Source Link: http://removingtheshackles.blogspot.com/2014/02/the-debt-ceiling-aka-special-manouvers.html
Here we go again everyone!!! It's...........
DEBT CEILING TIME AGAIN!!!!!!
In our last episode of the "Debt Ceiling Crisis" we pointed our fingers and laughed at the Main Stream Media for not being able to keep their stories straight, and ohhhhhhh'ed and ahhhhhh'ed at the cute way that the Treasury hocked their tighty whities to the tune of $400 Billion during the second last episode of "Debt Ceiling Crisis" in May 2013.
To review: Previously on "Debt Ceiling Crisis"...
"U.S. debt jumped a record $328 billion on Thursday, the first day the federal government was able to borrow money under the deal President Obama and Congress sealed this week....Did you get that?! Congress basically gave themselves an unlimited credit card- NO DEBT CEILING. But even the Main Stream Media can't get the story straight:
...The giant jump comes because the government was replenishing its stock of “extraordinary measures” — the federal funds it borrowed from over the last five months as it tried to avoid bumping into the debt ceiling.
Under the law, that replenishing happens as soon as there is new debt space.
In this case, the Treasury Department borrowed $400 billion from other funds beginning in May, awaiting a final deal from Congress and Mr. Obama.
Usually Congress sets a borrowing limit, or debt ceiling, that caps the total amount the government can be in the red.
But under the terms of this week’s deal, Congress set a deadline instead of a dollar cap. That means debt will rise by as much as the government spends between now and the Feb. 7 deadline...."
"But during the 2012 debt ceiling debate, Congress took this handover of power one step further by giving President Obama a set period of time to increase the debt ceiling at his discretion. The No Budget, No Pay Act of 2013 suspended the debt ceiling from Feb. 4, 2013, to May, 19, 2013. After that, the actual debt ceiling was raised, but only enough to allow the government to safely pay its debts through October 17."
http://news.yahoo.com/there-is-no-debt-ceiling-in-place-and-here%E2%80%99s-why-235736781.html
"only enough to allow the government to safely pay its debts through October 17"but the Washington Times says that they BORROWED the money from other funds ....... sheeesh! Can't you guys at least stick to the same story?!
Remember?
Ok, now we will just quickly review the article I put out in January "The Twisted Tale of $200 Billion.... Now you see it.... now you.... opps!"
"...when I receive information, from two completely separate sources, from both sides of the pond, within 48 hours of each other, both saying the exact same thing.... I take serious note. The last week of November I was told by both of them that the Big US Banks were completely bankrupt and that they had fired the emergency rescue flares up in a last ditch attempt to save themselves.
I was told that there was no rescue in sight for them. That all avenues had been exhausted. ....
Well it turns out that their bag of tricks wasn't quite empty yet- although this last piece of razzle dazzle extreme slight of hand is not going to cover their asses for very long....
http://www.zerohedge.com/news/2013-12-31/wtf-chart-day-fed-soaks-record-200-billion-year-end-excess-liquidity
A week ago the Fed announced its latest expansion to its Fixed-Rate Reverse Repo facility, which boosted the maximum allotment per counterparty to a whopping $3 billion from $1 billion (initially this was "only" $500 million), to wit: "this week the Committee authorized the Desk to modify the terms of the exercise. The maximum allotment cap will be increased to $3 billion per counterparty per day from its current level of $1 billion per counterparty per day, effective with the operation on Monday, December 23, 2013." Some wondered why. Today we got the answer, when the Fed announced that an unprecedented $198 billion (that's 20% of a trillion) among 102 entities was reverse repoed to it (an average of just under $2 billion per counterparty) in what can only be characterized as the most grotesque temporary open market operation conducted by the Fed in history.
We will leave it up to readers to decide what is more surreal: that the Fed is allowing banks to "window dress" to the tune of several times more than total Treasury holdings owned by the Primary Dealers as disclosed by the Fed, or that there is an unprecedented $200 billion in free liquidity floating out there.
And yes, nobody actually ever had to sell anything to hand over the fungible electronic cash equivalents to the Fed because... the magic of repo and shadow banking rehypothecation of claims. Remember: $2.5 trillion in excess deposits serve as dry powder to chase risk higher purely in the form of initial margin on marginable securities like the E-Mini, and no money every actually changes hands.
On December 31st, 2013 the Federal Reserve Bank magically created $200 BILLION for the banks.
It's all imaginary of course- and has ZERO value, backing, or support structure. This is what's called an extreme desperate measure of an extremely desperate corporation. Here's the important part to realize:
Even these exorbitantly corrupt thieves that control the Federal Reserve Bank, and all the worlds Banking cartel- they HAVE to follow their own rules!!! The rules might be twisted, fraudulent, unscrupulous, and debauched.... BUT! They HAVE to be followed! So while the Fed has come up with this ridiculous magic trick to save the Banks.... they still will have to provide back up to this. ALL THINGS MUST BE MADE PUBLIC KNOWLEDGE BY THEIR OWN RULES! Hence the fact that we can find so much information hidden in plan sight on various "government" and official agency web sites. They don't make it easy to find, of course, but it's all there. You just have to go looking for it."
Got all that, right? Ok now today's episode of "The Debt Ceiling Crisis"....
Information hidden in plain sight- and spoken in clear and concise english ....
Today Jack Lew announced that the Debt Ceiling must be raised by February 27th....
Information hidden in plain sight- and spoken in clear and concise english ....
Today Jack Lew announced that the Debt Ceiling must be raised by February 27th....
