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Santelli Goes Berserk, Slams Fed Which Was "Not Created To Be A Feel-Good Institution"
It started as a discussion about the reality of inflation versus propagandized "noise" and devolved into what is possibly Rick Santelli's most epic rant.
First, Santelli says the Fed has done enough (and it hasn't worked "but to get the market higher") to which Liesman's "but higher interest rates won't help" argument is backed up by more counterfactuals of "just think how bad it would have been" without the Fed. Santelli's screamfest rightly attests that we do not know - we might have been well on our way to recovery by now... and adds that - despite Liesman's imploring, "the Fed was not created to be a feel-good institution."
Finally, slamming the herd of zombified analysts and talking-heads that follow sheep-like the Fed's every word off the inevitable cliff, Santelli blasts (unafraid to stand up for the jobless Americans not driving their new Rolls-Royce on the back of levered 'wealth creation' in stocks), "This is America! We don't follow consensus, we set it!"
This is what Santelli is upset about... Who is the Fed working for? Main Street or Wall Street?
The "people" never caused the crisis that the Fed bailed the banks out of... Liesman cannot let "low rates" go and Santelli explains how capital will come out if it can get a decent return and the status quo thinkers have it backwards... "The Fed was not created to be a feel good instituion"
And as the CNBC anchor says the Jury is still out on whether the Fed should pull back, Santelli explodes... who is "judging" the success... not America's jobless or hordes of part-time workers... Liesman jibes "it's impossible for you to have been more wrong" but as the chart above shows... Santelli was entirely correct - the Fed did nothing for the people...
The real issue with QE and Yellen's "Social contribution" to America...
Simply put - the market's unstoppable rise provides any and every talking head status-quo apologist with the ammunition to "prove" the fed was right... when all the data shows it has done little if anything but bail out banks, enrich the wealthy, increase inequality, and shows no signs of stopping...
* * *
Santelli is right no matter how loud his screamfests grow; frustration with the ever-more blinkered mainstream who know just how "high on supply" we have become but also know just how devastating another fall will be for it will expose the truth that nothing the Fed does is real... or creates lasting wealth...
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The only issue that I can think of in your statement is the fact that by the time the lifeboat station alert has sounded, the telescreens will have lost all power, and the stokers in the coal rooms will have abandoned ship as well.
THAT; and the fact that you sound like a parasite trying to suck the last life out of an unwilling host body.
Janet Yellen: It's all noise.
She'll just keep printing trying tigger massive inflation. A currency crisis would make the Federal Reserve panic. It's the only thing that would stop the Fed.
"nothing the Fed does is real"
Even the gold they store isn't real
"Even the gold they store isn't real"
They'll fractionally reserve that.
LOL, you'll find out the Federal Reserve has less than the 10% gold they say they have.
One huge game of smoke and mirrors.
Which makes me wonder where all the shiny went.
All that's left is to quit... as CNBC is merely using his rants for ratings and nothing more.
You mean I gotta watch a fucking Chase ad before I can see Rick Santelli spew spittle and bug out his eyes?
Rick sorry but your RIGHT...have a drink though
I think he is real. I guess I hope he's real. I think at this time ist's just math. The gold miners are sniffing out inflation. Welcome to Stagflation.
Heading to your neck of the woods late next week.
The Fed is working for the sitting President.
Putting off the crash until some other SOB gets in the WH.
"The Fed is working for the sitting President."
Don't be daft. Do you really think they really care about protecting the image of a president or even an entire political party? The Fed is working for themselves, thier banker buddies, the social engineers, and the well connected. They are only putting off the crash until the time that they can consolidate the most wealth, power, and control.
and give the appearance that it wasn't their policy that fucked everything up. that's their usual MO, but this time I don't think they'll be able to pull that one off
What a dumbasses. Who was heroic Libertarian Alan Greenspan working for then?
Santelli can rant but these people hold the reigns. They will never allows rates to move higher or stocks to go lower. They just keep gaming reported data and figure out new ways to celebrate less-than-mediocre economic progress to be celebrated like it's the 2nd Coming of Christ.
ok, after that, what happens?
No really
i would spend a month in jail in exchange for getting to give liesman a beating.
That's one helluva chart....
I expect (yet again) an emergency meeting of the Fed in the near future to counter the oft-implicated but never-materializing "deflation".
Dow 50k bitchez.
Or until hyperinflation. We are already seeing double digit inflation. Only hyperinflation triggers a mode of fear in the federal Reserve. Once they lose their hold, they lose it.
Nothing matters with "inflation" until the top 10% suffer from it OR the Trash Class starve because of it. We're a long way from that right now.
As diabolical & incestuous as the financial media and gov/fed are....you won't see inflation acknowledged even if you are using a wheelbarrow to haul worthless dollars to your fireplace to burn.
