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Bundesbank's Weidmann Wanted To Resign Last Week, Bild Reports; Is Goldman's "Ambassador" To Germany In Play?

Tyler Durden's picture





 

Confirming that the ECB soap opera must go on, German Bild reports overnight that Bundesbank head, and most vocal critic of Goldman's pro-inflationary European policy, conducted by the firm's Italian alum Mario Draghi, last week considered joining other such German luminaires as Axel Weber and Jurgen Stark in following the red Egress signs at the Bundesbank headquarters, ironically located in downtown Frankfurt. From Bild: "In recent weeks, Bundesbank President Jens Weidmann has repeatedly seriously considered his resignation." Citing unnamed sources, which is merely a polite way of denying the other side's just as credible "unnamed sources", Bild says Weidmann discussed the possible resignation with the Bundesbank's board. Bild condludes that Weidmann has decided against resignation for now because hwants to fight against the ECB’s bond-purchasing program at next week’s meeting, and that the German government has urged Weidmann to remain in post. In other words, just as has been expected all along Merkel may say this, or that, but in the end she will adamantly fight Goldman and its inflation spreading tentacles in Europe as long as she has to (with recent German data of accelerating inflation and unemployment merely helping her cause).

And confirming that this report is not merely typical Bild yellow journalism, is the Buba's "no comment" response.  From Reuters:

 A Bundesbank spokesman declined comment on Friday on a report in German mass circulation Bild newspaper that Bundesbank President Jens Weidmann had considered resigning several times in recent weeks.

 

Bild cited financial sources as saying Weidmann had discussed his possible resignation with other top members of the central bank's leadership.

 

Weidmann opposes plans being promoted by European Central Bank President Mario Draghi to embark on a new programme to buy government bonds of debt-ridden southern European countries to help quell the euro zone debt crisis.

 

However, Weidmann indicated to Der Spiegel magazine this week that he planned to stay at his post.

 

"I can do my task best if I stay in office. I want to work to ensure that the euro is just as hard as the mark was," Weidmann told Der Spiegel magazine in an interview released on Sunday.

Commerzbank was quick to chime in with a 100% incorrect interpretation, via Bloomberg:

  • Markets would interpret a resignation from Weidmann as a “positive sign for euro periphery and negative for bunds,” says Commerzbank rates strategist Alexander Aldinger in an interview.
  • Says Weidmann represents “the strongest voice against bond buying’’
  • Would be better for Weidmann to stay at the Bundesbank and actively represent Germany’s stance within the ECB
  • Sees lack of change in stance from Bundesbank in the event of Weidmann resigning

Actually no. If the third time is indeed the charm for Buba execs who have given up hope on Europe, and let's not forget that in Europe everyone else's asset is now a German contingent liability via the Bundesbank, this would be the first step to the realization that it is not Greece, or Spain, or even Italy that has the right of first refusal to the euro with threats of departure, but Germany, and that an exit from the theater is now being actively planned. Because we are sorry to disappoint Commerzbank: if everyone at the German central bank says "9", it is game over... unless of course the US' long-term ambassador to Germany, Philip Murphy, who as it so happens worked at Goldman for 23 years prior to his current post, is now in play (using the diplomatic parlance of our times) and already has the wheels in motion to replace Weidmann with another Goldman puppet (as a reminder, the United States diplomatic cables published by Wiki Leaks contained negative statements signed by the ambassador about senior German politicians, including Chancellor Angela Merkel and Guido Westerwelle, the German foreign minister). Which certainly would not surprise us: how could one possibly not trust this face?

All that aside, in the immediate future, all of the above means that while the market is slowly accepting the reality that Bernanke will almost certainly disappoint in just over 6 hours when he delivers his J-Hole statement, it will soon have to turn its attention to the ECB, where Draghi's credibility, already shaken to the core, is about to be destroyed all over again, and that, just as Zero Hedge said, the market's initial reaction to the last ECB press conference, in which Draghi disappointed everyone, sending risk plunging, was indeed the right one.

 


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Fri, 08/31/2012 - 03:42 | Link to Comment LetThemEatRand
LetThemEatRand's picture

Fuck You [the] Bernanke. 

Fri, 08/31/2012 - 04:02 | Link to Comment Western
Western's picture

Philip D. Murphy

 

Take a good look at that face, everyone. That is an elite and he thinks he is better than you.

 

Looks inbred to me.

Fri, 08/31/2012 - 06:08 | Link to Comment Slack Jack
Slack Jack's picture

BREAKING NEWS:

BREAKING NEWS:

China and Germany will no longer do business in USD, Euros and Yuan preferred;

http://www.cnbc.com/id/48838061

Should I be buying EUR/USD ???????

