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The Biggest Fed Money Pump Since Lehman Went Under...

Phoenix Capital Research's picture




 

… happened
on the week of June 27 2011. If you’re looking for a reason that stocks have
been ramped so much higher in the last two weeks. This is it.

 

Indeed, for
the week ended June 27, the Fed flooded the financial system with $76 BILLION
in liquidity. Bill King of the King
Report
puts that number into perspective noting that it’s BIGGEST increase
since September 22, 2008 right after Lehman Brothers collapsed.

 

That’s
right, the Fed just juiced the system as much as it did when Lehman Brothers
went under. While a shockingly large single money pump, the Fed’s generally
been flooding the system with liquidity at a pace equal to that of 2008 since
the beginning of the year. 

 

 

In 2008, the
Fed put roughly $1 trillion in liquidity into the system to try and hold things
up. So far in 2011, it’s put in nearly $700 billion. You think that the
recession ended and systemic risk has gone away? Explain this one.

 

In simple
terms, it’s clear that beneath his attempted calm, Ben Bernanke is in fact
scared stiff. Why else would he be printing money night and day? If the
financial system was indeed stable and secure, why is he pumping money at the
same pace as 2008?  

 

This all
ties in with what I’ve been saying for months now… that 2008 was in fact the
warm up and that the REAL Crisis is fast approaching. And when it hits, the Fed
will be POWERLESS to stop it. Because this time it will be entire countries,
NOT just Wall Street banks that collapse. So what’s coming will be the
equivalent of 2008 all over again, along with food shortages, civil unrest,
outbreaks in crime, bank holidays, and the like. It will, in short, be like
what’s going on in the Middle East today (though NATO won’t be bombing us).

 

On that
note, if you’ve not taken steps to prepare for the coming Crisis, you can
download my FREE report devoted to showing in painstaking detail how to protect
yourself and your portfolio from the coming ROUND TWO of the Financial Crisis
(round one wiped out $11 TRILLION in wealth).

 

I call it The
Financial Crisis “Round Two” Survival Kit
.
And its 17 pages contain a
wealth of information about portfolio protection, which investments to own,
which to avoid, and how to take out Catastrophe Insurance on the stock market
(this “insurance” paid out triple digit gains in the Autumn of 2008).

 

Again, this
is all 100% FREE. To pick up your copy today, go to http://www.gainspainscapital.com
and click on FREE REPORTS.

 

Good
Investing!

 

Graham
Summers

 

PS. We also
offer a FREE Special Report on the inflation situation in the US. This other
FREE Special Report, The Inflationary
Disaster
explains not only why inflation is here now, why the Fed is
powerless to stop it, and three investments that absolutely EXPLODE as a result
of this.

 

All in all
its 14 pages contain a literal treasure trove of information on how to take
steps to prepare AND profit from what’s to come. And it’s all 100% FREE.

 

To pick up
your copy today, go to http://www.gainspainscapital.com
and click on FREE REPORTS.

 

 

 

 

 

 

 

 

 

 

 

 

 

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Tue, 07/12/2011 - 04:46 | 1446978 gerriek
gerriek's picture

Australian miners start selling iron ore in Yuan.

http://www.businessspectator.com.au/bs.nsf/Article/Fortescue-starts-ore-...

 

Tue, 07/12/2011 - 02:31 | 1446882 Michael66
Michael66's picture

About 10 months ago Geitner and Bernanke both told Congress in open hearings that it is critical that the US balance of trade turn positive.

 

At the time the balance of trade was negative 60 billion dollars each and every month.

 

Today, the balance of trade continues to be negative 60 billion dollars each and every month. There has been no improvement.

 

Mr. Bernanke is simply trying to replace the money (60 billion dollars) which leaves the US every month.  He is including a small amount to try to stimulate the economy.

 

The economy will not be stimulated as long as we continue to purchase 4 million imported automobiles each and every year.

Mon, 07/11/2011 - 23:43 | 1446651 snakehead
snakehead's picture

Hey - why don't you send your FREE REPORTS and literal treasure trove of information to the Fed? They need help. Maybe if they read your stuff they can turn it all around and we'll all be rich.

Mon, 07/11/2011 - 23:22 | 1446577 banksterhater
banksterhater's picture

BEHEAD THE BERNANK, and dissembowel him in public.

