This page has been archived and commenting is disabled.

Uncle Sam To The Rescue After All: Latest Rumor Sees €600 Billion Bailout Of Italy From US, Pardon IMF

Tyler Durden's picture





 

The European desperation is palpable ahead of the EURUSD open in a few hours, which has to deal with the aftermath of the Friday afternoon downgrade of Belgium, the junking of Portugal and Hungary, and the prospect of an imminent downgrade of AAA-stalwarts Austria and France. So what does Europe do instead of actually proposing the inevitable debt repudiation that is the only and final outcome? Why more rumors of course. To wit: last night saw the preannouncement of Welt am Sonntag indicating that in order to bypass the lengthy process of treaty changes, Europe would instead proceed with bilateral agreements that would somehow enforce fiscal stability and convince the market that European states would follow the German leader. Well since that is sure to have absolutely no impact, overnight Italian La Stampa is out with a fresh new rumor which cites "IMF sources" according to which the US-headquartered and funded organization would provide a €600 billion loan to Italy at 4-5%. In other words, Uncle Sam, in his role as primary funding agent of the IMF would lose massive amount of money on the "market to fair value" arbitrage, only to bail out the latest European domino. As a reminder, the whole "under market rates" loan from the IMF was implemented in Greece and worked out just swell: at last check the 1 Year Greek bond was trading with a yield of over 300%. Oh, and La Stampa forgot to mention one thing: any changes to the IMF, which currently is massively underfunded and is why the organization was forced to create two new liquidity facilities: a Precautionary and Liquidity Credit line, since it is unable to fund its New Arrangements to Borrow, have to go through US Congress when it comes to expanding funding capacity. Yup, the most dysfunctional, corrupt and criminal thing in the world - the US House of Representatives, where unless everyone is short Italian CDS, this will never pass. In other words: this rumor is dead in the water.

More from Dow Jones:

The International Monetary Fund could offer Italy between EUR400 billion and EUR600 billion in financial support to give Italian Prime Minister Mario Monti a window of 12 to 18 months to enact reforms sufficient to restore waning market confidence in Italy's ability to repay its debt, Turin daily La Stampa reported Sunday, citing IMF sources.

 

he IMF "Italy package" would consist of loans at an interest rate of between 4% and 5%, compared with the 7% to 8% the country paid at its most recent bond auctions, the report says.

 

La Stampa reports that the worsening European debt crisis, which has increased pressure on French and Belgian bonds, and seen a German bund auction undersubcribed, is strengthening the conviction at the IMF that Italy is the nation that urgently needs support to avoid a breakup of the euro.

 

The IMF wants to give Monti another card to play if his reforms are insufficient to dispel financial speculation, the paper said.

The size of any IMF bailout for Italy would be so large that it must be done in coordination with other insitutions, La Stampa said.

 

Germany has been against any broadening of the European Central Bank's purchases of Spanish and Italian bonds on the open market to support prices. But German resistance to ECB bond-buying could fade if such funds were extended with oversight from the IMF, La Stampa reported.

As for the facts...

The IMF board of governors agreed December [2010] to roughly double quotas from around $375 billion to around $750 billion. But out of the 187 member countries, only 17 have legally accepted the increase, including Japan, the U.K. and Korea. Most of the countries with the biggest quotas, such as the U.S., China and Germany, haven't yet gone through the legal process, such as parliamentary or congressional approval, need to hand over their promised dues.

 


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Sun, 11/27/2011 - 11:17 | Link to Comment apberusdisvet
apberusdisvet's picture

Who couldn't see this coming?

Sun, 11/27/2011 - 11:18 | Link to Comment Rakshas
Rakshas's picture

...jinx...

Sun, 11/27/2011 - 11:33 | Link to Comment WonderDawg
WonderDawg's picture

If this was a solution, why did it take them until now to figure it out? It's yet another attempt to soothe the market with rumors. What will the half-life be on this one?

Sun, 11/27/2011 - 11:41 | Link to Comment Roger O. Thornhill
Roger O. Thornhill's picture

I've used the rumors as a trading tool. Figuring to get a few days in one direction from them.

And it is true, the half life of this kind of "news" gets shorter and shorter. Most of my hedges are in place for the next part of the game, so it doesn't matter now. In this environment even being partially prepared is better than not at all. Very important to be personally hedged - need I even say it?

Sun, 11/27/2011 - 11:46 | Link to Comment WonderDawg
WonderDawg's picture

Agreed. Gotta stay nimble. Tricky, though, trying to time the moves. Gotta learn to think like a criminal.

Sun, 11/27/2011 - 12:00 | Link to Comment Roger O. Thornhill
Roger O. Thornhill's picture

Exactly. It is so strange to trade on the lies of the criminals running this mess. My trading used to be based on the quality of the company and their sales, and it would take a month or so for a trade to play out.

Now it is just trying to weed through the astonishing lies. And that is the significant change we have in markets. It's why I came to believe this is going to blow up. I've been alive long enough to see that the markets in general are now totally run on stunningly epic lies & nonsense.

