Treasury Leaks Worst Case Contingency Plan: Creditors Get Priority In Case Of Technical Default
Things are getting real. After all the bluffing, huffing and puffing by Geithner, the rating agencies, and anything with a pulse and a TV or radio pulpit has failed, the last trump card is coming down. While yesterday the Treasury informed that it would not disclose any details of its contingency plan, Bloomberg has just learned via a Treasury leak that the US government will give priority to bondholders. From Bloomberg: "The U.S. Treasury will give priority to making interest payments to holders of government bonds when due if lawmakers fail to reach an agreement to raise the debt ceiling, according to an administration official. The official requested anonymity because no announcement has been made. The Treasury has said about $90b in debt matures on Aug. 4 and more than $30b in interest comes due Aug. 15. Overall, more than $500b matures in August." And so it begins: while the Treasury has not yet pushed the big red flashing button, this leak is nothing but it latest and greatest bluff. It also means that America will, indeed default, next week, as the absence of a contractual payment is a default. And then we get into the fine print with the rating agencies whether or not X is default but Y is not. At that point however it won't matter: every form of intermarket liquidity will be permanently gone as Lehman will be a cherished walk in the park. Thank you Tim Geithner and your total lack of contingency plans.
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and I was getting worried
WTF are they talking about RAISING the debt cieling? They should be LOWERING it!!!
My plan -- an immediate end and withdrawal from Iraq, Afghanistan and Libya and decommission 1/2 million troops.
Completely shut, close and eliminate the Departments of Energy and Education on August 1st.
The remaiming Gov't agencies get a 25% across the board cut.
The debt ceiling is reduced to 14 Trillion amd we go from there.
bondholders get dibs.
sheeple slave taxpaying fools get thrown under the bus.
what else isn't new?
Generally in American families if the choice has to be made to buy food for aging grandma or making the credit card payments, the decision is made to buy food.
So if this is true then it is simple proof the Federal government is contrary to the wishes of Americans.
What next?
What next?
They actually do that, and we're going to have our "Norwegian" moment; probably in multiple places. We'll probably have a few assassinations of congress vermin as well--just for starters. These fucking politicians have really lost touch with reality; it's going to cost them everything if they persist, in my opinion.
Can't you just try to eat your peas? You haven't even tasted them.
we all know the common(shareholders) get ficked 1st
Of course.
Also, since government income in august is around 170billion and treasuries maturing (482 billion) + payments (300+ billion), isn't the US government about 600 billion in the red?
we all know the common(shareholders) get ficked 1st
Adjust your Federal Withholding accordingly. I have adjusted mine to assume the worst.
don't forget to eliminate TSA & Depts of ze Homeland Zecurite' and all the other redundant spy perv outfits...
leave the FBI & CIA.....Medicare part D? payback would be to nationalize the Pharmas.
Eliminate ALL CorpoRAT welfare...ALL of it
in fact, I've decided to run against Obammy as a Dem...Platform: ASAP withdrawal from Afghan/Iraqistan, closure of 70% of military bases abroad, the hiring of 2000 SEC enforcement officers overseen by Bill Black, (in fact, I'd put well known watchdogs/whistleblowers in charge of everything financial related-Head$ WOULD roll!)
I'd take just a fraction of the saved military-industrial spending and start a space race style alt energy/conservation program.
I'd means test all entitlement programs and impose Tariffs on ALL Corps, foreign and domestic, unless they MANUFACTURE in the U.S. (just like China does).
I'd sanction employers for hiring illegals, end H1B visa scams and corporate global wage arbitrage regimes.
I'd legalize pot...
But most of all, a Bananamerican admin would CLEAR the moneychangers out of the American temple....
What you gonna do about all the redundant military personnel? Blowback can be a bitch :(
given that "military personnel" are being paid to SERVE the(ir) nation, in his de-militarized scenario, those who chose to continue to be paid by the citizens taxed can be "deployed" rebuilding the crumbling infrastructure, assisting in urban farming towards local self-sufficiency, etc. - I'm sure there are MANY forms of service available, once relieved of the order to kill.
they can start by taking out the TRASH in the District.
What you gonna do about all the redundant military personnel?
We've got a southern border that needs protecting and a Great Migration of the Illegal Heard that need culling.
Duplicate
If you win the election I would request that you, by executive order, audit and wind down the FED, reinstate Glass-Steagall, and consider breaking up the TBTF banks aka hedge funds.
