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Keyword: treasury

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  • Geithner to stay on as Treasury chief

    08/07/2011 12:08:36 PM PDT · by truthandlife · 84 replies
    Reuters ^ | 8/7/11
    Treasury Secretary Timothy Geithner has told President Barack Obama that he intends to stay on the job, Treasury said in a statement on Sunday afternoon. "Secretary Geithner has let the president know that he plans to stay on in his position at Treasury," Assistant Treasury Secretary Jenni LeCompte said. "He looks forward to the important work ahead on the challenges facing our great country." Geithner had indicated he might leave after a debt-limit increase was approved, but administration officials indicated that both Obama and the White House chief of staff had urged Geithner not to leave now.
  • The Official Calls For Change Roll In: "Fire Tim Geithner"

    08/06/2011 5:47:28 PM PDT · by SeekAndFind · 23 replies
    Zero Hedge ^ | 08/06/2011 | Tyler Durden
    The first official demand for a change at the top as a result of the S&P downgrade has come in, courtesy of Indiana State Treasurer Richard Mourdock, who has just demanded the head of the most incompetent and tax evading Treasury Secretary in US history, on a silver platter. "President Obama should fire U.S. Secretary of the Treasury Tim Geithner over the debt downgrade. If Obama won't remove him, then the US Senate should withdraw its consent of Geithner's appointment to U.S. Treasury because someone in the White House needs to be held responsible for this disaster." Zero Hedge fully...
  • America's debt downgrade is a damning indictment of President Obama's Big Government disaster

    08/06/2011 2:16:45 PM PDT · by Clairity · 94 replies · 1+ views
    The Telegraph ^ | Aug 6, 2011 | Nile Gardiner
    The decision by credit agency Standard and Poor’s to downgrade America’s AAA credit rating for the first time in 70 years is a massive blow to the credibility of the Obama administration, and a damning indictment of its handling of the economy. No doubt the White House will pathetically try to blame the Bush Administration, Republicans in Congress, and of course its favourite target, the Tea Party, for the move by S&P. But without a shadow of a doubt, responsibility for the country’s financial mess and staggering levels of debt lie with the current US president and his administration. They...
  • After S&P downgrade, WH says 'we must do better'

    08/06/2011 2:42:35 PM PDT · by Justaham · 29 replies
    Associated Press ^ | Mark S. Smith
    WASHINGTON (AP) - President Barack Obama sought to distance himself Saturday from the bad news of the nation's first-ever credit-rating downgrade, but lawmakers and presidential candidates showed no such reticencetrading salvos over who's at fault and why. The president, spending the weekend at Camp David, left it to press secretary Jay Carney to say it's clear Washington "must do better" in tackling soaring deficits and other economic woes. A statement from Carney said talks that produced Tuesday's $2 trillion compromise on raising the U.S. borrowing limit had been too drawn-out and "divisive." But the statement didn't directly address Friday's move...
  • U.S. AAA credit rating DOWNGRADED for first time in history after Obama's debt deal

    08/06/2011 7:57:29 AM PDT · by KeyLargo · 68 replies · 1+ views
    Daily Mail UK ^ | Aug 6, 2011
    U.S. AAA credit rating DOWNGRADED for first time in history after Obama's debt deal Unprecedented move will send shockwaves globally S&P cuts long-term credit rating from AAA to AA+ Borrowing costs for consumers and government to rise Comes after Obama signed bill to reduce fiscal deficit By Daily Mail Reporter Last updated at 1:08 PM on 6th August 2011 The U.S. has lost its top-notch AAA credit rating from Standard & Poor's in an unprecedented reversal of fortune for the world's largest economy. S&P cut the long-term U.S. credit rating by one notch to AA+ on concerns about the government's...
  • Obama officials attack S&P's credibility after downgrade

    08/05/2011 10:45:42 PM PDT · by tobyhill · 84 replies
    reuters ^ | 8/5/2011 | Glenn Somerville and Rachelle Younglai
    The Obama administration attacked the credibility of the analysis underlying Standard & Poor's decision to downgrade the United States' top credit rating on Friday, saying it had found a $2 trillion error. S&P was forced to remove the number from its analysis after Treasury officials discovered that the rating agency's estimates of the government's discretionary spending was $2 trillion too high, sources familiar with the discussions said.
  • Obama administration official calls S&P analysis 'way off' [ Wh says its S&P not TP's fault ]

