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The Bernanke Circ(us)
Those who spend their days (and nights) in front of Excel are all too familiar with what a Circ is. For everyone else, just assume it means circus.
Such as this "circular"|"circus" response by Bernanke to California Representative Miller question which was as follows: "looking at the impact of QE3 has had on the mortgage market rates, we're historically at levels right now, I'm not seeing much change, but maybe that's what the intent was. But the Fed's balance sheet, like you said, had $3 trillion of holdings. Do you think that the mortgage interest rates are where they should be to meet the objectives of QE3. And do you think they need to be lower?" Enter the circ(us):
"One of the paradoxes is that the best way to get interest rates up is to have low interest rates, because that promotes a stronger growing economy, and that causes interest rates to rise. In some ways, the fact that interest rates have gone up a bit, and it happens on the real and not the inflation side, is actually indicative of a stronger economy, which is, again, suggests that maybe this is having some benefit."
So... since Bernanke wants rates rising and thus indicating a stronger economy, all the Fed has to do tomorrow is announce it will no longer monetize bonds and mortgages, whose yields are at or near record low precisely because the market can and has been front-running the Fed's now $85 billion in monthly purchases for the past 4 years.
We can't wait as the Fed unleashes unseen economic growth and prosperity by halting its infinite balance sheet expansion.
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Circ de soleil, Sun God King Bernank
Can someone please tell me which lie to believe? Would save me thinking.
Thx.
Bunch of clowns running this circus ... results are guaranteed :)
when you want to be taller, just crouch, so when you stand up again, you'll be.. taller!
This is not a circus and these CRIMINALS are NOT clowns guys! Come on, they WANT you to think they are stupid bunglers, THEY ARE NOT. They are subversive bastards of the zionist kind which have been planning the take down of USA since the 1700s!
Reading list for the uninformed:
Synagogue Rising www.synagoguerising.com
The Nameless War http://iamthewitness.com/books/Archibald.Maule.Ramsay/The.Nameless.War.pdf
The Protocols of the Learned Elders of Zion" - http://educate-yourself.org/cn/protocolsofsion.shtml
In this New World Order the children of Israel will furnish all the leaders without encountering opposition. The Governments of the different peoples forming the world republic will fall without difficulty into the hands of the Jews. It will then be possible for the Jewish rulers to abolish private property and everywhere to make use of the resources of the state. Thus will the promise of the Talmud be fulfilled, in which is said that when the Messianic time is come, the Jews will have all the property of the whole world in their hands."
— Baruch Levy, Letter to Karl Marx, 'La Revue de Paris', p.574, June 1, 1928
I'd believe all this Jew bashing if the world eCONomy looked like it could be saved, they got greedy now it's out of control simple as that.
Be handy though when your standing in the soup line mummbling under your breath.
Wouldn't it be nice if we didn't write about the puppets, the bernankes and obamas, and actually write about the puppeteers? Oh yeah, they're hiding themselves as they have done for decades.
the fed = trapper keeper
http://www.southparkstudios.com/full-episodes/s04e13-trapper-keeper
only rosie o'donnell can stop it now.
ben is starting to unravel
We can only hope so.
DavidC
I'm under the impression they are trying to make us as insane as they are.
That's like saying having low interest in attractive Women is the best way to get a hard-on.
The Bernanke is a complete delusional fool or an utterly corrupt liar.
I'm convinced he is both.
"The Bernanke is a complete delusional fool or an utterly corrupt liar"
A fool, not hardly. He's playing us for the fool. A liar, most definitely!
Don't be decieved!
“Our leaders are not chosen for their intelligence or achievement but rather because they are able to win the peoples’ trust and are willing to betray it. They are chosen by a small satanic cult – cabalistic bankers and Freemasons – that controls the world’s finances and media. Our ‘leaders’ are junior members of this international cult, called the Order of the Illuminati.” Henry Makow, Ph.D, “Illuminati – The cult That Hijacked the World”
Seriously, his thinking is so off it's not funny.
I love when he keeps saying he is reducing the deficit because he is remitting the interest on the government bonds he buys back to the Treasury. I really wanted him to say that he is going to buy $50 trillion of 2% debt from the Treasury and give the $1 trillion interest back to the Treasury so that the deficit would go away completely. Then, we wouldn't have to raise taxes or cut spending by his logic.
when does the complete destruction of americas wealth by the fed become unamerican?
This is what I'm talking about.
