Mike Krieger Explains Central Planning for Dummies

Tyler Durden's picture

From Mike Krieger of KAM LP

The powers of financial capitalism had another far-reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements arrived at in frequent private meetings and conferences. The apex of the system was to be the Bank for International Settlements in Basel, Switzerland, a private bank owned and controlled by the world's central banks which were themselves private corporations.

Each central bank... sought to dominate its government by its ability to control Treasury loans, to manipulate foreign exchanges, to influence the level of economic activity in the country, and to influence cooperative politicians by subsequent economic rewards in the business world.
- Carroll Quigley (Bill Clinton’s mentor at Georgetown) from his 1964 book Tragedy and Hope

Crime Once Exposed Has no Refuge but in Audacity.
- Tacitus

Central Planning for Dummies: There Will Be QE

For several years now I have been sounding the alarm that if you want to be engaged in the financial markets you need to assume that markets are being managed (rigged) more aggressively than at any moment in any of our lives.  The Bernank and others on Wall Street and the District of Criminals understand that the situation is pretty much hopeless.  Ever since 2008 they have had one strategy.  From a monetary and fiscal standpoint, that strategy has been to pump massive amounts of liquidity into the system while at the same time borrow enormous amounts of money.  The thinking was that this would stabilize the situation, create confidence and thus ultimately a dynamic sustainable recovery.  They certainly bought a few years with this plan but confidence has not returned, nor has there been any sustainable recovery.  What we need to understand at the moment is that The Bernank and all of his fellow Keynesian Central Planning magicians know that they have failed.  This is why he is running around on college campuses presenting his sad and intellectually dishonest presentation of propaganda that even a six year old could refute.  In fact several people have done just that.  Here is one good article on it.  http://www.zerohedge.com/news/guest-post-open-letter-ben-bernanke.  Moreover, Jim Grant recently gave an incredible speech at the belly of the beast itself -The New York Federal Reserve –where he completely undresses the Fed right to their face.  You must read this one.  http://www.zerohedge.com/news/must-read-jim-grant-crucifies-fed-explains-why-gold-standard-best-option

So what we need to understand is that we are in one of the most dangerous phases of this crisis at the moment.  The priests of fiat are being attacked from all sides.  People have awoken to the Fed and how criminal and deceitful this organization is and the existential threat it poses to economic freedom and hence human liberty.  The arguments against the Fed are blistering and the only rebuttal the Fed has is to spout the same old nonsense like “we saved the world” or some trite derivative of this fallacy.  The only thing they saved are untalented speculators from their bad bets.  What the Fed has systematically done is literally transfer all of the bad debts and bets from the banks to the taxpayer.  We are living this reality to this day.  This fact is becoming increasingly understood throughout society, hence the emergence of the tea party and then last year’s Occupy Wall Street movement.  So the thing I want my readers to really internalize is that the Fed and indeed TPTB generally are getting slaughtered in the intellectual arena and they know it.  As a result, they feel cornered and will thus act increasingly aggressive to prove they are right and everyone else is wrong. 

As I have said many, many times before, The Bernank needs to create more money and he knows it.  He is irate beyond belief that his academic theories have not worked.  He is furious that he can’t make the housing market come back to life.  He is having a temper tantrum that people actually have the nerve to link printing trillions of dollars to the rise in commodity prices.  He wants to launch QE3 this quarter but he feels like public opinion is against him (he’s right) and Obama is having his own little panic attack about gasoline prices and the election.  So what’s a Central Planner to do?  Well, exactly what they have been doing as of late.  Lie.
The release of Tuesday’s Fed minutes was unlike any I have witnessed before.  The Fed minutes are usually interesting to read through and every now and again have some very useful nuggets in them.  That said, I have never seen them used as a way to make a statement and impact markets as was the case with the latest release.  As soon as it came out there was the red Bloomberg headline “FOMC Saw No Need to Ease Anew Unless Growth Slows, Minutes Show.”  After this came out the markets sold off but in particular gold was raided aggressively.  I had noticed the weakness in mining shares in the morning (which is almost always a signal a raid is coming) and I mentioned this to a few friends.  There is no way in a free market I could have foreseen this raid so easily.  The reason I could see it ahead of time is because this was a very well orchestrated attack on an asset TPTB are desperately afraid of.  Gold to Central Bankers is like Sunlight to Vampires. 

