by Mike Krieger
On Sunday night, the current high priest of money printing, asset bubbles and inequality, Jerome Powell, appeared on 60 Minutes. Such discussions are rare. Why he and the institution he heads feel a need to do this now?
There’s no doubt something has the Fed spooked. They need to push a particular narrative ahead of time so central bankers can once again do as they please when “the time to act” arrives.
Rule number 1 of the Federal Reserve: It’s never the Fed’s fault.
Rule number 2 of the Federal Reserve: It’s never the Fed’s fault.
Rule number 3 of the Federal Reserve…
The recent global slowdown and concurrent central banker panic is proof we’re arriving at a very important inflection point. The central bankers hope they can prolong this already historic and obscene financial asset bubble a little longer via manipulation and propaganda, but they also understand we’re nearing the end of the road for this cycle.
As such, every person in the world needs to understand what the Fed and other central banks did during the last crisis, and what they plan on doing the next time around (more of the same and worse). If you judge an economy based on stock market performance and aggregate GDP, you might think the Fed did a great job over the past decade, but if you judge it based how we’ve turned an entire generation of young people into debt slaves, arrived at levels of inequality unseen since just before the Great Depression, and catalyzed an explosion of populist politics throughout the western world, you might be ready to grab a pitchfork.
What central banks have achieved over the past decade is a surreptitious transfer of risk and cost away from elites and onto the general public. But only the corporate and financial class really benefits from such distortions.
Powell: “Not everyone is experiencing this widespread prosperity we have.”
The public is slowly but surely catching on to its scam. People are starting to wonder why the central bank can print money and buy assets to save the portfolios of baby boomers, yet the public can’t simply print money for stuff like healthcare, education and roads.
The Fed doesn’t want people thinking about such things.
The monetary system is slowly being exposed for the scam that it is. It’s merely an opaque and unaccountable mechanism to bail-out and entrench the wealthiest and most powerful segments of society at the expense of the general public.
The Fed will try to do what it did ten years ago (and then some) the next time the economy craters. They already transferred trillions from future generations and society at large to financial industry elites once in the past decade. Will we let them do it again?
Trump saw the intended forced collapse engineered by the Fed by raising interest rates too quickly, and publicly called them out, shaming them into a neutral stance. He is wanting a breather to allow the common man to stabilize and build a cushion of equity, hopefully allowing for his reelection.
But he knows that he can’t forestall the eventual collapse, because it is the debt money system itself that is corrupt. It is the means to plunder the labor and savings of the common man, and its concentrating it in the hands of elites, both political and corporate.
How DO all those politicians become mega-millionaires during their time in office?
Corruption and debt money!
This all portends a global financial reset away from the current debt money regime to a sound money system. This will be a wrenching, possibly violent change in the short run. Always before the central banks created a war to distract the rubes from their machinations. This allows them a renewed stream of profit extraction. We can see those attempts being made right now with all the usual suspects, plus China this time.
But the reset will be far better for the world and common folks who inhabit it. True creativity will still succeed to a greater measure than mere labor, but the common man will be able to build a true store of savings earning real returns, like the farmers and yeomen of the past. They will not be forced into highly risky speculation to try and achieve a return.
The American middle class has had two busts devastate its savings just since the turn of the century. Another such crash would end the individual freedom of our Republic entirely, and slavery to the elites would be instituted, regardless of form, Fascism or Socialism.