    08/05/2011 11:00:44 PM PDT · by NoLibZone · 46 replies
    CNN ^ | Aug 5 2011
    The Obama administration angrily responded to Standard & Poor's decision Friday to downgrade the U.S. credit rating, with one senior official saying the agency's "analysis was way off." U.S. Treasury officials received S&P's analysis Friday afternoon and alerted the agency to an error that inflated U.S. deficits by $2 trillion, said the administration official, who was not authorized to speak for attribution. The agency acknowledged the mistake, but said it was sticking with its decision to lower the U.S. rating from a top score of AAA to AA+. "This is a facts-be-damned decision," the official said. "Their analysis was way...
  • S&P statement on lowering US long-term debt to AA+

    08/05/2011 9:28:50 PM PDT · by freespirited · 33 replies
    Guardian ^ | 08/06/11 | Standard & Poor's
    We have lowered our long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term rating. We have also removed both the short- and long-term ratings from CreditWatch negative. The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics. More broadly, the downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time...
  • CBS: Dems, GOP react to debt downgrade [ copy it fast! ]

    08/05/2011 10:19:22 PM PDT · by NoLibZone · 22 replies
    cbsnews.com ^ | Aug 5 2011
    (CBS/AP) Following the news Friday of Standard and Poor's downgrade on the U.S. debt, several politicians from both sides of the aisle offered their reactions. Democratic Senate Majority Leader Harry Reid released a statement: "This makes the work of the joint committee all the more important, and shows why leaders should appoint members who will approach the committee's work with an open mind -- instead of hardliners who have already ruled out the balanced approach that the markets and rating agencies like S&P are demanding." Reid was referring to the special bipartisan congressional committee -- made up of six Democrats...
  • U.S. loses AAA credit rating from S&P [copy 2]

    08/05/2011 5:51:56 PM PDT · by NormsRevenge · 70 replies
    Yahoo ^ | 8/5/11 | Walter Brandimarte - Reuters
    NEW YORK (Reuters) - The United States lost its top-notch AAA credit rating from Standard & Poor's on Friday, in a dramatic reversal of fortune for the world's largest economy. S&P cut the long-term U.S. credit rating by one notch to AA-plus on concerns about growing budget deficits. U.S. Treasuries, once undisputedly seen as the safest investment in the world, are now rated lower than bonds issued by countries such as the UK, Germany, France or Canada.
  • S&P Downgrades U.S. Debt Rating Press Release (Boehner-McConnell FAILURE)

    08/05/2011 5:58:18 PM PDT · by jimbo123 · 55 replies
    Wall Street Journal ^ | 8/5/11 | S&P
    Standard & Poors took the unprecedented step of downgrading the U.S. governments AAA sovereign credit rating Friday in a move that could send shock waves through global. The following is a press release from Standard & Poors: We have lowered our long-term sovereign credit rating on the United States of America to AA+ from AAA and affirmed the A-1+ short-term rating. We have also removed both the short- and long-term ratings from CreditWatch negative. The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in...
  • United States loses AAA credit rating from S&P

    08/05/2011 6:16:35 PM PDT · by Iam1ru1-2 · 29 replies · 1+ views
    BuenosAiresHerald.com ^ | August 5, 2011 | BuenosAiresHerald.com
    The United States lost its top-notch AAA credit rating from Standard & Poor's on Friday in an unprecedented reversal of fortune for the world's largest economy. S&P cut the long-term US credit rating by one notch to AA-plus on concerns about the government's budget deficits and rising debt burden. The move is likely to raise borrowing costs eventually for the US government, companies and consumers. "The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics,"...
  • Agencies Issue Guidance on Federal Debt

    08/05/2011 8:56:11 PM PDT · by PAR35 · 7 replies
    FDIC ^ | August 5, 2011 | --
    Earlier today, Standard & Poors rating agency lowered the long-term rating of the U.S. government and federal agencies from AAA to AA+. With regard to this action, the federal banking agencies are providing the following guidance to banks, savings associations, credit unions, and bank and savings and loan holding companies (collectively, banking organizations). For risk-based capital purposes, the risk weights for Treasury securities and other securities issued or guaranteed by the U.S. government, government agencies, and government-sponsored entities will not change. The treatment of Treasury securities and other securities issued or guaranteed by the U.S. government, government agencies, and government-sponsored...
  • $2 trillion error in S&P calculations: US (treasury challenging)