Mon, 07/11/2011 - 23:09 | 1446536 MacGruber
MacGruber's picture

Sorry for this neophyte, but with POMO over what was the mechanism? Outright stock purchases?

Mon, 07/11/2011 - 23:06 | 1446532 Stuck on Zero
Stuck on Zero's picture

Is that what inflated the stock market?

Mon, 07/11/2011 - 22:30 | 1446397 tony bonn
tony bonn's picture

"though NATO won’t be bombing us"

oh yes it will.....the rockefeller-rothschild feudal lords will do everything in their powers to keep the chilluns on the plantation...

Tue, 07/12/2011 - 00:18 | 1446725 Ponzi Unit
Ponzi Unit's picture

Prediction: spotty chaos gives way to intensified control.

Law 'n order!

Mon, 07/11/2011 - 22:57 | 1446500 jeff montanye
jeff montanye's picture

nato/u.s. military bombs them; they bomb us.  it's synergy.  the whole is greater than the sum of its parts.  difference and then some siphoned by mic, et. al.

Mon, 07/11/2011 - 22:50 | 1446468 Herbert_guthrie
Herbert_guthrie's picture

Sad but true.

These hopeless creatures would probably blow us all up rather than give up their self-appointed role as God.

Mon, 07/11/2011 - 22:02 | 1446320 Herbert_guthrie
Herbert_guthrie's picture

Any statistics, graphs and reports based on numbers provided by financial or government institutions cannot be trusted, no matter the bias.

Bad books yield bad numbers.

The system is co-rrupt.

Tue, 07/12/2011 - 00:17 | 1446721 KTV Escort
KTV Escort's picture

exactly, question all data

Mon, 07/11/2011 - 22:01 | 1446312 zorba THE GREEK
zorba THE GREEK's picture

 That explains trembling lip. Next time he may have facial tic and

 perfuse sweating too. maybe it's time to sell equities and get into PM's

 Some cash on hand would probably be prudent along with shotgun

 and ammo. Can food might not be bad idea; you could always donate

 it to food bank if situation improves. 

Mon, 07/11/2011 - 23:11 | 1446546 gaoptimize
gaoptimize's picture

Amateur.  There are better things to eat when the SHTF.

Mon, 07/11/2011 - 21:52 | 1446277 Rider
Rider's picture

 

Any detail on the prefered instruments The Bernank used to pump it up this time?

 

 

Mon, 07/11/2011 - 21:51 | 1446272 max2205
max2205's picture

MUST......PUSH......STRING......

Tue, 07/12/2011 - 00:15 | 1446719 Ponzi Unit
Ponzi Unit's picture

+1

Mon, 07/11/2011 - 22:40 | 1446437 mt paul
mt paul's picture

note to self

invest in string company...

sell string to the string pushers...

Mon, 07/11/2011 - 22:14 | 1446357 HungrySeagull
HungrySeagull's picture

Must make more string.

Tue, 07/12/2011 - 00:40 | 1446768 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

You can't print string!

Mon, 07/11/2011 - 21:38 | 1446221 Everyman
Everyman's picture

Bennie needs to be beaten to a blody pulp.  What a fucking idiot.  Like that graph is "good for the country"!  How can anyone be that fucking stupid?

Mon, 07/11/2011 - 21:23 | 1446182 SamuelMaverick
SamuelMaverick's picture

I wonder what will be the consequences of the first failed treasury auction ????    Coming soon to a theatre near you.

Mon, 07/11/2011 - 21:08 | 1446148 3rdWorldAmerica
3rdWorldAmerica's picture

One thing is for sure...this is all going to end badly. With the returns on gold during the past 10 years why would you invest in anything else. At the very least until the returns stop, it's the only thing I can sleep in?

We are in full flat out Ponzi mode!

Mon, 07/11/2011 - 21:05 | 1446138 Buck Johnson
Buck Johnson's picture

They can't control the financial markets anymore because all of the manipulation has warped the equations so much that old calculations don't work anymore.

Mon, 07/11/2011 - 21:01 | 1446126 infiniti
infiniti's picture

The St Louis BASE declined by roughly $50 billion the last two weeks of June.

Mon, 07/11/2011 - 23:12 | 1446547 R Man J
R Man J's picture

$50 billion. That would be a fraction of a percent reduction. Worth mentioning?

Mon, 07/11/2011 - 22:48 | 1446467 jeff montanye
jeff montanye's picture

graham's graph seems to show it.

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