Euro Zone to Quadruple Bailout Fund : Sources

Euro zone leaders intend to scale up their emergency fund, the European Financial Stability Facility, to around 1.0 trillion euros, EU sources said on Wednesday. Greek Bond 'Haircut' of 50% Appears Set: Sources

 

 

Last Treasury Auction Before US Breaches 100% Debt To GDP Prices Quietly And Without Surprises

There is little if anything one can say about today's 5 Year auction. It priced at 1.055%, just above the record low 1.015% in September, and well inside the WI 5 Year trading at 1.08%, at a solid 2.90 Bid To Cover, compared to the 2.82 six auction average. The internals were boring, with Indirects taking down 49.3% of the auction, compared to the 40.5% LTM average, Directs declined modestly to 10.4% (in line with the 11.2% average), and Dealer take down unchanged from September at 40.3%. However, one massively notable thing about this auction is that it is the last one, probably ever, in which the US debt/GDP ratio is still under 100% following the auction. Adding today's $35 billion to yesterday's $35 billion in Two year bonds, brings total US debt to $15.010 trillion, with GDP still at $15.013 trillion (granted this number may be revised tomorrow), resulting in a debt to GDP ratio of 99.99%. Tomorrow's historical $29 billion in 7 Year bonds will take America into that uncharted territory of triple digit debt to GDP. But yes, the formal settlement of all bonds will not occur until Halloween, so we can celebrate on several days America's historic transition one step closer to insolvency.

From Paulson's 3 Page TARP Termsheet To The Euro Council's 3 Page "Bailout" Statement

Fresh from the European Council presses comes the complete 3 whopping page statement to bailout the Eurozone (not to be confused with Hank Paulson's 3 page TARP termsheet). There is nothing at all here, but for those who need a paperweight, feel free to print 200 copies and staple them together or something.

Buy The Rumor, Sell The News

Submitted by Tyler Durden on 10/26/2011 - 15:12 China Fail Lehman Europe is playing havoc with this old trading strategy. By only having rumors and never having news they keep the markets in permanent buy the rumor mode. The china story is at best old news. Italy's austerity credibility is sorely lacking, but the best news is the Merkozy wants to meet the bankers.  It feels like aliens landing on a planet and saying take me to your leaders. Seems like we are long past short covering and this is people getting long on rumors and plans.  Everything I read tells me they are trying but that there are no solutions that are sure to work and some will ruin the entire system if they are tried and fail.

Central banks are losing fight against gold, Tocqueville's Hathaway tells King

Euro Gold chart

Trader Dan at Trader Dan's Market Views - 1 hour ago

Once again gold is getting a very firm bid even as weakness appears in the broader US equity markets. News out of Europe continues to leave traders unimpressed as once again those various nations prove why the idea of creating a single monetary union and a single political union out of a group of such disparate countries cannot ever hope to succeed.The differences between the nations of the north and the nations of the south cannot be more stark. Quite frankly, those citizens of the countries that are on relatively solid financial footing are rightfully indignant that their wealth ... more » 

 

 

 

 

Italy Concedes To Full Blown Austerity: To Raise Retirement Age From 65 To 67 By 2026

Don't anyone say Italy is not willing to tackle austerity with the determination of a rabid dog: retirement age to be raised by 2 years in 15 years, and an epic €5 billion to be raised from privatizations.

Full Remarks By Unelected European Council President Herman Von Rompuy

As expected, nothing has been resolved. Everything to be pushed back to some other indefinite time. The only actual agreement, ironically deals, with a date so far in the future, the EUR will likely no longer even exist: 'Agreement has been reached that banks should be required, by 30 June 2012, to have 9 % of the highest quality capital. This figure should take into account a marking down for sovereign bond holdings against current market prices (as of 30 September 2011)."

 

 

 

 

More Headines

The horror, the horror:

• EU-27 RELEASES STATEMENT AFTER BRUSSELS SUMMIT
  
• EU-27 SAYS COMMISSION MUST URGENTLY EXPLORE BANK GUARANTEES
  
• EU SAYS BANKS SHOULD FIRST FIND PRIVATE SOURCES TO RAISE FUNDS
• EU SAYS STATE AID RULES ON BANKS SHOULD BE PROPORTIONAL
• EU SAYS MID-TERM BANK FUNDING MUST HEAD OFF CREDIT CRUNCH RISK

Eurozone Summit Webcast Resumes

To anyone who still has the energy to be lied to over and over by a bunch of corrupt, broke, pathologically lying bureucrats, feel free to tune in.

Here Come The Eurozone Summit Headfake Headlines

It begins:

• EURO ZONE PLANS TO LEVERAGE EFSF BAILOUT FUND "SEVERAL FOLD", FINANCE MINISTERS TO DECIDE DETAILS IN NOVEMBER -- DRAFT EURO ZONE SUMMIT STATEMENT
• DRAFT EURO ZONE STATEMENT MAKES NO MENTION AT THIS STAGE OF ITALY'S REQUIRED BUDGET STEPS
• NO AMOUNTS SET FOR BANK RECAPITALIZATIONS

In other news, there will be absolutely nothing actionable following today's "ground-breaking" summit. There will also be nothing at all after the Cannes statement. Or any time after. Why? Simple - there is nothing that Europe can propose in a universe in which 2+2=4 that resolves its problems.

Neil Reynolds: Paper currency has too much bull, not enough bullion

 

Idiot Market Jumps On 12 Hour Old News Of Yet Another Chinese Euro Bailout, Since Refuted

Sigh...





For those who don't expect something for nothing...
Thank You

I'm PayPal Verified