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FOMC Does Exactly What Market Told It To Do
Just as consensus demanded expected, the FOMC transformed sterilized 'Twist' into unsterilized QE4 in addition to QE3's MBS buying and lowered economic forecasts - dropping calendar-based rate guidance unchanged with a shift to "Evans-Rule"-like threshold-based guidance. High inflation, forget it; 'lower' unemployment, naah; market wants 'moar' so market gets 'moar'. $4 Trillion balance sheet here we come (check to Draghi's OMT and Spain or EUR 'richness' crushes hopes of recovery).
- *FED BOOSTS QE WITH $45 BILLION IN MONTHLY TREASURY PURCHASES
- *FED TO KEEP BUYING MORTGAGE BONDS AT PACE OF $40 BLN PER MONTH
- *FED SAYS MONTHLY PURCHASES TO TOTAL $85 BLN
- *FED ADOPTS ECONOMIC THRESHOLDS FOR POLICY TIGHTENING
- *FED: RATES TO STAY EXCEPTIONALLY LOW WITH JOBLESS ABOVE 6.5%
- *FED: RATES TO STAY LOW WITH INFLATION SEEN AT 2.5% OR LESS
Disappointingly for AAPL investors, there was no explicit decision to monetize mini-iPads (or their own subsidized student loan debt in the ultimate reacharound).
Pre- And Post- Levels (post = 15 mins after news) - small moves in general
Redline comparison with October statement:
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Charge it!
Here we go!!
by my calculations and based on 1/2 lifes. QE12 will start around July 15th 2013. QE13 will then start on july 16th 2013. We got 7 months
$32,473.21 per second...FOREVAR!
Boris is not remember for QE, one day is wake up and bank account balance is double. QE2, is double again. QE3, QE4, is wake up for bank account double. No, wait, is dream only, but dollar (or ruble) is now 1/8 value. Next life, Boris is born a Rothschild, tired of life as serf.
Even in "sovereign" Russia, Rothschild owns Putin!
When do the huge Charles Evans statues and images go up in the public squares?
Kitco we have liftoff. Err umm.
Inflation at 2.5%, eh?
My benchmark 99 cent box of pasta from two years ago is now at $1.65.
As there's been no particular shortage of that product relative to any other, I'd say actual inflation is already running at near 30% y/y.
Boris is benchmark by dilution of basic commodity like Vodka.
2005, Vodka to Ethylene Glycol 10%
2007 - 25%
2009 - 55%
...Today, Boris is just drink Ethylene Glycol.
Have you adjusted the numbers for the reduced quantity in the box? Food Inflation is probably running higher
The box is still 1 lb. of pasta.
No it isn't, neither is coffee nor ice cream time for Tiny utensils
A pound of smoked sausage went from 16 to 14 to 9 ounces double-quick.
lmao...Kindergarten classes being taught the "new math" as we speak, across the country
I'm Italian enough that they couldn't reduce the amount of pasta in a box without me noticing. I've been attentive to changes in product sizes; the great thing about the pasta benchmark is that the product size has not changed, which is why it reveals a level of inflation obscured by product size changes in other products.
And yes, I've noticed that the tricolore pasta is indeed down to 12 oz. but that's not my benchmark.
What are the gooks saying about this? What will they do with their 3 Trillion joobux?
It's a little known fact that the Fed can print unlimited amounts of money and it has no repercussions whatsoever. That's what the history of John Law taught us. - Cliff 'Bernanke' Clavin
Love the Cheers reference. I agree that there are no repercussions to uninhibited money printing, growing, harvesting and chopper-dropping. It stimulates hardons and kindles the inner yuppie in all of us.
didnt work out too well for woodie when him and sam invested with the rich guys...
I'll have a Screaming Viking, please
Boris, pass the Wadka please.
The only astonishing thing about all of this is that people walk around pretending everything is fine and this is all normal.
The vast amount of people out there want to swallow the blue pill.
Exactly. Even if you gave them a placebo, they'd pretend to have taken a blue one in hopes of faking it 'till they make it.
"If i don't know about it, then it can't hurt me."
We got seven month "Sir". I'm sure you didnt mean to disrespect the Powers That be.
First we print the money that belongs to you, then we loan it to you at interest. The best part it, we made it all legal.
- B.S. Bernanke
Well said, I remember when I first understood that statement. Great business they got there.
a 30% increse in printing from there last Announcement in September and the markets didnt even bat an eye. We are so F***ed
If they were actual markets, they would have trembled. That they didn't is simply more proof of their corruption. As if any were needed...
This is just stupid.
Get it over with already.
If you arent familiar go watch the smoke filled room study.