Sun, 11/27/2011 - 12:32 | Link to Comment Manthong
Manthong's picture

"Who couldn't see this coming?"

LOL -- Very first thought after seeing headline.

But if the Fed is a private bank with substantial European ownership (that just happens to print our currency) what is to stop them from loading up their balance sheet with reserves from the whole EU?

In that sense, isn't the US goverment just a customer?

 

Sun, 11/27/2011 - 12:53 | Link to Comment rufusbird
rufusbird's picture

"In that sense, isn't the US goverment just a customer?"

So, if the Fed like MF Global, looses their ass on European Bonds who pays?, their Customers? as in MF Global's customers? So, is their customer the Primary Dealers and banks? No they are the Fed's Directors, that leaves who? Only one customer? No you got to be shitting me! It's me? No no! it is you and you and You!

Sun, 11/27/2011 - 14:08 | Link to Comment Manthong
Manthong's picture

That's what I mean..

The US government is the proxy for us, and as such, IS RETAIL.

Unfortunately, the politicians are the proxy for the banks.

Sun, 11/27/2011 - 19:34 | Link to Comment IBelieveInMagic
IBelieveInMagic's picture

It is so outrageous that it is surely to happen!

Sun, 11/27/2011 - 12:27 | Link to Comment Stack Trace
Stack Trace's picture

Exactly!!

Been trading this way as well. Only to pull out more Fiat and buy more Physical gold. Thanks to these asswipes I have picked up another 20oz of bullion since September and 100oz silver. I hope prices drop more.

Been reading books on post collapse societies and survival skills, upped my physical training, buying emergency supplies, and trying to get friends and family ready. Been tough waking people up but I see it happening.

My wife has started a food garden, we are shopping for additional home defense, planning ways to get family centrally located, etc.

My wife was originally stationed in Egypt while in the military. She knows what a dysfunctional society looks like. She thinks we are collapsing now.

Sun, 11/27/2011 - 15:45 | Link to Comment RockyRacoon
RockyRacoon's picture

Wonder could I get your wife to talk to mine?

Sun, 11/27/2011 - 12:52 | Link to Comment Sockeye
Sockeye's picture

Why does china get away with such a small IMF quota?
http://www.imf.org/external/np/sec/memdir/members.aspx

Sun, 11/27/2011 - 13:04 | Link to Comment Nobody special
Nobody special's picture

They don't. USA is paying a greater bill, but dear Benny only has to hit the magic button to generate that money.  China has to earn what they contribute.  In essence, China is the one paying more.

Sun, 11/27/2011 - 14:01 | Link to Comment MolotovCockhead
MolotovCockhead's picture

And it's the US corporations that are ripping in the profits when IMF proceed to their next stage NWO agenda.

Sun, 11/27/2011 - 11:43 | Link to Comment Zero Debt
Zero Debt's picture

Multiple bounces will not resurrect the cat.

Sun, 11/27/2011 - 14:36 | Link to Comment bigdumbnugly
bigdumbnugly's picture

it will until cat has bounced for the ninth time.  are we there yet?

Sun, 11/27/2011 - 20:14 | Link to Comment Manthong
Manthong's picture

Algos know how to dribble cats.

Sun, 11/27/2011 - 11:51 | Link to Comment knukles
knukles's picture

If ya can't soothe 'em with rumors, just fuckin' Print More.
Like to solution to all golf problems: Swing Harder
(right Dawg...  And hoping you had a good holiday)

What amazes and I sincerely mean amazes, in awe, numbed by the audacity and ignorance, is that the charade yet continues.
Why even the Economist, official high brow publication du jour of the NWO is suggeating (finally) the demise of this oddity.  And when the Economist throws in the towel to at least retain an appearnace of intelligence and adult demeanor, it's the veritable swan song.

Print More
Jesus.

Getcher yellow metal, step right up, hurrahy hurrahy hurrahy... 

Sun, 11/27/2011 - 13:54 | Link to Comment macholatte
macholatte's picture

Why even the Economist, official high brow publication du jour of the NWO is suggeating (finally) the demise of this oddity. 

 

My guess is that we will see more such disclosures/leaks/opinions on MSM, which might have the effect of dampening a panic when TSHTF, as well as indignation and arrogant denials from bureaucrats on high (Merkell, Sarkozy, etc) and then the blame game in full bloom. But with GS in firm control of the EU and USA you can bet the can kicking will continue until GS decides to miss a kick or, more likely, change cans.

Going to get more popcorn from my garden, milk the cow and make some butter and ferment some potatoes to make some vodka. 

Sun, 11/27/2011 - 11:54 | Link to Comment ArkansasAngie
ArkansasAngie's picture

Just whom in the open market thinks that this will sail through CONgress.  This has no half life. 

Because ... if it were to be true ... what? 

I'll be writting my representatives.  There are negative consequences to them continuing to act in their best interest not ours.