What I found most interesting is that several people seemed confused.  I read statements like “ I don’t know why the markets reacted this way, they said nothing new!”  The markets reacted the way they did because that was what the Central Planners wanted.  I mean who “reacted” that way to the minutes?  A few PPT machines? There is no volume in the markets, retail is dumping stocks week after week and prices are being set at the margin by manipulators in a futile attempt to bolster confidence (hasn’t worked in four years so they are doubling down on the strategy of course!)  Despite the nonsense they say about not needing to do QE3 because the economy is better, the exact opposite is true and they know it.  They also know the minute they announce anything gold, silver, oil and other commodities will surge to the stratosphere.  That said, the goal is to try anything they can to get oil and precious metals as depressed as possible ahead of the announcement.  That is what the Fed minutes announcement operation was all about.  While they have knocked precious metals down, oil is proving to be a much harder nut to crack.  This is very interesting because it appears that these clowns have gotten as much mileage as they can out of the “we don’t need more stimulus” lie.  What will they come up with next?  I don’t know but I do know that the Federal Reserve and TPTB understand they are fighting for their lives and their survival.  They will pull out any and every trick in the book before they die.  The more cornered they have become they more aggressively they have acted.  Watching the most powerful people on the planet fight their inevitable demise has been and will continue to be fascinating and frustrating.  They will fight and fight.  They will rig and rig.  They will lie and lie.  Until one day the whole thing will end seemingly overnight.  They will vanish into history, disgraced and remembered for time immemorial as some of the biggest fools in world history.

Dave Janda Interview       

Recently I recorded another radio interview with Dr. Dave Janda out of Michigan.  Dave is one of the most tireless freedom fighters I have ever encountered.  He has been doing it all of his adult life and I am very proud to be in the trenches with him during the most important battle of any of our lives.  You can hear my interview here.  http://www.davejanda.com/audio/MichaelKreiger032512.mp3  Please take a listen.

Belligerent Act.Org

A friend of mine recently created this website to help protest the NDAA and get the word out http://belligerentact.org/.  Not only is it a good summary of how TPTB are attempting to put a police state in place ahead of the increased rebellion they know is coming once a critical mass of the citizenry get a handle on just how badly they have been systematically looted by the crony capitalist mafia, but it also allows you to put a “Belligerent Act” banner at the top of your website as a sign of support and means of getting the word out.

Owe The IRS?  Bill Would Suspend Passport Rights For Delinquent Taxpayers  

I want to end with a very short but very telling article regarding the potential loss of travel privledges at the hands of the IRS.  Here are some key quotes:

A bill authored by a Southland lawmaker that could potentially allow the federal government to prevent any Americans who owe back taxes from traveling outside the U.S. is one step closer to becoming law. Senate Bill 1813 was introduced back in November by Senator Barbara Boxer (D-Los Angeles) to “reauthorize Federal-aid highway and highway safety construction programs, and for other purposes”.

However, there does not appear to be any specific language requiring a taxpayer to be charged with tax evasion or any other crime in order to have their passport revoked or limited — only that a notice of lien or levy has been filed by the IRS.


Hmmmm, interesting isn’t it.  You don’t need to be charged!  All that needs to happen is a notice filed.  Just like the NDAA allows the government to imprison you without a trial.  Just like the recent executive order Obama signed that allows him to take over the entire economy in any “emergency” whether in peacetime or war.  The bottom line is this.  This sort of legislation doesn’t happen ahead of an economic recovery.  It happens ahead of a collapse.  Welcome to the recovery! 

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BrokeDayTrader's picture

I'm conviced the Fed is buying Apple, Starbucks, Lululemon, Chipotle every day as if the life and death of our financial system was dependent upon these 5 stocks making new highs every day for the rest of 2012.

Where is Kreiger's explanation for that?

Somebody better give me a freaking answer otherwise I'm going to freaking lose it all and may end up filing bankruptcy this year.

Pladizow's picture

"It is dangerous to be right when the government is wrong" - Voltaire

Manthong's picture

"They will pull out any and every trick in the book before they die"

It you were impressed by the trained seals, whales and dolphins at Sea World, wait till you see the Seals, carriers and minesweepers in Persia.