In short,
Test One:One Female-Sitting in chair filling out a Survey-smoke comes under far door. Out in less than 30 seconds.
Test Two: 7 or 8 Confederates and 1 Female- Sitting in Chairs all filling out surveys- Cue smoke under far door. No one said anything and the lady didnt leave for over 20 minutes. I gotta think we're close to that threshold.
I've seen similar studies where the other people assured the test subject that everything was fine and not to worry. Test subject believed them.
Meh, it was legal long before Bernanke existed.
Besides, he is nothing but a puppet in their little game.
The USD is simply a license to trade with US corporations and citizens and traffic in American goods.
It is only license. This is why its meaning is plastic - it is at once commodity, asset, liability, money, currency, etc. It is all these things in latency, proxy, and shapelessness.
Gold is not a "money substitute". Instead, Fiat is a substitute for reality.
JAIL THE FED!
This time I actually mean it...
Tell me how you really feel.
Quick, someone here tell me, how do we keep the unemployment numbers up?
if every country prints money...isn't it the country that prints the highest % going to be the one getting the worst inflation?
Actually, the country with the fastest printing press will win because it becomes the richest country , Silly.
FED...BOE...ECB...BOJ...PBOC...SNB... they're all printing more and more.
Simply raise the Labor Participation Rate.
So, extend unemployment benefits and reopen unemployment benefits up to those who have already used up their unemployment?
Yes.
Like the last five extensions starting in 2008.
Or hold a mandatory monthly jobs fair at the mall where EBT bonus cards get distributed
Which also implies no spending cuts on UE benfeits since that would reduce the LPR too! What Fiscal Cliff?
Unemployment above 6.5%? HILARIOUS. They just gave themselves cover to print FOREVER...
More accurate unemployment numbers will thus now be reported, while CPI will thus now be even more tortured.
If they are off by 1% GDP deflator right now, we are in recession. They are likely off by at least 2%. We are in deep doo-doo, as George Herbert Walker Bush Walker Preston Bush IV would say.
I have been saying this for awhile. We are in a recession right now and have been for a few months. Only the FEDS spilling money into the streets and keeping the stock market afloat has hidden it.
Exactly. Officially for last quarter deflator equals GDP. IE: Economic contraction in real terms if Ben so much as drops a dollar on the walk over to JPM
Pretty sure that was Jar Jar Binks. Then again, it's hard to tell them apart so you might be right.
The NEW DRINKING GAME phrase is Hedonic Quality Adjustment in the CPI or variations thereon.
Everyone will substitute Vienna Sausages in a tin for T-bones and learn to LOVE IT!
or spam
Then, down to "Potted Meat Food Product"
http://en.wikipedia.org/wiki/Potted_meat_food_product
Yeah, I knew I shouldn't have clicked on that link, but I did it anyway.
This is the best part - "inflation between one and two years ahead is projected to be no more than a half percentage point above the Committee’s 2 percent longer-run goal, and longer-term inflation expectations continue to be well anchored."
So it's not even the government's measure of inflation now that matters. Inflation could be running at 3% or even 4%, but as long as they say that they expect inflation to come down to at least 2.5% over the next year or two, then they're still within these guidelines.
Inflation always is and has been a "transitory" issue. You can thank Mervyn King for that one.
Whenever inflation will get a little hot, the real economy will deflate further and demand will drop. Biflationary theory
When inflation gets a little hot, real Treasury yields become even more negative making Treasuries an even worse investment, causing a flow out of Treasuries and forcing even more printing in order to keep yields low, and therefore causing even more inflation, even greater negative real rates, even more pressure to escape Treasuries, and the need to print even more in order to keep yields low. Crackup boom theory.
stop the "adjustments" from the B L S ....
unemployment rate back up.... until the next general election when there will be >some< improvement
"Quick, someone here tell me, how do we keep the unemployment numbers up?"
1. Provide more "honest" employment #'s
2. Squash some unions
3. Outsource
4. AUTOMATE
5. Provide incentives for banks (JPM) to benefit from welfare (EBT)
6. Begin a media blitz to convince the public machines are gooooood.
7. Can't wait to find out what #7 is....
did anybody catch lies man say this morning that the fed will be printing money....
I hope someone changed the toner and adjusted the belts on the Binford 9000XL.
Need MOAR power!
Whew..glad I listened to Goldman and sold off all my phyzz yesterday....
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PSYCH!
Endgame right on course. No turning back now. Gold and silver "managed" during Fed release..... soooooo obvious.
gold futures must go no higher than 1720 clearly the order
All we gotta do now is ramp up that birth-death ratio so fucking high that we end up with a 40% participation rate and our golden 6.5% unemployment goal will be reached. Keep stacking for all your worth!
End-game it is, and I did say they would print like mo'fo's.
