This page has been archived and commenting is disabled.
The Fed Will Be Dissolved Within Five Years
How’s that
for an announcement?
In case you
missed it, the #1 news story for this week (and the year) was the Fed’s
decision to ask its Primary Dealers (PDs) for suggestions on how large and how
long QE 2 should run.
The
implications of this are vast. But the biggest ones are:
1) The
PDs OWN the Fed (not the other way round)
2) QE
2 is a definite, not a “maybe”
3) The
Fed doesn’t know what it’s doing
4) The
Fed will be dismantled within five years
I’ve long
asserted that the US’s money system was in fact controlled by the Big Banks,
not the Federal Reserve. The Fed’s decision to ask THEM for suggestions reveals
confirms this. It tells us in plain terms WHO decides monetary policy in this
country and WHO is responsible for financial markets being where they are.
This
statement alone should send chills down everyone’s spines. Think about it, the
folks in charge of maintaining our currency policy and consequently the quality
of living standards in the US take their orders FROM the banks: the same group
responsible for destroying our financial system.
What’s even
scarier is the fact that the Fed DOESN’T know what it’s doing. Of course, I’ve
been saying this ever since the Financial Crisis erupted in 2008. After all,
the Fed never actually took any action in advance, it merely waited for
something to go wrong and then desperately applied a band-aid of backstopping
or money printing.
However, to
see the Fed actually state, PUBLICLY, that it is uncertain of what to do and
NEEDS advice from others is simply astonishing. Remember, this is the same
group that has resisted any and ALL attempts at transparency and less power. The
Fed has literally fought tooth and nail to maintain its privileges. In fact,
it’s actually pushed to have MORE power.
If you are
in charge of one of the most secretive organizations in the world and have done
everything possible, including lying to Congress under oath, to defend your
actions, policies, and power, WHY ON EARTH would you suddenly pull a move like
the Fed did and state publicly for the whole world to see that you don’t know
what you’re doing and take your orders from Wall Street?
The answer
is simple: the Fed is setting itself up to be dissolved.
In plain
terms, the Fed sees the writing on the wall. The current debt-saturated system
of the US is unsustainable. The Fed the farm that it could employ its
academic-based theories on reality, defy mathematics and common sense, and save
the system… AND LOST.
The Fed may
be corrupt and/or clueless, but it’s not totally brain fart stupid. Bernanke on
some level must know he inherited an already sinking Titanic from Greenspan
(which the former helped steer into the iceberg I might add). Everything he’s
done has merely been an attempt to slow the speed of the ship’s sinking. But
the ship was doomed from the start.
In plain
terms, all these emergency measures and policies were just plugging holes with
a little putty without addressing the fact the entire ship was going down. Has
the Fed actually offered any REAL solutions to this mess? NO. It’s all been
“extend and pretend.”
The smart
guys already know the Fed is done. You can already see this in the headlines.
Notice how former Fed defenders like Bill Gross have suddenly “seen the light”
and turn on the Fed? Gross didn’t
get to where he is by being an idiot and losing money. Do you think he chose a
“turkey” metaphor just because we’re coming up on Thanksgiving?
Remember,
turkeys don’t retire, they get the chop or pardoned.
The Fed will
get the chop, but Bernanke and pals will end up just like Greenspan, pardoned,
and probably working as consultants for Pimco and others.
In light of
all of this, I am officially going on record and forecasting that the Fed will
be dissolved within five years. This latest decision to reveal to the public
that the Fed takes orders from Wall Street is the beginning of a major PR move
in which the Fed sets the stage for its own dissolution.
The Fed and
smart money see the writing on the wall, and they’re already preparing the lifeboats
for themselves. They know the system is busted and will eventually fail. They’re
simply trying to start positioning themselves to make it look like they knew what
they were doing all along (and in a way they did, if you count “plugging a
sinking ship” as “knowing what you’re doing”).
I fully
believe we’re in the endgame for the US monetary system. It may take several
years for it to play out, but we’re officially “Done.” We’re either going to
default on our debts or experience hyperinflation, either of which will involve
the Dollar collapsing and a new system being installed.
Very likely 90-95%
of people will not be prepared for this and will lost everything they’ve worked
for. But 10-5% who prepare in advance will not only preserve their wealth during
the collapse but will actually MAKE a TON of money from it.
Which one do
you want to be?
Good Investing!
Graham Summers
PS. If
you’re worried about the future of the financial markets and have yet to take
steps to prepare for the Second Round of the Financial Crisis… I highly suggest
you download my FREE Special Report specifying exactly how to prepare for
what’s to come.
