FED SPEAK FRIDAY AUG 26Th – WHY JACKSON HOLE OF ALL HIDE AWAY’S ?
Janet Yellin ( and yes I read her entire speech ) never brought up the largest small business institution in the world lobbied her to raise interest rates in May June July and August to restore fiscal sanity from the insane free money policy.
Today the FED SPEAK was a non speech. The speech was FED SPEAK for:
- We did it right in the past ( that is not honest or correct )
- We are doing it right now ( that is such a lie )
- And our future is to continue doing ( the failed policy ) I’m not defending
The Casino market went up on the side bets flowing from this market. Janet in Fed Speak Defined the:
- 14 Trillion dollar ( up from 1 trillion in 2007 ) Fed Balance sheet from buying shit distressed assets out of the banks who made bad bets – saving the banks that are the stock holders of the privately owned unregulated fed – is sold too quickly would hurt the market ( like Duh ) and if sold too slowly would hurt the FED ..as it is.
- That interest rates and their powers gave them limited range of options in a future recession. It was like a crises warning – policy makers ( congress ) must now take over monetary policy because the FED is handcuffed swimming in San Francisco Bay and the tide is ferocious and the financial water is cold and we are so tired. ( She didn’t say it quite like this ).
- The Elephant in the room. She never ( in her defense of herself and her failed policy for twenty years ) never mentioned DEFLATION. She never mentioned there is NO INFLATION and the 2% is a manipulated number – there is GLOBAL DEFLATION and after 100 trillion spend and lost world wide – by all nations – the world together with the central bank system CAN NOT START REAL GROWTH AND REAL INFLATION without which – debt blows up the entire system. Trust the economists who are telling you the MATH on this – its all correct.
So it was a predictable non speech. No interest rise. A speech TRUST THE FED HAVE CONFIDENCE IN THE FED because these little Ross Parrot Charts my staff created are the bible for distracting you from ZERO GROWTH – DEFLATION – and ECONOMIC STAGFLATION CHAIRMAN GREENSPAN JUST WARNED ABOUT and to which Janet Yellin the Joan of ARC DEFENDER OF THE FED – said NOTHING.
She said nothing about the:
- Climbing fed balance sheet
- The accommodation that never ends
- The down bubble in growth
- The Wealth Effect from FREE MONEY a manipulation creating casino capitalism
- The inability to take the world off free money
- The continued global asset class price falling
- The unsustainable debt from Greece to China that will implode the system
- The failed policy of the FED to restore growth
- The WORST RECOVERY OF ANY MARKET IN HISTORY SINCE THE 1929 DEPRESSION That created World War.
The Fed was created in 1910 before telephones were in your home.
The Fed was created transferring the constitution granted powers to print money from the people and the US TREASURY to a Non Government Private Contract company – that could use the name – the Federal Reserve Board – noting the 87 page act arranged and written in secret by bankers from New York State to Wells Fargo in California – created a private stock firm who had 100% control of the nation’s money supply – whose decisions could never be over ruled or challenged – who would regulate the banks that were shareholders and members of the Fed that the ownership could never be revealed and would remain secret and that no agency of nation could audit or review the workings documents or books of the FED it existed outside and above the laws of the nation as a fully private non government organization – it reports to Congress who zero authority to tell the Fed anything – the Congress has one power – it can MERGE THE FED INTO THE US TREASURY WITH ALL ITS SYSTEMS AND MODELS and return full accountability and full transparency to the monetary policy of the nation in a global digital era – and stop paying interest for printing money – which is a LEGAL THEFT upon the American unborn generation.
If enough of you read this and jump on candidates for this one issue – they’ll probably kill me to stop the truth reaching you if it went viral. Although tens of thousands are reading my blog globally – its not millions yet – unless you make it all go viral. Then I’ll see how loud I can be as in the quiet niche – I’m just spitting in the wind while my readers get the TRUTH on FED SPEAK. Make sense? If you read the boring speech it would believe me. What JANET YELLIN DID NOT SAY was far more important than what she did say. Lets look at FED LIES:
- I will telegraph future fed policy including interest rate rises so the market is not blindsided globally.
- I will hold more open press conferences.
- Neither happens – it was a lie
So the failed Fed policy works like this:
- The Fed has acquired trillions in really horrible assets they now hold and wish to dump at discounts to other players to “work them out” at what could bankruptcies for them or if held for the FED if such assets were FAIR MARKET VALUED which they are not – because the bankers and Fed are exempt from accounting we use and they use accounting IF WE USED IT WE WOULD GO TO PRISON FOR FRAUD.