I also said nobody would care.
We are seeing that latter play out now.
There are no brakes on this run-away train. It ends when it goes off the rails. Last car to the bottom of the ravine wins.
delete
Gold, bitchez
SILVER BiTcHeZ
Bitchez, Bitchez
I can't figure out why no one has yet claimed the handle of "Bitchez".
The "crisis" continues 4 years after the FED started with no end in sight. Now, they are outright monetizing the debt. What a pathetic failure QE has been.
If you see QE as a failure, you are using the wrong assumptions.
(I wasn't the idiot who dinged you)
pods
Agree. It's obvious that we have higher inflation than what the Fed will admit to, so isn't it safe to assume that they are lying about their unemployment mandate? QE is the cover for worldwide theft - the Fed could give a shit about unemployment. QE is an economic failure, for sure, but it is sold to the masses as "boost our economy and lower unemployment", the mask for continued theft.
And I didn't ding u either.
No, you are clearly wrong. I know this, because the one man who predicted the housing bubble and acted in a responsible manner in its regards says so:
QEn has done exactly what it was supposed to do, which was to maintain the impression that everything in the world is fine.
QEn was never intended to fix anything so the fact that it did not is not interesting.
This will continue as long as the fairy tale economy can float along, once that no longer is the case they will come up with something even bigger. In fact they might even do the helicopter trick and drop paper fiat out of the sky. Whatever it takes.
"What a pathetic failure QE has been."
Ya..for us....
For the bankers collecting interest off all the money printed...
Not so much a failure....
.....................*** "The Rothschilds smile" ;0)
We're gonna need a bigger printer!
Save the rain forest!
Nah, no worries about the environment. All Ben needs to do is put a woodpecker on the zero key on his computer keyboard.
Ben "Zeropecker" Bernanke.
I like it.
Finally I witness the birth of a ZH meme. It's taken months to reach this day.
Can Ben put a little bell over the woodpecker's head, so that we can hear dingdingdingding as he prints 0's?
fun fact - fast counters can count to 200 in a minute. That puts them at 1,200 in an hour. At this rate, it would take over 9,500 years to count to a trillion :: funny how we can do it in a less manual manner in <365 days
Just more sanitizing of bankster fraud in the MBS market. Abra Cadabra, and they're gone!!!!
They are now moving it over to car loans and student loans....pretty soon 95% of our economy will be loans....debt..no one will have a "job"...they will just get another loan to live on...
Then they can do away with our current currency and we can start using loans as currency. lol.
LOL... Pretty much the same fucking thing.
Also, looks like AUTOMATION is to become the BFF of ZIRP.
Structure loans as a 'lifetime loan' with only one balloon payment when you die. Then the banks offload it onto the next generation through the Fed!
It's becoming clear that the goobermunt is going to have to impose some strict, new ZeroHedge control laws.
They can't allow all this thinking to go on willy-nilly like this.
It might wake up the slumbering sheepsters.
Fed Rates tied to Unemployment Rate.
Add that constraint to your models, bitchez!
Or to the orbit of Venus. Either one.
More like UrAnus.
GOOD NEWS everyone! Economy imploding while they ramp up obvious failure QE! Good News Everyone! - YouTube
Gold and Silver Popping Higher Out of the Gate -
Live Spot Gold: http://www.pmbull.com/gold-price/
Live Spot Silver: http://www.pmbull.com/silver-price/
Do they continue, or reverse?
Gold is hesitating while silver seems to responding better, at least initially.... Makes sense.
OK, maybe this is good time to sell the few copper miner stocks I have...
Maybe gold had 'already priced in' unending, infinite monetization of unredeemable US and European debt LOL.
The Hyper is coming........
" If we make through December, everyrhing gonna be alright I know" (Merle Haggard)
I wouldn't count on it. I haven't given a lot of analysis to the question, but I think they might have an angle. They are setting something up. And it's gonna be huge.
ZIRP 4Ever
Until NIRP 4Eva
shocking lack of movement in the mkts on more fiat devaluation
Bloomberg, says "QEInfinity"
Awesome so can we go over the cliff now ?
Yep! We got the new FED spinner hubs on, so time to drive this hoopdie over the cliff!
+1 lol
I wonder why didn't the Benake replace Washington with his own portrait on the dollar bill
Because it is going to go on the $1,000,000,000,000 bill.
New FRNs Are Being Printed
Will that be like a Zim $1,000,000,000,000 bill?
Try 100,000,000,000,000.
I've got one of those. Paid $3 for it, half of which was for postage. How's that for a little perspective?
Extrapolate the unemployment rate to 6.5%.... is that 2015?
