The “disconnect” is most clearly expressed in the United States, where the Federal Reserve’s policy of pumping trillions of dollars into financial markets has seen stock market indexes reach record highs, while the underlying economy stagnates and reverses.
Last week, it was revealed that the US economy contracted almost 3 percent in the first quarter of 2014, but stock markets climbed even further in the belief that the on-going stagnation would lead to the provision of still more ultra-cheap money.
The BIS then took aim at the Fed’s policy of informing financial markets of its intentions.
[ ] the very policies being implemented, supposedly with the aim of preventing a financial crisis, may well be creating the conditions for one.
Why would China and other countries take on the risk of this debt? Simple, it’s economic reset or economic collapse. Its in the worlds interest to re-structure the U.S. debt to save the whole whale from beaching itself.
Today, our bought and paid for Senators endorsed Stanley Fischer to be Vice Chair directly in line behind Janet Yellen. Basically, when Yellen is taken out for incompetence Fischer will be placed in her spot. Why is it being done this way? …because Fischer could not have gotten the nod from Congress to be the Chairman as a standalone candidate even though he calls all the shots already!!!
In 1932 the brilliant, courageous, patriotic Chairman of the Banking and Currency Committee, Congressman Louis T. McFadden, was American’s first, most informed, and most eloquent anti-FED champion. His crusade, from the floor well of the U.S. House of Representatives, outlined below, is particularly “sacred” because McFadden paid for his brave efforts to expose this FED fraud with his life: he was assassinated.
The events unraveling post Bernanke’s decision not to taper QE is most significant because it confirms our analysis that the banking crisis has not been resolved in any significant way after five years of money printing and massive asset inflation. The fiat money system has but one outcome – total collapse. It will also mean the demise of the global US dollar reserve currency.
In plain terms, the Fed has proven beyond even a hint of a doubt that it is simply flying by the seat of its pants, with no clear game plan or eventual outcome in mind. The Fed is simply going to keep doing what it’s done for five years until something breaks.
Somebody is a selling a fistful of US Treasuries. It could be Russia, or China, Turkey, South Africa, or Indonesia, or all frantically selling bonds at the same time for different reasons. We don’t yet know.
All we know is that the US Federal Reserve’s custody holdings on behalf of foreign central banks plunged by $106bn in the week ending March 12, the biggest one-week drop on record.
If you were to store some emergency funds with a friend who promised to get them back to you whenever you asked, and then you ask and are told it'll be a few years before he'll get you the cash, what assumption would you make?
Actually, the Bitcoin protocol has more potential than merely rendering the banks and Wall Street obsolete. It could become the global ledger of companies, stocks, contracts, patents, insurance and so on without the need for paper pushers in the middle. This protocol changes everything. The sooner you comprehend that, the better for you and for society. But that's a whole other article.
A former Federal Reserve employee responsible for managing the agency’s quantitative easing program has written an op-ed apologizing for what he called “the greatest backdoor Wall Street bailout of all time.”
A simple solution to the impasse is as follows: Federal Reserve Chairman Ben Bernanke should simply cancel the Treasury debt that it owns. The government can just forgive the government’s debt.
This wouldn’t solve the debt problem entirely. The Federal Reserve doesn’t own all U.S. government debt; it owns only roughly $2 trillion of it. (Well $2,076,927,000,000.00, as of last Wednesday, but who’s counting?)
However, upon close analysis of millisecond time-stamps of trades in stocks and futures (and options, and futures options, and anything else publicly traded), we find that activity in stocks and futures exploded in the same millisecond. This is a physical impossibility.
For almost 100 years there has been a Secret Ruling Cabal of Banksters and Industrialists from the City of London Financial District that has been setting the policies of America and running the USG and they are all based on Big Lies and major deceptions.