You mean like this?
Posted on 07/30/2011 9:30:38 AM PDT by Eyes Unclouded
I just got off the phone with a source on Capitol Hill who has spent the past few days trying to convince Republicans to vote for a debt ceiling hike.
He told me that the biggest obstacle he faces has been "market complacency."
"Frankly, a bit of panic would be very helpful right now," he said.
As he explained it, lots of people in Washington, D.C. expected that this would be a week marked by panic in the markets. Stocks would tank. Bonds would get clobbered. The dollar would do something dramatic. And all of this would help convince reluctant lawmakers that they had to reach a compromise on the debt ceiling.
"We were following the script from 2008. When the market collapsed after TARP failed, that spooked everyone enough to get them to fall in line. We thought the same thing would happen this week," he said.
Instead, the market has just been on a quiet, non-panicked slide.
Stocks have sold off by a couple of percentage points, but nothing that indicates a real fear trade in the works.
Everyone in D.C. has a theory about this. Some believe the market is sending a message that a deal will get done. Others think the market doesn't understand politics.
"Every day we wake up and think that stocks will send a shock up to Capitol Hill. And every day nothing happens," the source said.
He's still holding out hope for a panic sell-off at the end of the day.
"It's the only thing that's going to bring everyone together on this," he said.
(Excerpt) Read more at cnbc.com ...
You mean like this?
“We were following the script from 2008. When the market collapsed after TARP failed, that spooked everyone enough to get them to fall in line. We thought the same thing would happen this week,”
The “We” here a dead giveaway. High on your list would be Chuck Schumer, who was ranking on the Senate Finance Committee then, as well as Democrat Senate Campaign Chair. Remember the financial turmoil that began over the ‘leaked’ memo over IndyMac. Then in Sept. ‘08 the huge ‘unexplained’ electronic market sell-off. Schumer is presently just ‘behind’ Reid in the Senate leadership. Some would say his hands are on the strings. His ‘business’ is and has been to get Democrats elected.
On last Sundays talk show circuit, Obama’s Chief of Staff told the audience “the markets would have some rough days ahead”. Just wondering how he knew that??
That graph would be really, REALLY depressing if it wasn’t so obviously an opportunity.
They are your rulers. Now bow down and kiss their rings.
The only reason he did that was to save his ass.
The GOP House has now passed 2 debt ceiling increases
“The Markets” and credit rating agencies want to see at least $4 trillion in spending cuts over a decade. Or they will lower the USA’s credit rating score.
And, the big boys can't be panicked like that. They're simply not going to play Washington's game. lol.
It’s not for want of trying. All day yesterday, Drudge had an article posted that said: “Gold soars, Dow plunges...” I thought - crap! I should check. Then I went to my stock checker program and saw that the Dow Jones was off by 50 points. Big deal! The Dow is off by 50 if a floor trader sneezes the wrong direction.
Panic sells...
The market for US debt is viewing the political crisis with remarkable equanimity. If the market thought the US was going to default, rates would be skyrocketing. Instead, they are generally lower than a year ago. This reflects people moving into cash because they think others' fear about the debt crisis will cause equities to tank.
From Bankrate.com:
| This week | Month ago | Year ago | |
| One-Year Treasury Constant Maturity | 0.18 | 0.17 | 0.27 |
| 91-day T-bill auction avg disc rate | 0.060 | 0.025 | 0.150 |
| 182-day T-bill auction avg disc rate | 0.100 | 0.095 | 0.200 |
| Two-Year Treasury Constant Maturity | 0.39 | 0.37 | 0.60 |
| Five-Year Treasury Constant Maturity | 1.50 | 1.52 | 1.71 |
| Ten-Year Treasury Constant Maturity | 2.97 | 2.96 | 3.02 |
| One-Year CMT (Monthly) | 0.18 | 0.19 | 0.32 |
| One-Year MTA | 0.252 | 0.263 | 0.386 |
NOte to the dems...or dims.... Wall street is not on your side anymore.They like the rest of America can;t wait until you guys are out of office because you are messing with their paychecks.
Like all of this...we’ve seen this before over and over and over again....looks to me like this criminal administration has CRIED WOLF ONE TOO MANY TIMES.......no one is buying into any longer.....
How can this attempted market manipulation not be prosecutable under RICO?
Imagine that.
It’s not for want of Zero’s trying. Thanks Eyes Unclouded.
Grest post!!!! I think you are right on every point!
Duh
If there’s a panic sell off I will be one of those waiting like a vulture to buy them up at the lowest possible point.
The author cleverly omits stating that his “source” is a Democrat trying to convince Republicans to raise the debt limit.
Of course, a panic would help substantiate the dire warnings coming from Ubama, Reid, et al.
Yet, we have delicious normalcy from Wall Street.
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