This means that it will be in the US' interest to generate ongoing solvency, liquidity and geopolitical tensions for the next 5 years and likely much longer. Another benefit - the US defense sector's taxable net incomes will soar.
With a rate this low, it is signaling some major players want complete safety--zero risk tolerance for the very short-term.
Bernanke talked about the need for U.S. leaders to take control of the nation's deficits over the medium term, some three to six years from now, in a way "that will allow us to bring our fiscal house in order over a long period of time."
In his latest note on comparisons between the current state of the economy and the Great Depression, Martin Armstrong provides a nice look at the dollar index between 1900-1950.
“Gaius Julius Caesar instead gazed into the turbid waters of the Rubicon, and said nothing. And his mind moved upon silence. The Romans had a word for such a moment. “Discrimen,” they called it – an instant of perilous and excruciating tension.”
Dan Fuss, who manages the Loomis Sayles Bond Fund, said last week that he sold all of his Treasury bonds because of prospects interest rates will rise as the U.S. borrows unprecedented amounts.
"President Barack Obama is poised to increase the U.S. debt to a level that exceeds the value of the nation’s annual economic output, a step toward what Bill Gross called a “debt super cycle."
For whatever reason, despite enormous propaganda from across the news media, and I am talking blogs to MSM, the belief is that the Fed has pumped huge sums of money into the system since the financial crisis started, they have not done so.
105 banks hold 77 percent of all banking assets. The impression we have is the Federal Reserve and U.S. Treasury will do anything including destroying the U.S. dollar to keep these banks propped up.
For fifty years generations of what we know as the Freedom Movement have struggled to obtain the blessings of liberty, affirming our inherent rights, and living in peace. How much progress has there been? As someone who has volunteered and donated
Goldman Sachs wants to settle with the SEC exactly as we predicted. They would neither admit nor deny and be fined $1 to $ 2 billion, which is chump change to them.
Still don't understand the Fed? Check out this short video.
A business inadvertently gives you counterfeit money — are you stuck with it? In most cases, yes. But what if that business happens to be a branch of the federal government?
Are you... Fed Up In Missouri... with government and politicians?
Appearing on The Alex Jones Show yesterday, Congressman Ron Paul revealed that through his inside sources he had learned that the people who control the Federal Reserve are panicking about the fact that Americans are waking up to the fact that the U.
"It’s frightening," said Professor Tim Congdon from International Monetary Research. "The plunge in M3 has no precedent since the Great Depression. The dominant reason for this is that regulators across the world are pressing banks to raise capital..
This 9.6% annualized contraction is unprecedented in the post-Depression era, and shows how, in this sense, America isn't printing more money. There are actually less dollars in the system since U.S. money supply is crashing...
Thus, you have to wonder what is going. The Keynesians that are in control sure don't want this stock market or economy strong.
Yesterday, when checking the mail, my heart stopped for a few seconds. Large yellow envelope from the Federal Reserve are not something I typically see in my mailbox. After seeing those envelopes, I instantly thought “Oh man.. WTF did I do this time?
I’ve also noticed with the new swap language that looks like the ECB can roll over the dollar loans in perpetuity. This makes payback strictly voluntary, and renders the transactions fiscal transfers rather than loans...
"When the history of this time is written people will say - how in the world did they believe that a few people in a secret room can decide what interest rates should be, how much the money supply should be, who should fail, what worthless assets...
For a variety of reasons this can't wait for the overnight post. Twist's just come up with the calculation that the $21.536 billion combined weekly drop in foreign central bank holdings of treasuries plus agencies is the largest one in the decade-lo
Taleb's advice: stay away from Treasuries (especially long-term), avoid both the euro and the dollar, have a collection of metals and agricultural land exposure, and "use the stock market as something for entertainment not investment."
The American Public is demanding for it and they may be getting a two for one deal. An audit of the Federal Reserve will be conducted; specifically its dealings with financial institutions right before and after the financial crisis
Ron Paul on Senate's Failure to Pass Vitter Amendment: Congress Must Assume Its Responsibilty to Reign in the Fed
In the meantime, America still pretends it is not a bankster-controlled despotic regime, in which the wealth of the middle class is funneled every day into the Wall Street/Propaganda ponzi.
Foreign central banks will print up any amount of money they want in their currency and the Fed will print up an equal amount of dollars that they will then loan to the foreign central banks who will then loan the funds to the banksters...
For the first time since the Federal Reserve was created, they have hired an lobbyist to pound the pavement on Capitol Hill. This is a desperate effort to hang on to the privilege of secrecy and lack of accountability they have enjoyed for so long.
With what authority does Bernanke effectively appropriate? Was there an appropriation bill that I seem to have missed by Congress? Or has Bernanke, once again, decided on a unitary basis to entirely ignore the US Constitution?
May 7th update on the Federal Reserves M-3 Money supply. By Contracting the money supply the Government can keep the screws on lending while interest rates are at a historic low. It is impossible to have green shoots under these conditions.