US "Pours Cold Water" On IMF Expansion Plans, Leaves European Bailout To Europeans

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Fri, 10/14/2011 - 22:36 | 1776118 holdbuysell
holdbuysell's picture

Someone in Europe better call HP. They gonna need the ultra super jumbo ink cartridges.

Fri, 10/14/2011 - 22:48 | 1776153 Ahmeexnal
Ahmeexnal's picture

Just when the weak hands had covered their euro shorts....


Fri, 10/14/2011 - 23:01 | 1776179 doomz78
doomz78's picture

The best phrase for this insanity is," It will work perfectly fine until it doesn't...  "  So true.  Once it doesn't I don't want to think of the endgame.  Maybe they will surprise me with a world bailout.  So I guess this bailout will buy more time?  But how much?  And can they make this fiscal monstrosity of a policy actually work even short term.  I know long term the game is over, this short term positioning is fun to watch. At times moronic. This is the new normal. lol  A new Bloomberg line.  What a farce. 

Fri, 10/14/2011 - 23:04 | 1776187 theXman
theXman's picture

I think Geithner was overriden by Obama. At the same time, Treasury is delaying report on China's currency manipulation while Hillary gives speech criticizing China for currency manipulation. Looks like Tim is going to be overridden again. He should resign immediately.

Fri, 10/14/2011 - 23:41 | 1776250 nope-1004
nope-1004's picture

A loser and a failure of a person has no clue what "resign" means.  Sociopaths don't resign, they get "asked to take on a higher position in another department", or so they tell everyone.

He won't acknowledge that he's a failure.  He will stay where he's at until some idiot blows him in the Treasury hallways so he can go on a book tour.  That's what professional nothings do.


Sat, 10/15/2011 - 09:19 | 1776727 Ghordius
Ghordius's picture

Outlaw "Funny Money"
Outlaw "the CDS complex" now

Sat, 10/15/2011 - 05:14 | 1776558 Everybodys All ...
Everybodys All American's picture

Think again. Obama is as uninformed as they come.

Sat, 10/15/2011 - 08:09 | 1776663 Bobbyrib
Bobbyrib's picture

Maybe Geithner remembered the way the Europeans treated him on his last trip.

Sat, 10/15/2011 - 15:05 | 1777312 Fíréan
Fíréan's picture


Guillotine for Giethner !

Sat, 10/15/2011 - 10:40 | 1776782 4horse
4horse's picture



Think again. Obama is as uninformed as they come.

...and again. Obama is as uniformed a toysoldier, le rouge et le noir, as any heretofore placed gamepiece on the grand chessboard


1913-                                                   check


positions everybody?  .  .  .  ok. PNAC. let's do this lookin like we've done it before


sound off,  1     2

brigades ready! and, marchingorders, again armegeddon, all deployed across the castlefloor in their redtunics,blackhats&erect rifles right down to each little individual rothschildt

sound off,  3     4

long positioned, preemptively, toward what for a quadrillion reasons was to inevitably be, first) not just another noisy budgetbattle but, bombs-bursting-in-air) an all-out for alltime worldwide moneywar



before, tabula rasa, and zero, WW



sound off:                   which, without www and the likes of zh, is where        -                                  we'd already be 

                                                           nyt,tv,king-of-all-media Slaughter





soundoff 1  2, 1  2,  WW 3 4

Sat, 10/15/2011 - 14:02 | 1777219 Fish Gone Bad
Fish Gone Bad's picture

What the fuck is that supposed to mean???  Let this be a lesson to anyone reading this, don't type shit for the world to see on a widely read site when you are high. 

Sat, 10/15/2011 - 16:02 | 1777435 4horse
4horse's picture



don't type shit for the world to see on a widely read site when, fish-gone-bad, you are long already-rotted from the head down


fgb to the bone

Sun, 10/16/2011 - 01:13 | 1778351 falun bong
falun bong's picture

OK...I'm backing up towards the door...reaching behind me for the sudden movements...frozen smile in place

Sat, 10/15/2011 - 08:15 | 1776671 Mike2756
Mike2756's picture

Nope, no more bailouts, the natives are restless. The EU tried taking the soft approach vs. the Bernank thermo-nuke bazooka and it's not gonna work.