Sun, 11/27/2011 - 12:40 | Link to Comment jcaz
jcaz's picture

...Because it really takes them THIS long to make a move....

My biggest problem trading this noise is trying to remember that these are slow, stupid ships trying to turn in these waters, and something like Zero Hedge is so far ahead of the game that it's easy to second-guess some pretty inevitable information.....

The idiots in Congress will be trying to "sooth" the markets when they've already melted down.....

Sun, 11/27/2011 - 17:38 | Link to Comment CPL
CPL's picture

Food, gold, silver and lead are the hedges now.  Or if you have the storage capacity...Oil.

Sun, 11/27/2011 - 19:57 | Link to Comment tumblemore
tumblemore's picture

"If this was a solution, why did it take them until now to figure it out?"

They wanted to bounce Germany into doing it through crisis-maximizing.

Sun, 11/27/2011 - 11:46 | Link to Comment DormRoom
DormRoom's picture

The ogligarchs will monetize on the back of the 99% to ensure the continuity of their power.  It will only lead to high-hyper inflation, and greater income disparity between the 99% & 1%, and further agitation between the BRICs & the West.

 

But it will give them time to convert nations into police states.

 

It'll be interesting to see how China & Russia vote on this IMF plan.  And will the IMF (taxpayers) bail out Spain too?

Sun, 11/27/2011 - 11:54 | Link to Comment Tijuana Donkey Show
Tijuana Donkey Show's picture

Time to convert? We're 10 years in! This will attach to something involving Syria/Iran/War thingie, and pass with a flag on it's ass. US corporations cannot have the failure of their off-shore, bottom line pumping, tax dodging network, so the US Chamber of Commerce will get this through Con-gress, leaving the rest of us feeling like a 10 year old in a Penn State shower room. 

Sun, 11/27/2011 - 12:19 | Link to Comment sabra1
sabra1's picture

i call dibs on the cheerleaders shower room!

Sun, 11/27/2011 - 11:57 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

'It'll be interesting to see how China & Russia vote on this IMF plan.  And will the IMF (taxpayers) bail out Spain too?'

That whole IMF being an international organization facade has been uncovered as bullshit for some time now. I suggest the work of Ha-Joon Chang. Be real, this ain't Yahoo, the IMF is and has been a tentacle of the banking cartel so Russia and China can't really co-opt that organization. You can say with certainty that they aren't influential enough ... yet.

Sun, 11/27/2011 - 12:03 | Link to Comment DormRoom
DormRoom's picture

true.. but my thesis is how Western laissez faire monetization will upset the BRICs, and lead to future hostilities (currency wars).  So if China & Russia vote no on the IMF plan it will support this thesis.  If they vote yes, then it would falsify it.  Which is why I'm interested to see how they vote.

Sun, 11/27/2011 - 13:58 | Link to Comment macholatte
macholatte's picture

... in order to bypass the lengthy process of treaty changes, Europe would instead proceed with bilateral agreements...

 

Votes? We don't need no stinking votes!

Sun, 11/27/2011 - 12:02 | Link to Comment Everybodys All ...
Everybodys All American's picture

The dead mobster floating in the St. Lawrence.

Sun, 11/27/2011 - 13:37 | Link to Comment Teamtc321
Teamtc321's picture

"n other words: this rumor is dead in the water."

 

Good. Enough is enough already. 

Sun, 11/27/2011 - 19:50 | Link to Comment bigun
bigun's picture

bernake, "well, since the europeans wont use their bazooka, i guess we'll have to use ours!"

Sun, 11/27/2011 - 11:17 | Link to Comment Rakshas
Rakshas's picture

...didn't see that coming...

Sun, 11/27/2011 - 11:21 | Link to Comment Mae Kadoodie
Mae Kadoodie's picture

No jokes about Monti and cards.

Sun, 11/27/2011 - 11:45 | Link to Comment Hedge Fund of One
Hedge Fund of One's picture

"No jokes about Monti and cards."

 

Ah Nuts! :-)

Sun, 11/27/2011 - 12:24 | Link to Comment holdbuysell
holdbuysell's picture

It's actually IN the Dow Jones article:

"The IMF wants to give Monti another card to play."

Sun, 11/27/2011 - 11:25 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

It may or may not be dead in the water but it certainly reeks of desperation. These rumors are brilliant, they're like a windsock telling in which direction the wind is blowing. So what can we deduce from all this? Germans remain stubborn, the cartel continues to come up with extortion schemes. On it goes...

Sun, 11/27/2011 - 11:46 | Link to Comment Hedge Fund of One
Hedge Fund of One's picture

If they would have applied to the crisis itself half the creativity that they have had to use to come up with these rumors, we might have actually had a viable solution ... 

well, one can wish ...

 

Sun, 11/27/2011 - 12:00 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

By 'viable solution' I can only assume that you mean the only one when you have a solvency problem: Default.

Sun, 11/27/2011 - 13:04 | Link to Comment rufusbird
rufusbird's picture

Sounds more and more like evermore desperate attempts to avoid triggering a Credit Default event!