And come to think of it, there may be dolphins at that stunt show, too.


NotApplicable's picture

"What the Fed has systematically done is literally transfer all of the bad debts and bets from the banks to the taxpayer.  We are living this reality to this day."

This statement can never be repeated enough (although it should say "dollar holder" rather than "taxpayer"). It needs to be inserted into EVERY conversation until it is understood by all.

BW's picture

All the bank loses are being transferred to the dollar.  That's why the market is going up, because the dollar is crashing.  The more bank loses the higher the stock market, nominally. 

Mr Lennon Hendrix's picture

Buy Silver - Crash Blythe Masters' Empire of Lies

DeadFinks's picture

The dollar is a bad debt.

Caviar Emptor's picture

I will buy Lululemmin with half of my pay check every month for the rest of my life! 

macholatte's picture

Being depressed will limit your ability to think clearly.

Here we have a man who shot himself instead of a political leader or banker or stock broker or union official or anybody even remotely connected with the source of his dilema.




Violent protests erupt in Athens over debt suicide



Gun Control means Using Both Hands




SAT 800's picture

A person who is "depressed"; never learned to think clearly in the first place. There is no subsititute for studying plane geometry when  you're 13 and understanding the relationship between the axioms and the proofs. None. Nlo-one alive today knows how to think; this is basically true.

SAT 800's picture

Yes, this simplification expresses the reality of the situation. I usually try to elucidate it for the people, by saying that the bondholding class are being made whole at the expense of the taxpaying class. Class warfare is alive and well; and they are winning.

Straying from the flock's picture

A fitting quote.  The end of the paper ponzi scheme is in sight.  The smoke from the printers and servers are causing a comotion above the Federal Reserve.  Something must be done to draw attention from all of the printing.  Que the teleprompter reading idiot.

Come and read what I told my friends I am doing to prepare my family for the coming storm:


resurger's picture

a nice fucking statement ...


Max Fischer's picture



Please watch your language.  Not everyone here is a barnyard libertarian.

Max Fischer, Civis Mundi

vast-dom's picture

Return back to your facile shit flick. That lowgrade comedy ain't cutesy in Tyler's house.

TheFourthStooge-ing's picture

Max Fischer, fuck your face in the ass.


vast-dom's picture

Nice one.

This article and all policies cited are essential inversion and subversion of "innocent until proven quilty."

These laws are wholly illegal.

These laws cannot be laws if one was to reference US constitution.

Shame not on the prez, bernank and elected reps, but shame on the people all of these criminals allegedly serve more at enslave. We deserve what we get at this stage of the game.

El Oregonian's picture

"Intellectuals solve problems; geniuses prevent them" -Albert Einstein

SAT 800's picture

This is a false quotation. It is enough to do your homework, and to understand basic logic and think clearly; genius is not necessary; although speaking for myself, as I am a genius, I must suppose it is useful.

duo's picture

Did JCP get a pop from laying off 600 at HQ today?

gjp's picture

It's fucking insane, really.  Don't forget Whole Foods and Home Depot too.  Because we will all be saved by overpriced stocks catering to Americans' self-indulgence.

I think I need to buy a gun's picture

Doesn't your local gas price go up everyday too? Well when you debotch the currency of course stocks go up....Stock aren't overpriced the currency buys less and less everyday of REAL things paper can go up nominally and the fix is in on gold and silver right now so actually they have us bent over unless of course you have bought barrels of oil and have a refinery in the back yard then you are AHEAD!!!!!!!!!!!!!!!

SAT 800's picture

In Zimbabwe the stock market evaluations went up something like 33,000%; but this was of now use to the people stuck in Zimbabwe Dollars. Live and learn. Or, don't.

MFL8240's picture

They would have to be because no person of sound mind would buy the stock of a computer maker for $600 a share.

DormRoom's picture

"the markets can stay irrational longer than you can stay solvent" --Keynes.


remember, the NASDAQ bubble.  Your analysis is right, but the timing is off. bubbles popping are hard to time.  Ask Alan Greenspan.


Even GRPN with its failed business model still isn't a 0.  And LinkedIn with a P/E of 800? Nothing pisses me off more than the web 2.0 bubble not popping. Its existence is an affront to the rational mind.