Whether it's a yammering, drooling Greenspan bleating on about Rumsfeldian unknowable unknowns, or a paradox-wrapped-in-a-conundrum "Virtuously Circular" waxing Bernanke, remain calm, for all is well.
Im not sure which lies to believe anymore.......
The most recent one. ALWAYS the most recent one.
You haven't been taking your government-proscribed crazy pill every day, have you?
You poor thing, you must be in such pain. Here, you can have one of mine to get you by.
got this from Turds..................From todays testimony
Published on Feb 27, 2013
Feb. 27 (Bloomberg) -- Representative Sean Duffy, a Republican from Wisconsin, confronts Federal Reserve Chairman Ben Bernanke about cutting the `fat' in the budget. (Source: Bloomberg
http://www.youtube.com/watch?feature=player_embedded&v=uIqtZ-kSYAY
that's my congressman! END THE FED Mr. Duffy!
Sounds like witchery. See if he floats!
Build a bridge out of him...
Bernanke's a Keynesian twit
A Friedmanite, Randian shit
A Kleptocrat pawn
A Satanic spawn
As human, he's wholly unfit
wow
Hey...I got a "wow" from Tyler. ;-)
That's only 1 line, and not a limmerick. What up?
Could be a touch of early onset alzheimer's...I keep forgeting I'm only allowed to post limericks. ;-)
There once was a Fed head from Lina
Whose policy had never been fina
He said with a grin
As he wiped off his chin
No one is fina than Dimon
Hickory Dickory Dock...
You deserve it.
:D
LK
you are the BANKSY of zerohedge and we love you
Keep doing what you do... we love ya.
I'll keep reloading lead 'n' brass and fiat permitting stack ;-)
Who the hell down votes Tyler for giving you a wow?
Three Cheers and one (more) up arrow!
Well said brother... but WTF who did the single down arrow?
John Kerry ~ But he voted FOR it before he voted AGAINST it...
I said it yesterday, and I'll repeat it here...this particular time around the Fed's testimony to Congress was nothing short of a complete disaster...in many ways...not the the least of which is the above cited circus.
All happy bull market talk aside, I smell smoke in the cockpit where Ben Bernanke sits, and I suspect all along that you have been right, Tyler, that this whole $85 billion per month has been all about pumping money into Euro banks as they now peer deep down the rabbit hole of Italy...and just what it may well mean for the banks.
QE infinity has little to do with creating jobs in the US...because that does not work, and has proven itself to be a failure in this way. It has little to do with interest rates, as they are at zero and have been there since QE2.
Nope...what we got here is circus logic to cover the fact that the US dollar is being printed into oblivion to save the old money of Europe.
Agree.
I can even tell you where the money is going to:
To the swap counterparties of primary dealers and major euro banks in order to pay for losses on those swaps.
Reminder: only 7 of 21 primary dealers are US based.
Problem: That money is piling up on crude oil, hence economy is literally in contraction right now, full blow depression.
Only 7 of 21 primary dealers are U.S. domiciled because the Treasury's debt has grown so large that to sustain the ability to keep rolling it over, investors from outside the U.S. economy are absolutely required.
Yup...another TBTF apparatus created by government elitists and their abettors on Wall St., in the media, and in the ivory towers of academia.
The crux of this problem, like all major historical problems on Earth, is really out-of-control eilitism.
"The crux of this problem, like all major historical problems on Earth, is really out-of-control eilitism."
Excellent observation. The elites, victims of their own shortsighted greed, should have gone down in flames in 2008-2009 if not sooner. Instead, however, they orchestrated a coup of the U.S. government and seized total control of the Fed and unlimited money printing. They use this unlimited money to bail themselves out while at the same time completely destroying the U.S. economy for generations to come. But they don't give a shit as long as they can abscond with a few hundred million per elitist family, enough to spend the next several generations in luxury on their own private island somewhere while the former middle class, who does not have access to the Fed's trillions, is destroyed. The elites know EXACTLY what they are doing, and they are accomplishing it quite effectively.
That about sums it up. Seems pretty obvious to me as well as many others on ZH.
Awesome... all of you are my ZH brothers!
The wagons are circled by the Benark Crew in this Globalist, Statist, Centrally Planned Circle Jerk.... you just sense it.
You cannot take what freedon we all have left without a fucking fight you STATE WORSHIPPING CUNTS!
Phew, I feel much better...
LasVegasDave will be happy because his pool boy services will still likely be required...
There was no "coup", they already owned the FedGov, the FedRes from 1913, and could and did print whatever they wanted or not print whatever they wanted from the git go. They proved that in the Great Depression.