- The fed can’t stop adding to these assets to keep liquidity from its banker bad bets flowing of the banking system would seize up on credit flow and circulation. Circulation is the first mission.
- Free money has created a casino capitalism without regulation fed by shadow banking with zero oversight with money pools much bigger than the Fed. The Fed has 45 Billion in reserves total in 2006 which the crises in 2007 went through in 90 seconds – the Fed has around 45 billion to insure 30 Trillion in our savings. That kind of insurance is a fraud if any insurance firm in regulated space offered that policy but we buy an illussion and think our money is SAFE. See bank closings and US depression.
- The Fed can’t develop taking the baby off the free money bottle because the third world can’t pay its debt when the dollar goes up without global growth – and no one is investing in growth – they are all investing in SIDE BETS on instant profit making in the casino. Without REGULATION REFRAMES FROM A GLOBAL STRUCTURE the side bet market is not so much larger by many many many times the stake holder market the side bet has become the doggie and the tail is the real economy wagging in the wind by the doggie – just like the 1906 world depression – the FED was created to stop forever in 1910 which then led to a much worse global depression and World WAR II following WORLD WAR I from the first world depression in the 1900’s – always economic – always from policies permitting speculation in markets to be greater than stake holder trading. HOW HARD IS THIS PRINCIPLE OF REGULATION TO UNDERSTAND LAW MAKERS?
- The Fed has limited range to moderate the next recession – this sentence by Janet means – we’er fucked. In Fed Speak.
So the Fed Policy fails to moderate bubbles. The Fed policy fails to stop boom bust cycles. Ever more extreme. The Fed made the Great Recession worse and is laying the foundation for world war and the greatest depression of all time globally since the fall of Rome. The policy is predictable – self sustaining – as all institutional mature policy always is – and unable to see the box from outside the box. WE NEED NEW POLICY made possible by MERGING THE FED INTO THE TREASURY OF NATIONS – all central banks world wide need this line in the sand – failed policy stops now and new policy starts now. Its an act of legislature. It is time to return monetary policy to national government and remove policy making from private bankers – as they are too deep in conflicted SELF INTEREST to create appropriate monetary policy.
Should banks bet in the casino for super high risk and profits – with your grand mothers sacred deposits – off shore – at fifty to one dollar leverage and risk borrowing on margin? They are. They can. Since 1999. It was a crime in 1999. In 2000 it was legal. Now criminal actions are ok ( for bankers ). Should we firewall banks to invest in local communities – to preclude large syndicate investing investment bankers own – and to make modest profits with lower risk taking with grand mothers sacred deposits as we did from 1932 to 1999? Now from 2000 to 2007 we ramped up with the criminals into CASINO CAPITALISM just like the 1920’s and we bankrupted the system in less than ten years all over again repeating precociously what brought on the depression. Very bright brains thought they could moderate risk with software this time – but the markets never change. Software or brain wet ware its the same risk taking and when liquidity evaporates form contagion and panic and liquidity stops in 90 seconds world wide. The market SUPER CRASHES in the hours that follow THAT.
How stupid is it to allow GREED to create policy?
A policy of commission is as bad as failed policy of forward safe harbor.
A policy of reaction is so much worse than a policy of pro action.
The FED is a thirty year – digitally obsolete – failed – hacked – and totally irrelevant policy institution – failed in every policy that now HURTS the future of all nations more than it possibly contributes or helps. The FED CONSUMES FAR MORE THAN IT CONTRIBUTES which is competitive economics versus cooperative economics. Merging central banks and failed policy back into the US NATIONAL TREASURY resets policy making – and provides a FRESH START for nations.
Today’s NON SPEECH defines the confirmation of all that this blog has been suggesting since the Crash in 2008. Once again.
If you read the speech all the way through you will not need sleeping pills …your already brain fried.
Berny Dohrmann – keeping a light on just for you – what a disappointment and once again what a MISSED OPPORTUNITY – Yellin played it safe though – there is that. Kick the disaster down the road and let them know your hands are tied. Its congress’s fault. Historically that is the speech in its gist as the next crises looms. And THEY KNOW IT.
PS: The markets goes up on the NON SPEECH. Casino capitalism profit making. Folks I know it takes patience to remain out the FOOLS RALLY but when it snaps down you’ll be so glad you read this blog and had discipline not to get suckered in.