    08/05/2011 8:37:42 PM PDT · by STARWISE · 66 replies
    The US Treasury has hit back against a Standard and Poor's downgrade of its AAA credit rating, saying there was a $2 trillion dollar error in the agency's calculations. "A judgment flawed by a 2 trillion dollar error speaks for itself," a Treasury spokesman said, just after the US lost its AAA rating for the first time ever and was downgraded to a AA+. *snip* Moody's and a third ratings agency, Fitch, say they continue to study the deficit plan to see if the US merits being kept in their ranks of AAA countries. Earlier, an official close to the...
  • U.S. loses AAA credit rating from S&P

    08/05/2011 5:51:21 PM PDT · by GQuagmire · 409 replies
    Yahoo.com via Reuters ^ | 8/5/11 | Walter Brandimarte
    NEW YORK (Reuters) - The United States lost its top-notch AAA credit rating from Standard & Poor's on Friday, in a dramatic reversal of fortune for the world's largest economy. S&P cut the long-term U.S. credit rating by one notch to AA-plus on concerns about growing budget deficits. U.S. Treasuries, once undisputedly seen as the safest investment in the world, are now rated lower than bonds issued by countries such as the UK, Germany, France or Canada
  • Govt officials: US expecting S&P downgrade -- based on "serious mistake" in analysis*

    08/05/2011 5:04:57 PM PDT · by mandaladon · 77 replies
    ABC News ^ | 5 Aug 2011
    Two government officials tell ABC News that the federal government is expecting and preparing for bond rating agency Standard & Poors to downgrade the rating of US debt from its current AAA value. Official reasons given, one official says, will be the political confusion surrounding the process of raising the debt ceiling, and lack of confidence that the political system will be able to agree to more deficit reduction. A source says Republicans saying that they refuse to accept any tax increases as part of a larger deal will be part of the reason cited. The official was unsure if...
  • Two-year Treasury yield drops to a record low

    08/04/2011 6:03:53 PM PDT · by Nachum · 24 replies
    ap ^ | 8/4/11 | STAN CHOE AP Business Writer
    NEW YORK (AP) -- Prices for Treasury securities jumped Thursday, sending the yield on the two-year note to a record low, as investors rushed to U.S. government debt in search of safety. Stocks tumbled around the world on worries that the U.S. economy is weakening and that Europe's debt problems are getting worse. The Dow Jones industrial average fell 513 points, its biggest drop since December 2008. The yield on the two-year Treasury note fell to 0.26 percent, a record low. Late Wednesday it was 0.34 percent. Bond yields fall when demand for them increases. That means traders are willing...
  • Pressured by White House, Treasury Secretary Is Expected to Stay at Post

    08/03/2011 7:46:08 PM PDT · by maggief · 15 replies
    New York Times ^ | August 3, 2011 | JACKIE CALMES
    WASHINGTON Timothy F. Geithner, the Treasury secretary and dean of President Obamas economic team, is expected to stay through the presidents term after intense White House pressure, according to officials familiar with the discussions. But Mr. Geithner has not yet notified the White House of his intentions, and family considerations could still win out, advisers say. Speculation from Washington to Wall Street has intensified because Mr. Geithner, the only holdover at the center of Mr. Obamas original economic circle, said a month ago that he would decide on his future after the White House and Congress reached a deal...
  • Tim Geithner out, Jon Corzine in? (Timmy doesnt sound like he's staying in the job much longer)

    08/03/2011 1:30:54 PM PDT · by SeekAndFind · 22 replies
    Hotair ^ | 08/03/2011 | Ed Morrissey
    After the resolution of the debt-ceiling impasse, rumors have been flying that the last senior member of Barack Obama’s original economic team will call it quits. Treasury Secretary Tim Geithner refused to answer questions about his plans yesterday on ABC’s Good Morning America, which doesn’t exactly sound like a man planning on staying in the job much longer: Speculation is rife in Washington that Geithner, who has outlasted all of President Obama’s other original economic advisors, will resign now that the nation’s borrowing capacity has been extended to 2013 and a 10-year, $2.1 trillion deficit-reduction agreement enacted.Geithner’s consideration of a...
  • Amid Budget Debate, Some Members of Congress Own Bits of U.S. Debt