The only thing that has happened is the velvet came off the glove, the curtain slipped, we got a peek and they can't pull it back. The interwebs is preventing the scum from hiding in the shadows.
He's been saying what he's been told to, nothing more and nothing less.
It still reminds me of 2007 when everything was forcefully televized and nice and rozy. I don't remember such brainwashing since 2007.
Something is happening, something is about to happen. They are appearing to the media quite too often recently and quite forcefully.
If they already stated that this is open ended QE, why do they need to re-iterate it in the media?
This is the final ramp up. We went to QE infinity, Japan is following and Europe will come soon. We ain't seen nothing yet. This is a coodinated move by the G7 to convince the world that they should spend or invest the fiat they have before it becomes worthless.
they have been airing "cyber hacking" segments left and right. I am starting to think that is the nice imaginary strawman that eventually pisses all over the market picnic. one big no bid flash crash blamed on some rogue terrorist cyber hacking.
This is unreal. Did you read my mind?
http://www.drudgereport.com/
Bob Woodward called Obama's actions MADNESS.
Calling the president MAD?
I'm telling you. Something is happening. Popcorn ready. Let the movie begin.
I wonder if even this sequestration "theatre" - I really can't view as anything but - is possible cover for something else.
Nobody as serious as Woodward would call MADNESS on Obama.
This is serious.
Woodward is the Pentagon's man...........going all the way back to watergate...........
He sure is acting like the pentagons man.
There's one thing I'd like to repeat again, but I'm sure people won't agree.
It's the defence lobby that is the most powerful one in USA, not the bank lobby. Paul Craig Roberts has said that over and over and over.
I don't think it much matters which dept is most powerful... the zionists control all of them.
“You know very well, and the stupid Americans know equally well, that we control their government, irrespective of who sits in the White House. You see, I know it and you know it that no American president can be in a position to challenge us even if we do the unthinkable. What can they (Americans) do to us? We control congress, we control the media, we control show biz, and we control everything in America. In America you can criticize God, but you can’t criticize Israel…” Israeli spokeswoman, Tzipora Menache
"Every time we do something you tell me America will do this and will do that... I want to tell you something very clear: Don't worry about American pressure on Israel. We, the Jewish people, control America, and the Americans know it." -- Israeli Prime Minister, Ariel Sharon, October 3, 2001
I said this a week ago, and there was a post here yesterday by Brandon Smith that said the same thing... but if it's time to stop propping up the market, the sequester is the PERFECT distraction/scapegoat/red herring, etc. Of course I'm the boy who cried wolf, but this whole thing could unravel faster than I care to imagine.
Can theatre possibly beat this? "Olympus Has Fallen"
Bingo!
No fool, corrupt liar.
What a legacy.
Honestly. This guy sounds like he can't wait to get out of this job and throw all this on someone else.
Pants on fire!
Don't fight the Fed.
(it's not fair)
Department of Redundancy Department
We're all Bozos on this Bus.
The defintive question for Ben is: Can one all powerful central banker grow his way out of a bubble he's already created by excessively monetizing a national debt?
Answer: HAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHAHA, etc., etc.
Maybe to boost interest rates further, he'll introduce Negative Interest Rates, much like the BOE is discussing lately:
http://money.aol.co.uk/2013/02/27/bank-of-england-policymakers-consider-...
Ben must do this for the Children!!!
That's an Enron-worthy comment right there. "If you don't understand what I'm saying you're just too stupid to be in this room."
My shiny stuff gets shinyer every day.
You can go blind doing that.
...take it from the EXPERT
Please resubmit your comment in braille.
Q. So Ben....what would have happened if you gave all that fresh cash directly to the people rather than the banks?
A. "Oh no, we could never do something like that....that would be irresponsible".
Ben....you are a lying sick fuck.
That is exactly right. He said he would dump it from helicopters.....onto the roofs of banks....who would lend it out....?
How unfortunate. I was hoping he would dump it right on our heads. I wish people could understand QE for what it is, and demand that money for the people.
Because the purpose of QE and Fed policy is to bail out the elites, NOT the rest of us or the economy as a whole. In saving (and indeed further enriching) the elites, they have been wildly successful.
I love it when he refers to interest rates as if they were actually set by the market.
when fcking ducks
be careful
not to get feathers
up you urethra
Since we can't vote him out, he has to go via scandal.
