The Market Ticker ® - Commentary on The Capital Markets
Posted 2011-07-01 18:54
by Karl Denninger
in Federal Government
Ignore this thread
Did Treasury Just Strategically (Intentionally) Default?
It sure looks like they did.
Yesterday.
Here's the DTS (daily cash statement) for Treasury.
http://market-ticker.org/akcs-www?post=189249
And here's the problem with it:
Note that the pink line did not move much. In fact, it went down.
It should have gone up - a lot - because the "Trust Funds" (you know, Social Security and Medicare?) that you folks on the left keep bleating about being "money good" and "actual debt" had a coupon payment from Treasury due yesterday.
IT WAS NOT MADE.
IF IT HAD BEEN, IT WOULD HAVE BLOWN THE DEBT LIMIT.
That's a default, and it instantaneously destroys both the claim that such activity is not "selective" or, if you prefer, "strategic" and it also destroys the argument that Medicare and Social Security Trust fund "debt" - not just public debt - is subject to the 14th Amendment and thus is "protected" against the Treasury choosing to blow it off.
By the way if you're curious about how much this should amount to (~$90 billion, more or less) have a look at the June 30th, 2010 DTS statement.
Oh, and as for Geithner? He said that any default on any obligation would trigger an immediate market panic. Well, this did - straight up on the S&P and DOW. So much for Timmy's lies.
Have a nice day.
Hattip Publius on the forum who caught it before I did.
Saturday, July 2, 2011
A free and independent press? Yeah, right ...
by Arthur Noren on Saturday, July 2, 2011
"There is no such thing, at this date of the world's history, in America as an independent press. You know it and I know it. There is not one of you who dares to write your honest opinions, and if you did you know beforehand that it would never appear in print.
"I am paid $150 a week for keeping my honest opinion out of the paper I am connected with. Others of you are paid similar salaries for things, and if any of you would be so foolish as to write honest opinions, would be out on the streets looking for another job. If I allowed my honest opinions to appear in one issue of my paper, before 24 hours, my occupation would be gone.
"The business of the journalists is to destroy the truth; to lie outright; to pervert; to vilify; to fawn at the feet of Mammon, and to sell his country and his race for his daily bread. You know it and I know it and what folly is this toasting an independent press. We are the tools and vassals of rich men behind the scenes.
"We are Jumping-Jacks -- they pull the strings and we dance. Our talents, our possibilities and our lives are all the property of other men. We are intellectual prostitutes!" -- John Swinton, 1914, former Editor New York Times, (Un-biased Media?? and much worse since then!!)
Keep that in mind as you explore these News Page Links!!
Idaho Travel News
Montana Travel News
Coeur d'Alene Press
Spokane Spokesman-Review
Montana Standard
Missoulian
The Idaho Observer
LewRockwell.com
FOX News
NewsMax
World Net Daily
Electronic Telegraph
Drudge Report
Wall Street Journal
U.S.A. Today
Washington Post
And on the bottom of the list
ABC
CNN
"Mr. Swinton made the statement in 1914 in his speech at the New York Press Club during his retirement party from the New York Times.
"Swinton had been managing editor of the New York Sun until he started his own journal - John Swinton's Paper in 1883. It became one of the most influential and interesting journals in the country. It played a significant role in the upheaval of the American working class in the mid 1880's. Swinton was active in the free-state movement in Kansas and later worked for the New York Times.
"As a side note, John Swinton (1828 - 1921) was the author of the book, "STRIKING FOR LIFE, Labor's Side of the Labor
Question. The Right of the Workingman to a Fair Living (1894)", as the result of some experience, reflection and observation. This book contains a discussion of the rights of labor by some of their most important spokesmen.
The New York Times owns the Boston Globe. Look at who owns both:
Cede & Co., c/o The Depository Trust Co. (the FederalReserve)
United States Trust Company of New York
Wells Fargo Institutional Trust Company
Bank of New York
Bank One Ohio Trust Company
Bankers Trust Company
Boston Safe Deposit & Trust Co.
Brown Brothers Harriman & Co.
The Chase Manhattan Bank, N.A.
Boston Safe Deposit & Trust Co.
Goldman, Sachs & Co.
Mellon Bank, N.A.
Merrill Lynch Pierce Fenner & Smith
Morgan Guaranty Trust Co.
Northern Trust Co.
Smith Barney, Inc.
"What do you think the chances are that you're ever going to hear a single story that the Federal Reserve Banking Cartel doesn't approve?