"I'll be back, and next time no more Mr. Nice" - Adolf
Very amusing, Bananaman. This would make a good comic strip -- satirizing the "real" politicians. You could debate Santa Clause, Easter Bunnie and Tooth Fairy. Or the evil Barney "Boner" Frank.
You forgot Commerce, FDA and DHS. Oh and FCC, SEC and CFTC.
NATO is already signalling defeat in Lybia.
Oh, and bureaucracies never die. That is one of those universal truths.
Meanwhile the rebels are being recognized as the "legitimate government" by TPTB.
This should end well...
Ok, so now that we have the debt ceiling taken care of under your plan.......Exactly what do we do with the hundreds of thousands of people that will now not have an income or a job to go to??
That's the problem with all of this.......you fix one problem and another one just pops up.
You can't fix stupid with stupid.
Families, cities, and states can figure out how to manage the disenfranchised masses. Federal gov must accept it has failed and revert back to its Constitutionally mandated scope. You can't fix stupid but you can spread it out to make it easier to slog through.
Dumping all the federal mandates and endless regulations would be the best thing that could happen for an American Renaissance.
Exactly what do we do with the hundreds of thousands of people that will now not have an income or a job to go to??
They can fend for themselves just lika all the other unemployed people.
Granted, they may not do well. But it's their problem.
LOL. I always love Social Darwinists. No. All those people will also be your problem. Or, at least, some of them. Remember, there is always someone out there with bigger guns and better training. ALWAYS. Yeah, when the come into your home looking for food, you may get a few of them. You won't get all of them. You will be dead, along with your family.
Or, you are walking down the street and someone gets the drop on you for the money in your wallet.
When people are starving, they do not care. One way or the other... the point being to avoid such a fate as death. And the first step to doing so... stop being a Social Darwinist who THINKS they are at the top of the food chain. Because you are not. You are near the bottom. Just like the rest of us... our lives are cheap.
It is cheap thinking like this among too many that doom Nations.
LOL. I always love Social Darwinists. No. All those people will also be your problem. Or, at least, some of them. Remember, there is always someone out there with bigger guns and better training. ALWAYS. Yeah, when the come into your home looking for food, you may get a few of them. You won't get all of them. You will be dead, along with your family.
Or, you are walking down the street and someone gets the drop on you for the money in your wallet.
When people are starving, they do not care. One way or the other... the point being to avoid such a fate as death. And the first step to doing so... stop being a Social Darwinist who THINKS they are at the top of the food chain. Because you are not. You are near the bottom. Just like the rest of us... our lives are cheap.
It is cheap thinking like this among too many that doom Nations.
Sorry, your scare tactics don't work. Lay off / furloguh / fire / terminate all those government leeches. Like yourself perhaps?
Ok, so now that we have the debt ceiling taken care of under your plan.......Exactly what do we do with the hundreds of thousands of people that will now not have an income or a job to go to??
That's the problem with all of this.......you fix one problem and another one just pops up.
You can't fix stupid with stupid.
This is fun! I pick DMV followed by Homeland Security!
While you're at it, raise the minimum wage to $55/hr, tax free, anyone that makes more than that is taxed 50% above $55/hr. CEO's and the like cap their pay at $1,000,000/yr... also taxed at the above rate. Tax corn for biodiesel growers at $0.01 per kernel, this will lower the jobless rate as so many more kernel kounters will be needed. Loan other counties money, just don't give it to them, if they default, we own their land! Fine American company's 1% of their gross yearly income for every illegal alien they employ. Hire Mr Trump as 1st in charge of Govt. employees and if he don't like you, guess what... "You're Fired!". If you're elected to any political position, and you're caught lying, The Donald get's to fire your ass. Ok, all this won't happen, just like the above will never happen.
Hahaha, that was pretty good!
+1 Corn Counter Barn/Subsidized Ethanol Plant
they don't have a choice...either we can slide down or crash down. Nobody is going to be doing well with a crash, so might as well slide. take as much as you can out of it for as long as you can
You know how you make a no power landing in plane at night?
You line up on what you think is an open field, and turn on the landing light. If you like what you see, you leave the light on.
so might as well slide. take as much as you can out of it for as long as you can
Yes, I believe that's the gameplan.
definitely the dept of energy. What a waste!!!
You want to see what the federal government funds, take a look at this!! http://www.usa.gov/Agencies/Federal/All_Agencies/index.shtml
I'm surprised they don't have a Dept of Everything Else to cover anything they missed
OMG! That is horrible! So MANY agencies and departments - holy CRAP!