Swaps anyone? What happens when a small one is triggered and everyone else tries to cover? Better stand close to the doors...

Sun, 11/27/2011 - 13:46 | Link to Comment Hansel
Hansel's picture

Maybe it already started.  That $88 billion the Fed just doled out to an "other" could include the IMF.

Sun, 11/27/2011 - 18:35 | Link to Comment unununium
unununium's picture

+6 trillion.

According to the ZH article, Other indeed includes the IMF.

Sun, 11/27/2011 - 11:22 | Link to Comment LookingWithAmazement
LookingWithAmazement's picture

Italy saved, euro saved, bye bye "crisis". Told you soooooo for many months. Merry Christmas and a happy euro-2012.

Sun, 11/27/2011 - 11:30 | Link to Comment BW
BW's picture

This is getting too easy.

Sun, 11/27/2011 - 11:34 | Link to Comment Mike2756
Mike2756's picture

Then the u.s. 30yr is toast.

Sun, 11/27/2011 - 19:47 | Link to Comment bigun
bigun's picture

us 30yr will never be toast as long as bernake owns the printing press

Sun, 11/27/2011 - 11:35 | Link to Comment Rakshas
Rakshas's picture

So then, Sante Clause isn't coming this year?

 

Euro-Biotch.....

Sun, 11/27/2011 - 12:22 | Link to Comment Instant Wealth
Instant Wealth's picture

If you're a Euro-Bitch shorting the market, Santa might be coming twice this year.

Sun, 11/27/2011 - 12:19 | Link to Comment fuu
Sun, 11/27/2011 - 13:20 | Link to Comment kito
kito's picture

spain: daddy, daddy its not fair!!! why does italy get so much for the holidays!! i want a 800 billion dollar bailout tooo!!!!

 

Sun, 11/27/2011 - 11:26 | Link to Comment Mike2756
Mike2756's picture

Last sentence:

"Since Italy has a state budget better than other European countries it is reasonable to assume that these conditions the IMF would focus on two aspects: the need to reduce debt and increase growth."

Sun, 11/27/2011 - 11:26 | Link to Comment apberusdisvet
apberusdisvet's picture

I also have to laugh at the "need Congressional approval" bit.  Since when do the psychopaths need any approval?  The final agenda of the NWO cannot be forestalled by democracy; a rather quaint meme that got trashed long ago.

Sun, 11/27/2011 - 11:34 | Link to Comment john39
john39's picture

besides, we have seen over and over that the governments are almost totally controlled...   its all show.   all that AIPAC money gets a nice return in the form of total control.

Sun, 11/27/2011 - 11:28 | Link to Comment e2thex
e2thex's picture

The big story is France which has gotten little copy here. France is DOA in less than five years. People forget where England was before North Sea oil. An extensive list of what France manufactures is listed below:

Sun, 11/27/2011 - 11:37 | Link to Comment RafterManFMJ
RafterManFMJ's picture

An extensive list of what France manufactures is listed below:

 

Oh I don't know, I've been importing large amounts of French ennui for the past several years. Goes real well with a warm fire and a craft IPA.

Sun, 11/27/2011 - 11:50 | Link to Comment WonderDawg
WonderDawg's picture

+1 for squeezing "ennui" into a stinger.

Sun, 11/27/2011 - 11:54 | Link to Comment CrimsonAvenger
CrimsonAvenger's picture

Yes, and the prices on French goods are so low they're practically surrendering them to you!

Sun, 11/27/2011 - 11:53 | Link to Comment Spastica Rex
Spastica Rex's picture

I used to drive a Peugeot.

Sun, 11/27/2011 - 12:06 | Link to Comment RafterManFMJ
RafterManFMJ's picture

 

 

I worked with a guy who had a Le Car; every time he pulled up to a job site and shut it down, it's fan would continue to run heroically, trying to cool itself down.  Invariably someone would ask, "Hey Sam, what'd you do, put some extra quarters in it?"

And we'd all laugh uproariously, every time.  It was like the man owned a clown car.  I'm guessing even Yugo owners looked down on him.

Sun, 11/27/2011 - 14:11 | Link to Comment e2thex
e2thex's picture

Spastica

Bet you don't remember when they were down to five dealerships in America.

Sun, 11/27/2011 - 14:37 | Link to Comment Spastica Rex
Spastica Rex's picture

I was young, it was my parents' 1979 504 diesel sedan. It was actually a very satisfying car to drive, although s-l-o-w. Brilliant, simple design.

I don't really recall when they left the US. I think I must have been out of college - maybe around 1990? I do remember the last 405 turbos zipping around Seattle.

Sun, 11/27/2011 - 11:56 | Link to Comment Tijuana Donkey Show
Tijuana Donkey Show's picture

Porn, w(h)ine, and cheese. And I wager they don't wash their hands......

Sun, 11/27/2011 - 12:08 | Link to Comment Rakshas
Rakshas's picture

Politicians are testimony to the need for radical birth control measures.  