If given the opportunity, opportunists (.gov, .banks) will take it. Why do we expect something that was never meant to be in the first place? Baa Baa dumb sheep
the full employment manadate should be taken from the fed and given to Congress with a tie to immigration, like zero immigration whenever unemployment is over 5% or whenever inflation is over 2% we get zero immigration.
Suddenly we'd have zero inflation and unemployment, they'd impose sound monetary policy if we threatened cutting off the invasion spigot.
Funny one, as tho The Fed gives a crap about full-employment. That just more bullshit for the dumbasses. Kinda like "imigration policy" and "voting".
If Santeilli had a scintilla of integrity, he would not be working for CNBS. Fuck you, Santelli and your histrionics
Sorry, have to disagree
He provides the only regular voice of reason in that cesspool, and he feeds it direct to the source of consternation
He probaly would keep that soap box without pay.
It's good to disagree. That's what makes a free society. No need to be sorry for that.
Up arrow for disagreeing with me
I would never work for CNBS if they paid me $1 million a day. I am not for sale.
JO
I've been selling my ass for 50 years (of tax returns anyway). If you get that offer send them my way.
How about $600,000 a year which is what Chelsea Clinton accepted from NBC for her numerous talents that are too many to enumerate.
Oh no...the last time he went on an "epic rant" we got the Tea Party...are we going to end up with another political group coming out of the woodwork now?
If so, God please, PLEASE don't let them be batshit crazy this time...
The 1% thank you for keeping up the defamation of the status quo opposition.
LEFT...LEFT...LEFT, RIGHT, LEFT
LEFT...LEFT...LEFT, RIGHT, LEFT
That is the sound that the 1% love to hear as the march you to your doom and oblivion.
Keep on calling LEFT so someone else can call RIGHT. Or, conversely, you can call RIGHT so someone else can call LEFT.
LEFT...LEFT...LEFT, RIGHT, LEFT
LEFT...LEFT...LEFT, RIGHT, LEFT
Yes the elite laugh at the stupidity. They laugh all of the way to the bank.
In fact I am LMAO.
Soon...
"There isn't much more room in this railcar..."
Oh make no mistake, I defame them all. It's just that Santelli rants have the obvious Tea Party connections, that's why it came up.
Despite all his great rants regarding the suppression of true price discovery, which are dead on, Rick still believes in the infinite growth model in a closed system with finite resources. FAIL.
Yup, which is THEE problem. But everybody runs around defending their politial ISM ignoring the problem of infinite growth. Not sure the human brain can deal with non-infinte growth tho, it would remind people of their mortality.
Meanwhile you "great sages" run around attacking people for having values....
The irony of your ignorance apparently know's no bounds...
Neo-malthusism is not a law of physics:
http://deepspaceindustries.com/
LOP: There is a character for you in "Atlas Shrugged"
Sorry, anyone that does not start and end a rant on the FedRes with how it is a deposit stealing and counterfeiting private institution is saying nothing about the FedRes.
Santelli is also the guy that launched the imaginary third-party of the faux dual-party illusion to placate the masses.
He may rant, but he's a tool of the "divide and conquer" club.
"Don't believe the hype, it's a sequel."
More importantly he is a bond trader, period. I wonder if he just got an unpleasant call?
The FED, it's Media and every ****king individual who advocates for this immoral perverted and daibolcial Institution needs to be marched out to the edge of a very steep ditch........
I have more sympathy for a ***king cockroach!
Every last one of these maggots need to be tried for their treason and molestation of the Middle Class and executed.
For those of you who don't remember Mythology from high school:
Cassandra was "cursed" with the gift of prophesy.
The curse was as follows:
The more accurate her predictions, the less they were believed.
Zerohedge, NonQuant, Korelin Economics Report, Santelli, and every other bear are the Cassandras of these insane markets.
Good one. Human don't like reality. Fantasy and blame are always the way to go.
Santelli has it half right; the Fed is SUPPOSED to the apolitical, but it isn't. To preserve the status quo, an institution needs to be political. And the Fed's constituiency, the 0.01% and the bankers, *is* who they work for.
The irony of all of this is that the "Chicago traders" he represents who he argues "didn't contribute one cent to the credit crisis", are part of the Neo-Liberal class, bore by Thatcher, that secretly cheer on this DOW and S&P 4EVA policy because they make a shit ton of money off of it.
Santelli and Krugman ARE the same people; they just bullshit differently.
+10 on THAT post!!
I explode too when somebody says that the enconomy is rolling, and then they say we can't raise interest rates in the next breath.
Doc, you need to relax. You can't fight the zombies. Just remain calm, speak to them in a soft voice, plant a seed, and walk away.
Case in point, one of my high school kid's friend comes over and says, there is enough wealth in the US that everyone could be paid a salary of $300k / yr if it was paid equally. So I sez ok, (I'm talking to a zombie moron remember), who gets to clean porto-johns for $300k, who gets to be ER doctor for $300k, and who gets to be a pop star for $300k? And then I walk out of the room.