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, got to http://www.gainspainscapital.com
and click on FREE REPORTS.
- advertisements -
I think the FED will go back to a Gold backed system of some sort - this will give it creditability in the eyes of some hard money zealots and thus it can maintain at least some of its powers by promising to be a good little boy for ever more...........
I would not be surprised if BB makes a announcement next week along those lines as he must realise the longer he waits the worse the aftershock.
Its given enough time to prepare its friends and maybe its foes to jump on the lifeboats so maybe its time to sink the ship.
But will Captain Ben go down with his boat ?
I get the picture that Bernanke is a dumb***s, but the PDs all have CEOs, and the CEOs are dumb***es. When do we disband the PDs?
In five years no one will care about the Fed. What kind of country will be in five years is more pressing.
IMHO...this was all planned this way. Everything is a show. A long term script. The executive producers...you know who they are. Maybe if everyone would just stop going to work? Working feeds them. Starve 'em.
I sometimes find myself wondering if we won't go through the same type of "creative destruction" that the USSR experienced after the fall of the communist empire. I spent a significant amount of time in Moscow back in the early 90s and was something of an interested observer as the oligarch's literally killed one another for the control of commerce and power. The average Russian citizen, perhaps much like the average American today, quietly huddled out-of-sight waiting for the oligarch's to settle their scores and establish their control. Nothing really changed. Is it possible that we could denegrate to the same level? The Russians were pretty sophisticated people in spite of what the MSM/MIC wanted us to believe about them.
expect startling similarities... the only questions this time are what happens to the rest of the world given our collapse and what is the scope of the feedback loop.
Great article as usual and here is an enligtening video to watch if you have free time this weekend:
http://video.google.com/videoplay?docid=-515319560256183936#
Please, stop with the nonsence. I dont see another Andrew Jackson rising up anytime soon to take on the preverbal Biddle.
Further more, most of the developed world is centrally planned. What makes you think we can run against that grain? I can not picture the FED being dissolved, just wont happen.
Case in point, the REAL biggest story of the year was Obama's nominees to the FED. (no change here) mainstream economic school of thought continues.
The idea people like Jamie Dimon would allow to Fed to vanish is absurd. The fact there are fossils (ace Greenberg) wondering Wall Street afraid of Jamie Dimon should tell you something.
Also, just watching a classic movie like Network, WTF has changed since 1976, "not-a-gawd-damn-thang", and nothing will. Not when movements like the "tea party" start on the right track and are immediately hijacked, and subsequently derailed, by the likes of Dick Army.
That is the mistake of those with libertarian ideals. That being, trying to align themselves with an existing party. Other libertarian organizations and caucuses keep trying this. FAIL.. WRONG!
Banks and corporations will continue running this country. Until such time your brother, sister, teenager, neighbor or coworker can tell you what the "Fck" the FED actually does, and are actually willing to vote incumbents out of office, we are going nowhere with your thesis. Why is it senators last longer in office that supreme court justices?
Having 5% of the country pull their head out of the sand isn't enough.
Sorry to burst your bubble, but, we will proceed with the status quo, and keep marching to the end game.
I agree. The Fed guys are smart enough to know the dollar as a fiat currency is finished. Bill Gross is front-running the Fed yet again with his latest comments on the end of paper money. They will blame fiscal policy for the destruction of the currency, which is flatly untrue. If the Fed had honored no other mandate but the maintenance of sound currency it could have been done. No central bank in history has maintained this singleness of purpose.
The Fed will be trying to engineer the replacement. They may see eliminating the fractional reserve system as the intermediate step between what we have now and a true hard currency. There is a real risk that any wealth carried on some institution's books as dollars undergoes a dramatic change in real value very quickly, before you can move it.
Tell me something that I didn't already know...
1 - 3 are correct: The cover was pulled back during 08/09 & the subsequent TARP vote...
All of the the ensuing actions to the present confirm the above...
The recent SCOTUS concerning free speech and giving corporations "personhood" are further confirmation...
The fact that the Federal Government from the President down, looks the other way in the face of massive fraud, thievary and corruption on the part of the banks and WALL STREET is the final confirmation.
4 is incorrect... The Fed Will Not Be Abolished (although it should happen immediately)... The Fed serves a useful purpose for and provides cover for the banks and Wall Street. To take the Fed away allows too much light to be shined into the corrupt corners of the financial terrorists.
We need wholesale changes in this country:
This is a start.
