Tim Geithner: China's Bumbling Nephew... and What's This Yuan-Denominated T-bill Business?
Tim Geithner is little more than chief pimp for U.S. debt and as such, it makes sense that he must provide the sort of hoes that the tricks on the street (in this case, the Chinese) want providing their backseat half-and-half. (If you aren't familiar with the term, I recommend The Best Cathouses in Nevada, which I once picked up from a Wendover truck stop for a little cross country light reading - consider yourself forewarned, I have never looked at humanity quite the same since) Point being, if Timmy doesn't have a market for his tramps, he better get back to the Hoe Depot and pick up some bitches that will get some play out there. Are you listening, Timmy?
I have heard others mention this as more than just a wild idea birthed by the bears who insist the sky is falling. The sky is still falling, we're still bears, and you never know just how far this administration will go to monetize everything that isn't nailed down.
The tables are fast turning against the deeply indebted USGovt officials. USA Inc is in deep trouble. Its productive engines in both finance and industry are either wrecked or sputtering, even as its debt burden grows exponentially. Debt default litters the landscape. Next its sovereign bonds will be have to be sold to some extent outside the US$ Sphere, which will put at great risk its stock, namely the USDollar itself. Let’s call them USGovt Dragon Bonds.
The custodians desperately seek creditors to supply much needed capital in order to fund the gigantic and growing USGovt debts, which by the way are grossly understated. The last resort is to monetize the USTreasury Bond issuance, a process well along. With the aid of the USDollar Swap Facility, the USFed has been able to secretly bid on USTBonds from foreign soil, have it appear like foreign bids, and conceal the continued and broadening monetization initiative. The United States is boldly defying the creditor nations, printing money, and buying its own debt. When more fully revealed, the USDollar will suffer the consequences. A sense of betrayal will surely come, much like discovery that the CIA has been flooding the globe with counterfeit $100 bills, or Wall Street has been flooding the globe with counterfeit Fannie Mae Bonds. Closer to home, it is akin to selling lemonade has been secretly watered down, or putting lawn mower clippings into the reefer batch before sale.
The frightening part is that we, as debtors, have turned the knife in our foreign creditors' backs before, repeatedly, and with the sort of self-important narcissism that makes one feel guilty for having indulged in so much baseball and apple pie. Is this the America that we call home? Have things always been like this?
Of course, I do not have that answer.
Lucky for us, Tim Geithner's Chinese "Uncle" does, and if this doesn't set off the red flags, I might as well give up and go find a new hobby:
Vice Premier Wang Qishan said of U.S. Secretary of Treasury Timothy Geithner: "I could be his uncle." His comment aroused an emotional response from Chinese attendees at a dinner last night near The White House in his honor and in State Councilor Dai Bingguo's honor. With tight security, the dinner drew elite leaders from in government, business, civic affairs and ChinaStakes. Sponsorship included a long list of organizations and individuals but primary sponsorship came from the US-China Business Council and the National Committee on US-China Relations.
American attendees did not catch the punch line of "uncle" until receiving informal explanations later from Chinese attendees.
Prior to his "uncle" remarks, Vice Premier Wang had told the audience that when he was a student, he went to see Peter F. Geithner, the father of Secretary Timothy Geithner, who was with The Ford Foundation for 28 years and the foundation's first representative in Beijing. The Vice Premier asked the Secretary's father for financial assistance to complete his studies. Geithner gave the Vice Premier financial support for studying ocean waves.
American attendees later learned that "Uncle" is a common and widely used Chinese expression when a son or daughter addresses a colleague of one's father. Vice Premier Wang's dramatic expression drove home the following message: US Secretary Geithner and I have a personal relationship ("guanxi") which distinguishes success from failure. Our relationship is not an ordinary relationship. We are family. We can build a successful US-China relationship because of our "guanxi." An "uncle" relationship has greater advantages than a purely formal business relationship.
Of course. Perhaps Geithner should borrow a few US dollars from his uncle for the next time reporters go sniffing at the contents of his wallet?
This is beyond disturbing. Your Treasury Secretary is selling you on China's street corner for far less than you are worth, America, and if you put on the short skirt and CFM boots to walk his streets, I guess you deserve to get banged on the back of a Beijing bicycle. Just sayin.