Rainman's picture

" Crime once exposed has no refuge but audacity "...Tacitus

Brilliant and cunning....handed down through generations

SAT 800's picture

The rational mind; as mine has, would already have taken profits on this foolishness, and would not be further concerned with it. Timing, Timing, and Timing; the only three things that matter.

resurger's picture

"But if you like technology, why dont you buy AAPL" Dr. Paul Krugman

devilsindetails's picture

Silver 500, bitchezzzz. $ilver 500... :: snorrrrtttt :::

SAT 800's picture

You have never in your life met a silver bull llike me; in 2000 I put all my investable capital in Silver Bullion. Only to see a two year bottom that resulted in Silver selling for the same price it had in 2000; in 20001. No matter. I perservered. Of course, I sold everthything; the various metric tonnes, at $46/once; since, this was easy to project as an equilibirum price. At the present moment; no-one knows whether silver will sell for $50plus; or 20$; no one. Including me. It depends, not on statistics, and certainly not on your false and laughable theory of manipulation, on public opionion. Which way the hive mind will go is anyone's guess. Do not imagine tht you know the answer; because you do not.

SAT 800's picture

The only way you can lose anything; much less, everything; in any major equity market, is to fail to fave a stop loss order. This is your personnal failure. It is not realted to any government, or private, manipulations. the failure to understand this, is the equivallent of a six year old trying to ride their tri-cycle across the interstate, without harm. It isn't likely. Wake up and learn about speculating in major equity markets; it can be fun; I've made over 70% net this calendar year and am now out of the market; I will spend the rest of the year playing golf and fishing. There's no use making more money for the Washinton Idiots to flush down a black hole. Do your homework.

SAT 800's picture

They are not. This is an illusion caused by your desperate need to avoid the simple fact that you were, and are, wrong. Learning to be wrong and cutting off your losses is the beginning of success. Making up fairy-tales to justify your losses is the beginning of poverty.

Gully Foyle's picture

Sorry to change the subject for a bit.

I just read this


Russia working on electromagnetic radiation guns

This paragraph stands out

"Mr Serdyukov said the weaponry based on new physics principles - direct-energy weapons, geophysical weapons, wave-energy weapons, genetic weapons and psychotronic weapons - were part of the state arms procurement program for 2011-2020."

Are the Russians claiming they tested geophysical weapons? The kind that cause earthquakes? The kind like HAARP?


Any big brains want to offer up an opinion?

Thank you.

Now back to your regularly scheduled topic.



SheepDog-One's picture

The way I heard this 'gun' works is it turns you into a fuktard, basically a lobotomy gun for anyone daring to get uppity with the slavemaster overlords.

idea_hamster's picture

turns you into a fuktard, basically a lobotomy gun

Good to know there's no risk to our government employees in the event of friendly fire....

NotApplicable's picture

Think of the money it will save not having to put "point other direction" stickers on them!

azzhatter's picture

wonder what it does if you're already a fuktard

cossack55's picture

So.......your saying the Russkies have been testing it on the US Capital Building for the last 50 years?

lakecity55's picture

...so that's how Zero got elected!

rosiescenario's picture

.....so if it were used on our elected officials, nothing would happen?

The Navigator's picture

Then it's already been used because 99% of the sheeple have been fucktarded.

john39's picture

the U.S. government has developed every type of weapon imaginable, why shouldn't the Russians.  The U.S. government has been caught testing biological and radiological weapons on its own citizens.  If I were you, I wouldn't sweat what the Russians doing, its bush league compared with satan's bulldog.

NotApplicable's picture

It's likely the same weapons developers.

UP Forester's picture

Yeah, DARPA.  They just e-mail the instructions over to Moscow.

No need to bring the actual paperwork like Clinton and W with the NKs and Chinese, or letting the Israelis walk out of Los Alamos with 20 kg of plutonium....

blu's picture

weaponry based on new physics principles

I don't know exactly what that means, but as a practical matter there can be no new physics. Newton, Einstein and a few equations from QM pretty well have it covered. Anything claims to operate outside that is fiction. I write fiction, so I know the area pretty well.

StychoKiller's picture

You so smart, how many tachyons make one gravioli?

OldPhart's picture

Stop with the trick question!

Everyone knows you pour gravioli over the tachyons to make the taste better.