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Putting It All Into Perspective

Tyler Durden's picture


While it is amusing, almost laughable, to watch the market's every schizoid reaction to any given utterance out of the central planners (recall that back in mid-2009 we said that fundamental and technical analysis, is now dead, and the only thing that matters it he Fed's H.4.1 statement - we hope you are enjoying said central planning ladies and gents), we have decided to save our readers some pain and cut straight to the end credits by presenting "the big picture." Last summer, we shared an extended report from the Boston Consulting Group, which in a rather verbose format, explained everything that is wrong with the status quo. Unfortunately, that was also the report's biggest weakness, in this day and age in which everyone expects everything on a silver platter, prechewed if possible. So here it is again, clean, simple, precise, and so easy it can be printed out and pinned to one's wall - the chart below from Citi's Matt King puts everything in its proper perspective (if in a slightly optimistic light). The first two columns show the "impact" of Lehman and the Greek PSI - i.e., the amount of debt that was eliminated. These two tiny bars are what nearly caused the end of Western civilization (per Hank Paulson), and led Europe on a two year voyage to preemptively offload Greek exposure to European (and American) taxpayers. That's the good news. The bad news is is the column on the far right. This is the amount of debt that in Citi's estimate, has to be "reduced" across the four major developed markets for the world to return to a sustainable debt level. That's right: $30,000,000,000,000. By 2016. And after that it just gets even more parabolic.

This is not a discretionary cut. This is what has to be "reduce" for the world to have some chance of avoiding daisy-chained global sovereign defaults, up to and including the $707 trillion in global OTC (read unregulated) derivatives. Which means there are two actual definitions of 'reduced' - inflated or paid off (since a global default would "complicated" for existing equity stakeholders, read the 1%, to preserve their wealth). Furthermore, we are convinced that Citi is being generous: BCG estimated that the global debt overhang as of 2009 to get to a "sustainable" global debt/GDP of 180% is about $21 trillion. That number is easily $5-6 trillion more as of right now. Finally, with assets already at record lower cash flow generation as has been repeated here over and over, the only option is nominally inflating them away. Which means, you guess it, nominal devaluation of monetary intermediates. Translated: printing, printing, and more printing.

Still think the Fed, ECB, BOJ and BOE won't print, print, print?

Think again.


And for those who missed it the first time around, here is the full BCG analysis, which looks at not only the cuases of the global policy dead end, but provides some suggestions on how to deal with the issues. Needless to say, these are neither palatable nor favorable for risk assets.



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Tue, 04/03/2012 - 15:57 | 2314340 Mercury
Mercury's picture

 And with assets already at record lower cash flow generation as has been repeated here over and over, the only option is nominally inflating them away.


Well, there's wholesale and arbitrary private asset seizure too :)

Tue, 04/03/2012 - 16:00 | 2314372 narapoiddyslexia
narapoiddyslexia's picture

Jim Rickards has a relevant discussion here -

It implies that, if Bennie is right, an effective way to crash the system is for enough people to stop spending money.

That leads to bankruptcy for the 'ol federal gubmint.

Tue, 04/03/2012 - 16:03 | 2314401 PaperBear
PaperBear's picture

All my disposal income is going into physical silver - that doesn't count as spending money does it ?

Tue, 04/03/2012 - 16:05 | 2314415 Chief KnocAHoma
Chief KnocAHoma's picture

The smartest man in the room, as long as no one else is in there.

Tue, 04/03/2012 - 16:10 | 2314427 flacon
flacon's picture

these are neither palatable nor favorable for risk assets.


Is gold and silver a "risk asset"?


(obviously it's not, but some days it is, or behaves like it is, or is promoted by the media as being so). 

Tue, 04/03/2012 - 16:31 | 2314511 Hugh_Jorgan
Hugh_Jorgan's picture

Whew... I almost had a case of optimism today. Good thing I read ZeroHedge at lunch time.

Tue, 04/03/2012 - 17:03 | 2314586 Dr. Engali
Dr. Engali's picture

Glad you fixed that.

Tue, 04/03/2012 - 17:13 | 2314617 boogerbently
boogerbently's picture

If bailouts have been repaid, as we've been told, why do we still owe that money???

If Trillion$$$$ were lost, who MADE them??? It didn't disappear.

Tue, 04/03/2012 - 19:03 | 2314904 donsluck
donsluck's picture

The trillions that disappeared were only estimates. The assets (especially housing) had an estimated value one day, then some days later, their estimated value decreased, except for the assets bought by the Fed, which were bought at their estimated, or face, value.

