LASER FOCUS BONDS – FED UNINTENDED CONSEQUENCES
Bond prices go down as yields go up. At 5% interest versus the rising toward 3.5% yields in 2018, Bonds attract massive flight of capital from equity risk investing to fixed income investing. Bond prices bought today go down from 3.5% to 5% and higher. So why rebalance portfolio’s out of risk stocks today.
Because AI is doing the balancing with 440 Trillion Dollars of capital flowing, into markets of only 3 trillion of capacity. The rest is held in cash or is held largely in side bets in casino capitalism on WHICH WAY an asset class from your shoes to your sugar to your dollars may go into the future as a side bet. It is the ratio of side betting inside casino capitalism the Fed engineered that caused the Great Depression in 1929 and the one before that in 1907 the First Disaster the newly formed created back to back.
Crammer stated Friday the Fed is clueless – lazy – does not do the research – does not learn from its own past mistakes – is hammering markets way to fragile to absorb their policy is if this market and time as NORMAL. They fail to appreciate disinflation and they make policy errors risking the entire system doing so. The MASTER PLAN of how to fix all this for Congress is presented if you care to scroll in my now famous viral blog – DEAD FED’S DON’T LIE. If they are alive till they die they lie. Bank on that.
If you believe the Fed is doing work to manage the economy you are insane. The Fed is raising interest rates to make profits for its banks and itself. So hold that truth like a scroll from the Emperor in your mind.
Now then as the Fed trying to repair itself by:
- Rapidly raising interest to profit itself and its banker shareholders
- Sell the crap it bought from its bank members back to its bank members again
Fails to appreciate specific realities. First the Great Recession is not over and recovery is spotty. There are sectors in harms way. There are sectors so in debt the DEBT SUPER BUBBLE requires TIME as an economic asset to work out of the system. The Fed is not giving the DEBT SUPER BUBBLE it created with FREE MONEY POLICY for ten years enough TIME for the economics to actually work. The Fed is not doing the deeper research to see what every single American knows – our standard of living is stuck and in reverse – we are struggling – and the middle class has dropped by 35% from the Great Recession and is still in free fall – and the recovery world wide is FRAGILE FRAGILE FRAGILE and we need more TIME to rebuild core economic diversity.
The rapid rising of interest and the criminal rising of oil by elite cartels for their own greed, has created a water fall off a cliff for housing a back bone industry that by itself caused 2007 to appear. Want another one? We need MORE TIME.
The bond market is soaring in yields. The charts pointing to the boom softening and the recession risk rising has no impact on the GREED of the FED. They march on citing statistics that are wrong and every economist knows they are wrong that does the research. Crammer called the Fed insane as did Trump stating the FED IS CLUE LESS. Your placing a high priest gown on these chaps – that sit on the potty just like you but who control all the cash as a cartel over money – are OPEC self greedy criminals maximizing their profits.
The Fed has gone where no Fed has gone before. To save their criminal banks who made bad side bets on WHICH WAY ASSET CLASES MAY GO – losing trillions in housing alone – were bailed out by tax payers to which the fed loans the money to the USA for interest. If the Fed was merged back into the US Treasury – congress would have oversight as it did for hundreds of years and – we would no longer pay interest to print money as we did not pay interest in the first hundreds of years.
The Constitution of the United States sets forth that the US Treasury is exclusive to powers to print USA currency. The Constitution does not grant Congress the powers to issue a contract to a private corporation to print our money using a name that makes the criminals look like they are part of our check and balanced nation when they are in fact….not. If you saw the film on my blog DEAD FED’s DON’T LIE and you made a READING LIST OR BOOK MARK SAVE of that vital most important URL to share it with others – to post it on walls and boards – the education to the nation could rise up to impress congress ( write them ) to MERGE THE FED BACK INTO US TREASURY.
If they ARE so brilliant which they are NOT then all their process – their beige book and systems all still work – just as part of Treasury and they are not audited – which they have never been.
In late 2018 we have an election. What and WHO gains if the congress moves into grid lock? I’m not saying this as a party person – I’m saying this as an economic person. Who gains?
CONGRSS IN GRID LOCK:
- Can Trump negotiate with full power with other nations for the BEST DEAL for America?
- Can Trump stop phram’s from raising prices on American’s by billions as he did?
- Can Trump stop defense contractors over charging by. billions which he did?
- Can Trump impact trade with Mexico and Canada by billions our way which he did?
- Can Trump check in our cost and even past infrastructure which is a must for the USA?