Sat, 10/15/2011 - 00:01 | 1776289 FL_Conservative
FL_Conservative's picture

Not this cowboy!  Been averaging down all during the squeeze, since I know that house of cards was built on loose sands.

Sat, 10/15/2011 - 15:43 | 1777400 Randall Cabot
Randall Cabot's picture

Oct 15, 2011 2:16 PM ET


"We heard encouraging things from our European colleagues," Geithner told reporters after the meeting. "The plan has the right elements."

Fri, 10/14/2011 - 22:42 | 1776129 Mugatu
Mugatu's picture

Its time for the bill and everyone is acting like they are pulling for their wallet, but no one ever pulls the wallet out - classic cheapskate trick!

Fri, 10/14/2011 - 22:52 | 1776162 zorba THE GREEK
zorba THE GREEK's picture

Mugatu... That's the best time to go to the lavatory.

Fri, 10/14/2011 - 23:43 | 1776254 Hansel
Hansel's picture

Words can only hurt if you read them!  Don't listen to Mugatu!!!

Sat, 10/15/2011 - 07:39 | 1776637 Mugatu
Mugatu's picture

It's that damn Hansel! He's so hot right now.

Fri, 10/14/2011 - 22:41 | 1776132 navy62802
navy62802's picture

This is just for media consumption. Behind the scenes, you know Geithner is making promises like a little bitch.

Fri, 10/14/2011 - 22:53 | 1776164 BoNeSxxx
BoNeSxxx's picture

Yup... and we will find out what the promises were in late 2012 through a FOI request or a Congressional hearing.


Unless, of course, we find out earlier via pitchforks, tar, and feathers.

Sat, 10/15/2011 - 01:20 | 1776355 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Geithner loves spending American taxes to give to the Global Banking Houses.  So he is talking out of both sides of his mouth?  Nothing new.

Now if only Israel would bomb Iran already, then the banksters could get away with another bailout.

Sat, 10/15/2011 - 04:56 | 1776547 max2205
max2205's picture

Good God, love the ' G.A.D'. Learn to love the Bomb.

Sat, 10/15/2011 - 10:22 | 1776779 ptoemmes
ptoemmes's picture

If you can get past the head exlpoding setting of Liesman interviewing Geithner your head can explode during the interview.

At 4 Oct 2011 12:29PM ET

Exclusive Interview with Timmah

I'd excerpt, but I really don't know what to excerpt


At 14 Oct 2011 10:25 AM

US to Play 'Very Major Role' In Helping Europe: Geithner"


But at 14 Oct 2011 10:44AM appears to be an announcement related to this top post

US Rejects Plan to Strengthen IMF In Euro Zone Crisis


Finally, just a few minutes ago




Sat, 10/15/2011 - 15:20 | 1777338 Fíréan
Fíréan's picture

In the first interview Steve Liesman with Geithner , which you linked to above, he is very specific when refering to "us", "they", "them" etc., to cover himself himself and inform to whom his is refering, and yet he is not clear ( and neither am i as the reader ) to whom he is refering in this answer when he states that

TIM GEITHNER: Well, you know, basic rule of-- financial crises management is you want to make sure that you have a level of resources that are larger than the potential needs you face. And if markets see that then they'll have the incentive to continue to lend, invest-- take exposure to those countries. And so what they're trying to-- Europeans are trying to do is to find ways to increase-- to dramatically increase the effective financial capacity of their fund.

 STEVE LIESMAN: How big does that bazooka, so to speak, have to be? Canadian Governor Mark Carney said before he left for-- for Paris that he was looking for $1 trillion euros or more. Do you have a number?

TIM GEITHNER: No lots of ways to assess that. Again what the-- what you need is the clear commitment by the governments that they'll do what's necessary to hold us together and that they'll put as much resources behind this as is necessary. And you know, that's what they're trying to do.

Who is the "us" to whom he is refering in the context of that answer  ?

The european governments must must do what's necessary to hold us together ?

Fri, 10/14/2011 - 22:47 | 1776138 AldoHux_IV
AldoHux_IV's picture

The black hole that is our current global monetary/fiscal system is getting bigger and soon no one central banked sovereign will be safe from the event horizon.