So, trillions weren't actually lost, just their estimated values were reduced.

Tue, 04/03/2012 - 19:10 | 2314919 The Alarmist
The Alarmist's picture

"If Trillion$$$$ were lost, who MADE them??? It didn't disappear."

Jon Corzine, but then he unfortunately vaporized them before he could allocate them to the proper accounts outside his own.

Tue, 04/03/2012 - 20:08 | 2315062 JeffB
JeffB's picture

Just what I was thinking. If Jon Corzine crafted our recovery plan, why couldn't he just vaporize that debt?

Tue, 04/03/2012 - 16:07 | 2314419 LawsofPhysics
LawsofPhysics's picture

Depends who you are buying it from.  One might also ask "if I used some physical silver to pay a local plumber to do some work, did a transaction really occur?"

Tue, 04/03/2012 - 16:55 | 2314569 ParkAveFlasher
ParkAveFlasher's picture

Do these bears sh!t in those woods?

Tue, 04/03/2012 - 16:24 | 2314482 toothpicker
toothpicker's picture


1. Silver

2. A boat

Tue, 04/03/2012 - 17:02 | 2314585 gaoptimize
gaoptimize's picture

3.  Load boat with silver (, gold, and firearms), followed by regrettable accident.

Tue, 04/03/2012 - 19:10 | 2314929 malikai
malikai's picture

ZeroHedge: Home of the worst boaters in the world.

Tue, 04/03/2012 - 17:56 | 2314717 The Navigator
The Navigator's picture

3. big barking dog, so you can sleep at night without 1 eye open.

Tue, 04/03/2012 - 19:09 | 2314926 prains
prains's picture

4. and load with an 18 yr old Nicole Kidman from the movie "Dead Calm", spankilicious

Wed, 04/04/2012 - 04:16 | 2315613 SHRAGS
SHRAGS's picture

If your after a young Kidman, check her out in BMX bandit.

Wed, 04/04/2012 - 04:30 | 2315619 malikai
malikai's picture

Wow. Horrible 80's movies are bringing back memories I'd prefer to have left forgotten.

Tue, 04/03/2012 - 17:03 | 2314590 Dr. Engali
Dr. Engali's picture

That's a currency exchange.

Tue, 04/03/2012 - 17:48 | 2314696 SilverDoctors
SilverDoctors's picture

Nope, that's saving money.  And speaking of putting things into perspective, on Feb 29th, the cartel dumped 225 million ounces of paper on the market in order to smash silver by $4.  With the release of the fed minutes today, starting at 2pm EST today, over 637 million ounces of silver were dumped on the market over a SINGLE HOUR...resulting in a massive silver smash of..... $0.65.  Can you say law of diminishing returns, and EPIC FAIL!?!

Tue, 04/03/2012 - 19:13 | 2314941 malikai
malikai's picture

I wonder what the ratio of bankers/weak hands that was. I'm sure lots of silver newbies were counting on QE3 today.

Tue, 04/03/2012 - 16:07 | 2314420 SheepDog-One
SheepDog-One's picture

Yea DUH hey people stop supporting the borrow at interest spending and consuming shit if you actually dislike slavery!

Problem is, seems most people LOVE it, because every time you turn around theres some new techie gadget thats selling billions so I dont want to hear them whine about slavery!

Tue, 04/03/2012 - 16:10 | 2314434 narapoiddyslexia
narapoiddyslexia's picture

'Fraid so. Maybe if they knew they could crash the gubmint if they just stopped spending for a few months, it might provide some inducement.

Would they make urging people to boycott the US economy a terrist crime? How long would it take?

Tue, 04/03/2012 - 17:29 | 2314650 Seer
Seer's picture

So, deciding to kill grandma are you?

That's how it'll be framed.  Withholding life support.  Meanwhile the glorious continue to bomb brown people all over the globe...

Tue, 04/03/2012 - 18:14 | 2314774 Q.E.easy
Q.E.easy's picture

I would find it suprising if it WASN'T already a crime.

Tue, 04/03/2012 - 19:07 | 2314915 donsluck
donsluck's picture

Unless the Supreme Court strikes it down, you are required by law to buy health insurance, the ONLY thing (so far) that the goverment requires you buy. Don't go on about car insurance, etc, since you don't HAVE to buy a car or house or whatever.