I just think that we should all agree on one thing. If interest rates are < 2% or QE > 0, then the economy is dog shit. Case closed. You can't be on life support and feel great at the same time.
The day will come when Leisman is proven to be a clueless boob. Be patient.
Unfortunately for those with morality OCD, Leisman will just switch sides.
I believe that you mean Morality Attention Deficit Disorder (MADD)??? Yes, the population, the audience must be mad, as crazy as a shithouse mouse.
OCD is Obsessive Compulsive Disorder.
(If you slow down then you may have the opportunity to become creative with wit.)
I love the way LIEsman tries to act all calm and cool with Santelli, but you can see his shiney bulbous pumpkin head start glowing bright red... Then LIEsmans eyes roll back in his head as he enjoys the warm feeling of piss running out of his Underoos.
Hey Ricky, there should be N0 central bankers, you duplicitous controlled opposition, you!
All, I can say to Lessman is to date a rich woman. Women in high brackets are asking for 40 year old men now. Get off the mouse wheel CNBC.
The reason Santelli comes off as a "screamer" is because he is always presented having to speak over the noise of the CME trading floor while Liesman sounds "calm" because he is speaking out of a studio so he can use his normal speaking voice.
It also didn't help Santelli today that he was again ganged up on. And CNBC nevers seems interested in running those "real time polls" during these clashes. I suspect that they know who would win in a landslide. CNBC keeps forgetting that most of their listeners are INVESTORS which is why their viewership keeps spiraling downward. I have the sound off maybe 80% of the time. I just don't care what most of the pundits and their guests have to say.
thank you for today's installment of moderately entertaining theatre.
200 million americans dont watch the markets. They only see prices relative to income and they all have cell phones and cable. He's beating a horse that was never alive.
The Trash Class as never mattered. The top 10% own and operate the country, and are doing very well. The Trash Class isn't hungry and are happy enough not to worry about.
The system is working perfectly.
I agree, they're just opportunists, like a fox eating chickens or dogs digging in flower beds. We left the coup door open in '71.
Liesman is an Idiot schill. Iceland is the role model on how to recover an economy. Except, MSN won't discuss Iceland... Enough said.
Is this supposed to be financial news or the WWE?
Definitely the WWE...LIESman..can't you tell a stage name when you see one?
Rick 'The Screamer' Santelli vs 'The Lies....man'.
Pay per view next time...
Who decided that deflation is bad? it certainly isn't bad for all of us regular folks. Who wouldn't be happy to pay less for groceries or clothing or insurance or homes, etc. What is wrong with getting more buying power for your dollar? The point that seems to be omitted by anyone discussing the fed is that the fed was created by bankers for the benefit of and protection of bankers. Therefore when they say they have a policy in place to prevent deflation, who do you suppose that benefits? That's right, the bankers, multi national business who export goods from the US and enormously wealthy, all of whom hold the majority of the assets which would be adversely effected by deflation. The regular folks would benefit from a more powerful dollar, yet that doesn't seem to interest the fed one bit.
and why should it?
As long as you aren't sitting on a pile of debt or need to access to finance a large project.
Re: Who decided that deflation is bad?
Inflation has allot of benefits.
1) It forces the dumbasses to fight for survival in "the finacial markets" which aid the predator class.
2) It gives an incentive to the risk takers to take more risk (which is why Merica is so great-n-glorious)
3) It allows the government - which is owned by the predator class - to feast off the dumbasses.
Survival of the fittest, BITCHEZZZZ!!!!
Ironic tht you say this on Bastille Day. Bravo.
Inflation is a transfer of wealth from the creditor to the debtor. The debtor can repay debts easier with Currency which has lost value. It is immoral as it depreciates the wealth of the creditor.
Deflation, on the other hand, is a transfer of wealth from the debtor to the creditor. The debtor finds it more difficult to find the Currency needed to pay off obligations. Thus when the debtor defaults then the creditor sizes the property. It is immoral because it unfairly depreciates the wealth of the debtor. The debtor loses both the equity in the property and the property entirely.
"Gains" are ill gotten in both schemes. THEY ARE BOTH IMMORAL. Price and Currency Stability is the solid foundation upon which a productive economy is erected.
We will continue to beggar thy neighbor to actual physical death unless and until we can provide the foundation necessary for recovery. (For those with ears to hear the first necessity is that you get your own Morals in order, your own Financial House in order, and stop participating in Fraudulent schemes. Principles before profits.)
The problem when it comes right down to it is that we, as a society, have collectivively lost our MORAL COMPASS. Fraud and Criminal Behavior have become acceptable and we have become very comfortable living in the filth, squalor and the muck.
Of course the outcome for any people whom find this acceptable is a complete breakdown as trust is eroded away and paranoia takes its nasty grip. We have lost confidence that wrongdoers will be punished as we continually see them rewarded for their despicable actions towards other.