I was thinking gold and silver would dip in early 2013 and I would buy more then. However, now that dip may be relatively insignificant I fear. Anyone have thoughts on this?
Is the official "Pie-Hole" statement out already???
Boy, they're just letting anybody back on here.
Election is over, no more pac money flowing into ads.
I don't follow the logic on that.
All the click bait posters are back this week, and all the slimey partisan articles have stopped.
300, 400 trillion in total unfunded debt only a few years away!!!
Long helicopters and nets.
I hope Bernanke hit his thumb as he drove the final nail in the coffin for the dollar!!! Fuck You Ben!!
But I was told for the last four years that the economy was getting better. The stock market soared on expecations that the economy was getting better. Yet, Ben just pretty much said the economy hasn't got any better and is actually looking worse, so it needs more QE.
AAAANNND this is seen as bullish?
I think CNBC needs to stop cheerleading the fake market and just come out and say the Fed is printing bonuses for Dimon and Blankfein and the sheeple have to eat it.
Everyones got their hockey helmets strapped on tight here in full-retardville. YAY!!
Is that you Special Ed? I got mail! I got mail! I got mail! Yaaaaaaaaaaaaaaaaay!
http://youtu.be/4Gj8bin3vlQ
The circle jerk has arrived. For housing to improve fed lowers rates. Now that rates are zero forver housing deamnd will do down. Unemploy will stay high becuase housing doesnt bubble. Rates stay low beucase unemploy high. Circle jerk continues.
P.S. Heres where the muppets get skewered again. For the 80millionth time, dump coming .
That seals the deal. Semester is over this week. Have to go out next week and see what kind of new car my government funding will get me. Bernanke Bucks for everyone. Partyyyeee!
Didn't Bill Gross tells us all that "Global central bank monetary policy is now geared to keeping nominal GDP close to historical levels."
Damn the torpedos! Buy buy buy! Free money for all!
Shocking news, just shocking. Who'd a thunk?
When QEternity just isn't enough.
Double-secret QEternityx2 next?
Nasdaq + 3 points on the news. Something doesn't seem right.
the more he prints the more fuel prices rise, the faster they need to bomb Iran or anyone else with any natural resources that wont do business with his magic money lol. I'm looking forward to improved employment on the back of $6 dollar gas bitchezz !
It's the hard knock life for us....
http://www.youtube.com/watch?v=6QhCHcyJh-I
I am just thinking of the South Koreans and how to they read this....????? Or some other smaller export country....I would say they are not going to be having to many dollars hanging around for too long....spend em fast..or not even take them in for payment if they can.....might be hard now...but in the future I bet there are new curriencies to use for trade....I think in the next 6 months one is introduced to the world.....
Benny forgot to add that additional $45 billion per month will be necessary for managing gold and silver prices lower at interest rate -100% per month.
No such thing as "sterilization" anyway. Just some more confusion that was sowed.
Banks can now fire entire non-machine staff and guarantee low rates forever.
Will bank robbers be eligible for 99 weeks of unemployment once they can no longer screw a gun into a teller's ear?
Gravity... no longer defied?
Many of you are probably going to try and outsmart this. Buy a bodybag before you jump in front of this train. There is nothing to outsmart. It is what it is.
You are right, you can not outsmart the ones making the rules as they go.
Right, now that they've got full monetization in place and everyone certain that the only place to go is up from here, they'll probably drop markets 20% right when everyone went long and clean them out too. No one really knows except for a handful of people.
Hey, there are Trillion Dollar Pt coins advertise for sale. What does that mean?
Hammer and Nails meet coffin.
Let me issue and control a nation's money and I care not who writes the laws.
Honestly - why can't the Fed simply, for example, simply pay for medicare for everyone rather than buying bonds and giving money to Goldman Sachs?
I'm asking earnestly. You see, over at Dr. Krugman's blog today, I'm reading comments, and apparently being "serious" about basic math {if I have $5 and want something costing $10....} is bad, m'kay.
http://krugman.blogs.nytimes.com/2012/12/12/the-yes-minister-theory-of-the-medicare-age/
In all seriousness, since stimulus is not only good but necessary, and since Krugman and his disciples identify anyone criticizing Medicaid/Medicare's sustainability {math} or fairness {ethics} is merely a "right winger" devoid of intellect or heart... why not simply print money and expand medicare to cover everyone?
I'm really asking, by the way. Why not "stimulate" the entitlement programs ad infinitum since, apparently, Keynesian and statist thinking can't be challenged... isn't taking the Krugman world view to its logical conclusion lead one to believe that we can just print and give everyone [or at least the old and poor if not the working poor young] sunshine, puppy dogs, and free ice cream forever>?
We can hire armies fo the unemployed to fill out the paper work, can't we?