Tue, 04/03/2012 - 20:15 | 2315072 JeffB
JeffB's picture

Unless you count forcing us to give them tax money so that they can buy bombs and missiles and detentions centers and ...

Tue, 04/03/2012 - 22:46 | 2315313 o2sd
o2sd's picture

Unless you count forcing us to give them tax money

FORTUNATELY, taxation is by PROPORTION. The easiest way to kill tax revenues is to earn less, and subsequently (of necessity) spend less. Imagine, if you will, living a quiet simple life, outside a major city, on a small but sustainable income. Your income is small, your needs are small, your consumption is small. A 100% effective way to topple the Government without a single shot being fired.

If you have a mortgage, default. You don't need a credit rating if you no longer need credit. If you have 3 monster SUVs on credit, default. Reduce, reduce, reduce. Future generations will remember you as heroes.

If the government, in it's desperation, turns the entire country into a gulag, know that this too will end. Perhaps you can hatch an escape plan before that happens. The world needs people who can do stuff. If you are willing to change your lifestyle, there are many places in the world that are great to live, even on very little.



Tue, 04/03/2012 - 16:41 | 2314538 vast-dom
vast-dom's picture

So I guess there won't be a crash until around 2016 ;)

Tue, 04/03/2012 - 16:43 | 2314543 SheepDog-One
SheepDog-One's picture

Right, obviously all is well until 2016 or so....yeaaaaa.

Tue, 04/03/2012 - 17:26 | 2314640 Uber Vandal
Uber Vandal's picture

Martin Armstrong has mentioned 2015 quite a bit.

Also, 2015 is the date in some of the German and US Military studies about peak oil will create shortages in the oil markets.

And, "Rich Dad/Poor Dad" in his book Rich Dad's Prophecy, published 2004, mentioned 2016 a lot as well.

I guess we will know for sure in about 4 years....Or less.


Tue, 04/03/2012 - 19:09 | 2314923 CH1
CH1's picture

Yes... or less.

Tue, 04/03/2012 - 17:49 | 2314698 Offtheradar
Offtheradar's picture

I've been @ 2017 for some time now.  Best guess, never certain.

Tue, 04/03/2012 - 18:05 | 2314756 francis_sawyer
francis_sawyer's picture

before or after the bell?

Tue, 04/03/2012 - 19:14 | 2314942 The Alarmist
The Alarmist's picture

2017 will be the year we know for sure whether or not we will continue to sing the praises of our Maximum Leader Big O.

Tue, 04/03/2012 - 15:54 | 2314341 Zola
Zola's picture

A lot of talk but no action.

Tue, 04/03/2012 - 15:58 | 2314363 SheepDog-One
SheepDog-One's picture

Yeah a lot of talk about how theyre going to print this and print that, I'll believe it when I see it. 

their cries of 'Where is 'retail' and why arent they buying our bubble stocks and bonds!' tells the real story.

Tue, 04/03/2012 - 16:22 | 2314473 Unprepared
Unprepared's picture

I think they given up on the retail suckers and are bypassing them.


Like algos locked in a bidding war, Monetary and Fiscal can play this game for quite a while just among themselves, without the need for consumers. Ask Solyndra/

Tue, 04/03/2012 - 16:44 | 2314545 SheepDog-One
SheepDog-One's picture

No point in it if they cant pass off the pump.

Tue, 04/03/2012 - 15:54 | 2314343 vato poco
vato poco's picture

Yeah, this'll end well.

Tue, 04/03/2012 - 15:55 | 2314346 kentfinance
kentfinance's picture

but they said they wouldn't

Tue, 04/03/2012 - 15:55 | 2314348 maxmad
maxmad's picture

I think an even better chart would be Bernanke on the lie detector...

Tue, 04/03/2012 - 16:00 | 2314384 NotApplicable
NotApplicable's picture

Nah, that'd just be a flatline.

Tue, 04/03/2012 - 17:37 | 2314668 TheFourthStooge-ing
TheFourthStooge-ing's picture


Nah, that'd just be a flatline.

I suppose it would depend on the questions asked by the operator of the lie detector.


Tue, 04/03/2012 - 16:00 | 2314386 holdbuysell
holdbuysell's picture

Simulation of Bernanke on a lie detector test in 3...2...1...

Tue, 04/03/2012 - 16:11 | 2314440 Careless Whisper
Careless Whisper's picture

why bother

Tue, 04/03/2012 - 16:39 | 2314532 Zero Govt
Zero Govt's picture

if we're going to plot Benny up to his tricks let's graph the actual mark-to-market value of his 'assets' against what he's cooking (to fantasy) on his books

what are the toxic MBS's and property really worth he took off WS (because they couldn't sell them)?

what are the US Govts Long Bonds, 10-30 year, really worth when nobody else will buy them?