    08/03/2011 11:39:52 AM PDT · by Palter · 1 replies
    Open Secrets ^ | 01 Aug 2011 | Kathleen Ronayne
    For some members of Congress, the debate over the debt ceiling has more than political implications. For those with investments in U.S. Treasury notes, bonds and bills, there's a bit of a personal skin in the game too. In 2010, at least 14 veteran members of Congress personally owned a portion of the U.S. debt, according to a Center for Responsive Politics review of congressional personal financial disclosure reports.>Some members of Congress hold as little as $1,000 in these types of assets, while others hold upwards of many millions. Disclosure reports only require members of Congress to list assets in...
  • Moody's Confirms US Triple-A Rating, Assigns Negative Outlook (More Debt Is Okay?)

    08/02/2011 4:00:11 PM PDT · by Rational Thought · 11 replies
    CNBC ^ | 08/02/2011 | Reuters
    Moody's Investors Service on Tuesday confirmed its triple-A rating of the United States, citing the decision to raise the debt limit, but kept the pressure on the government to move toward a long-term fiscal consolidation plan. The ratings agency affirmed the United States' triple-A rating after congressional lawmakers agreed to raise the country's debt ceiling , which will allow the Treasury to keep servicing U.S. debt obligations. It assigned a negative outlook on the rating, however, in a sign that a downgrade is still possible in the next 12 to 18 months. In a statement, Moody's said there would be...
  • Wiedemer: US Treasurys Now a Toxic Asset, Debt Deal Wont Fix It

    07/30/2011 7:40:44 PM PDT · by TigerLikesRooster · 31 replies
    Newsmax ^ | 07/30/11 | Forrest Jones and Ashley Martella
    Wiedemer: US Treasurys Now a Toxic Asset, Debt Deal Wont Fix It Saturday, 30 Jul 2011 04:13 PM By Forrest Jones and Ashley Martella The United States may lose its AAA rating by defaulting on its debt and it will be very hard to get that rating back, says Robert Wiedemer, financial commentator and best-selling author of "Aftershock." Lawmakers are at an impasse on agreeing on terms to lift the government's $14.3 trillion debt ceiling and avoid an Aug. 2 default. Republicans and Democrats want to lift the ceiling but disagree on how to reduce the deficit in exchange for...
  • Debt ceiling deadlock could lower interest rates [CNN]

    07/29/2011 7:11:29 AM PDT · by mrsmith · 17 replies
    CNN ^ | July 28, 2011 | Chris Isidore
    ...One other factor that could lift bond prices is that Treasury could be forced to stop selling new bonds, which would limit the supply available for investors. Limiting supply typically helps to lift prices. Thursday's auction of 7-year Treasuries came in with a yield of 2.25%, the lowest rate Treasury has had to pay for notes of that term since last November.
  • US Treasury, dealers to discuss market conditions

    07/29/2011 7:08:01 AM PDT · by Oldeconomybuyer · 7 replies
    Reuters ^ | July 29, 2011 | by Glenn Somerville
    The U.S. Treasury Department said it will meet with primary-market dealers in New York on Friday as part of regularly scheduled meetings ahead of next week's quarterly refunding announcement. Treasury is due to announce next week its borrowing needs for the current quarter and its plans for selling debt to meet those needs. But the political debate over whether to raise the $14.3 trillion debt ceiling has thrown into question how Treasury can sell more debt. The meeting on Friday will include all 20 primary dealers. Normally Treasury meets half of the key Wall Street dealers in individual sessions ahead...
  • You choose: who gets paid (and who doesnt)

    07/28/2011 6:52:12 PM PDT · by TenthAmendmentChampion · 45 replies
    The Washington Post ^ | Undated | Unsigned
    On August 2, the federal government will not have enough cash to pay for all of its programs and obligations. The U.S. will take in a total of $172.4 billion in revenue during the month, but its total payments exceed $306 billion, resulting in a $134 billion shortfall.
  • U.S. Contingency Plan Gives Bondholders Priority