Except for my more draconian solution to the people who have spearheaded this Trillions of $$ in theft (death) I could live comfortably with what you have outlined. People never seem to learn be they the merican "idle" or brilliant crooks, thus my proclivity toward a more permenant solution. Milestones
First, the FED does provide cover for Wall St. and the banks. However, it also provides cover for the federal government, states, and all employees thereof. In other words, the banks are a decoy...
Second, the FED WILL be abolished in short order (certainly less than 5 years). Simply put, nonperforming assets are nonperforming assets on anyone's books. Eventually, nonperforming assets have to be liquidated (mako).
The FED's ability to control the situation is waning. It has now resorted, in larger proportion, to psyops rather than printing solutions. This is because its leash (see the first point) has been tugged. If it prints more, it risks a loss of faith in the currency. It cannot control what happens in such a scenario (and its captors fear such a scenario), thus it will opt for austerity.
Last, the FED ALWAYS HAD A LIMITED LIFESPAN. Yes, you heard me. It is just a tool for inflation. The real wealth gap becomes apparent in the ensuing deflationary period in which the spoils from the ride up are used to fill the power vacuum of the government. The FED will be sacrificed so its principal actors can remain... the pitchforks will stab at an intangible concept rather than flesh and blood.
Well, is it going to be hyperinflation or deflation Graham? Being aware the end is near is great, but if you are on the wrong side of the trade, then you won't be one of the lucky 5%!
Check out the video "A Wall Street Tribute" at (http://youtu.be/skjnT5mIxyo). Pretty much sums it all up in about 3 minutes.
The Fed won't exist in 5 years nor will the U.S. in it's current form.
Christopher
Thanks for wasting my time. Serious. WTF does that video prove? A bunch of pictures and a song? Did the emotion get you?
I know they're a bunch of assholes but unfortunately they are running the show and the people in power will not let it stop w/o a tremendous fight. It will take more than 5 years.
My first impression is that this is terrible analysis and terribly written. Although I hope it comes true.
"The Fed the farm that it could employ its academic-based theories". You shouldn't write statements like that and have the word academic in the sentence. I'm assuming that he meant, "The Fed bet the farm".... Really, I have to make the words up?
And 10-5%? I'd expect that from a grade schooler. It'd make more sense if 95-90% preceded it.
+1. It annoyed me too.
We are being engineered for the new world order.
TradingJoe, good call.
Do you think dollar bills are worth holding? Maybe they'll be valuable collector's items one day, worth more if signed by Geithner and Paulson?
Of course it is desolving itself before it is done for them. They can pick out the terms of their own demise. Why shit can the Fed? What the hell do they need it for? They have stolen as much as they are going to get except the mortgage "crisis compromise" they will negociate going out the door with a couple of Trillion more for a going away present--and of course no jail time.
This country's first order is to place a price on all their heads; dead or alive. The harm these bastards have caused over the past 50 years is incaluable--far worse than the holocaust, Hiroshima or 9/11/01. THESE PEOPLE ARE THE ABSOLUTE TERRORISTS. A Joan of Arc ending may sound barbaric. The total indifferemce to all values of a civilized world that they displayed calls for an equal response. Let the punishment equal the crime. Milestones
Mr Summers, I know what to do and how to prepare for this, your subscription in honor but...is selling all you wish for? Whatcha gonna do with all that (worthless) money, eh?
I give EL FEDo less then 3 years to go under...the radar and re-start next ponzi! Same people, same scheme!
This is who you can prepare:
buy physical silver and gold,
own land/real estate or wait for it to crash one more time and buy then, residential/comercial doe not matter, economy will restart you will need to have a base,
hold little cash, foreign currency preferred, say swiss francs
don't forget guns ammo and supplies
stay low key/profile there is no need to show off!
And I wonder who has a plan for a direct replacement for the Fed? I'm sure the member banks have an idea or two to keep themselves in charge of the game.
The Fed will be dismantled within five years
looks like someone had a few too many bong hits. dewd, the creature from jekyll island is a book, not a scary halloween monster. u may want to do a re-write when the weed wears off.
+1. Right? Come on.
"Think about it, the folks in charge of maintaining our currency policy and consequently the quality of living standards in the US take their orders FROM the banks" This is not a revalation. If you read anytihing about the history of the FED, you will know it was founded by private banks and the shareholders are private banks. It's mission statement is to protect private banks (only the largest). Your news is nothing new. It has been known for almost 100 years.
5 years too long. i hope a los pepes group is up and runnin' by then..now that..would be front running. quite a site to see..of course country would be so fubared TJ wouldn't even recognize it. In my youngish years I don't even recogniz this country right now...eerie