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Bernanke Will Step Down Within 18 Months
Ben Bernanke will be steeping down as Fed Chairman within 18 months.
The political environment is changing rapidly in the US. Take a look at a few key developments in the financial community:
1) 2012 Presidential candidates making the Fed a hot button
2) Dissenting votes increasing at the Fed
3) Fed Presidents openly criticizing Bernanke’s policies
4) Lloyd Blankfein hiring a defense lawyer
The picture is clear when you connect the dots. For starters, the mere fact the Fed is even being mentioned by Presidential candidates (I’m discounting Ron Paul who’s been criticizing the Fed for decades) tells you that things have changed in a big way in the US: the Fed was seen as the savior of the world a mere two years ago.
I fully believe the Fed (and the economy) will be a primary issue for the 2012 Presidential election. In simple terms, Bernanke will be lumped in with Obama (as well he should) and criticized openly by any and all contenders.
It’s clear that several Fed Presidents have picked up on this and are now distancing themselves from Bernanke and his policies. This is a wise move for any Fed official who wants to maintain his/ her post or who wishes to be a future Fed Chairman: the next Fed Chairman will have to be much more hawkish.
However, it’s the final issue, Lloyd Blankfein’s hiring of a defense attorney, that tells me Bernanke will be stepping down and possibly even facing legal battles. The reason for this is simple: any and all Wall Street execs will very likely hang the albatross for corruption and thievery around Bernanke’s neck.
We’ve already had a taste of this with Ken Lewis at Bank of America. The reason Bernanke got through that mess was because everyone was still so worried about the “recovery” and stocks rising.
With another Crisis already at our doorstep, the litigation is going to be fast and furious. Blankfein is just the beginning. We’re going to see more investigations, more lawsuits, and more accusations of lies and corruption.
Do you really think Wall Street CEOs are going to let themselves be the scapegoats for this? All they have to do is say, “we did it because the Fed told us to,” and the legal focus shifts over to Bernanke.
Remember, Bernanke is just an academic figurehead. The REAL power in the financial system lies with the Primary Dealers (who include BAC, GS, and all the other firms who will be coming under increased scrutiny in the future). And these guys are not going to let themselves be sacrificed. No, they’re going to roll everything they can onto Bernanke.
With that in mind, I believe Bernanke will step down within the next 18 months. The only reason I give him this long is because he will likely go down after the 2012 election ends. Of course, with the Financial System on Red Alert today, it could happen a lot sooner than that.
Indeed, I fully believe we have entered the Second Round of the Great Crisis: the Sovereign Default Round. What’s coming will involve stock crashes, civil unrest, food shortages, bank holidays and more.
Many people will lose everything in this mess. Yes, everything. However, you don’t have to be one of them. Indeed, my Surviving a Crisis Four Times Worse Than 2008 report can show you how to turn the unfolding disaster into a time of gains and profits for any investor.
Within its nine pages I explain precisely how the Second Round of the Crisis will unfold, where it will hit hardest, and the best means of profiting from it (the very investments my clients used to make triple digit returns in 2008).
Best of all, this report is 100% FREE. To pick up your copy today simply go to: http://www.gainspainscapital.com and click on the OUR FREE REPORTS tab.
Good Investing!
Graham Summers
PS. We also feature four other reports ALL devoted to helping you protect yourself, your portfolio, and your loved ones from the Second Round of the Great Crisis. Whether it’s my proprietary Crash Indicator which has caught every crash in the last 25 years or the best most profitable strategy for individual investors looking to profit from the upcoming US Debt Default, my reports covers it.
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Smiddy says we retest the highs quicker than May
So the 2012 Presidential election is a topic of candidates now in 2011. So what happens when a false flag attack or homegrown terrorism or MENA type social disruptions cause the POTUS to declare a national emergency and declare martial law?
All this current talk will mean nothing when the jack booted thugs start kicking ass and taking names. You will soon forget who heads the FED or BofA. All the current cast of Bankster criminals will fade into the woodwork and J6P will not give a rat's ass.
Ben who?
Sieg Heil, bitches!
DaddyO
People said the same thing about the 2008 elections being cancelled. You think elections matter? Only to folks who aren't hip to the two headed monster scheme. As long as folks buy into it's Obama or Bush's fault and NOT both party's faults (As is the reality really going back to JFK at least) then the PTB will be happy to play change out the puppet every 4 years. Why not it's been working for decades now.
Worst Fed Chair and worst prez at the same time: shame to break up a winning team.
What is the Intrade maket for 12 months, the Bernank tossed under the dual mandate over-promotion bus before the election?
2 worst Fed Chairs & 2 worst Presidents in a row.
Good point.
it's about f'ing time the Bernank is exposed for the criminal he is !
Straight from Horses Mouth:
http://i.thisislondon.co.uk/i/pix/2010/05/Lloyd-Blankfein415.jpg
I think your insights are good where I diverge is that you believe there will be some sort of BAU after the crash that will allow for a return on investments. Maybe there will be for precious metals if whatever government remains doesn't take the majority of your gold in a tax or transaction fee.
Still no new about the terrorist acts of Blankstein?
Fischer?
Gold $1802! Weeeeeeeeeeeeeee!
Who cares if Bernie steps down? Who ever replaces him will be the same. Just like it doesn't matter who's president, or whether he/she/it is a dem or repub.
Volcker was quite a change.