Just think a moment of 1-4 how mad some folks and all the bankers are and all oil is that Trump wants INSANE INTEREST RISING this fast this many times this much each time to GO SLOWER. Not to stop just to normalized after ten years of FREE MONEY to normalize over a sane economic adjustment of ten years not ten months.
Imagine how the trillions at the top are mad as hell and they are not going to tolerate their profits being reigned in. Over charging you is the SWAMP being drained. Business as usual and every one reading in every nation knows that is true in their own nation if central banks are not merged back into their treasury the ONE ISSUE to reform nations, the BIG ONE.
So just before the election if a super crash occurs does that swing voters? Who would want such a thing. Is it fair to ask WHY NOW? Why with earnings doing so well WHY NOW? Is the manipulation of markets political.
Did China and Russia coordinate a market attack to under the table tell Trump you can do x and y and ever z but President Trump if you do m n o and p we WILL DESTROY THE FINANCIAL SYSTEM OF THE WORLD BECAUSE WE HAVE THE WEAPONS TO DO SO?
This would not be a silly public FACE BOOK posting from some idiot’s in Russia Putin has no clue about. This would be STATE ADVANCED DIGITAL WEAPONIZED ASYMMETRICAL WARFARE OUTLINED IN KEVIN FREEMANS – THE SECRET WEAPON. We both are asking these questions already knowing these answers.
Voters – you are manipulated by failing to ask yourself the cornerstone question – NOTHING IS WHAT IT SEEMS. It is all much deeper than that.
Will President Trump release OIL RESERVES ( we don’t need them now we are the worlds largest oil producer and we can supply all our own needs why buy any from the rest of the world – we could STOP NOW. What would THAT do to the Gulf. We could stop paying 80 billion a year to defend Gulf State oil. Or make them pay for all of it.
We could release the OIL RESERVES say 20% and the price of Oil would move from 80 dollars a barrel to 50 in ten days. Why don’t we do just that. Then the Fed could go so much slower because they would see DEFLATION and give the housing market time to recover and corporations time to manage their SUPER DEBTS.
Today the Fed is risking the entire system by raising rates too fast. The unintended consequence is that other nations are offering 7% to 20% guaranteed interest. You can diversify in their bonds as their bond yields rise with the FED. By doing so you move trillions out of equity and risk investing into fixed income low risk year end portfolio rebalancing. The Fed did not consider this massive shifting because they are clue less.
The Treasury likes to pay higher interest right in trying to reduce its deficit as WHY? If the FED was merged into Treasury would the TREASURY with far more data and information raise interest rates this fast this many times this high each time over charging itself? I don’t think so.
The Treasury would institute sane economic policy.
The Fed is executing as they have in causing depressions and wars over and over in a greed fest – insane policy. How do you know.
Because Billionaire Donald Trump tells you they are insane, Crammer tells you the Fed is insane and I tell you on behalf of global economists the Fed is conflicted, self absorbed, self interested, not independent ( a lie any living Fed makes to you ) and fully INSANE.
The Treasury is accountable, audited, reporting, transparent and held accountable in checks and balances to the US Congress oversight, to the President, and to the Supreme Court.
Why would the congress grant money printing to a third party private company? That was a mistake in 1900 and it is a mistake today. With a mirror 80 page act of Congress the charter to the Fed can merge the FED into the US Treasury. They all lose their jobs or they work for US Treasury – the merger takes one day.
Why don’t we do just that?
Sanity or insanity ?
Risk the entire system and world war for Greed ?
Just hear the Fed one silver bullet – we are independent – and then ask:
- YOU are a private stock firm true or false?
- Who owns your stock? They never report.
- Can any agency of nation over rule you – NO we are independent.
- Do you wants a DICTATOR Over MONEY Policy? Or checks and balances?
- Sane of insane – restore sanity
It is that simple.
The only thing you must remember is also so simple…..
……….DEAD FEDS DON’T LIE………..THEY LIE TO LIVE………
The lack of economic education on capitalism your system of economics in public education is a sin and the Blog DEAD FEDS DON’T LIE Produced here needs be shared as truly how long might they allow it to remain on line if it virals….I’m an old man so whatever….personally in all parties and desires when I speak across America everyone to a person wishes to make America Great Again. Economic education is required to do so in any nation and we present the truth for you to do with the truth ….what you will.
Berny Dohrmann – WEEKEND TRUTH REPORT ON THE WHICH WAY MARKETS INTO ELECTION….WITH ONE BURNING QUESTION…..WHY NOW FOLKS….WHY NOW ?