Haven't we been effectively bailing out the insolvent European banks via the fed and it's dollar funding facilities? Through the veil of shits and illusions of central banking and emergency 'temporary measures' we've been throwing bailouts left and right and through our legs and even handing them out with no-look passes.  Of course by 'we' I mean the official 'we' and probably soon to be the dictator 'we'.

From all aspects: market reactions, politician rhetoric, policy-making goofs, and the idiotic pursuit of using debt to enslave more people under the already crushing size of existing debt-- this crisis has been one sad fucking joke.

Fri, 10/14/2011 - 23:04 | 1776185 Skid Marks
Skid Marks's picture


Where the IMF Gets its Money



IMF Members' Quotas and Voting Power, and IMF Board of Governors

Sat, 10/15/2011 - 07:04 | 1776623 DollarDive
DollarDive's picture

There are no more - independent governments.  The IMF is the ruler of the world.  They are the OZ behind the curtain, pulling the levers - making the deals - out of view from the sheeple.  World governments are really just puppets that are controlled by the IMF.  The puppet strings are loans made to the governments from the IMF.

Fri, 10/14/2011 - 22:44 | 1776139 legal eagle
legal eagle's picture

Intentionally Mad Fund

Sat, 10/15/2011 - 00:27 | 1776324 greased up deaf guy
greased up deaf guy's picture

this guy has great reflexes...

he must have been practicing the "duck and cover" for situations like this.

Sat, 10/15/2011 - 07:51 | 1776648 I only kill chi...
I only kill chickens and wheat's picture

Hell he even knew to check his right and left flanks, a true soldier of the banking industry.

Sat, 10/15/2011 - 08:14 | 1776669 Bobbyrib
Bobbyrib's picture

Being that it was Turkey, I wouldn't be surprised if no one heard from those kids ever again.

Sat, 10/15/2011 - 09:24 | 1776730 Esso
Esso's picture

Obviously gun control is working as intended in Turkey, unfortunately.

Fri, 10/14/2011 - 22:46 | 1776142 monopoly
monopoly's picture

This is never ending. Until it is over.

Fri, 10/14/2011 - 22:46 | 1776143 bigwavedave
bigwavedave's picture

Old news that came at lunchtime Friday not after the close. You must have been napping. (12:24:34 PM) Reuters: U.S. rejects plan to strengthen IMF in euro zone crisis


Fri, 10/14/2011 - 22:50 | 1776151 mfoste1
mfoste1's picture

It is very clear what is going on....the US will certainly bail out EZ. This will take course of every other bailout. They will argue, argue and argue some more until scumbag politicians finally give in. Why will this happen?  This will be a great disguise for a 2nd round bailout of US banks for trillions.....

Fri, 10/14/2011 - 23:09 | 1776192 Skid Marks
Skid Marks's picture

"THEY" will NOT allow the EZ to go down in flames.

Take that to the bank.

Sat, 10/15/2011 - 04:40 | 1776533 ZippyDooDah
ZippyDooDah's picture

Put a fork in the EU.  And while you're at it, put a fork in the banks.

Fri, 10/14/2011 - 23:14 | 1776201 knukles
knukles's picture

Here's my take... a tidge of game theory.
If one concludes that regardless of the amount of new debt piled upon old debt within the ECB/EU/European banking system clusterfuck dead as a forgone conclusion doornail then....
The "optimal" financial resource allocation for the US Fed/Treasury is to forgoe any and all further contributions to the IMF/BIS/whateverthefucks and save said ammunition for....

The next TARP/QE to directly "save" (as in bail out the bankers bonus pools once again, who happen to be the Big Campaign Contributors) the US banks from not necessarily their direct loan and debt exposure, but right now, the Who The Fuck knows internicine mess of Counter-Party Risk with all the swaps, CDS, etc.  
Watch.  It'll be once again find the fucking bag holder (AIG last time around) who insured all the screwball risk contracts that nobody can figure out for the terms thereof (what is or is not risky) and thus what is value...  who is gonna suck the proverbial hairy end of the lollipop and thuus be the cancerous transmission mechanism for the rest of the infrastructure. 
The systemic risk bag holder.
That fuck gets bailed, the shit's settled at full values and whoopie doopie, biznez as normal. 