Should I be buying Yuan ???????

So,... How come Tyler hasn't picked up on this?

Should I go out and buy a heap,...???????????

Should I wait,...???????????

What if Weidmann resigns ???????? Does all change ?????

Come on Tyler, why ain't you helping us out.

Fri, 08/31/2012 - 08:07 | Link to Comment Slack Jack
Slack Jack's picture

Seriously dudes,.... why is this topic being ignored ??????????

Fri, 08/31/2012 - 08:49 | Link to Comment jayman21
jayman21's picture

Your source is CNBS.  Just a guess.

 

You also sound like you are from the herd.  ZH is a bunch of people who tend to understand the herd, but do not always run with it.

 

-One of my favorite quotes I have seen here on ZH.  There is a light at the end of the tunnel, it is an incoming train.

Fri, 08/31/2012 - 08:43 | Link to Comment Rubicon
Rubicon's picture

Fuck off Mario

Fri, 08/31/2012 - 10:38 | Link to Comment Ar-Pharazôn
Ar-Pharazôn's picture

"BREAKING NEWS:

BREAKING NEWS:

China and Germany will no longer do business in USD, Euros and Yuan preferred;

http://www.cnbc.com/id/48838061      "

 

hahahahhahahahaha news.................................... from MSM what do you think you can get a part crap?

Fri, 08/31/2012 - 06:14 | Link to Comment i-dog
i-dog's picture

 

"how could one possibly not trust this face?"

That's a crypto-Khazarian face, if ever I've seen one...Wolf lips, and all. Prime Goldman stock....

Fri, 08/31/2012 - 08:10 | Link to Comment Slack Jack
Slack Jack's picture

What's wolf-lips,...????? you mean his mouth is on crooked ?????

Fri, 08/31/2012 - 08:52 | Link to Comment jayman21
jayman21's picture

It is like paper rock scissors.  Wolf eats sheep.  Paper over rock, rock over scissors, scissors over paper.

Fri, 08/31/2012 - 08:23 | Link to Comment Red Pill
Red Pill's picture

a true shabbos goy

Fri, 08/31/2012 - 03:50 | Link to Comment Yen Cross
Yen Cross's picture

  OLD SPEAK, reincarnated news!  ( Nein, nein, NEIN ).

Fri, 08/31/2012 - 03:50 | Link to Comment economicfreefall
economicfreefall's picture

How fitting, an A-hole will deliver a speech at J-hole. Unfortunately the Western world is already in the hole...

http://www.MiningStockValuator.com

Fri, 08/31/2012 - 03:51 | Link to Comment Coldfire
Coldfire's picture

Goodbye Euro, hello Deutschmark. In other news, Jon Comminglerzine is still at large.

Fri, 08/31/2012 - 03:57 | Link to Comment Yen Cross
Yen Cross's picture

  This guy has "marbles"

Bundesbank's Weidmann Wanted To Resign Last Week, Bild Reports; Is Goldman's "Ambassador" To Germany In Play?

Fri, 08/31/2012 - 04:02 | Link to Comment Yen Cross
Yen Cross's picture

cute Tyler

Fri, 08/31/2012 - 04:10 | Link to Comment Wolferl
Wolferl's picture

Thank god we have an ex communist girl as our head of Governemnet and an ex east German Lutheran priest as our head of state. Gives me some hope they don´t fall prey to that kind of smeary, false-smiling bankster types that represent the US in Germany these days. The US really had impressiv persons as ambassadors here in Germany but that´s over since more than a decade.  

Fri, 08/31/2012 - 04:20 | Link to Comment pamriallc
pamriallc's picture

Angela grew up with nothing and knows that paper solves nothing. Integrity, however, gives you wings. Go Angela! shawnm@pamria.com.cn

Fri, 08/31/2012 - 04:25 | Link to Comment Yen Cross
Yen Cross's picture

 Is there any sane person ?   I'm  "naked"long risk.    Silly me?

Fri, 08/31/2012 - 04:54 | Link to Comment Peter Pan
Peter Pan's picture

Mr Weidmann,

Stay and fight. As they say, the only that is needed for evil to succeed is for good men to do nothing. To resign is even worse. To resign is like a goal keeper deserting his post.

Stay and fight. Stay for the sake of what is right. Speak louder with all your might.

Bernanke and his Goldman buddies are a cancer to be resisted.

Better a fighter that dies, than a deserter that survives.

Good luck.

Fri, 08/31/2012 - 05:17 | Link to Comment NationalRazor
NationalRazor's picture

Mr murphy looks like the used car salesman from hell.That smile is about as genuine as he is.His neck is interesting though ,it should fit nicely in the mobile guillotine that should be made ready for present and past GS staff.  