Lew: Debt ceiling must be raised by Feb. 27
February 7, 2014: 5:14 PM ET
Treasury Secretary Jack Lew warned lawmakers yet again that they must act quickly to extend the nation's borrowing authority if they want to ensure the United States doesn't default on any of its obligations.
NEW YORK (CNNMoney)Treasury Secretary Jack Lew told Congressional leaders Friday in essence that the full faith and credit of the United States could be in jeopardy after Feb. 27 if lawmakers don't raise the debt ceiling.
That's when Lew now estimates Treasury will run out of special accounting maneuvers to ensure all the country's bills are paid in full and on time.
A months-long suspension of the debt ceiling ended Friday, and Treasury has already started its financial juggling act.
"We are not confident that the extraordinary measures will last beyond Thursday, February 27," Lew wrote in a letter to lawmakers....
...Political observers expect that lawmakers most likely will end up suspending the debt ceiling yet again.
A suspension doesn't technically raise the debt ceiling, but lets Treasury keep borrowing as needed to pay the country's bills, thereby averting default on U.S. obligations. The bonus for lawmakers is that they don't have to go on the record as voting for an increase.
Lew tells the lawmakers in Congress to "raise the Debt Ceiling" by Feb 27th because they will run out of "Special Accounting Maneuvers"..... Oh right! You mean like creating $200 billion for the banks last month? Those kind of maneuvers?
Yesterday I had a link forwarded to me to an article about the US banks undergoing "testing" this month on the 15-16th. I do not know the website nor the author, but much of what they have written is well thought out and verified through many news articles recently. Below are two of the screen shots he has posted in the article "Federal Reserve Issues Warning, Bank Drills, Possible False Flag" on February 6, 2014.
(Allison Martinez) Either the new Federal Reserve Chairman Janet Yellen is a prepper, or there is something afoot in the world of banking. If she is a prepper, I missed any indication of that in her background. Bankers typically talk in terms of contingency plans and liquidation programs, not prepping for disasters.
In January of this year, Supervisory Regulation (SR) 14-01 was issued in regarding the need for bank preparedness particularly for the eight bank holding companies (BHCs) in the United States. According to the memo, there are eight Bank Holding Companies that appear to be at risk and that risk threatens the financial stability of the United States. These eight companies are Bank of America Corporation, Bank of New York Mellon Corporation, PLC, Citigroup Inc., Goldman Sachs Group, Inc., JPMorgan Chase & Co., Morgan Stanley, State Street Corporation, and Wells Fargo & Company.
The memo, dated January 24, was the first one of the year. It was sent from Michael Gibson to the top banks to stress increased supervisory expectations. Gibson stated,
“… the Federal Reserve is issuing this letter to clarify the heightened supervisory expectations for recovery and resolution preparedness for the eight domestic bank holding companies that may pose elevated risk to U.S. financial stability. “
...While this screen shot is from their website, a similar email advisory went out to all of their customers. The Bank of Arizona, Bank of Oklahoma, and the Bank of Texas have all been mentioned as having this drill. All of these banks are owned by BOK Financial. They also own Bank of Arkansas, Bank of Kansas City, Colorado State Bank and Trust, BOSC, Inc., Cavanal Hill, TransFund, HomeDirect Mortgage so it may be that these institutions will announce they are also involved in this drill. This may be a corporate activity, or something greater in scope.
What makes this all the more curious is that FDIC has lawsuits going on in the Southwest region against banks. It doesn’t appear to be connected to any of these banks or the drill, but the memo from the Fed requiring more supervision of the “Big 8,” the drills in the south that include the S.W.I.F.T. system, and the lawsuit taken together does give one a moment of pause. The whole matter does seem a bit auspicious to the causal observer. Banks temporarily shut down, calls for increased bank supervision back east, the looming debt ceiling and discussions of default once more coming from the administration casts the drill in a surreal perspective. The backdrop of 4 banker suicides last week, including Mike Dueker at Russel Investments, lingers in the mind as well, and all of them worked in the area of forecasting and data analysis. Late last month HBC started restricting cash withdrawals by customers. One can’t help take notice of these coincidental events and ponder if there isn’t something more afoot.
-
-------------------------------------------------------------------------------------------------------------------------
Click HERE to see the rest of the screen shots and videos
I would add to the above article, the LIBOR courtcases, the Forex investigation that has bankers running and hiding, the massive amount of mega lawsuits against the banks that is costing the big boys in the billions of dollars, the crashing of several currencies, the markets plunging (let's face it the DOW only went up today because it's a Friday), ..... and the Debt Ceiling Crisis. If you want to keep pace with it all, please watch for my daily articles on Transpicuous News- it's all right there in black and white: http://transpicuousnews.blogspot.com/
.... remember what I said back in early January?
Watch the BAD weather and the Closures.
Right now there is a super storm barrelling across the Atlantic with
75foot waves coming at England, there are storm after storm battering
the US and Europe, Power outages all over the place..... and with each
storm in the US they shut down the roads and stop flights and warn
people to "stay indoors"..... there is an air traffic controller strike
in Europe and a subway/tube strike in London... just to mention a few.
Is their bag of tricks empty? I'm thinking that it just might be this time....
Keep your eyes open my friends- everything is right in front of your eyes and happening in real "time".
Oh and the IMF is calling for a reset.
Interesting eh?
Is their bag of tricks empty? I'm thinking that it just might be this time....
Keep your eyes open my friends- everything is right in front of your eyes and happening in real "time".
Oh and the IMF is calling for a reset.
Interesting eh?