Benny really has got himself in an awful twist, maybe that's why he called it Operation Twist!

Tue, 04/03/2012 - 15:56 | 2314350 zonetraders
Tue, 04/03/2012 - 18:00 | 2314734 TheFourthStooge-ing
TheFourthStooge-ing's picture

Ah, fuck, the spammer from capital3x is back.

Compare the comments of "zonetraders" to those of the shitcanned accounts for "props2009" and "reutersanalyst":


Tue, 04/03/2012 - 15:56 | 2314352 SimpleandConfused
SimpleandConfused's picture

You know, you guys keep writing that TPTB are out of bullets and then, out of nowhere; BANG!  More bullets.  I like that the date of concern is 2016.  No one will remember that they wrote this in 2016 so it matters not one whit to these guys be they right or be they wrong.

Everybody talks their book.  Mine?  BTFD.

Tue, 04/03/2012 - 15:59 | 2314369 Al Huxley
Al Huxley's picture

You might as well BTFD.  Its one of the only chances you have of keeping up with the inflation that's coming down the pipe.  Make sure you choose well, though.

Tue, 04/03/2012 - 15:59 | 2314376 SheepDog-One
SheepDog-One's picture

Right, now 'nothins gonna happen till 2016'....yea really? So how do we survive $5 gas for the next 4 years? This is all just ridiculous, all lies, from desperate pumpers totaly out of another way out.

Tue, 04/03/2012 - 15:56 | 2314353 SheepDog-One
SheepDog-One's picture

Fine, let them print and bring on the $10/gal gas....whats keeping them and making them so shy to print huh? 

Tue, 04/03/2012 - 16:02 | 2314399 lolmao500
lolmao500's picture

Step 1 : print.

Step 2 : wait for inflation to kick in

Step 3 : stage false-flag and blame it on Iran, start a war with Iran.

Step 4 : blame it all on Iran.

Step 5 : profits.

Tue, 04/03/2012 - 15:57 | 2314360 Al Huxley
Al Huxley's picture

Exactly.  Everything else is just noise.  Only question is how long the illusion can be sustained at a level convincing enough to fool the majority into thinking everything's more or less under control.

Tue, 04/03/2012 - 16:10 | 2314436 HarryM
HarryM's picture

The majority doesn't think everything is OK right now!

What will it take for them to take action?

What action is available to them?

Keep in mind they will be overwhelmed by a tidal wave of B.S. and lies.

That's why the're buying guns and ammo in record numbers - they can sense the shit is going to hit the fan


Tue, 04/03/2012 - 16:18 | 2314461 ATM
ATM's picture

There are two actions available to them. One that will come to them and they will simply do it because it is the only course and that is to spend evey single dolla rthey can as fast as they can because finally they will realize that there is inflation and the longer they wait the worse it will be.

The second action is much harder to predict but it will be rioting in the streets. I would guess when enough people have blown through every penny they have and sold the family silver that rioting will be the only course of action, as will stealing, killing and all manner of immoral behaviour. Anything goes when it's every man for himself. Those guns and ammo ain't for target shooting.

Tue, 04/03/2012 - 17:50 | 2314699 Tom Servo
Tom Servo's picture

Honey badger doesn't give a shit!  It just takes what it wants.

Tue, 04/03/2012 - 17:58 | 2314714 Offtheradar
Offtheradar's picture

No action by Americans for the foreseeable future.  We seem to be able to take a fairly large, wide, long, dick in the ass and barely give a whimper.  No condoms either.  The lube is spit. Ouch...

Tue, 04/03/2012 - 15:57 | 2314361 PaperBear
PaperBear's picture

We live on Soviet planet Earth.

Tue, 04/03/2012 - 17:24 | 2314636 Drachma
Drachma's picture

Soviet planet Earth lives on you.

Tue, 04/03/2012 - 15:58 | 2314366 Cinfultreat
Cinfultreat's picture

Atleast once a day we get...THE CHART OF CHARTS....chart by day the frequency of The Chart of Charts 

Tue, 04/03/2012 - 16:09 | 2314430 lunaticfringe
lunaticfringe's picture

 i popped the up arrow just because of the view.

Tue, 04/03/2012 - 21:32 | 2315188 RockyRacoon
RockyRacoon's picture

Looks like quite a few things popped up.