Fri, 08/31/2012 - 06:35 | Link to Comment Moe Howard
Moe Howard's picture

Keep this nugget in mind when thinking of Murphy:

"Murphy, who contributed $627,000 to the Obama campaign, is expected to be named U.S. ambassador to Germany."

He bought the ambassador seat.

 

 

Fri, 08/31/2012 - 05:18 | Link to Comment Freegolder
Freegolder's picture

The whole context of this article is twisted.

The ECB has one mandate: price stability. That includes preventing deflation, and keeping price inflation just below 2%.

They have to do that for all memeber states.

If that means that for some of the Southern states some bond buying is necessary, then it is entirely reasonable for the ECB to act.

Germany need have no concerns, as the bond buying is only avaliable for countries that have to make serious austerity cuts, even deeper than those currently seen in Spain and Portugal. These countries are heading for balanced budgets within a couple of years. Meanwhile the US is racking up $1trillion a year. Who is doing it right I ask you?

It is not a blank cheque, like in Japan, America and the UK.

Sigh, one day ZH will write objectively about this. Or explain what they consider to be a sensible solution?

To criticise and mock every approach shows either a lack of understanding, or a lack of objectivity. Come on ZeroHedge, tell us why you mock them all?

 

Fri, 08/31/2012 - 11:59 | Link to Comment shovelhead
shovelhead's picture

One question.

Where does the money come from?

Do they HAVE?

No.

Can they print?

Not yet.

Collateral?  Used condoms and old sneakers? Germany takes a suicide swan dive to save Spain?

Same choice as US et al. Print or die, Print and die later. Some choice.

Greece with a balanced budget in a few years? Hoo boy, smoke some more hopium.

So much for stability.

 

Fri, 08/31/2012 - 05:19 | Link to Comment Haager
Haager's picture

It looks like a typical  brickface to me. Something makes me want to throw a brick at that face.

Fri, 08/31/2012 - 05:41 | Link to Comment magpie
magpie's picture

Is it true that Mr. Murphy doesn't speak German ?

Fri, 08/31/2012 - 06:42 | Link to Comment Moe Howard
Moe Howard's picture

He is a big fan of football [soccer] and a NAACP leader, so all is good.

Fri, 08/31/2012 - 05:46 | Link to Comment Tommy Gunner
Tommy Gunner's picture

He looks like the product of Berlsconi mounting Merkel whilst DSK sits in the corner watching and jacking his donkey cack - while shouting encouragement - very loudly and in a french accent.... of course.  Fiddle music plays softly in the background

Fri, 08/31/2012 - 06:07 | Link to Comment I am Jobe
I am Jobe's picture

It's almost over folks. Sheeples will be enslaved and conditioned. Just watching the entertainment happening and 2013 is gonna be interesting.

On a lighter  Note" Jersy Shores will no longer be on. Amerikans will be disappointed and look for other dumb ways to entertain themselves.

Fri, 08/31/2012 - 07:13 | Link to Comment dcb
dcb's picture

please, all lies from merkel. they pust a goldman guy in there for a reason, it's exactly what they should have expected. if the germans didn't make sure he didn't get the position, they should shutthe fuck up. there are certain people you pick and you knbow the outcome before it happens, he is one of them. put crooks in to gaurd the jewels

Fri, 08/31/2012 - 07:26 | Link to Comment EvlTheCat
EvlTheCat's picture

"We are the Borg. We will add your biological and technological distinctiveness to our own. Your culture will adapt to service us. Resistance is futile."

Fri, 08/31/2012 - 07:41 | Link to Comment Dollar Bill Hiccup
Dollar Bill Hiccup's picture

Pure scum, finest kind.

Fri, 08/31/2012 - 08:21 | Link to Comment q99x2
q99x2's picture

I've seen that face before. I think it was in Alien 4 where the #7 cloning attempt accidentily merged two different beings into one partially formed mutant face. They had to shoot it. Then burn it to kill it. One fucker was so freaked out that he took an axe to it afterwards to make sure it was dead.

No that was my Reagan moment and a recollection of both alien and the thing merged into one memory. Anyhow that's what the guys face looks like. Shape shifty M'fer.

Fri, 08/31/2012 - 08:24 | Link to Comment Red Pill
Red Pill's picture

superb article. my compliments. best journalism to be found is here, as always.

Fri, 08/31/2012 - 08:53 | Link to Comment paint it red ca...
paint it red call it hell's picture

i am soooo confused.......... who's on first, what's on second?

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