    07/28/2011 1:59:46 PM PDT · by triumphant values · 12 replies
    Bloomberg ^ | July 28, 2011 | Peter Cook
    The U.S. Treasury will give priority to making interest payments to holders of government bonds when due if lawmakers fail to reach an agreement to raise the debt ceiling, according to an administration official. The official requested anonymity because no announcement has been made. The Treasury has said about $90 billion in debt matures on Aug. 4 and more than $30 billion in interest comes due Aug. 15. Overall, more than $500 billion matures in August. Six-month Treasury bills maturing Aug. 4 pared losses after the comments. Obama administration officials will brief the public no earlier than after financial markets...
  • The U.S. Government Cannot Ever Run Out of Money

    07/28/2011 1:36:17 PM PDT · by triumphant values · 34 replies
    The Atlantic ^ | July 27, 2011 | John Carney
    The White House insists the U.S. government will not be able to stay current on all of its obligations as of Aug. 2 unless the debt ceiling is raised. But can the government of the United States ever really run out of money? The question is a bit more complex than it might seem. In some ways the government really is like every ordinary American family. It has a bank account. Every day the funds in that account grow by the amount of deposits that are made and shrink by the amount of withdrawals. At the start of the day...
  • CRUNCH TIME: Treasury to Weigh Which Bills to Pay (If No Agreement by 8/2. Help them out FReepers)

    07/28/2011 12:26:05 PM PDT · by SeekAndFind · 27 replies
    New York Times ^ | 07/28/2011 | Binyamin Applebaum
    WASHINGTON The Treasury Department is preparing to answer a question that it has dodged and rebuffed for months: If theres not enough money for everyone, who is left empty-handed? Officials said Wednesday that the department would address the issue later this week unless it became clear that Congress would vote by Aug. 2 to let the government borrow more money. The outlines of the answer, however, already are clear. Officials have said repeatedly that Treasury does not have the legal authority to pay bills based on political, moral or economic considerations. It cannot, for instance, set aside invoices from...
  • Lawmaker probing if Treasury meddled in S&P rating

    07/27/2011 6:37:38 PM PDT · by markomalley · 14 replies
    Reuters ^ | 7/27/11 | Sarah N. Lynch and Rachelle Younglai
    A congressional panel is examining whether the Obama administration tried to unduly influence Standard & Poor's before the credit rater revised its outlook on the debt rating to negative. Randy Neugebauer, the Republican chairman of a House oversight panel, said on Wednesday his staff is probing whether Treasury tried to make material changes to a draft of S&P's news release announcing the negative outlook revision in April. "Our concern was if the administration was trying to influence this rating decision some -- above what would be a normal practice," Neugebauer told reporters after a hearing examining oversight of the credit...
  • This Is What Gets Defunded If The Treasury Has To Prioritize Payments

    07/25/2011 8:11:00 AM PDT · by SeekAndFind · 137 replies · 1+ views
    Business Insider ^ | 07/25/2011 | Joe Weisenthal
    It's been assumed -- but never confirmed -- that if we hit the debt ceiling, that The Treasury could prioritize payments, continuing to make bond coupon payments and entitlements, while shutting off other spending. The Bipartisan Policy Center has put together a presentation (.pdf) on the debt ceiling, and what prioritization would look like (via Stone Street Advisors). These two charts show it all.
  • The Gold Standard, Printing Money and the Federal Reserve

    07/24/2011 12:40:22 PM PDT · by Tolerance Sucks Rocks · 32 replies
    Nolan Chart ^ | July 23, 2011 | James Luko (centrist)
    The media is hyping and harping on the issue that the Federal Reserve will resort to PRINTING more money to feed another round of quantitative easing. This is a wholly incorrect fact. The Department of Treasury prints our "paper currency NOT the Federal Reserve. Quantitative easing is the Federal Reserve increasing bank reserves- thereby creating new money electronically- but, for a stated purpose of stimulating the economy and NOT for paying government debt. This is a salient point that the media mixes up, assuming and misinforming the public that QE is paying for increased government debts. QE serves a fundamental...
  • Banks Pay Back TARP Funds by. . .Borrowing From Treasury

    07/24/2011 11:11:24 AM PDT · by EBH · 13 replies
    Yahoo/Finance ^ | 7/20/11 | Daniel Gross
    But sometimes there's less than meets the eye. Generally, banks that repaid CPP funds did so with cash raised from earnings, or by raising new outside capital. In finance and banking you always have to read the fine print. And if you go back to the report, you'll notice that the fine print accompanying the entries for each of the above exits makes reference either to Footnote 49 or Footnote 50. Footnote 49 reads: "Repayment pursuant to Title VII, Section 7001(g) of the American Recovery and Reinvestment Act of 2009 using proceeds received in connection with the institution's participation in...
  • U.S. Treasury Seeks Help in Mending Economy -- But <i>Whose</i> Economy?