Tue, 04/03/2012 - 16:40 | 2314536 Dugald
Dugald's picture

Chartism lives!!!!!!!!!!!!!!!!!

Tue, 04/03/2012 - 21:02 | 2315156 TJ00
TJ00's picture

Chartism... Chartalism... Charlatanism...

Tue, 04/03/2012 - 17:21 | 2314628 Agent P
Agent P's picture

Your avatar reminds me of a 1993 phone book, because I'm looking up you old address.

Note to Sacrilege: we need a "click to view full screen" feature for avatars.

Tue, 04/03/2012 - 17:28 | 2314647 DoChenRollingBearing
DoChenRollingBearing's picture

+ 1 for note to Sacrilege

Tue, 04/03/2012 - 19:56 | 2315033 David449420
David449420's picture

Careful. Your wife might be reading this.

Wed, 04/04/2012 - 04:53 | 2315627 rufusbird
rufusbird's picture

Well, after all, we do come here to share perspective...

Tue, 04/03/2012 - 15:58 | 2314367 abducens
abducens's picture

Raise taxes! The money has to come from somewhere,it cant come from nowhere!

Tue, 04/03/2012 - 15:59 | 2314378 Al Huxley
Al Huxley's picture

Actually, yes, it can come from nowhere.  That's where all money comes from these days.

Tue, 04/03/2012 - 16:03 | 2314403 NotApplicable
NotApplicable's picture

Well, technically, it's coming from the future. But the way things are looking, nowhere is an appropriate label for it.

Tue, 04/03/2012 - 16:15 | 2314452 blu
blu's picture

Since the future (as defined as anything at all like the present but later) is unlikely to happen now, yes it is more like nothing than ever before in history.

Put another way: You aren't "stealing money from the future" if "money" as a concept manages to become irrelevant shortly after you steal it.

Tue, 04/03/2012 - 16:01 | 2314389 SheepDog-One
SheepDog-One's picture

Retail refuses to show up and buy the inflated bubble equities from the FED CB's? Fine....then we'll tax the shit out of you! We'll get all those trillions you rich retail are just selfishly sitting on, one way or another! Muaaa ha ha ha haaaaaa etc etc.....

Tue, 04/03/2012 - 16:19 | 2314465 ATM
ATM's picture

Or they will simply stealthiy steal it by printing more. Can't get elected on a platform of raising taxes on anyone.

Tue, 04/03/2012 - 16:46 | 2314550 SheepDog-One
SheepDog-One's picture

You dont steal anything by printing more, just cause inflation and demand drops just like in gas demand. 

Tue, 04/03/2012 - 15:59 | 2314371 lolmao500
lolmao500's picture

In other news, ammo prices have EXPLODED in the last few days.

Tue, 04/03/2012 - 16:02 | 2314394 SheepDog-One
SheepDog-One's picture

HEY Ive been on here telling people to STOCK UP ON AMMO for months, havent I?

Tue, 04/03/2012 - 16:17 | 2314460 HarryM
HarryM's picture

And Ruger is working at 100% capacity and has refused new orders 

Tue, 04/03/2012 - 16:42 | 2314540 Frank N. Beans
Frank N. Beans's picture

that's because most bullets are made from silver now, because of all the wolfmen prowling about.

Tue, 04/03/2012 - 17:34 | 2314657 The Disappointed
The Disappointed's picture

Lone Ranger's bullets were made of silver, but not because of werewolves.

Those would be some awfully pricey bullets in today's terms. But that was the point, wasn't it?

Tue, 04/03/2012 - 17:01 | 2314581 Dr. Engali
Dr. Engali's picture

Well when homeland security is looking for 450 million rounds you know something is up and you better front run that order.

Tue, 04/03/2012 - 17:26 | 2314643 King_Julian
King_Julian's picture

True. M855 5.56mm green tip was $335, now $399. Shit.

Tue, 04/03/2012 - 18:02 | 2314744 Agent P
Agent P's picture

Buy M193 and a can of green spray paint...the guy on the other end won't know the difference.

Tue, 04/03/2012 - 17:50 | 2314701 lolmao500
lolmao500's picture

What would be the reason??

- DHS order?

- Preparation for Iran war?

- People expecting a ``race war`` because of the MSM propaganda with Zimmerman?

- ????

Tue, 04/03/2012 - 18:50 | 2314876 viahj
viahj's picture

ys, yes, yes and why not?