Yes you may ascribe to the Survival of the Fittest, the Jungle Laws of the ANIMAL KINGDOM. But that only leads to your own untimely death as predation is the scheme and there will always be someone out there who, or whom, is stronger than you.
We live in an amoral socirty, exemplified BY YOUR OWN TESTIMONY. (Survival of the Fittest, BITCHEZZZ!!!) Thus YOU DESERVE THAT HICH IS HEADED YOUR WAY.
Personally I play for higher stakes as I ascribe to the Kingdom of God. God Almighty's WRATH will come down upon the heads of the amoral, the lukewarm, and the immoral, the ones who choose the Animal Kingdom, LIKE A TON OF BRICS. (Misspelling INTENTIONAL)
Enjoy your own destruction. Enjoy being a member of the Animal Kingdom, a ZOMBIE, a shell of a man with a DEAD SPIRIT, the Walking Dead.
If you survive it let me know how that turns out for you.
undercover brotherSOLID !
Andrew Jackson prooved deflation was advantageous for "We the People".
Why else would "they" have tried to put a cap in his ass several times.
Santelli may eventually be right, but as of today, the facts are that he couldn't have been more wrong.
Similiar to the advice on Zerohedge, if you had listened to Santelli you'd either sold stocks or bought gold. Both of which have proven to be incorrect.
Eventually we'll get a bear market, but the simple fact is that if you listed to either ZH or Santelli, you have been waiting for the crash, US dollar crash, etc. that has never come. In the meantime, you continue to lose money or miss out on the rally.
Sox
when it comes time for gold to be 'right' you will not be able to get any (real physical).
We all are tired of being wrong for so long but when we are finally right we will be much better off than those who are 'winning' today.
and what if you are never "right"
what if the next recession / bear market is your typical run of the mill contraction? what if society doesn't collapse?
how long do you hold on to your beliefs without budging?
If the Fed can keep this thing going beyond our current depression I'll change religions.
I don't believe in miracles but if I see one I guess I'll have to believe.
The Fed will have figured out how to print wealth.
So far we are 6 years into this and they have used every imaginable trick (UN- imaginable to the average person in 2006 anyway) and we still sink deeper.
A rising stock market in the presense of ZIRP is a sign of the problem btw. It is NOT a sign of success. It means they are forcing money into the market and exposing widows and orphans to risks they should never have to endure. It also implies they are contributing to the rising market too out of fear of what a big drop would mean.
I do not believe we will 'just recover' with a 'recession'. Greenspan could do that trick. Bernacke and Yellen are facing a far more terminal situation.
I don't disagree with anything you're saying. There will be a recession at some point and stocks will go down. But my point is that in the meantime you've missed out on a 150% rally. Even if you get a 50% decline, you're still ahead.
We can go back and forth all day, but to the average mom and pop investor, listening to ZH or Santelli or any of the other doom and gloom folks over the past few years has been disastrous. They likely sold low and never reentered the markets. They missed a generational rally and they're long term portfolios will suffer.
Sox
3 years ago I decided to be early rather than too late.
In a currency collapse it does not matter how much currency you wind up with. By the time you get a million dollars the smallest bill in circulation could be a billion dollar note.
I'm comfy with gold and a ssmall hedge just in case the market goes hyper slowly.
My best guess is that it all goes bad in a New Jersey HFT nanosecond.
But I don't 'know for sure' either. I'm just placing my bets on the basis of 4 years of reading and listening to flks who make sense.
good luck to all.
What you say is 100% correct, but this isn't an investment site. It's an economic morality OCD site. The people on here are obsessed with the morality of WHY people believe. It's why so many are so frustrated. It's where religions come from.
That's fine if that's what you believe, but I'm guessing a lot of ZH visitors don't understand that.
When ZH posts the endless overlay graphs showing the current market to 1929, 2000, 2007, etc, etc, etc, mom and pop look at it and say "oh no, the market's going to crash, I better sell my stocks!". And everytime ZH has been wrong. The advice most mom and pop investors get from ZH and Santelli has been an absolute disaster.
Re: The advice most mom and pop investors get from ZH and Santelli has been an absolute disaster.
Well, honestly, there's nobody here. Most people are pathological optimists. The pessimism here would scare off most normal people. Most people get their financial advice from other pathological optimists.
What??? I am an optimist. What are you talking about?
When the price of Gold declines it is a buying opportunity. When the price of STAWKS increase then that is a Selling opportunity.
Just because I am a contrarian does not mean that I am pessimistic.
/sarc
(Of course it does not mean that I am not pessimistic...Just saying...)
Yeah, i was talking about most mom-n-pop "investors" from Sox's comment. Most mom-n-pop investors aren't on sites like this.
What "generationsl rally"? You are deceived.