"And which other media sources are owned by the Federal Reserve Banking Cartel established in 1913-1914?? All of them???
"The bureaucratic objective is this: If you cannot suppress the news or control it, then for heaven's sake convert it into a meaningless mass of gobbledegook." (Roger Tarterian, Editor, United Press
International, March, 8, 1967)
""You cannot hope to bribe or twist, thank God,
an American journalist - But seeing what the man will do, unbribed, there's no
occasion to." (Humbert Wolfe)
""This is, in theory still a free country, but
our politically correct, censorious times are such that many of us tremble to give vent to perfectly acceptable views for fear of condemnation. Freedom of speech is thereby imperiled, big questions go undebated, and great lies become accepted, unequivocally, as great truths." (Simon Heffer, Daily Mail, June 7th, 2000)
"There is no such thing, at this date of the world's history, in America as an independent press. You know it and I know it. There is not one of you who dares to write your honest opinions, and if you did you know beforehand that it would never appear in print.
"I am paid $150 a week for keeping my honest opinion out of the paper I am connected with. Others of you are paid similar salaries for things, and if any of you would be so foolish as to write honest opinions, would be out on the streets looking for another job. If I allowed my honest opinions to appear in one issue of my paper, before 24 hours, my occupation would be gone.
"The business of the journalists is to destroy the truth; to lie outright; to pervert; to vilify; to fawn at the feet of Mammon, and to sell his country and his race for his daily bread. You know it and I know it and what folly is this toasting an independent press. We are the tools and vassals of rich men behind the scenes.
"We are Jumping-Jacks -- they pull the strings and we dance. Our talents, our possibilities and our lives are all the property of other men. We are intellectual prostitutes!" -- John Swinton, 1914, former Editor New York Times, (Un-biased Media?? and much worse since then!!)
Keep that in mind as you explore these News Page Links!!
Idaho Travel News
Montana Travel News
Coeur d'Alene Press
Spokane Spokesman-Review
Montana Standard
Missoulian
The Idaho Observer
LewRockwell.com
FOX News
NewsMax
World Net Daily
Electronic Telegraph
Drudge Report
Wall Street Journal
U.S.A. Today
Washington Post
And on the bottom of the list
ABC
CNN
"Mr. Swinton made the statement in 1914 in his speech at the New York Press Club during his retirement party from the New York Times.
"Swinton had been managing editor of the New York Sun until he started his own journal - John Swinton's Paper in 1883. It became one of the most influential and interesting journals in the country. It played a significant role in the upheaval of the American working class in the mid 1880's. Swinton was active in the free-state movement in Kansas and later worked for the New York Times.
"As a side note, John Swinton (1828 - 1921) was the author of the book, "STRIKING FOR LIFE, Labor's Side of the Labor
Question. The Right of the Workingman to a Fair Living (1894)", as the result of some experience, reflection and observation. This book contains a discussion of the rights of labor by some of their most important spokesmen.
The New York Times owns the Boston Globe. Look at who owns both:
Cede & Co., c/o The Depository Trust Co. (the FederalReserve)
United States Trust Company of New York
Wells Fargo Institutional Trust Company
Bank of New York
Bank One Ohio Trust Company
Bankers Trust Company
Boston Safe Deposit & Trust Co.
Brown Brothers Harriman & Co.
The Chase Manhattan Bank, N.A.
Boston Safe Deposit & Trust Co.
Goldman, Sachs & Co.
Mellon Bank, N.A.
Merrill Lynch Pierce Fenner & Smith
Morgan Guaranty Trust Co.
Northern Trust Co.
Smith Barney, Inc.
"What do you think the chances are that you're ever going to hear a single story that the Federal Reserve Banking Cartel doesn't approve?
"And which other media sources are owned by the Federal Reserve Banking Cartel established in 1913-1914?? All of them???
"The bureaucratic objective is this: If you cannot suppress the news or control it, then for heaven's sake convert it into a meaningless mass of gobbledegook." (Roger Tarterian, Editor, United Press
International, March, 8, 1967)
""You cannot hope to bribe or twist, thank God,
an American journalist - But seeing what the man will do, unbribed, there's no
occasion to." (Humbert Wolfe)
""This is, in theory still a free country, but
our politically correct, censorious times are such that many of us tremble to give vent to perfectly acceptable views for fear of condemnation. Freedom of speech is thereby imperiled, big questions go undebated, and great lies become accepted, unequivocally, as great truths." (Simon Heffer, Daily Mail, June 7th, 2000)
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