 

Really off topic: On the surface one might be given the impression that Norwegians and their apparent social leanings are better at basic math than their western counterparts - Wal-Mart inhabitants notwithstanding.  North Sea Oil; good example, Norway socialized their sector early on, basically taking the position "the oil is there if you want it but here is the price - the government sided with the unions and priced the cost of doing business accordingly. Offshore workers in the Norwegian sector work a 2-week on 4 week off schedule and get paid pretty damned well for it including social benefits. Yes Norway has relatively high taxes but probably not more than what Brits Yanks and Snow Niggers (Canadians) pay. So WTF does any of this have to do with anything - well not much really but given that offshore labor makes up such an infinitesimally small portion of the price of a liter (quart to you yanks) of gasoline 2(fuck all) is still hardly measurable at the pump.  However, 2 x the offshore workforce population working such a schedule doubles the income stream and doubles their onshore time to spend their after tax earnings which of course brings some level of inflation with it as all the knock on effects create jobs in the liquor retail, RV and ambulance sectors but it increases the overall number of folks available for financial ass rape… er… I mean financial instruments available to the government(s) and to reference Jeff Christian ….. like all financial instruments these are leveraged at 100:1  …..  In short these idiots gave away their North Sea, GOM and Tar Sand revenue stream for a blow job to the Big Oil set.  And I heard a rumor that BP/SHELL wouldn’t even spring for mouthwash for the dumb bastards….

 

Ok not much of an analysis but it’s better than a boot in the nuts with a frozen mukluk and it supports my theory that politicians should be relegated to the role of walking organ donors for the more productive serfs…..

 

Sun, 11/27/2011 - 11:29 | Link to Comment r101958
r101958's picture

Come on!....this is easy.......just change the rules........again.

Sun, 11/27/2011 - 11:31 | Link to Comment g speed
g speed's picture

 Restructure  ?? If Monti pays the debt the zeros disappear---- more deflation ---- these people are in lala land--  OK the plan is to deflate and have growth? right --I got it--sounds like a good investment for the US taxed ones.

Sun, 11/27/2011 - 11:33 | Link to Comment dwdollar
dwdollar's picture

It's amazing what Congress will vote for when they're scared into believing the system is about to fall apart and the positions they hold will no longer be consequential to the powers. That is, they will no longer receive bribes for their treasonous work.

Sun, 11/27/2011 - 11:34 | Link to Comment vipmoneymachine
Sun, 11/27/2011 - 11:41 | Link to Comment GMadScientist
GMadScientist's picture

a) It was 25 pound, not dollars (so about $40).

b) Does it really help if they end up in an arranged marriage and caste-driven society anyway?

Sun, 11/27/2011 - 11:41 | Link to Comment SheepleLOVEched...
SheepleLOVEcheddarbaybiscuits's picture

corruption is government intrusion into markets

Sun, 11/27/2011 - 11:41 | Link to Comment Haole
Haole's picture

“We know what to do, the problem is being re-elected after doing it.” - Jean-Claude Juncker

Sun, 11/27/2011 - 11:41 | Link to Comment Great Depressio...
Great Depression Trader's picture

So my ES contracts will be green as fuck in a few hours. As a reminder, went long at 1161 then 1153.

Sun, 11/27/2011 - 12:40 | Link to Comment Great Depressio...
Great Depression Trader's picture

To the stupid permabears that junked me, don't hate the player

Sun, 11/27/2011 - 11:42 | Link to Comment Sizzurp
Sizzurp's picture

While this may be a BS rumor, I would not be at all surprised if, at some point, Bernanke just fires up the presses and papers over the entire European problem.  I mean he is going down in flames anyway, so WTF right.

Sun, 11/27/2011 - 11:47 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Exactly, why should the BRICs really make an effort to kill the dollar's status as the world's reserve currency when the Bernanke is quite willing to do it for them.

Sun, 11/27/2011 - 13:49 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Hello BRICs?  If China really wanted the world's reserve currancy, they would be funding the IMF etc.  This is more evidence that the BRICs, like most of ZH, are quite happy to sit back and let the whole ponzi scheme collapse under it's own fraudulent weight.

Things are moving along much faster now, fucking bring it.

Sun, 11/27/2011 - 11:45 | Link to Comment hunglow
hunglow's picture

What do you expect? A hug...

Sun, 11/27/2011 - 11:48 | Link to Comment tim73
tim73's picture

Anyway, I kinda like GERMANIA! AND WE ARE GOING TO HIRE JEWS TOO THIS TIME! It is the fucking clones at the America we HATE!

Sun, 11/27/2011 - 11:46 | Link to Comment williambanzai7
williambanzai7's picture

You have to admit, it's more fun to own Italy than AIG.

Sun, 11/27/2011 - 11:48 | Link to Comment sabra1
sabra1's picture

only fun until italy's gold leaves through the back door!

 

 

Sun, 11/27/2011 - 12:03 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

You only backstop. You own nothing.

Welcome the technocrats now.

