Visualizing What $1.2 Trillion In Secret Fed Bailouts To The Banking Kleptocracy Looks Like
While Bloomberg has done a tremendous job of digging through 29,346 pages of FOIA data, its discovery is not at all surprising: that Wall Street's (not to mention the rest of the world's) biggest banks received a total of $1.2 trillion in previously secret Fed loans, in addition to the trillions in public backstops and loans from the US Treasury. As a reminder, "denominated in $1 bills, the $1.2 trillion would fill 539 Olympic-size swimming pools." The best summary of this ongoing collusion between the Fed and Wall Street, in which it once again for the nth time becomes clear that all the Fed cars about is making sure its banking masters are never impaired, is from the article itself: "Even as the firms asserted in news releases or earnings calls that they had ample cash, they drew Fed funding in secret, avoiding the stigma of weakness." And there you have it: everything that come out of Wall Street is and has always been a lie: either courtesy of 30 years of great interest rate moderation, in which only cheap money adds to banks' top and bottom lines, or due to the Fed making sure the same banks never suffer a dollar loss when central planning fails, such as it does increasingly often lately (and forget about 10(b)-5 violation charges coming from the corrupt regulators: after all they are all in bed together). That Morgan Stanley, Dexia and Citi are, and have been since 2008, dead men walking, is by now known to all financially literate readers: additional confirmation can be found in the Bloomberg article, which we won't paraphrase because it has all been said over and over. That said, Bloomberg has done a great visual interactive chart summary of who got what, when, how much, over peak and average metrics and so forth. We urge readers to play around with it (don't worry, it won't break the banks; and if it does the Fed will secretly bail them out again) and every time they consider putting money into our "solvent" financial system.
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Shockwaves, bitchez!
As I have posted over and over on ZH; The Feds first mission is to protect the money of the ultra-wealthy banking families.
The Fed was created by and is still part of the private banking system. And it should be obvious by fact that they bailed out
the banks in 2008 and did nothing to help the homeowners, that their mandate is to preserve the wealth of the wealthy.
Flash news update; I short the US Treasury Bond Contract now at 140-04; basis Sept. on the CME. More follows. This market is absurdly over-bought, and I intuit that it is "breaking". Stop loss at 141-16.
I predict you will be stopped out by Tuesday. The market is breaking but not that market...
Oh noes!...Krugmaaannn!!!
"NEW YORK -- The majority of economists surveyed by the National Association for Business Economics believe that the federal deficit should be reduced only or primarily through spending cuts.
The survey out Monday found that 56 percent of the NABE members surveyed felt that way, while 37 percent said they favor equal parts spending cuts and tax increases. The remaining 7 percent believe it should be done only or mostly through tax increases."
http://www.huffingtonpost.com/2011/08/22/taxes-cuts-economists_n_932697.html
Ummm excuse me....but why the F#$@ is Benny sending US taxpayer money to foreigners?
So we can spend it all on our paid 7 weeks of vacations and hopefully for you guys some of it in the US.
It's called the drip down effect.
Oh! So that is what a golden shower is. I get pissed on and am supposed to feel wealthy. Nice...
Not foreigners, Fed. Reserve members.
"Professional economists"--who do these people serve again? And yet, even with that being the case, only a very slim majority (56%) support what would seem to be your position, nmewn.
Funny we don't hear a word about this alternative budget plan: http://www.huffingtonpost.com/jeffrey-sachs/the-peoples-budget_b_846573....
The economists will talk the book of the last financial firm that funded a chair at their institute of "higher learning".
A 19 point spread is not anything I would term as "only a very slim majority", Bob ;-)
The closest minority in this poll want equal parts cuts & tax increases. We have a budget deficit of >>>1.5 trillion<<< Benny bucks. Do you have any idea what an "equal parts" tax increase of 750 billion Benny bucks would do to this O-conomy?
Exactly.
The bottom minority are clearly moonbats and deserve no comment at all.