The market does nothing more than reflect the diminishing of the value of the dollar due to the compounding of inflation over time.....and don't forget to deduct the capital gains taxes on your "generational rally".
How many ounces of gold or silver does it take to "buy the dow" today?
How many ounces of gold or silver did it take to "buy the dow" 30 or 40 years ago?
How much would have been paid in capital gains taxes, if you had held gold or silver through this phony "generational rally"?
I would say a 200% rally off the lows is generational.
As for how many ozs of gold it take to buy the dow, etc. All major indices are basically at inflation adjusted highs. The same cannot be said about all your PMs.
Super Computers, People, is why it doesn't go down.
The Fed and Stock Markets are instructed by a Redundant Supercomputer. The DOD, COG, DARPA post 9-11 switched it on and are surpised every day about the small adjustments needed to prevent a market correction that Zerohedgers believe should have already happened. The chaff is volume and high frequency trading. CNBC and Bloomberg are the convincing puppet show. The Military Industrial Complex will not let the system "correct" ever again. Gold is near where it will stay, we're heading to Dow 20,000. The computer will wash the debt with inflation. You might say we have a Techno Oligarchical Fascist Shadow Economy. Sure there are insiders, they are the 1% and the operatives and YES they are near ready to SMASH resistance.
kurt
Supercomputers can only control 'the monetary plane' of existence. The physical world of goods and goodies (real wealth) is what is at stake here. Too many winning tickets (dollars) out there for everyone to collect.
That is why I think it ends quickly, in a sudden failure of confidence in the dollar to deliver goods to a world awash in dollars.
You can keep the American voter happy with a few more dollars but the Saudis cannot accept any more dollars as payment for oil. They will accept only what they can spend quickly.They demand to save in gold and other real things. All our other suppliers of real things have made the same decision. Notice only 'Belgium' supports the dollar by buying US paper now.
All the big guys gave up on the USA in abnout 2011. The USA is completely dependent upon the kindness of strangers now (apologies to the Glass Mengerie).
Like the U.S.S.R tanked, would be my guess.
The US has already tanked.
Realization is being surpressed with pharma investing drugs aka media & govt.
Plain and simple just how stupid the sheeple have become.
Buncha pet rocks with cellphones.
The character who depended on the kindness of strangers was Blanche in "On The Waterfront". The "monetary plane" doesn't exist. They modelled the indices and some real world relationships. These are "functions" that are extremely long containing the weighting of how one factor influences another, rice, gold, coal, interest ad infinitum. If you pay Saudis in dollars they take them. Belgium is a part of the model, commanded to buy treasuries or "appear" to buy treasuries as a way to counterbalance some other drop off in treasury demand. Who, by the way, peppers us with continual news on the breakdown of the reserve currency status; the controlled media. Don't think for a moment that financial news is any less controlled than non business news. Think of it as financial news terrorism. It is BECAUSE of the transition from reserve currency to SDR's and a global "fed" centered around the IMF, BIS, etc.. The MIC/Shadow Government HAD to model the economy because they are going to "move" us to a World Fed, lock the currencies, replace them. Then control-kill the quadrillion in derivatives. Insiders will win, you and I won't.
"The USA is completely dependent upon the kindness of strangers now (apologies to the Glass Mengerie)."
@lasvegaspersona: "I've always depended on the kindness of strangers" is from "A Streetcar Named Desire" (spoken by Blanche Dubois as the men in the white coats from a nearby asylum are taking her away), NOT from "The Glass Menagerie" - but don't we all love Tennessee Williams...
You overlook adversarial powers in the financial universe that are steadily gaining strength as the dollar is diminished. The future of the U.S. dollar is a mathematical certainty. It has been since the FED was inflicted upon us. An astute third grader could figure that out.
The dollar is heading for the same end as the Zimbabwean fiat. Too small to even make good toilet paper.
Sox,
Let me rephrase your logic.
If you listened to ZH that robbing a bank is a bad thing to do, you were wrong, because Wall Street has robbed Bank of Future America, and got away with it, so it was the right thing to do.
You may be right or you may be wrong on that point, but there is nothing I/we can do about it either way.
What I can do is care about my personal situation.
I read ZH because I like to hear from a variety of sources on both sides of the bull/bear arguement. But bottomline, ZH has been wrong and I'm sure has lost a TON of people a lot of money during the past 5 years. Every single post, gives the average person a reason to sell stocks and buy gold. Both of which have been wrong.
Eventually you'll get the bear market you're waiting for, but I'm guessing it will be your typical 30% decline vs a complete breakdown of society
A 30% decline in a single day after 5 years of heavy inflation and about a 70% decline in actual real value and the wiping out of capital stores...
You can pretend to be a sage all you want here, it doesn't make you correct, it just means temporarily things might seem to be going "your" way. In reality, you are just commenting about there not being a storm while sitting in the eye of the hurricane.
You're proving my exact point. You're so blinded to your way of thinking that you can't even imagine a scenario where the whole thing doesn't collapse.