Relax, many of those are sham agencies funded by the government. The money is then funneled to lawmaker's pet projects in their home districts. Both parties use these fake agencies to fund useless shit. Just another Demo-Republican-Tea scam. IIRC, some of those agencies have 0-1 employees.
Yeah, that worked real good last time around, too. In Iraq. A half million trained pissed off professionals betrayed by the powers that be, dumped into a shitty economy, and non job market. Prolonged a crappy little police action into 10 years of misery, and added to the ranks of the disaffected. Big time. Bring that lesson in statehood home to America, baby! Better, eliminate the top 40 percent of ALL government agencies - administrators are parasites anyway - it is always the low paid troops doing the real grunt work, so bureaucratic efficiency would improve, and budgets would go into surplus mode overnight.
400,000 pissed off ex-Iraqi troops. The moment I heard this... well, there are 400,000 more insurgents. Only a dumbass Conservative with dumbass Conservative lackeys voted into office by dumbass Conservative voters with absolutely no clue whatsoever about anything outside of their village, could have approved this monumental disaster of lameness.
Such boneheaded decisions like this thought up of in the mentally-crippled and retarded brains of those we call The Right, The Far Right, Social Conservatives, and Christians, of America are what dooms this Nation. That, and to a little less degree - Democrats.
The TeaTards? Corporate stooges. Untermensch.
More scare talk from Comrade Obama's staff
Of course.. Now repeat after me... Nothing is happening that TPTB don't want to happen.. This stuff really isn't even worth paying attention to.. Hell.. I must be bored..
OT
Can we put together a volunteer civilian force to conduct military ecercises with in the Streets of Boston?
These would be non-live fire exercises with our own guns so the military would get a better idea who they would be up against should the government enter the hot tyranny phase.
Really Max? Did the PTB expect happening their asses to be handed to them is 'sure thing' Libya? LIBYA DECLARES VICTORY OVER NATO? - YouTube
Obama IS scared, his Libya mission just fell to pieces. No gold for you Obama! LIBYA DECLARES VICTORY OVER NATO? - YouTube
Libya? The MSM stopped talking about it, so it no longer exists. That's like the nuclear disaster in Japan. Disaster? What are you talking about? That's such old news!!
I'd love to be in a poker game with all of these clowns. I'd rape them all blind.
By all means - save the bond holders!
What about the GM bond holders? No life saver there! Time for the fat cats to get a hair cut.
Yep...With this admin it's whatever is in their interest!
Fat cats get a hair cut?!?!?! Yeah and my wife's 32D tits are real on her 110 lb, 5'3" frame.
Here is the list, in order, that WILL get haircuts regardless of debt ceiling increase or not -
1. Fixed Income recipients. Checks will come, but they won't buy shit.
2. Federal Pensioners - Treasury has already raided that fund.
3. All savers of excess capital in the private sector (more fixed income recipients - 1% interest on bank savings with 10% inflation per year).
4. Anyone who buys food or gas (prices will go up as the fat cats are saved over and over again).
5. 401k IRA contributors. Nominal worth of retirement plans mean nothing, a real loses are masked by America's ignorance of true CPI and stock value.
The fat cats will keep the status quo alive and their survival is the reason for this politcal thater.
You should really visit Poland. The tits here that you describe can be seen for real... not only in Hollywood. Au naturale. One of the Polish magazines even did an issue with tits on the cover... with the caption, "Polish womens breast sizes get bigger."
Of course, some of the girls here are getting American sized. And that is in the last four years. Tesco alchemy-food.
Now, if that happens in Ukraine without the oversized weight gain? I'm there and married.
Can't leave bondholders like the Fed, who bought bonds with printed money, out to dry.
has anyone noticed the 1 and 3 mos libor creeping up?
A-UFCKING-MEN!!!!!
as mentioned before it sure is nice to have peace of mind with ye olde shiny sound investments under one's own lock and key. hat tip to those playing parlor games with paper.
they'll be coming for ya soon sonny....so make sure you wipe the drool and bodily fluids off your metal aphrodisiac.
I'm sure Webster's will have to redefine the definition man to, "how much precious metal needed to feel secure" bahahahaha
'Things are getting better, getting better all the time'
Maybe that's the long range plan: only pay interest to bondholders, and stop paying for everything else (military, homeland, agriculture, customs, border patrol, government salaries, ss/medicare, education, research). Just pay China, Saudi Arabia and others with capital loaned to the Treasury
Now that's what I call downsizing!!!