    07/22/2011 11:52:49 AM PDT · by Steve Peacock · 2 replies
    U.S. Trade & Aid Monitor ^ | July 22, 2011 | Steve Peacock
    As congressional and White House budget battles rage on along the littered landscape of national financial woes, the U.S. Dept. of the Treasury this week reached to the private sector for help in overseeing the following five areas of activity: (1) economic crimes; (2) government debt issuance and management; (3) budget and financial accountability; (4) banking and financial services, and: (5) revenue policy and revenue administration. Ironically, this outsourced assistance will not target these problem areas here in the United States; on the contrary, Treasury is looking for help in monitoring these issues in nations such as Afghanistan, Haiti, Iraq,...
  • Republican Kevin McCarthy Says No Debt Deal Likely Today, Or Over Weekend

    07/22/2011 10:32:05 AM PDT · by SeekAndFind · 10 replies
    Zero Hedge ^ | 07/22/2011 | Tyler Durden
    Well, it looks like there will be no debt ceiling hike enacted prior to August 2 at which point the money really does run out. From The Hill: "The No. 3 Republican in the House said Thursday night that he didn’t expect any surprises in the deficit debate over the weekend. “I do not see something springing this weekend,” Republican Whip Kevin McCarthy (Calif.) told conservative radio host Hugh Hewitt. McCarthy pooh-poohed reports that the White House and Republican leadership are closing fast on a deal on the budget deficit and raising the debt ceiling. “There is no deal,” McCarthy...
  • This Is What Passes For Democracy In Greece And America

    07/14/2011 4:51:58 PM PDT · by george76
    zh ^ | 07/14/2011 | Tyler Durden
    Last night I had quite an unexpected surprise. You see, at my hotel here in Thessaloniki, theres a delegation from some group of the European Parliament called the Committee on Regional Development. Theyre here to help Hey, isnt that what they always say? The Committee wants to supervise Greece working its way out of the debt crisis and make sure that Greeces poor are getting the support they need. The hotels restaurant was filled with these sycophantic parasites last night an entire room full of people with a superiority complex who think that they are entitled to make decisions about...
  • Official Treasury Reports: Coffers Full Enough

    07/12/2011 4:33:28 PM PDT · by sheikdetailfeather · 22 replies
    (CNSNews.com) - President Barack Obama told CBS News today that there may not be enough money in the U.S. Treasury to cover Social Security checks after Aug. 3 if Congress does not agree to lift the legal limit on the federal debt and allow his administration to borrow more money. "I cannot guarantee that those checks go out on August 3rd if we haven't resolved this issue. Because there may simply not be the money in the coffers to do it," Obama told CBS News anchor Scott Pelley in an interview. However, according to the Daily Treasury Statements published by...
  • Should The Fed Burn A Pile Of Treasury Securities?

    07/10/2011 5:52:40 PM PDT · by Tolerance Sucks Rocks · 12 replies
    Nolan Chart ^ | July 9, 2011 | Gene DeNardo
    Ron Paul's recent idea on how to ease the national debt is hardly original but none the less worthy of consideration. He has proposed what leftist critics of the status quo monetary system have been proposing for decades: that money printing should be used to fund the government. To give Ron due credit, he is not proposing exactly that. More precisely, he is proposing that the Fed should tear up a bundle of its Treasury securities, which would lower our overall debt total bringing us below the current debt ceiling. Still, the mechanics are identical, if not in reverse order....
  • Good news: Computers might force Treasury to keep making payments even if debt ceiling is reached