And I'll ask again, what if it doesn't?? How long do you continue to hoard can goods and physical gold? Another 5 years, 10 years, your entire life?
Who in the hell said anything about anything collapsing here? The topic is INFLATION, can you stay focussed long enough to remember that?
Some of you really should learn how to think for yourselves before commenting. You keep making arguments for a topic that was never brought up, and ignoring the reality that sit's right in front of you continually.
A 40% increase in gas prices in 6 MONTHS. Do the math yourself, what does that mean for the next year? The year after that? Just assume the constant stays the same with a 80% increase yoy basis. How long would that sot of increase take to stop all economic activity in the US?
Ha, okay, this week I guess it's inflation concerns. Or, should I correct myself, hyperinflation? How's that worked out despite QE?
Next week it will be deflation concerns and we'll hear about the societal collapse.
Your argument on gas in nonsense. Yes, the price of gas has gone up and down the past, ohh, 50 years! And somehow things turn out okay!
The 1973 Oil Shock was followed by the Deep Recession of 1974.
The 1979 Oil Shock was followed by the Deep Double Dip Recessions of 1981 and 1983.
The 1992 Recession was due to the Oil Shock which happened in the First Gulf War.
The 2008 Market Meltdown and Stock Market Creash and Subsequent Depression was preceded by the rise in Oil Prices in 2007.
The Slowdown in 2012 was due to the preceding rise in Oil Prices in 2011. The only thing which saved us back then from enetering tnto a recession was the Institution of QE III.
Of course do not let this get in your way.
When it boils down to it then it is about cheap, affordable energy.
Without energy there is no economy.
Instead of attempting to fight the facts perhaps it is wiser to see the pattern and hedge accordingly.
By the way Deflations historically precede Hyperinflations. That is what will be the cause of collapse.
The article is about Inflation, and the deflationists have long left the building.
Things turned out ok? For who?
even after 22 weeks you should know thedifference between real and nominal.
http://qvmgroup.com/invest/wp-content/uploads/2012/06/image006.png
As long as we're showing charts, here's one for you.
http://www.ritholtz.com/blog/2013/04/gold-silver-vs-djia-sp-1885-2013-2/
Maybe after 4 years you would have come across this one
Or another
http://www.ritholtz.com/blog/2013/06/sbg/?utm_source=feedburner&utm_medi...
Gold, in physical form, is a highly leveraged asset. It must be reset eventually to make the global monetary system work. Just because that bet has not paid off does not mean it won't. We hold it because we do not see any better way to preserve wealth in these crazy times.
The paper price changes but the asset and it's ultimate fate remain our best bet for a future with wealth intact....amen...
If you say so. I'll personally stick with a more balanced portfolio but to each their own
sox2013
If one owns PM and does not sell, just how does one lose? - obviously they do not.
If one owns paper, stocks, bonds, futures, etc., and does not sell how does one gain? obviously they do not.
So, if and when, when and if... who possesses value within their control.
Very few buy at "the low" and sell at "the high".
If the dollar is the weak link, how will the paper holder transfer wealth without losses.
We all know ways to do such... however timing is extremely important.
One is a gamble, the other is risk.
Possession is 9/10ths of the law.
Diversification is similar.
Your 30% guess is ignoring 100% certainty of typical empire implosion.
Again; timing. Some by stopwatch, some by cycle.
This time, a combo... for free.
As they say, timing is everything. He may end up being right, but it's true, had you listend you'd be broke by now. No one ever could have thought the fed would print close to $5trillion dollars and extend this farce for as long as they did in the name of a dual mandate, which incidentally is idiotic. The fed's job is to set interest rate policy to prevent the boom & bust cycles that had been prevelent in the late 1800's and early 1900s. It's pretty obvious they've sucked at that. But when did some bureaucrat decide to put the fed in charge of job creation. wtf is that?
i'm not an insider. so i'm not missing out on jack shit.
I would love to see all US wars and money given to countries and groups outside the USA be donation based. If the people believe in the cause they can donate.
The Fed does not work for Wall Street it works for the banks.
High stock prices are a side effect of ZIRP and the money creation the Fed is forced to do to keep the banking system (and the dollar) alive.
Yes a side effect ... but also a direct consequence of the printed money leaking (or flooding) into the hands of those who margin this flow into leveraged asset and derivatives.
Printing money is the same as continuously pouring water into a bucket ... if overflows
High stock prices are a result of a combination of dollar debasement, which reprices dollar denominated assets higher, the liquidity of the stock market, which makes it the most suseptible to instantaneous repricings, and the implied protection of the fed's ppt.......also, low interst rate funded stock buybacks and to a much lesser extent these days, improving fundamentals.
Wrong! The Fed is owned by the twelve richest families in the world. It works for them and only them. Everyone else, including banks are basically victims.
