Free money from world central bank has printed and released trillions in FREE Money. The central banks are NOT government agencies or institutions. Far from it. Central banks are private stock firms with law maker contracts to manage a nations money supply on the theory independent management by professionals does a better job than Treasuries directly. Since 1907 and the first Central Bank private firm, owned by secret shareholders mostly banks and investment banks the FED by contract is supposed to regulate. But how do you regulate your own stock holders really? The notion the Fed powers are subjected to the President or Congress the President and Congress know is a fraud a pure sham. There is no accountability. For example the Fed has never been audited and can’t be audited. The Fed shareholders are secret and never made known to Congress or the American People. Their policies are secret and opaque until the issue public statements attempting to INFLUENCE the price of all currencies as the Dollar is the WORLD RESERVE Currency.
Fed Policies have failed since 1907. Their first policy round created an immediate global recession and World War I.
Their accommodation policy that followed World War I rebalancing – created the largest speculative bubble in America history or global history until that time. This created shortly after a world wide depression worse than the first failed policy and then World War II. Since that time we have had only boom bust cycles out of the Fed control as policy after policy failed. We had 1987 crash – 2000 dot.com brash – we had 9/11 crash due to their slowness to act and recession – we had the 2007 Real Estate Super Crash and the Great Recession ( another depression still effecting all nations ). Since the accommodation of the Great Recession the Fed failed policy developed the worst recovery of all history – a free money asset SUPER BUBBLE in Debt and all asset classes from wild speculation going on now – and with failed policy a likely SUPER CRASH and WORLD WAR to Follow.
Nations would be far bette off returning these process for money control to their national treasuries merging central banks into their treasuries. Continuing this failed policy body set up during the PONY EXPRESS TELEGRAPH age is silly economics in todays digital real time transparency. Fed’s are hopeless CONFLICTED to national interest by their own shareholders which are always SECRET.
Alan Greenspan stated on 60 Minutes after the terrible crash of 2007 “that there is no power or authority that can moderate a Fed decision”. That is not the check and balance our founding fathers created when they charged THE US TREASURY and NO OTHER BODY was solely responsible with its check and balances for our money supply and printing. We made a mistake in 1907 with a small 80 page bill rushed through yep IN SECRET. We need emergency legislation to reverse that ACT of 1907 and modernize the nations money policy to success from failure by returning money supply policy to all nations treasuries. The first to do it will start a stampede of sanity.
Now in 2017 the FREE MONEY has created a Commodity Super Bubble. Nations like China borrowing 300% more than they make have bought up commodities and stored them world wide bidding up prices in a. speculation spiral.
After Labor Day use and demand for commodity is going to fall off a cliff as we are growing in low cost supply from oil to copper to iron to sugar to wheat to corn. Folks commodities bid up by speculation and free money borrowing are going to SUPER CRASH.
Today Oil tested the 49.00 level as we reported on this blog would take place last week. The big spin of the 82 year old Saudi King into Russia created predictable Saudi investment into Russia coffers – around sanctions – by 3 billion and rising – where Russia wins and Saudi loses as Oil price falls and Russia and other OPEC members are pumping around the cut backs. The market is smart and see’s the hand writing on the commodity wall.
Demand for OIL is going to fall off a nigra falls this FALL winter season. Anyone flying over San Francisco seeing the oil tankers storing oil in floating storage miles upon miles and thats any amor HARBOR world wide – see’s the GLUT of Oil much of which is not being counted in the GLUT of supply over demand. Demand is offset by America at 10 million barrels a Day – two new millionaires barrels in 2017 alone and rising like a Space Shuttle making the Dollar and exports so much better for the USA.
The USA is the largest commodity reserve on the planet earth. Cheap abundant commodities. Way under today’s prices. The SUPER CRASH of COMMODITIES is not far off. Speculators may fight their losing side bets for commodity price stability and rises but soon enough the new SUPER CRASH will wipe them all out as they are betting on the wrong side of the market space.
The stock piles of Commodities in nations are presently insane. From a market supply demand economic. If you buy commodities dollar cost averaging along the rising curve to hold them against ever higher prices and then commodities crash then China for just one nation can’t pay its debt bills economically. They lose trillions. And they are about to.