Sun, 11/27/2011 - 12:21 | Link to Comment disabledvet
disabledvet's picture

i keep trying to download that scene in the Star Wars VI where they're torturing the robots and the robots are screaming "noooooooo!" while they do it...but i can't find it for some reason.

Sun, 11/27/2011 - 11:46 | Link to Comment StrawberryBlonde
StrawberryBlonde's picture

Perhaps with so many dumb rumours floating around, the markets will trade on technicals for a change: http://strawberryblondesmarketsummary.blogspot.com/2011/11/biggest-thanksgiving-week-drop-in-s-500.html

 

Sun, 11/27/2011 - 11:46 | Link to Comment sabra1
sabra1's picture

more debt=risk on!

less debt=risk off!

i was worried there for a second!

OT:

http://www.infowars.com/cop-arrests-five-year-old-for-acting-out-in-school/

Sun, 11/27/2011 - 12:11 | Link to Comment Spastica Rex
Spastica Rex's picture

It was fun to read the comments on the Infowars piece. Some Jonsers hate black more than they hate the state.

Sun, 11/27/2011 - 11:48 | Link to Comment zippy_uk
zippy_uk's picture

17 green bottles sitting on a wall, and if one green bottle should accidently fall....

Sun, 11/27/2011 - 11:51 | Link to Comment tim73
tim73's picture

You are surrounded! We got IRELAND and WE GOT A PACT! Just surrender peacefully before you do anything stupid...

Sun, 11/27/2011 - 11:50 | Link to Comment Hedge Fund of One
Hedge Fund of One's picture

Under this rescue scenario, would a U.S. passport be good for one free romantic gondola ride in Venice?

Sun, 11/27/2011 - 11:56 | Link to Comment tim73
tim73's picture

Venice?! The Italian rip off thing? Real Venezians with 15th century are living across the bay, they just could not afford the rent anymore after 10th generation. Real sad. It is all Miami Vice there in Venice, power boats Italian euro trash.  

Sun, 11/27/2011 - 13:13 | Link to Comment xcehn
xcehn's picture

You're right, Tim. It's hard to even recognise Italy anymore, particularly compared to what it was like in the vibrant 60s.  Same for the rest of Europe, mostly.  I keep reminding myself that before long Europe will be predominately Muslim, and the U.S. predominately Hispanic.  That's going to really turn our world views upside down.

Sun, 11/27/2011 - 12:01 | Link to Comment Tijuana Donkey Show
Tijuana Donkey Show's picture

Free gonorrhea in Venice. Just watch for tainted canals, Bercuolini might have done the bunga bunga in all of the local canals. Second note, canal and anal are awful close.....

Sun, 11/27/2011 - 11:53 | Link to Comment Random_Robert
Random_Robert's picture

SDR's, bitchez....

 

SDR as in "Stealthily Destroy all Republics"

 

Remember, one world government will mean that we are only one popular revolt away from individual sovereignty.

 

Sun, 11/27/2011 - 13:53 | Link to Comment LawsofPhysics
LawsofPhysics's picture

"one popular revolt away from individual sovereignty."

 

Great point.  In truth we have had a one world government since the creation of the Fed, strenghtened by the U.N.  In reality, the BRICs are looking at it all and thinking, "fuck, do we really want to be part of all this?"  Think about it, a one world currency would mean China's currency floats whether they like it or not.  Without the current state manipulation (it is a communist country folks) in China on prices and capital, that population revolts big time.

Sun, 11/27/2011 - 11:53 | Link to Comment MaggieL
MaggieL's picture

So, this poster is saying that if the House wasn't "corrupt and dysfunctional" they'd be giving our money to bail out the Italians? 

 

Really?

Sun, 11/27/2011 - 11:58 | Link to Comment itstippy
itstippy's picture

Italy calls on the IMF to loan them money as lender of last resort, leading to Eurozone stabeelitee.  Bullish! 

Sun, 11/27/2011 - 11:59 | Link to Comment Pseudo Anonym
Pseudo Anonym's picture

the most dysfunctional, corrupt and criminal thing in the world - the US House of Representatives, where unless everyone is short Italian CDS, this will never pass.

it will not pass, but it will most likely happen.  What a great way for the hofjuden to steal Europe's gold - create worthless digits in lieu of money in cyberspace, make it impossible to repay via deflation and then declare all of gold stored in N.Y. hofjuden property.  Gotta give it to those Luciferian fuckers.  They know what they're doing because they have a long term plan; as opposed to everybody else..

Sun, 11/27/2011 - 12:08 | Link to Comment Schmuck Raker
Schmuck Raker's picture

Geez, I finally have a reason to hope FOR gridlock in Congress? Whodathunk.

Sun, 11/27/2011 - 12:12 | Link to Comment Everybodys All ...
Everybodys All American's picture

Bernanke and Geithner will go down in US history as a treasonous bastards. There is no way the American public should or can put up with either one for much longer. They are clearly over there heads at best and at worst are looking to destroy the dollar at all costs and your way of life. This path of continueally playing the hail mary course of action is utterly insane. The IMF is simply a Fed Reserve conduit and it's got to end.