Yeah and not one of those clueless economist (all of them that took part in that asinine survey concluding nothing) thought....hey...how about noticing it's all fraud and cancelling it?
Oh yeah. Because the answer isn't to....
CUT
PRINT
TAX
FOR FRAUD????
Thus entire question is bogus that the economists answered and served no purpose whatsoever.
Only fucking idiots want to cut spending for fraud.
Only fucking idiots want to tax for fraud.
Only fucking idiots want to print for fraud.
I think that pretty much covers all the economists in that survey of nothing.
Glass-Steagall, because the printers, taxers, and cutters are the batshit crazy ones. THEY are the ones holding everybody hostage.
Hostage for what? Oh yeah, fraudulent debt.
Okay, misspoken. Barely more than half. The seeming full range of options provided the economists lacked substance altogether and ignored others as if they did not exist. Wall Street prosecutions and appropriate claw backs, for instance, or breaking up the insolvent TBTF's or quickly dropping the wars. For a simple-minded poll, it was appropriate for professional economists, I guess. At least from what I see of them on Teevee, though when I was in school I met none who thought in such simple terms.
But then they didn't write the question and forced choices, did they? Sounds like an undergrad student to me.
Moonbats--funny! That was simple.
Oh, yeah--you don't like taxes! ;>)
I love Ron Paul's idea : He says that since over 1 trillion of the debt is from the FED "lending" us printed fiat and is worthless, then we really owe NOTHING, and should strike that from the books!
RON PAUL 2012
Odious debt. They did NOT have my permission; in fact, they have my protestations in writing.
I say we burn the debt and hang Greenspan. Nuremberg trials anyone?
WOOT WOOT! Arrows are back!
Zorba. no disagreement, but are you sure these villains are capable of such a vast conspiracy? Frankly, I find them gross incompetents.
Such large scale sections of US society, isolated from what is going on in reality. That's our problem.
Thank God Libyan rebels captured the country before USA/NATO thugs did.
Er... I think US/NATO thugs are still (and will remain) there... the rebels are simply instruments.
Dood, you've been posting on ZH for like 12 weeks...LOL
Hmmmm....Agent Provocateur working on cred?
Remember, as twisted as Chairsatan Bernank is, there are some even sicker bankster puppies out there...
True Dat, there is no other economy big enough for them to hide into. May the Hell host them well.
"In The Law, Bastiat explains that if the privileged classes use the government for "legalized plunder" this will encourage the lower classes to revolt or use socialist "legalized plunder" and that the correct response to both the socialists and the corporatists is to cease all "legalized plunder". Bastiat also explains why his position is that the law cannot defend life, liberty and property if it promotes socialist policies. When used to obtain "legalized plunder" for any group, he says, the law is perverted and turned against the thing it is supposed to defend.[8]"
http://en.wikipedia.org/wiki/Fr%C3%A9d%C3%A9ric_Bastia
Per William Black...
http://www.youtube.com/watch?v=pdWo9Ob2DHc
RAGE bitchez! The roof, the roof, the roof is on fire...
Start a fire: http://www.youtube.com/watch?v=X_hqLmxvpiI
Hmmm.....what shockwaves? I just looked at bloomberg.com and it shows dax down 100% to 0. Interesting!
Is DAX still alive? http://inkom.com.au/sites/default/files/what%20happened%20to%20dax.jpg
Took me a while to find it, but it's there......Harley Davidson. That's right, Harley Davidson.
Good thing too, because if anyone is TBTF it's....(wait for it)......Harley Davidson.
Looking at this list makes you realize how hard the fall is going to be. EVERYBODY is sucking from the teat of the FED!!!!
Yeah, even National Bank of Saigon got $10mil. Byegones!!
Where are the share holder lawsuits ?
Where are the share holders? Wall Street/U.S. stocks are symbols and instruments of U.S. Empire; most U.S. citizens own no stocks, consequently the U.S. stock market is pumped up, not just for the sake of banksters, but for the maintenaince of U.S. Empire overall, orchestrated by the elite behind Wall Street and Pentagun, with full and obvious buy-in from all its high level henchmen and beneficiaries.
