This page has been archived and commenting is disabled.
The Fed Failed... But We've Yet to See Its ULTIMATE Failure
With the
economic numbers getting worse and worse in the US, it’s clear that the Fed’s
policies thus far have ended in abysmal failure. Indeed, I really can’t see how
anyone could have argued the US had experienced a recovery to begin with.
§ 15
million jobs have been lost since 2007.
§ Food
stamp usage is up 57% since 2007.
§ Over
one in five US mortgages is underwater.
Seeing as
the Fed’s policies were supposed to
help US consumers (we all know their real purpose: Wall Street bonuses), I
cannot see how the above numbers indicate success of any kind.
Indeed, the
other effects of the Fed’s moves have made an already difficult economic
situation far, far worse by pushing the price of food and energy through the
roof. Thus most in the US now find themselves facing stagflation in a big way.
However, the
Fed is far too myopic in its belief system to possibly consider not printing more money. After all, from
the end of QE 1 (April 2010) until the unveiling of QE lite (August 2010), the
Fed continued to juice the market every month, particularly during options
expiration weeks.
So the Fed will be juicing the system again at some
point in the future. It’s all the Fed knows how to do. And it’s all the Fed has
done since the Crisis began in 2007. Indeed, the Fed has completely and utterly
failed to address ANY of the causes of the Financial Crisis.
Yet, for the
Fed the failure to address any of the underlying causes of the Financial Crisis
has been a great success story. After all, all it had to do was pump the
financial system full of more money (increasing the amount of leverage) and
push for the suspension of accounting standards (so the crap debt is still
there, but no longer is visible).
So what do
we have? A financial system where the underlying problems still exist and the
Fed’s simply pumped TRILLIONS into the banks, resulting in commodities soaring,
the US Dollar tanking, and investors taking on even more leverage.
Since 2009,
I’ve been warning that the Financial Crisis is not over and that the next round
will be even worse than the first. THIS is the REAL problem every one should be
preparing for… not just a minor correction in stocks or the end of QE 2.
Because at some point, the Fed WILL lose control of the system again. And this
time it will be COMPLETELY powerless to re-instill confidence (the Fed’s
already spent all of its bullets during Round One).
So if you’re
not prepared to profit from the coming disaster, you NEED To download my FREE
report devoted to showing in painstaking detail how to make SERIOUS money from
a stock market collapse.
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 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.
- advertisements -
We here obsess about the bureaucrat who currently serves as the Fed head, just as we did with the previous Maestro. We wouldn't know their names if the government did it's job.
It was the Congress that first created the Fed, and it is the Congress that sets the Fed's priorities. The POTUS and the Congress choose and bless the Fed's top leadership.
It is our GOVERNMENT that runs up huge deficits, over-promising entitlements, wasting revenues on pork barrel projects, a military almost as expensive as the militaries of the entire rest of the world, creates burdensome and confusing business regulations, and interferes with markets.
The US government loves having the Fed around. When fiscal and regulatory policy fails, they pass the buck to the Fed, and say "hey, you guys squeeze blood from a turnip". And the gov continues adding, daily, to our country's predicament.
And when (not if) the Fed's monetary policies (no matter who is Fed chief, or what policies are tried) fail to right the US economy, it becomes the Fed's fault.
Yeah, we know, eliminate the Fed. Does that balance the budget? Create a fair tax system, reduce military spending, fund entitlements, or solve our lifelong public and private addiction to debt?
there has been absolutely no recovery....talk of such is horse crap to fool the american boob into believing that the fed is effective and that it should continue to rape america.
to lament the fed's failures is to miss the point....the fed is a tool of the rockefeller-rothchild axis of evil to rape america....it's a smoke and mirrors device to distract the fucktard so he can whine about the failure fed policy....the fed is not failing because it is NEVER concerned with anything but how to steal from the poor to give to the rich.
steal from the several billion to give to the several thousand.
will (we really let) a few multigenerational sociopaths destroy everything?
Hey, did the empire state rebellion happen?
Good question. If it did it's in stealth mode.
"However, the Fed is far too myopic in its belief system ..."
No, the Fed is not myopic. Unfortunately, the Fed knows exactly what it is doing.
Exactly! Fed's número uno priority is to save the Banksters, I.e., themselves. Mission accomplished! Well, we'll see. . .
At least some us get it.
Sometimes I think these websites are nothing more than propaganda sites that folks like Phoenix Capital, and Bruce Krasting use to pretend that the FED is stupid, a failure, and incompetent.
When in reality they know the FED did and is doing and will do exactly what its owners tell it to do. And you can bet that what they tell it to do is to keep them wealthy and enhance their wealthiness.