Sun, 11/27/2011 - 12:14 | Link to Comment ioni
ioni's picture

Thank God for Uncle Scam.

Sun, 11/27/2011 - 12:15 | Link to Comment 10044
10044's picture

€600b for 4000 tons of italy gold...deal/no deal??

Sun, 11/27/2011 - 12:19 | Link to Comment XRAYD
XRAYD's picture

If the US was going to support this, "the source" would have informed the WSJ or the NYT, or even the FT.

 

But telling an Italian newspaper?

Sun, 11/27/2011 - 12:38 | Link to Comment ecowboy
ecowboy's picture

Exactly...haven't seen this *rumor* on wsj or ft this morning.

Sun, 11/27/2011 - 20:12 | Link to Comment tumblemore
tumblemore's picture

I'd have thought the odds on this being possible entirely legally to be roughly zero.

Sun, 11/27/2011 - 12:19 | Link to Comment disabledvet
disabledvet's picture

no fears! The Bernank is executing on his plan!
http://www.youtube.com/watch?v=35xQLfQXRmY&feature=player_detailpage

Sun, 11/27/2011 - 12:19 | Link to Comment M.B. Drapier
M.B. Drapier's picture

the US House of Representatives, where unless everyone is short Italian CDS, this will never pass

You say this as if it can't be arranged...

Sun, 11/27/2011 - 13:55 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Exactly, politicians are bought and sold every day.

Sun, 11/27/2011 - 12:24 | Link to Comment rambler6421
rambler6421's picture

New World Order baby!

 

libertarian86.blogspot.com

Sun, 11/27/2011 - 12:26 | Link to Comment ruffian
ruffian's picture

funny, on 11/24 at 23:18 Tyler posted " Euro Bailout Time of Death" ............I commented.....forget the ECB and EFSF, it's the FEDS WORLD. That the fed would bailout every individual, state. country.....everthing............got one negetive mark and one response......a song "its the feds world after all, its the feds, feds world". That was funny......anyone paying attension now? The FED will do the heavy lifting ( printing) the dollar is fucked..........Germany will not need to bail anything.....and if congress wont increase USA's IMF portion...the FED will monitize EVERYTHING............now do you get it kids

Sun, 11/27/2011 - 12:57 | Link to Comment Pseudo Anonym
Pseudo Anonym's picture

the shtadlan B. Shalom Bernookystein will print because europeans were/are idiots who trusted the hofjuden owned Fed store their gold in N.Y.  Now they (europe) will forfeit their only valuable assets for worthless digits created by luciferian whim

Sun, 11/27/2011 - 12:27 | Link to Comment rufusbird
rufusbird's picture

Yikes! The cans are getting bigger and bigger! They're huge!

Sun, 11/27/2011 - 12:39 | Link to Comment Lord Welligton
Lord Welligton's picture

So, the IMF finances the rollover of €600bn. The bondholders (banks) are made whole on their Italian debt.

The ECB comes up with some "Structural Readjustment Fund" to achieve a balanced budget.

And the money comes from where again?

Sun, 11/27/2011 - 20:14 | Link to Comment tumblemore
tumblemore's picture

bernanke's butt

Sun, 11/27/2011 - 12:45 | Link to Comment Eireann go Brach
Eireann go Brach's picture

Congress approval is now at an all time low of 12% among Americans...that is just shocking! Because just who the fuck is the 12%?...Kenyan immigrants?

Sun, 11/27/2011 - 13:14 | Link to Comment rufusbird
rufusbird's picture

Financial Service industry employees.

Sun, 11/27/2011 - 12:46 | Link to Comment xcehn
xcehn's picture

This has always been about making sure the banksters squeeze every last drop of blood from the system before it implodes.  Strategic disinformation (lies), rumours, baiting, all to be expected before Monday's open--whatever it takes to keep the markets from plunging and delaying the inevitable collapse of the EU and Euro. This situation has always been out of control, and with Italy, it's more obvious than ever.

Sun, 11/27/2011 - 12:56 | Link to Comment sabra1
sabra1's picture

when the system implodes, every home, farm, hospital, will be owned by the banksters! those that aren't culled, will be left too weak to fight! it's time that we, the 99%ers cull the 1%ers! c'mon people, there are billions of us, hundreds of them! NOW! BEFORE THE WEAKNESS COMMENCES!!!

Sun, 11/27/2011 - 13:56 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Sorry, you need to remove the "bread and circuses" before anyone gets off their couch.

Sun, 11/27/2011 - 12:48 | Link to Comment ecowboy
ecowboy's picture

I wouldn't be surprised to see the futures actually open *LOWER* on this news...

Sun, 11/27/2011 - 14:18 | Link to Comment Smithovsky
Smithovsky's picture

ZH story about edx opening 40 pips higher on lies in 3..2..