The Federal Reserve is sitting on $1.6 TRILLION as bond holders. The funything is that they bought the bond fraudulently by creating reserves on their balance sheet and then executing the trade. Ron Paul has it right, default on the Federal Reserve bond holders.
AND $5 trillion sitting fat dumb and oblivious in 401K's and pensions....anyone who thinks that wont be quickly molested is smoking a whole lot of that $20/gram sticky icky!
anyone who thinks that wont be quickly molested is smoking a whole lot of that $20/gram sticky icky!
O yeah! I know what I would do if I were Ben!!
+ 1g sticky icky for u
Just make the trillion dollar coins. That is sooo cool.
impossible it will cost more to make it then its worth
got to be paper
Give them a few years, that is what Eagles will go for.
They have already been made, just waiting for a price discovery to happen. Not long now by the looks of it.
They already exist. In the US they're called Eagles, in Canada Maples, in Austria Philharmonics, China Pandas, etc., etc., etc.
Already there!:
http://www.coin-rare.com/12-oz-silver-bars.aspx
Nothing surprises me anymore with this absurd govt. We are truly screwed.
Geithner's real contingency plan: Fake passport, suitcase of 500 Euro notes and a flight to somewhere with long sandy beaches.
I'd prefer 1000 Swiss Franc notes.
at that point, shit...maybe. Shares of Coca Cola or some other non worthless paper would work too
Cabana boys everywhere tremble in fear at the thought.
That is what American ex-pats are for... to find them. Wherever the crims may go.
:)
Joking.
Default on the Fed
HERE is whats REALLY going on behind all this hysteria and fluffery, NATO's mission to seize Gadaffi's gold is an utter *fail* as Libya declares victory, and NATO announces retreat.
Make no mistake, takeover of Libya was a HUGE part of going forward, and TPTB were just handed huge defeat. No gold for you, central banks...war defeat for TPTB and edge of collapse? This is the real story. Print up as many Trillion$ coins as you like tards, game over.
?LIBYA DECLARES VICTORY OVER NATO? - YouTube
Dang! Oh well, next stop Teheran...Booyah!
YES! Now lets pick up our wounded, bandage ourselves up from this ass beating, and take on Russia next! Buh-BOOYAAH!!
Warren Buffet sitting at Putin's desk at The Kremlin!
Mission Acc_ccc_COMplishED! BoooYAAAhaha
Whats the status of Libya's "frozen" $90 billion in foreign (US & Euro) banks? I'm thinking spent already by Timmay and Jean-Claude.
Leak my A**. Unidentified source -- yup, always is -- because the source is Claude Raines -- the invisible man -- NOBODY. This is just some *designed* 'leak' by someone like Goldman so they can encourage panic selling and scoop everything up on the cheap. And then when a deal is announced shortly thereafter, they make out like bandits.
Reporting rumors as *news* is wrong. Getting real? More like the opposite.
These D'bag politicians will eventually find there way from out of the darkness and into the light and reach a deal.
Time always marches on. How many people have called for 'the end of the world' over the years and been wrong? More times than I can count.
This is a great chance to buy the dip...then sell the news.
Your words are extremely seditious. We have your IP address: 10.10.101.2 and know your browsing behavior.
.
--You WILL Obey!
http://www.youtube.com/watch?v=dTOcAt44_QA
Figures, Glenn Beck pumper.
If you don't want to learn and benefit from the wisdom of one of the greatest Americans ever than don't read my GB posts. Simple.
When Glenn brokers the deal to have Israel backstop America I hope you are cut out of the deal as you have no interest in the greatest people on this globe helping Americans.
.
--You WILL Obey!
http://www.youtube.com/watch?v=dTOcAt44_QA
Hmm that's intersting, my IP address is the same and I didn't see the IP address conflict message!
http://www.acq.osd.mil/dsb/reports/ADA476320.pdf
.
--You WILL Obey!
http://www.youtube.com/watch?v=dTOcAt44_QA
Tin foil for the microwaves. Ever put a metal pot in the microwave? You don't want to do it.
We passed the point of return a couple days ago...hell last Friday was suppose to be the last day to get this all passed by August 2nd.. Why is the financial system not in ruin as the ZeroHEdge crowd keeps screaming for?