Some, such as banks, are made to look like the bad-guys to deflect attention away from the Fed; but if you follow the money trail it always leads back to the Fed and all other Central Banks around the world.
Wise-up and stop falling for the BS!
Cramer and Santelli either have the same steroid dealer or they are genetically related IMHO.
Call me when Rick resigns, otherwise STFU. Your part of the problem not the solution. Whole lotta blah blah blah....
Santelli is simply a talking head and a theatrician. If he had any balls he'd quit that screwed up company and start a real hard core serious resistance blog.
We're getting there. Contra opinions are ridiculed
At this point, "what difference does it make?" What's coming is coming. Prepare!
Bullshit, Let me see your real war face
https://www.youtube.com/watch?v=O6vHOR8lzTg
A prudent man foresees the difficulties ahead and prepares for them; the simpleton goes blindly on and suffers the consequences.
- Proverbs 22:3
http://www.free-bullion-investment-guide.com
I absolutely love watching bears squirm when the market goes up. ZH has been predicting the market to crash for years and years.
Now the DOW needs to get cut in HALF just so ZH will be at its starting point.
Sure, but this site is argueing the MORALITY of price not what the ACTUAL price is.
What the MORAL price of stocks?
There is no answer to that question. There is no way to measure morality in an amoral financial ether.
The only cognizable moral fount comes from God.....everything financial is a whimsical creation of avaricious men attempting to find a way to gain advantage for themselves.......By establishing rules, and laws, and clever subterfuges through which to fleece, defraud, and confiscate the wealth of others.
End The Fed, or the U.S. will soon lie reposed in the dust bin of history with all those peoples who have passed this way before us.
There is no answer to that question. There is no way to measure morality in an amoral financial ether.
Yes. There is. Profit is the only measur that concerns the amoral. That is what is valued above all in an amoral World.
ZH doesn't predict anything. ZH avoids making predictions.
Commenters make those stock collapse predictions, and they're wrong of course, they don't see the big picture.
I have always believed stocks will keep rising. I believe we'll see 20,000 Dow, 25,000 Dow, 30,000 Dow, and much higher.
Stocks won't collapse. USD will collapse. Debt won't collapse. Dollar will collapse.
The only collapse we'll see is a currency collapse.
"We'll just kill the dollar."
Gator, that is closer to what we have seen.
You sound just like the housing bulls in 2006 -2007. And many housing bears had been predicting the collapse for several years because the market did not reflect the underlying fundamentals. And then all of a sudden the rug was pulled out from under the smug bulls and they all were crying for bailouts. And the Fed and gooberment's response was to increase the flawed monetary policy that led to the mess in the first place. So here we are again, where fundamentals don't matter, until they do.
Liesman is one smug cunt.
I would love to kick the crap out of him.
Never been a fan of box fresh, like the just worn in look.
it's like watching pro-wrestling, I'm almost as tired of Santelli as I am LIESman.
"Santelli Goes Berserk, Slams Fed Which Was "Not Created To Be A Feel-Good Institution""
Fed was created to loot wealth from Americans and anyone else using FRNs.
Fed is doing exactly that, and doing it wel too, especially after 2008 with QE, a nice way of saying giving America's wealth to the government and Wall Street.
Stocks are just a place for Wall Street to park some of that wealth. What doesn't get paid out in huge salaries bonuses and other huge perks.
Govt is looting Americans two ways now, taxes and borrowing from the Fed.
It won't be much longer till we see the end result of this massive QE currency printing. USD will lose reserve status and drop like a rock.
That's when Americans will realize they've been looted. When their dollars lose 80% of their value almost overnight.
"We'll just kill the dollar."
Investors do poorly because significant players are trading risk free. All others are at a serious disadvantage.
http://curbsidejimmy.com/radio/Just%20Another%20Day%20At%20The%20Whoreho...
De fed is created to legally counterfeit and force the populous to keep accepting the bills.
Sounds like the fool actually believes the fed is federal .......... another dog and pony show.
What is wrong with inequality?
In the same vein of stupidity, why don't we advocate for equal looks and equal intelligence.
Americans are pussies.
As Maxamus posted, “…I absolutely love watching bears squirm when the market goes up. ZH has been predicting the market to crash for years and years...” I say the markets will take care of themselves and we go where they take us – long or short. Therefore the markets do not matter if you trade correctly.
The issue is how much longer the big money can hold together this global central bank fiat money juggernaut. But as we learned from the Extraordinary Popular Delusions and Madness of Crowds with the south sea bubble and the tulip craze madness they can go on for many years.
So even though Santelli may be on the right track, the bubble goes on…
There is a difference between past bubbles of speculation and this planned central bank induced manipulation. The fact that interest rates were never held this low for this long even during the Great Depression says it all. Past bubbles ended with people losing everything they had in the market while this time your currency and your investments will be worthless. To top it all off the fiancial media is hell bent on lying about it all to mask the problem.