Hence no lawsiuts. Only more bank directed stimulus to come, which btw isn't Keynesian, but fascist.
Keynes is a fascist. A big flaming fascist
No wonder it took a FOIA request to get!Theivo-matic in action!!
Americans are to, too fucking stupid to care and or do anything about it... AGAIN!
Amerikans are stupid because they watch and believe TeeVee, believe their useful idiot politicians are the real leaders in charge, eat GMO Franken-food that ravages their brains and bodies and take psycho-drugs and vaccines from Merck, Pfizer et al...
And as a result... buy the "Amerikan Dream" hook, line and sinker...
How could they not be fucking stupid???
American #92,357,544 checking in. I agree with your assessment.
Alan Greenspan: No agency of government can overrule actions the Federal Reserve takes. We do what we want, nothing else matters.
In other words, the Federal Reserve System is a government onto itself. No more 'Federal' than Federal Express, as they say.
http://www.youtube.com/watch?v=3QkmLnNEvdU
That is right. Our gov reps decided that they did not want the responsibility. Must have been too complicated. Look at that shit stain Pete Stark. He said the more debt we have the wealthier we are. WTF?
http://www.youtube.com/watch?v=UjbPZAMked0
These are the squirt sticks Americans have chosen to represent them.
In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value.
Alan Greenspan
Many people want the government to protect the consumer. A much more urgent problem is to protect the consumer from the government.
Milton Friedman
In international law, odious debt is a legal theory that holds that the national debt incurred by a regime for purposes that do not serve the best interests of the nation, should not be enforceable. Such debts are, thus, considered by this doctrine to be personal debts of the regime that incurred them and not debts of the state. In some respects, the concept is analogous to the invalidity of contracts signed under coercion.
http://en.wikipedia.org/wiki/Odious_debt
When a despotic regime contracts a debt, not for the needs or in the interests of the state, but rather to strengthen itself, to suppress a popular insurrection, etc, this debt is odious for the people of the entire state. This debt does not bind the nation; it is a debt of the regime, a personal debt contracted by the ruler, and consequently it falls with the demise of the regime. The reason why these odious debts cannot attach to the territory of the state is that they do not fulfill one of the conditions determining the lawfulness of State debts, namely that State debts must be incurred, and the proceeds used, for the needs and in the interests of the State. Odious debts, contracted and utilized for purposes which, to the lenders' knowledge, are contrary to the needs and the interests of the nation, are not binding on the nation – when it succeeds in overthrowing the government that contracted them – unless the debt is within the limits of real advantages that these debts might have afforded. The lenders have committed a hostile act against the people, they cannot expect a nation which has freed itself of a despotic regime to assume these odious debts, which are the personal debts of the ruler.
http://www.youtube.com/watch?v=YOCzc4xyBao&feature=feedu_feedf
Federal Reserve Secretly Gave $1.2 Trillion In Taxpayer Funds To The Banks That Caused Crisis
Reality is net net the US of A benefited from this arrangement but divvy of the loot was not even. Hence all the teeth gnashing.
I was speaking to some guy at work about the economy a while ago: he said he didn't want to think about that kind of stuff.
lol, whatever. I hope this depression is a very painful one. These dumb masses will not learn otherwise.
That sums it up perfectly Incubus. People do it to themselves. It is not some grand conspiracy, but willful self deception. Just too difficult to think that maybe the real problem is staring back from the mirror.
So, we get bread, circus, and blowing up all the brown people who are sitting on top of our oil. All the while eating hot dogs, drinking beer, and flag waving that we are the light of the world. I actually have no problem with people aciting like that, but don't start down the "land of the free" road. It is an empire, plain and simple. Love it or hate it, no difference, but at least admit it.
pods
"Congress required the disclosure after the Fed rejected requests in 2008 from the late Bloomberg News reporter Mark Pittman and other media companies that sought details of its loans under the Freedom of Information Act."