Maybe we could print out a magazine called "Monetary Porn" and fill it with pictures of starving kids in Zimbabwe, the latest German wheelbarrows, a Krugman nude centerfold and 20 Questions with Lord Keynes. Plus, ads for green ink and the latest commercial printers. When the Bernank is caught wanking to it, maybe he'll have to resign.
Banzai already tried that a number of times and it hasn't worked yet.
This is brilliant. Thank you.
This Copperfield guy was pretty good, actually. But this... this was just a-ma-zing. I still cannot believe it...
The complete Local Group just disappeared overhere! Earlier this day. We all just saw it... one moment it was there... and then, completely gone! But hey - don't worry! it's already back in place, it seems.
For one brief moment... everything clustered together... all matter and energy, you name it it was clustering together... to form one giant platnum coin.
Everybody saw it. OMG. I'm still shaking.
Is Bernanke is turning into the Mad Hatter from Alice in Wonderland?
“If I had a world of my own, everything would be nonsense. Nothing would be what it is, because everything would be what it isn't. And contrary wise, what is, it wouldn't be. And what it wouldn't be, it would. You see?”
lol nice
then it follows that a dollar collapse should be interpreted as rapid recovery?
"One of the paradoxes is that the best way to get interest rates up is to have low interest rates"
Tragicomedy..
Like... , I could get my brother to give me a loan with counterfeit money, and any interest I pay to him, he would give it back to me?
http://online.wsj.com/article/SB120424639824701397.html
The Bernanke Reflation
Naturally, the Fed and its most vocal constituencies -- Wall Street and politicians -- see nothing much to worry about. Wall Street sees a reflation as a way to ease its credit problems, as price increases ease debt burdens and perhaps reflate housing values. Congress and the White House see a way to perhaps avoid a near-term recession, which might get them past the election.
As for the Fed, its Governors are dusting off their favorite intellectual justifications. We are told that inflation isn't as bad as it seems because "core inflation" -- which excludes food and energy prices -- isn't rising as fast as the consumer price index. However, food and energy are what most Americans are having to spend ever more of their paycheck to buy. Thus the Bernanke reflation is in part self-refuting even as a short-term recession antidote, because it robs consumers of some of their discretionary income just when the economy needs it.
Meanwhile, even the Phillips Curve is making a comeback. That's the notion -- popular before it was discredited in the 1970s -- that there is a trade-off between inflation and economic growth. In its new version, argued by Fed Governor Frederic Mishkin, the Phillips Curve doesn't exist in the long term but does in the short term. Thus the Fed can afford to open the monetary flood gates now because the slower economy could lead to lower prices later this year. Then when the economy recovers, the Fed can afford to tighten money again.
This is a beguiling intellectual construct, but it puts a great deal of weight on Fed Governors to know when to tighten again. They were supposed to do something similar in 2003-2005, but they were terribly wrong. Then as now they were also dismissing such forward-looking price signals as gold and oil and instead focusing on such misleading indicators as "core inflation" and the money supply. Mr. Mishkin may be seen as a monetary wizard at the Fed, but to investors around the world he is beginning to look more like a high-class inflationist.
The people who aren't being fooled by all this are the American people. They don't pay their bills with "core" dollar bills, and they know those dollars buy less with each passing month. This explains their rising economic anxiety -- and anger -- better than trade or job losses do, especially since the job market has remained relatively healthy. Inflation is the great thief of the middle class, as even Americans who don't recall the 1970s are learning. With its all-in reflation bet, the Bernanke Fed is gambling with their money.
Sorry to spoil the party,
'Last week, my friend John Mauldin reprinted our April 11 market comment Charles Plosser and the 50% Contraction in the Fed's Balance Sheet . John told me that he had received several nearly identical questions, along the lines of "Wait, now I'm confused - I thought that the Fed reduces inflation pressures by raising interest rates. Why would higher interest rates trigger inflation?"
So, this is where that phrase "external upward pressure" comes in. We have to distinguish between what economists would call an "endogenous" increase in interest rates - one that the Fed itself provokes by reducing the monetary base - and an "exogenous" increase in interest rates - one that is produced by changes in the behavior of investors and the economy, independent of actions by the Fed...'
Read more here.
Washington, D.C.
That's where the problem is centered.
Are there enough lamp posts for what needs to be done?
I'm coulrophobic. 'Can't sleep, clowns will eat me'.
Circ(us) or circlejerk?
Well therein lies the problem. It's a one way street we're on. No one epects there will ever be a halt, let alone a reversal of monetary expansion. And no one on Wall Street will ever believe they have any responsibility to bail out the Fed, after being bailed out by the Fed again and again.