Tue, 04/03/2012 - 15:59 | 2314374 Blotsky
Blotsky's picture

Good times.

Tue, 04/03/2012 - 16:00 | 2314381 oklaboy
oklaboy's picture

Tyler, how could you fault the great Ben? And his boss, the OBamster? Didn't you heard no more QE?  I find your faith surely lacking.....

Tue, 04/03/2012 - 16:20 | 2314467 SheepDog-One
SheepDog-One's picture

You think Obama is Bernank's boss? lol

Tue, 04/03/2012 - 16:47 | 2314551 marathonman
marathonman's picture

You've got the roles reversed.  Obama (the American Robert Mugabe) is merely the piss boy (remember Count D'Monet from History of the World Part 2?)  He is the lacky for the real money that controls the government as is every US President since 1912.

Tue, 04/03/2012 - 19:23 | 2314969 malikai
malikai's picture

"You're an errand boy, sent by grocery clerks, to collect a bill."

-Colnel Walter E. Kurtz

Tue, 04/03/2012 - 16:00 | 2314388 PaperBear
PaperBear's picture

"the column on the far left" - the column on the far right is dwarfing the column on the far left.

Tue, 04/03/2012 - 16:02 | 2314400 Jason T
Jason T's picture

So buy gold and silver until 2016, then turn that gold into shit loads of assets like land, factories, farms, housing units.  Simple.

Tue, 04/03/2012 - 16:21 | 2314469 ATM
ATM's picture

Those things aren't going down in price. They will act just like gold. Better to buy them now and collect the rent.

Tue, 04/03/2012 - 16:36 | 2314527 Temporalist
Temporalist's picture

Who will you collect rent from when most are living in tent cities?

Tue, 04/03/2012 - 16:59 | 2314578 ParkAveFlasher
ParkAveFlasher's picture

Simple, yes.  Precisely what rebuilt the German war machine (later co-opted by the Nazi party) after WWI and through Weimar Inflation.

Tue, 04/03/2012 - 21:43 | 2315206 DosZap
DosZap's picture

then turn that gold into shit loads of assets like land, factories, farms, housing units. Simple.

 SIMPLE????,uh, no.

IF OblameO wins, forget these as anything remotely you want to own.

The NEW EO Laws he's passed in the last 90 days, make it possible to seize all of it on a whim.

They are checking EVERY out, we could pssibly have.

Pray that SCOTUS slams OBSCARE, and we get someone in the Peoples House that will change theses fascistic/Dictatorial  laws.

Because as God is my witness they like the OBScare Laws, are UNCONSTITUTIONAL, with the exception of a MAJOR NATIONAL EMG.

We have an Event Horizon on his watch, your ass, and all you own, are belong to THEM.

Tue, 04/03/2012 - 16:03 | 2314405 nobusiness
nobusiness's picture

The cash on the sideline can cover that and still go into the market to by AAPL and PCLN

Tue, 04/03/2012 - 16:03 | 2314407 centerline
centerline's picture

But Krugman says debt doesn't matter!

Tue, 04/03/2012 - 16:43 | 2314544 Vince Clortho
Vince Clortho's picture

If Debt is good, then more debt is even better.

Therefore, $30 Trillion in debt means unbelievable prosperity; Dancing in the streets; a new golden age.

And to think we owe it all to the Central Bankers who are responsible for carefully guiding mankind to this destination.

Tue, 04/03/2012 - 16:48 | 2314554 marathonman
marathonman's picture

Nice use of sarcasm.

Tue, 04/03/2012 - 17:59 | 2314728 sof_hannibal
sof_hannibal's picture

"You have a kind of sick desperation in your laugh."

Tue, 04/03/2012 - 16:04 | 2314413 LawsofPhysics
LawsofPhysics's picture

When is the jubilee?

Tue, 04/03/2012 - 16:22 | 2314472 pods
pods's picture

Yep, we are going to take a world mulligan, with a supranational currency to boot.

Boot is fitting, cause that is what is on our collective necks.


Tue, 04/03/2012 - 21:00 | 2315151 WonderDawg
WonderDawg's picture

No jubilee without a revolution. TPTB own all the debt, so you think they're just going to let it slide? I very strongly doubt it. Maybe after the upheaval, but not before.

Tue, 04/03/2012 - 16:04 | 2314414 Sudden Debt
Sudden Debt's picture

Putting it all in perspective...
During the reagan period there where 33 million people in poverty in the US, now, 30 years later its' 49 million but with a eaqually larger population.

