra zeros tacked on to the end?

You know what? Let's just go with 3.........just to be sure. That should get you down the road a piece.

DaveyJones's picture

it's like disney's haunted house when you first step in. Is the ceiling going up or are we all headed down?

Asher88's picture

QE or no QE...Say hello to the 1300's!

The Deleuzian's picture

The Century or the S&P?  Or both!!

miker's picture

This go around is going to be very interesting.  I think the Tea Partiers and Repubs have gotten religion about NOT significantly reducing the deficit (e.g., they now understand how serious the depression is and why a hugh slash to federal spending might put us in a tailspin).

On the otherhand, one wonders how long this can go on?  Probably for a long time unless someone stands up and pushes back.  But Japan is over 200% Debt to GDP and we just passed 100%; so it looks like we have a ways to run.

I do believe that it will be for naught though.  I'd much prefer we take our medicine now.  But I think everyone is scared shitless to go that route!

Cognitive Dissonance's picture

"I'd much prefer we take our medicine now. But I think everyone is scared shitless to go that route!"

It is cowardliness pure and simple. And I'm not just talking about "leadership" or lack thereof. I'm talking about average Jane and Joe, for refuse to look much further than their own credit limits.

GeneMarchbanks's picture

What Conrad Murray at this very forum aptly calls the "Gimme Dats". From your everyday garden variety bridge bum, to your very shiny skulled central banker. An epidemic of man-children. The disillusioned and terrified. All of this, is forgivable of course. But what these very people are ready to do to keep their illusions alive is completely real and quite violent.

ljag's picture

'cept ours is OPM whereas Japan used their savings (mas o menos)

T-roll's picture

No one wants to be the President that was in charge during the 2nd Great Depression, so this will go on for as long as possib