    07/08/2011 7:45:36 PM PDT · by SeekAndFind · 30 replies
    Hotair ^ | 07/08/2011 | Allahpundit
    Skynet won’t let us nuke ourselves. That’s Skynet’s job. If Treasury were to decide to delay some payments, one option could be to postpone a disbursement of more than $49 billion to Social Security recipients that is due on August 3.It would be a politically explosive step but one that could allow the government to temporarily pay bondholders to try to avoid foreign investors dumping U.S. Treasuries and the dollar…Steve McMillin, a former deputy director of the White House Office of Management and Budget under Bush, said Treasury has options but most of them are “pretty ugly.”If Treasury were to...
  • Retirement Fund Plunder Update: $206 Billion So Far, $62 Billion Left

    07/08/2011 7:05:54 AM PDT · by george76 · 18 replies
    zh ^ | 07/07/2011 | Tyler Durden
    the Treasury has plundered about $206 billion from the two primary retirement accounts: the G-Fund and the Civil Service Retirement and Disability Fund... there is about $62 billion in available debt ceiling stretching options. In other words, Tim Geithner has burned through 75% of his dry powder just 50 days into the debt ceiling breach. What happens in the next few days ...Treasury would need to use about $37 billion of that $62 billion in July, and would exhaust the rest with the settlement of auctions on August 1.
  • Exclusive: Treasury secretly weighs options to avert default [they've been BSing us]

    07/06/2011 9:27:28 PM PDT · by upchuck · 25 replies
    Rooooooters ^ | July 6, 2011
    A small team of Treasury officials is discussing options to stave off default if Congress fails to raise the country's borrowing limit by an August 2 deadline, sources familiar with the matter said on Wednesday. Senior officials, including Treasury Secretary Timothy Geithner, have repeatedly said there are no contingency plans if lawmakers do not give the U.S. government the authority to borrow more money. But behind the scenes, top Treasury officials have been exploring ways to prevent a financial meltdown that would be triggered if the government were unable to pay its bills on time, sources told Reuters. Treasury has...
  • Did Treasury Just Strategically (Intentionally) Default?

    07/01/2011 5:09:35 PM PDT · by The Magical Mischief Tour · 38 replies
    Market Ticker ^ | 07/01/2011 | Market Ticker
    It sure looks like they did. Yesterday. Here's the DTS (daily cash statement) for Treasury. 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...
  • Geithner says he'll stay for 'foreseeable future'

    06/30/2011 9:19:23 PM PDT · by Hunton Peck · 20 replies
    Associated Press ^ | Thursday, June 30, 2011 9:31 PM EDT | KAREN HAWKINS and JIM KUHNHENN
    CHICAGO (AP) Treasury Secretary Timothy Geithner said Thursday he'll stay in his job for the "foreseeable future," addressing speculation he might leave the Obama administration following the current round of budget negotiations. "I live for this work. It's the only thing I've ever done. I believe in it," Geithner said when questioned about his plans by former President Bill Clinton onstage at a meeting of the Clinton Global Initiative. "We have a lot of challenges in the country and I'm going to be doing it for the foreseeable future," he said. Geithner, 49, acknowledged the interest in his plans,...
  • Geithner To Consider Leaving Treasury After Debt Debate

    06/30/2011 4:42:26 PM PDT · by Biggirl · 23 replies
    http://dailycaller.com/ ^ | June 30, 2011 | Hans Nichols
    Treasury Secretary Timothy F. Geithner has signaled to White House officials that hes considering leaving the administration after President Barack Obama reaches an agreement with Congress to raise the national debt limit, according to three people familiar with the matter.
  • Debt Increased More Under Geithner Than Under Any Treasury Secretary in U.S. History

    06/30/2011 3:32:24 PM PDT · by Nachum · 17 replies
    Cybercast News Service ^ | 6/30/11 | Matt Cover
    Treasury Secretary Timothy Geithner oversaw the largest increase in the national debt of any Treasury secretary in American history, presiding over a $3.7 trillion increase in the debt. According to data from the Treasury Departments Bureau of the Public Debt, the national debt has increased $3,723,575,990,130.10 from Jan. 26, 2009 until June 30, 2011, Geithners entire tenure to date as Treasury secretary. When Geithner took office the total national debt stood at $10.6 trillion. As of June 30, 2011, it had risen to $14.3 trillion.
  • Report: Treasury must cut spending 44 percent in the event of default