The US is down to the 80's standard and dropping fast. 70's here we come!

Tue, 04/03/2012 - 16:22 | 2314471 ATM
ATM's picture

You mean the 1870's right?

Tue, 04/03/2012 - 16:24 | 2314486 pods
pods's picture

Chart like that could mean 70's, as in 70 AD.


Tue, 04/03/2012 - 18:17 | 2314782 TheFourthStooge-ing
TheFourthStooge-ing's picture

Watch out for the Vesuvius pop in 79.


Tue, 04/03/2012 - 16:05 | 2314417 Cursive
Cursive's picture

The CB's can't print their way out. Every attempt to inflate the left side of the ledger also inflates the right side of the ledger.

Tue, 04/03/2012 - 16:08 | 2314425 SheepDog-One
SheepDog-One's picture

And retail was supposed to come buy it all off their hands, and thats not happening either. 

Tue, 04/03/2012 - 16:08 | 2314426 YesWeKahn
YesWeKahn's picture

No problem, it simply means that Bernanke has 30 trillion to print.

Tue, 04/03/2012 - 16:09 | 2314431 SheepDog-One
SheepDog-One's picture

GEE will ya look at that horror story....FED said 'No QE3' and the DOW plunged a whole -60 points.....NAH its not all just a total fabrication or anything!

Tue, 04/03/2012 - 17:21 | 2314629 boogerbently
boogerbently's picture

Statement made.

Shake it off.

Up 120 tomorrow.

Tue, 04/03/2012 - 16:10 | 2314433 monopoly
monopoly's picture

That looks like 30 Trillion to me. That is real monopoly money. Thank goodness we have AAPL to hold up the entire Western financial world. They give me that warm and fuzzy feeling, just hold your new I pad close to your heart and all will be well. 

Tue, 04/03/2012 - 16:19 | 2314464 penexpers
penexpers's picture

Dude, that's a health risk... so not cool.

Tue, 04/03/2012 - 16:26 | 2314490 pods
pods's picture

Look at the Apple long term non log chart.

The Dukes of Hazard would not jump off that ramp!


Tue, 04/03/2012 - 16:39 | 2314533 Temporalist
Temporalist's picture

Boss Hog Barnankie will get his PD (primary dealer) sherrifs to jump that ramp by ordering them to.

Tue, 04/03/2012 - 16:35 | 2314523 dwdollar
dwdollar's picture


Tue, 04/03/2012 - 16:10 | 2314437 blu
blu's picture

There was nothing wrong with Mesopotamia. That was Bronze Age living at its finest.

This time around, we'll have Facebook and iPads. Winning.

Tue, 04/03/2012 - 17:58 | 2314724 The Disappointed
The Disappointed's picture

'Turn your watch back, turn your watchback about a hundred thousand years'

'I'll meet you by the third pyramid'

The B-52s had it right thirty years ago.


Tue, 04/03/2012 - 16:14 | 2314451 monopoly
monopoly's picture



AT&T could see 40,000 wireline employees walk off the job Sunday morning if the union can't reach an agreement with the telecommunications giant for a new contract. 11:44 AM


Nothing like another union to bring us all together to create jobs.


Tue, 04/03/2012 - 16:17 | 2314462 penexpers
penexpers's picture

ANOTHER chart? Fuck, man... I can't take this anymore.

Panem et circenses, Panem et circenses, Panem et circenses...

Tue, 04/03/2012 - 16:22 | 2314475 SheepDog-One
SheepDog-One's picture

When in doubt, roll the chicken bones again and read the tea leaves. LOL bottom line we're fucked...tomorrow, next month, next year....all the same we're fucked big time.

Tue, 04/03/2012 - 17:13 | 2314616 Zymurguy
Zymurguy's picture

so who is junking SheepDog?  C'mon, stop just junking and reply/comment... let's hear your side of the story.  Otherwise stop fooking junking!

Tue, 04/03/2012 - 17:34 | 2314660 King_Julian
King_Julian's picture

Aliens...Game over man



Tue, 04/03/2012 - 16:24 | 2314484 jal
jal's picture

The present printing is being done to replace the loss of cash flow.


When, if ever, the printing is used to increase the income of individuals, we will see hyper inflation. 


If the individual has no income then he cannot do any purchases and the seller cannot do any selling.


If the seller wants/needs to get some "cash" then he must sell at lower prices or at below cost.

That's where I would buy if I had cash.