If you would have extrapolated correctly you would have seen I said the same thing as a “fiat money bubble”. I was not implying only investments would be broke. When fiat money dies the world will go under!
If you like your gadfly, you can keep your gadfly.
Santelli will only be taken seriously when...
He dresses up in an orange buddhist monk robe and sets himself on fire on the trading floor...
I'll hold my breath... in 3... 2... 1...
/end sarc
go rick...
...peace...
We may not be feeling good tomorrow anyway......this text below has been repeatedly censored by CNN Money and CNBC
No news yet as of 5:00PM Eastern.......
http://federalreserve.gov/aboutthefed/boardmeetings/20140710advexp.htm
Government in the Sunshine Meeting Notice
Advanced Notice of a Meeting under Expedited Procedures
It is anticipated that the closed meeting of the Board of Governors of the Federal Reserve System at 11:30 AM on Monday, July 14, 2014, will be held under expedited procedures, as set forth in section 26lb.7 of the Board's Rules Regarding Public Observation of Meetings, at the Board's offices at 20th Street and C Streets, N.W., Washington, D.C. The following items of official Board business are tentatively scheduled to be considered at that meeting.
Meeting Date: Monday, July 14, 2014Matter(s) Considered
1.Review and determination by the Board of Governors of the advance and discount rates to be charged by the Federal Reserve Banks.
A final announcement of matters considered under expedited procedures will be available in the Board's Freedom of Information and Public Affairs Offices and on the Board's Web site following the closed meeting.
oh goody...
let me go find a six-foot armor plated condom and some lube...
hope I can "squeeze-in" and get cozy... by tomorrow... or whenever...
...peace...
In other news, the vultures are still complaining:
http://www.bloomberg.com/news/2014-07-14/argentina-refusing-talks-with-e...
Less than three weeks before Argentina risks a default, government officials still haven’t met with hedge funds who won a court ruling forbidding the country to make bond interest payments before they get $1.5 billion.
Yes agree, 2 week warning.
Argentina --> Bulgaria --> Austria --> Portugal --> Spain --> Italy
there may be a contagion occurring July 2014.
Cyprus, Greece, Detroit paved the way.
And create yet another bubble, which might turn out to be the mother of all bubbles. When that bubble pops it will be capitalism's fault and the government will have to "rescue" things with bigger budgets, confiscate a greater portion of the GDP, and authorize even more central bank shenanigans.
The bigger picture. The Fed and the banks serve a purpose. Strip mining the USA using the proceeds to maintain political power and control. The faster the mine run dry, the more power and control needs to be exerted. We are in an end game as the side affect of the strip mining is a concentration of wealth in the hands of the few. To keep the have nots from rioting and therefore dismanteling the power structure, they need to be sudued. Drugged with money from the public treasury. And now the vault is empty so they print and pay trillions....until mathematics take over. The debt cannot be serviced. And then its assholes and elbow to the exit doors as the true value of paper promises becomes self evident to the unwashed, dumbed down masses. Cold turkey is a bitch. Echoes of emty promises drowned out by the growl of empty stomachs. Might be a good time to short real estate in the inner cities.
My opinion? NO reset. Civil War probably followed up by another depending on who comes out on top in the first round. The union will not survive this time. And another point few have considered. I believe history will show that it was the direct breakdown of the judicial branch that allowed the (hijacked) political branches to ruin everything. William was right. First thing we do? Kill all the lawyers
No person with average intelligence believes in economics or FEDs or any of that crap at this point. Give us a break.
Big Bopper - Chantilly Lace
http://www.youtube.com/watch?v=4b-by5e4saI (2:26)
A song I often play on my acoustic when i'm drunk. Oh baby that's what I like a!
And this too:
http://vimeo.com/43370359
"the Fed was not created to be a feel-good institution."
WHAT? NO! THIS IS BRAND NEW INFORMATION! I must race back to the drawing board and rethink my stick-figure investment strategy.
I didnt get into the $ mgmt biz to stand up for "right v wrong" or make any determination thereof......its our job to make money. Thats it.
This business is filled with exogenous risks and mgrs have to be dynamic....so grow up zerohedgers and quit the crybaby shit, its pathetic when you stand in the face of every single market (whether it be Eq, FI, RE, FX, or Commods).
REMEMBER: Santelli is a failed bond trader from the 80s (when bond trading on the floor was wayyy easier than it is now)…. Why would any sane person listen to another person with a proven losing track record?
Santelli's predictions have ALL failed (over the last 5 years) 5 YEARS!!!! Its obvious that the people here who are still sucking his dick made no money and lost by panicking and buying gold (only to lose there too)
Fed policy effects more than just markets. You have a very, very narrow point of view.
So, it is a timing thing. So just when do you jump from stocks?
I admit I have done it too early, but now data says WS have left stockmarket and Retail are re-swooping in.
Is now the time to leave?