Sun, 11/27/2011 - 12:55 | Link to Comment Snakeeyes
Snakeeyes's picture

Seriously, we have our own problems over here and bailing out Italy is plainly wrong. Millions have lost their homes in the U.S. and he housing market  stuck in a rut (despite all the resources thrown at it). And the FHFA Home Price Price Index continues to FALL. Somehow, the media only focuses on Case Shiller.

New Home Sales and Existing Home Sales Still Stuck in a Rut - Needs A Jump Start In The Economy

http://confoundedinterest.wordpress.com

Can we fix our problems first?

Sun, 11/27/2011 - 12:58 | Link to Comment sabra1
sabra1's picture

the oldidorks have no intention of fixing our problems, quite the opposite!

Sun, 11/27/2011 - 14:58 | Link to Comment itstippy
itstippy's picture

There is no bounce left in idiotic "U.S. housing fix" rumors, so we no longer get them.  Everyone finally understands that U.S. housing is FUBAR and anything the gov't does or tries to do will make things worse.

"Euro fix" rumors still pay off in bounce, so we still get them.  This latest fix rumor is just asinine.  Anyone who thinks having the IMF loan money to Italy because Italy can't raise money one their own is "bullish" for equities is a moron.  Yet equities will probably rise.  There are lots of morons out there yet who think the Euro situation can be fixed and then oversold equities will soar...

Sun, 11/27/2011 - 12:59 | Link to Comment Cursive
Cursive's picture

All we need now is for Obama to appear on TV at the Lincoln Memorial, holding a fiddle.

Sun, 11/27/2011 - 13:01 | Link to Comment no life
no life's picture

And Monsieur Lagarde is okay with all of this? Ready to sign of? Don't think so..

Sun, 11/27/2011 - 13:03 | Link to Comment onlooker
onlooker's picture

Funny money and imaginary bonds and inventive rumors become Fundamentals. Creativity Charting is next.

Sun, 11/27/2011 - 13:24 | Link to Comment Reptil
Reptil's picture

Voilà: Minister of Finance Jan Cees de Jager (of the Netherlands) hinting the IMF should step in. (coördinated rumour)
http://fd.nl/economie-politiek/704554-1111/de-jager-imf-moet-ons-redden

Funds contributed to the IMF by the Netherlands: 5,9 billion euro
http://www.rijksoverheid.nl/documenten-en-publicaties/kamerstukken/2010/11/25/overzicht-bijdragen-aan-het-imf.html

yeah the IMF has a funding problem, they say so themselves:
http://www.bbc.co.uk/news/business-15051883

Sun, 11/27/2011 - 13:21 | Link to Comment Georgesblog
Georgesblog's picture

This could be the beginning of the Fed's Waterloo. This is a good example of the foreign entanglements that we were warned about. It will bring the European debt contagion to the United States.

http://georgesblogforum.wordpress.com/2011/11/02/the-daily-climb-2/

Sun, 11/27/2011 - 13:23 | Link to Comment lunar
Sun, 11/27/2011 - 14:11 | Link to Comment slobbermut
slobbermut's picture

Wife and I been doing the same...don't forget the firearms friend - simple prudence to plan for, as much as your situation allows, the absolute worst case scenario.  If any loved ones are dependent on medications, be sure to try and secure a few months supply ahead of time.

Hopefully the worst case doesn't actually materialize......best of luck.

Sun, 11/27/2011 - 14:31 | Link to Comment PulauHantu29
PulauHantu29's picture

Bullish for PMs and oil.

Sun, 11/27/2011 - 14:50 | Link to Comment entropos
entropos's picture

Cue Franken Stein and 200 posts about Freemasonry...

Sun, 11/27/2011 - 15:05 | Link to Comment f16hoser
f16hoser's picture

So, what do I now own in Italy?

Sun, 11/27/2011 - 15:24 | Link to Comment The Big Ching-aso
The Big Ching-aso's picture

 

 

Cannoli.  Diluted version.   Now drink your dessert.

Sun, 11/27/2011 - 16:12 | Link to Comment raya123
raya123's picture

Wrong, oh ever bearish Mr.Durden, the extra needed IMF bailout funds are NOT coming from an expansion of IMF credit which would require Congressional approval, rather the plan is for ECB to provide the funds and funnel it through IMF as guarantor.

 

http://www.news24.com/World/News/IMF-readying-600bn-bailout-for-Italy-20...

Sun, 11/27/2011 - 19:13 | Link to Comment TheJokingJollyRoger
TheJokingJollyRoger's picture

Were all global citizens of the financial tyrannical powers that rule us now.

This is the total obliteration of all national sovereignty.

Tue, 11/29/2011 - 05:33 | Link to Comment ken
ken's picture

Accidenti! Maremma maiala Madonna puttana del eva! Che cazzi vuolete? Wow, where did that come from?

 

Tue, 11/29/2011 - 05:33 | Link to Comment ken
ken's picture

Accidenti! Maremma maiala Madonna puttana del eva! Che cazzi vuolete? Wow, where did that come from?

 

Do NOT follow this link or you will be banned from the site!