As with SUB PRIME and REAL ESTATE Super Bubble ( the Fed created in failed policy as their secret shareholders made criminal fortunes ) – the models for forward planning do not allow or consider a commodity super crash from the super bubble. Why not ? Its sound economic what if games to plan for that possibility. Yet economic models globally do not allow for a SUPER CRASH and deny there even is a SUPER BUBBLE in all asset classes.
The world is caught in FED illusion that suggests we have inflation right around the corner for what 11 years now. We have no inflation. We have DEFLATION and the Fed spending 11 trillion and rising has not stopped deflation nor as the Fed failed economic policy – and that is what it is – failed policy – has set on fire the world’s largest speculative SUPER BUBBLE in debt and in asset classes made possible by the failed policy of FREE MONEY.
Their theories are flawed and in error – economically.
They fail to allow for considerations we report here on casino capitalism going on world wide right now.
So the SUPER BUBBLE in Commodities is coming to a close in 2018. Watch for it. Wait for it. Remember you read all about it right here as NOT REPORTED In any news media or outlet YET.
They do not report the CAUSE.
Why? They do not KNOW the cause.
Economics is global complex and opaque.
To gain full clarity requires years of chart reviews and consultations with Global economists doing the same work and compare conclusions of math modeling. It is not easy.
They do not KNOW the cause.
You know as a regular reader because we lay out the economic data references and proofs in simple lay person English no educated reader can fail to appreciate. It makes common damn sense. You can see it.
You and I would not make a model for the world that failed to consider in a SUPER BUBBLE a crash dynamic and its effects on clearing liquidity and trading when the entire market space has gone digital and is so different than 2007. The Risk is far higher than 2007 and that was really bad risk. The entire system almost imploded.
Did we fix the cause of the PROBLEM in 2007. Answer no.
First of all the regulations trying to do it have Fed exemptions for their investment banking shareholders ( secret owners of the FED ) so that LOOP HOLES keep the CAUSE from having to comply with the new legal frame work. Further these same players went global and digital and now operate outside laws of nations in digital space. The laws since 2007 are all national and local. The money movement and risk is now in the CLOUD where casino capitalism dried by greed alone has no legal moderation frame work.
For the first time in our history since 1929 the economics are outside legal frame work and control. So the casino is unregulated. The spiral taking place is a risk to the entire system.
The IMF and World Bank lake a new global regulatory frame work to moderate the casino. They try. They know the risk. They ring the bell. But the greed machines of super money dark pools and shadow BANKING are larger than nations or old antique regulatory modeling like the antique obsolete FED’s and central banks. They are irreverent. Also they are out of ammo to DO ANYTHING.
No one is planing to wreck the entire global system. No one wants that.
The system is wrecked because of years of economic system abuse.
- Speculations now in a digital global casino without history regulations.
- Leverage that is fantastic Debt SUPER BUBBLES created by central bank free money.
The spiral happened so fast and the digital tools are unfolding so fast with AI no nation and no regulatory agency is ahead of it or on top of it.
It is every AI and software for themselves mindless turning out profits without consideration to the entire system modeling. Politics runs economics versus economics running politics. The biggest danger of all.
Taking all the DEPRESSION LAWS out in 1999 fed thee spiral in less years than the 70 years these fire wall laws protected us from the 1 – 2 issues that caused the 1929 recession. All the charts show we are now in danger ahead of 1929. But 1929 did not have the fantastic Debt Super Bubble and the digital speculation velocities that capital in the casino capitalism is manipulating. 440 trillion dollars moving to moderate any control by nations or laws. Capital digital manipulates markets in the casino.
Until a REGULATORY RE-THINK that is global with the G -100 is resetting the casino the risk the entire system melting downs far worse to the world than North Korea.
The law makers do not know the cause.
The press does not know the cause of the risk.
The lack of economic literacy is the ultimate danger.
Which makes this blog essential.
At least for you today.
If you are betting in commodities or currencies my suggestion is you protect yourself.
Berny Dohrmann – Telling you the COMMODITY SUPER BUBLE is going to collapse.