Fuck Europe, the problem's right here at Home in River City.

Plus, what with Solargate, Fast n' Furious, SaudiAmbassadorGate, Mexico Drug Cartels (they're everywhere, they're everywhere) and now US troopis boots on the ground in central Africa, bailing out a bunch of foreign banks might not play too fucking well in Dubuque with Ma and Pa Kettle... not with campaign/elections now in a 24/7 cycle.

Fri, 10/14/2011 - 23:36 | 1776241 rocker
rocker's picture

 I like the way you think. Who will get bailed out next. The debate is now hindged on 50% more or less of a haircut for the bondholders of the PIGS debt.

 We need to remember that, yes, some of our banks do own some of the bonds or hold contagion of banks over seas who own the bonds.

Either way, Big Ben will want to Bail Out them to bail out, guess who, Goldman Sachs. The wonderful people who had AIG cover their backs.

And where did that get AIG?  Hmmmmm.

But don't worry, guess who has GS's back.

Republican Judd Gregg is a Goldman Sachs Advisor Board Member.

So, how much will Goldman profit again from the demise of another group of banks.

Sat, 10/15/2011 - 00:26 | 1776325 knukles
knukles's picture


Congressmen as advisors to Goldie.  Advisor my ass.
And thinking about it more, betcha the marching orders to cease and desist were made by lloyd, Jamie,, seeing the opportunity for the next Banker's Enrichment Act of 2011/2.

I mean, it's not hard to imagine that kinda crap at all with what goes on these days.

Sat, 10/15/2011 - 08:16 | 1776673 Bobbyrib
Bobbyrib's picture

Dudd Gregg is a fine, upstanding politician. How dare you attack a great man like Mr. Judd Gregg! /sarcasm.

Sat, 10/15/2011 - 00:33 | 1776341 mraptor
mraptor's picture

It is called Triffin dillema.

If you have the reserve currency you have to bail out everybody OR lose the reserve status.

Simple as that.

The point is they dont want to lose reserve currency status, so they will bailout everybody.

And Europe will bail out everybody from the Euro Union too. It is just different scale.


Sat, 10/15/2011 - 00:54 | 1776361 Market Efficien...
Market Efficiency Romantic's picture

Make any regulator and Senate/congress member arguing for the non-acountability and freedom of regulation of deriavtives vote only with the backing by their personal wealth. Wonder how quick you would get an effective derivative regulation?

Sat, 10/15/2011 - 02:59 | 1776465 Market Efficien...
Market Efficiency Romantic's picture

In that strategy game of yours, you missed one important variable, maintaining USD as global reserve currency. That, if wished, requires playing the lender of last resort or bail-out wonderboy. In that case, the increase of power and control and the access of US banks to currency and liquidity needs to compensate the US spending abroad instead of nationalized recapitalizations.

Basically, that is what the world is trying to convey to Merkel, if you want Germany relying on a reserve currency status of the EUR, controlled by Deutsche Bank with very positive effects on German export business, you have to show the power of the controller of a reserve currency now. Only that in the EU, it is not comparable, as Germany is no sovereign itsself in the monetary sense. That's like financing a car, letting everyone in the neighborhood drive it without restriction and without any right to ever get behind the steering wheel yourself.

Fri, 10/14/2011 - 23:25 | 1776224 HoofHearted
HoofHearted's picture

The point at the end of this piece is what is well taken...if the CDS for Greece have to be paid off...BOOM!!!!!

Sat, 10/15/2011 - 05:38 | 1776566 cossack55
cossack55's picture

Enough with the Franco-German. Time to update.






Something more current, or even better, funny.

Sat, 10/15/2011 - 13:39 | 1777178 knukles
knukles's picture

Sarkozy-Merkel (OMG, now look what I've got us into)

(Does anyone have a burning desire?  Hi it's me Knukles and I'd like to cornhole someone today.  Can I come to the G-20 meeting and play fuck your buddy and the peasantry.  Are they having it at Versailles this time around?  How the fuck much is this gonna cost us this time?  Has that comet/meteor Elenin hit anyplace yet?  Do they all have birth certificates?  Why do they have birth certificates?  Mommy, I can't sleep.)

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