Other media companies? Why is Bloomy so coy?
some more scary in-line shit: obummer pressures Attorney General of N.Y. on Bank Foreclosure Deal:
http://www.nytimes.com/2011/08/22/business/schneiderman-is-said-to-face-...
Thanks for the update!
WTF can be said about that?
No more talk about legal, illegal. Merely defensible or not. Sheesh, if that is the requirement we are doomed.
"But honey, I had to sleep with her, she was drunk and was going to sleep with someone. I was way nicer than those other guys and didnt want her to get hurt. So it was best if I did it."
Funny oxymoron too. A FED rep who represents the public. ROFLMAO!
pods
I can't remember the last time I saw so much bullshit packed into a single sentence! Unreal. Or, should I say, too fucking real.
http://lordschmutz.wordpress.com/2011/08/21/ponzi-scheme/
Obama is heard up at Martha's saying, "so what does this mean, where is the money now" because what the fuck does he know about the financial system apart from the fact that he gets his campaign money from there!
Why does Bloomberg say this shovelling of taxpayer money to the banks was to avoid a "depression"?
Call it what it was/is, a cover up of massive theft by the banks .. of the American peoples past and future savings and earnings! Which has now enslaved millions, and destroyed their futures!
What are you talking about? Citi delivered an 8 billion dollar profit to the American Tax Payers. We should be lending a hell of lot more to the banks than to the Fed Gov with returns like that.
They borrow the strong dollar and return a weak dollar and that would be concidered a profit?
What kind of return are you getting on all the trillions you are lending to the gov? None. You just get to commit your future income and your children's future income to pay it back. I suppose those will be weaker dollars as wll though.
When poeple saying goverment spents a lot... i agree, but most of the goverment spending are private contracts for private corporations.
So when we argue to stop goverment wasting, we are saying at the same time stop giving money to corporations , since all those dollars do end up in their pockets. Catch 22.
But, but ... 'corporations are People, my friend'.
Don't tell us about this meaning crap. Tell us what Citi produced, like in food clothing, shelter, transportation, energy & health care. Citi is a bunch of useless assholes. Paper money don't produce shit. The economy isn't about paper money, it's about stuff. Wise up.
They delivered $8B to the government to squander, which Citi TOOK from the American people thru financial shenanigans. Would you like to reconsider your position?
Wall Street & The Federal Reserve Bank:
Thick as thieves, like white on rice, more cancerous than absestos filter cigarettes, bitches.
Give Wall Street more tax dollars, Bernank & Geithner! Do it!
Why the surprise and indignation? Wasn't the Fed created in the first place to do exactly as it has done, layoff the bad deals the bankers make onto the tax payers? C'mon. Greenspan & Benny, as well as all the other Fed governors, did exactly as they were supposed to do.
"I killed the Bank."
-- Andrew Jackson
WE all knew this was going on. Here on ZH we suspected and discussed it abundantly. Nobody with a brain believes rabbits could be pulled out of a hat. Now here's the less well-known secret bailout: Trillions were doled out to corporate America to allow them to roll debt, cover payrolls and operating expenses. It took a long time for things to unfreeze, but they kept "stimulating" private corporations with welfare long after so that they could issue more debt and more stock. That's the source of all that "cash on the balance sheet" that won't get invested (no fools, they). And the irony of it all? Coroporate America is as leveraged now as before the crisis in 2008. Smart, I tell ya, Smart!!
Must be that "invisible hand" we hear so much about. Now if only government will get out of the way (now that it can supply no more free money) and let the job creatin' commence!
Caviar Emptor
Agreed. TD and ZH have discussed this Fed criminality from the beginning. It is the only reason the Fed fought so hard to keep it from going public; finally trying to bury it under 29,000 pages.
The Fed exists under U.S. law to protect the wealth of U.S. and Foreign banksters. Period.
BONUSES ALL AROUND, GENTLEMEN. BONUSES ALL AROUND !