    06/29/2011 7:04:01 AM PDT · by SeekAndFind · 21 replies
    The Hill ^ | 06/29/2011 | Erikk Wasson
    New analysis by the Bipartisan Policy Center (BPC), which has been shared extensively with members of Congress, estimates that the Treasury Department would not be able to pay all its bills and would need to implement an immediate 44 percent cut in federal spending in the event the debt ceiling is exceeded. On an annualized basis, the cut in spending alone is a 10 percent cut in GDP, BPC scholar Jay Powell told reporters. The report released Tuesday concludes that Treasury would not be able to pay all its bills between Aug. 2 and probably not later than Aug. 9...
  • Treasury May Extend Aug. 2 Deadline to Raise Federal Debt Limit

    06/29/2011 4:55:58 AM PDT · by tobyhill · 25 replies
    Fox News ^ | 6/28/2011 | fox news
    The No. 2 Republican in the Senate said Tuesday that he has heard the Treasury Department may be announcing soon that it can extend the Aug. 2 deadline to increase the nation's ability to borrow money to give bipartisan negotiators more time to cut a deal on the debt. Sen. Jon Kyl, R-Ariz., didn't say where he heard the plan, but if true the decision would give critical breathing space for lawmakers and the White House who have not been able to overcome a budget impasse. "We know for sure they are going to update the deadline (Friday)," a House...
  • Horrible 5 Year Auction Sends Treasury Complex Into A Tailspin, 5 Year Yield Surges

    06/28/2011 10:53:13 AM PDT · by Nachum · 23 replies
    Zero Hedge ^ | 6/28/11 | Tyler Durden
    It has been a long time since we had seen a 5 Year auction as ugly as today's: printing at a 1.615% high yield, the 5 Year had a 3.5 bps tail off the bat to the 1.58% WI where it was trading before. The internals were just as ugly, with the Bid To Cover coming at 2.59 a plunge from May's 3.20, and the lowest since June 2010. Not surprisingly, Indirect interest evaporated once again, tumbling from 47.1% to just 37.6%, with Primary Dealers having to take up more than half, or 52.1%, and the remainder going to Direct...
  • Private emails detail Obama admin involvement in cutting non-union worker pensions post-GM bailout

    06/23/2011 5:50:33 AM PDT · by Kegger · 18 replies
    The Daily Caller ^ | 3:12 PM 06/22/2011 | Matthew Boyle
    New emails obtained by The Daily Caller contradict claims by the Obama administration that the Treasury Department would avoid intervening in the day-to-day management of General Motors post-auto bailout. These messages reveal that Treasury officials were involved in decision-making that led to more than 20,000 non-union workers losing their pensions. Read more: http://dailycaller.com/2011/06/22/private-emails-detail-obama-admin-involvement-in-cutting-non-union-worker-pensions-post-gm-bailout/#ixzz1Q6OOKOsu
  • After Dumping 30% Of Its Treasury Holdings In Half A Year, Russia Warns It Will Continue Selling

    06/18/2011 11:43:34 PM PDT · by Nachum · 16 replies
    Zero Hedge ^ | 6/18/11 | Tyler Durden
    Just in time for the end of QE2, when the US needs every possible foreign buyer of US debt to step up to the plate, we get confirmation that yet another major foreign central bank has decided to not only not add to its US debt holdings, but to actively sell US Treasurys. The WSJ reports that "Russia will likely continue lowering its U.S. debt holdings as Washington struggles to contain a budget deficit and bolster a tepid economic recovery, a top aide to President Dmitry Medvedev said Saturday. "The share of our portfolio in U.S. instruments has gone down...
  • Fed Lawyer Alvarez: The Federal Reserve Does NOT Own Any Gold at All

    06/05/2011 10:07:45 AM PDT · by David · 17 replies
    Gold News.Com ^ | June 2, 2011
    The article is based on a summary of a testimony exchange between Dr. Ron Paul and Scott Alvarez, an attorney of house counsel to the Federal Reserve at a hearing before House Financial Services Subcommittee on Monetary Policy. The actual transactions involving ownership of US Gold which were implemented at the time the Federal Reserve Act of 1913 was adopted have been shrouded in an effort to obfuscate the long term rights of the parties. The historical received wisdom has been to believe that the Fed owned the US gold subject to a right in the Treasury to get the...