Tue, 04/03/2012 - 16:24 | 2314488 Dr. Engali
Dr. Engali's picture

Ah my one chart that explains it all to file with all my other one charts that says it all file.

Tue, 04/03/2012 - 16:25 | 2314489 Agent P
Agent P's picture

Massive printing and inflation ahead, that explains why 10yr rates for Japan, US, Germany, and the UK are at 1.03%, 2.29%, 1.80%, and 2.17%, respectively...wait...WTF?

Tue, 04/03/2012 - 16:28 | 2314503 blunderdog
blunderdog's picture

Quoting a previous poster: "That's a lot of taxes."

Tue, 04/03/2012 - 16:29 | 2314504 chunkylover42
chunkylover42's picture


Try a logarithmic chart and see if that looks any better.  No?  Shit, we're screwed.

Tue, 04/03/2012 - 16:31 | 2314516 BrokeDayTrader
BrokeDayTrader's picture

These thugs on Wall St. keep u-turning the tape

One day this skullduggery is going to result in an epic fail!

Tue, 04/03/2012 - 16:48 | 2314555 SheepDog-One
SheepDog-One's picture

Yeah I keep hearing about how theyre going to stage a 'crash', then they can 'print'....well if its so easy then why cant they let the DOW fall even 50 points? I think they know if the markets fall for any real amount it sets off a worldwide panic theres no way they can control. 

Tue, 04/03/2012 - 16:56 | 2314571 Dr. Engali
Dr. Engali's picture

I agree. I think that if there is any volume to the downside it will cascade pretty quick. They will try to walk it down like the last two years. Trouble is the higher it gets the more fumes the thing is running on and we all know that it's the fumes that starts the combustion.

Tue, 04/03/2012 - 17:04 | 2314593 Winston Churchill
Winston Churchill's picture

Waiting for the Facebook IPO ,last trash for cash float,

and then.................

Tue, 04/03/2012 - 16:58 | 2314577 Dr. Engali
Dr. Engali's picture

There's only one thing to do at this point... Start a big war.

Tue, 04/03/2012 - 17:17 | 2314624 sunny
sunny's picture

OK, given that everything written in the article is true.  Given that all the central banks go bananas and print away the tens of Trillions and all the debt is paid off with worthless fiat currency and everyone is debt free....then what? 


Tue, 04/03/2012 - 18:10 | 2314763 The Disappointed
The Disappointed's picture

Pennies from Heaven! Or maybe FRNs from helicopters?

Tue, 04/03/2012 - 17:22 | 2314632 alfred b.
alfred b.'s picture


  Reading the FOMC minutes is like reading mythical tales of knights, fairies and goblins from the 12th century!   Do you really believe that the fed will jot down what they REALLY think??  The fed just spews out this crappy dialogue to get some well-rehearsed has nothing to do with reality!   You guys are giving that ship of fools way too much credit...they are left with only one tool and that is to PRINT to infinity.





Tue, 04/03/2012 - 17:38 | 2314673 King_Julian
King_Julian's picture

We will know we are fucked when "Jeopardy" adds another zero to each category.

Tue, 04/03/2012 - 18:20 | 2314787 The Disappointed
The Disappointed's picture

And every catagory on Jeopardy is.....wait for it.....


Tue, 04/03/2012 - 17:29 | 2314649 metaforge
metaforge's picture

Looks like a debt stiffy to me!

Tue, 04/03/2012 - 17:40 | 2314661 Virot
Virot's picture

The question that I have, what can an average Joe like me do to protect himself?

Is buying silver, a boat and guns the only way?

Tue, 04/03/2012 - 17:43 | 2314681 King_Julian
King_Julian's picture

Food. Maybe land. Diversify away from paper. Seems that most here think there needs to be a crash before printing really gets going. You could wait for that and buy shit then. At that point who knows how long we've got until the press goes into overdrive?

Tue, 04/03/2012 - 17:47 | 2314694 Virot
Virot's picture

Land?  Hmm... Where though?  I hear South America is interesting.  Althougth I like the little balkan countries too.

Tue, 04/03/2012 - 17:44 | 2314683 aerial view
aerial view's picture

yes, "Bubbles" Benny who is  better known as "The Inkjet" will continue to print until the biggest debt bubble the world has ever known pops resulting in hyperinflation and severe pain for the clueless masses who were unfortunate to live during the decade of ignorance and arrogance: hallmarks of their psychopathic masters. As one terrified woman exclaimed to me the other day: "if there is a God, it would be a good time to show himself!"

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