I am glad Tyler thought this article was important enough to post. When I read it I had to let you guys know also. Zero Hedge does not miss much. Gold up 19 dollars and futures flat. Might be an interesting day.
Good Night, see ya manana.
Gold is now the world's defacto reserve currency. The behavior of Gold/Equities, is behaving in the complete opposite fashion of 2008. The next crisis is the dollar reserve currency crisis, as predicted by Ron Paul, The Mises Institute and Zero Hedge for years.
Every American must prepare for an immediate hit to their standard of living of somewhere between 30-50%. Nothing can stop what is coming. Some will be better prepared than others.
Cool. Who gets it first? (In your view of course.)
Anyone over-invested in real estate has already "gotten it". Anyone over-invested in stocks will "get it" by year's end.
As a reminder, "denominated in $1 bills, the $1.2 trillion would fill 539 Olympic-size swimming pools."
Visualize this, 12 bills "denominated in $100 billion dollar bills, fits nicely in my wallet."
Or with the 100 trillion note like Zimbabwe's you get change back. Don't you just hate these sensationalized statistics? I mean with $100 bills you can't even fill a measly six Olympic-sized swimming pools which seems WAY less don't you think???
Now with Sarc/off the number do get fuzzy. BAC received 91 billion in loans but a potential 20 billion legal hit is making them insolvent? I know that it's different columns involved and the columns are all important but if you add in all the fabricated valuations and slights-of-hand it take s a magician like Tyler to sniff out the truth.
One word: Accountablility.
1.2 trillion for the banks . Just an honest days work.
kept the lights and computors working , and those ATMs stuffed with cash.
why did some of the great bank heist happen. as the gangsters would say.. thats where all the money is .
This should be all over the news right now but it isn't.
Who needs congress anymore? Not that they wouldn't have approved this. But the Fed would just give money to the banks on its own anyway with no oversight?
Disgusting and expected.
Our community organizer is working on Plan B... scary...
It's going to look a lot like Plan A
Some1 explain to me please, what happenes to the money of those failed banks, Like Lehman, Bern, Countrywide and so on...
I see them on the chart they borrow billings, did they return it? As i understood per bloomberg article the colatteral was a junk rated. After they fall did they pay back?
The money was created out of thin air. When the institution dies the money goes to money heaven. It is called a shrinking money supply or aka deflation.
Free money! haters gona hate!
The only thing more valuable than gold is your mind. Protect it with all you've got...dont let it slip into greed & fear.
If Wall St & European bankers and politicians learn this important lesson, they'll have some peace of mind on their death beds.
some where i read that the fed injected enough cash into the system .. trillions 25 trillions . that each family in america could have recieved 250,000 .. enough to pay off the homes , credit cards .. and kept the cash flowing through the banks..
a land flowing with milk and honey,, the next 25 trillion will be injected into familys .. obama will rise to the new reality, a bank account in every garage . a windfall for the american dream.
social security a 25% increase just like nixon.. the votes will be bought on the backs of the next generation .
I don't know if it was actually 25 trillion in cash but it was enough to offset the destroyed dollars that were no longer in the money supply or in the shadow banking system. The reason the fed injected the money was to prevent a deflationary death spiral and they will do it again.
I guess all those skanks wanted some funny money.
Well then, I guess its not a secret anymore. National enquirer Bitchezzzzzzzzzzzzzz
Damn it's good to be a banksta!
The Bernank, The Jeetner & the ObaMao make this pledge first thing in the morning and last thing before bed, each and every day.
Hope this line of thinking helps you disassociate yourself from the shenenigans of the past 40 years.
So, does this mean no QE3?
"Come on man, just one more time and I'll be able get my shit together. I just need this one last time...come on, please..."
hmmmm rothschild isnt on there.....
No Barclays on the list? The Rotheschildes may be fighting a losing battle, betting the farm on carbon credits and all. Their time may be up; it was a good run for a bunch of inbreds.