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Presenting The Exchange Stabilization Fund In 5 Parts: Is This The Real "Plunge Protection Team"?

Tyler Durden's picture


When it comes to the fabled President's Working Group on Capital Markets, also known as the Plunge Protection Team, the myths about the subject are certainly far greater than any underlying reality. To be sure, vast amounts of popular folkflore has been expounded into the public arena, with most of it being shot down simply due to it assuming conspiracy theories of such vast scale that the human mind is unable to grasp the complexity, and ultimately the inverse Gordian Knot makes an appearance with the claim that vast conspiracies are largely untenable simply because it is impossible to keep a secret from so many people for so long. Yet what if the secret is not a secret at all but is fully out in the open, and is only a matter of interpretation, and contextualizing? Why just 3 years ago it would appear preposterous to allege the capital markets are a ponzi and that the Fed does everything in its power to keep stocks higher. Well, what a difference three years make: now the Chairman himself in a Washington Post OpEd has admitted that the sole gauge of Fed success is the loftiness of the Russell 2000, neither unemployment nor inflation really matter now that the Fed's third mandate has been fully whipped out. Furthermore, Keynesian economics, and the entire top echelon of the educational system have also been accurately represented as a paradigm which merely perpetuates the status quo as the alternative is the realization that the whole system is a house of cards. As for the global capital markets being nothing short of a ponzi, we merely point you to the general direction of Europe, the ECB and the continent's banks, where the monetary interplay is nothing short of the world's biggest pyramid scheme. Yet the PPT, or whatever it is informally called, does not exist? Consider further that only recently did it become known that the former SecTres Hank Paulson himself was exposed as presenting material non-public information to a bevy of Goldman arb desk diaspora hedge funds, headed by with none other than the head of the President's Working Group on Capital Markets Asset Managers committee David Mindich. So, if contrary to all the evidence that there is some vast underlying pattern, if not a conspiracy per se, one were to take the leap of faith and take the next step, where would one end up? Well, most likely looking at the Exchange Stabilization Fund, or ESF, which Eric deCarbonnel has spent so much time trying to unmask. Is it possible that the ESF, located conveniently at the nexus between US monetary policy, foreign policy and last but not least, a promoter of the interests of the US military-industrial complex, is precisely the  organization that so many have been trying to expose for years? Watch and decide for yourself.

As a reminder deCarbonnel is not some tinfoil hat clad sub-basement dweller - it was his input that led us to the realization that in attempting to control the Treasury curve, the Fed will, and already has, experiment with selling puts on various Treasury maturities in an attempt to generate reflexivity whereby the synthetic determines the value of the underlying (something ETFs are now doing so very well), the value naturally always being higher, higher, higher irrelevant of what underlying demand there is (and as we showed last week, with a record amount of international outflows in the past month, the demand, at least from abroad, is just not there). So what does Eric assert?

Quite a bit as it turns out.

After months of work, the video series on the Treasury's Exchange Stabilization Fund is finally finished!


Why you should watch these five videos:


It is impossible to understand the world today without knowing what the ESF is and what it has been doing. Officially in charge of defending the dollar, the ESF is the government agency which controls the New York Fed, runs the CIA's black budget, and is the architect of the world's monetary system (IMF, World Bank, etc). ESF financing (through the OSS and then the CIA) built up the worldwide propaganda network which has so badly distorted history today (including erasing awareness of its existence from popular consciousness). It has been directly involved in virtually every major US fraud/scandal since its creation in 1934: the London gold pool, the Kennedy assassinations, Iran-Contra, CIA drug trafficking, HIV, and worse...

So while nursing that New Year's Day hangover, take some time and watch this series of videos. If nothing else, even if they are merely the extended ramblings of some person that one can quickly dismiss as just the latest fringe lunatic, they do present an alterantive reality to what so many may be accustomed to. After all at the end of the day imagination, the ability to think outside the box, and to see patterns where previously there were none, is the greatest threat to the falling and declining status quo by far.

Part 1

Part 2

Part 3

Part 4

Part 5


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Sun, 01/01/2012 - 18:38 | 2025300 The Man in Room Five
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So "one of the claims presented in a 50 minute video series was incorrect, therefore I will not consider anything else mentioned"? He's simply bringing ideas to the public's attention, in a well documented manner. You're supposed to research them for yourself before reaching a conclusion, not look for a single error and dismiss everything.

Sun, 01/01/2012 - 15:00 | 2024905 GottaBKiddn
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It's about time that Eric got some of the well-deserved exposure here on the Hedge.

Sun, 01/01/2012 - 15:00 | 2024906 Kali
Kali's picture

Gold bitchez?

Sun, 01/01/2012 - 15:15 | 2024938 noman
noman's picture


Who is zerohedge 


Sun, 01/01/2012 - 15:34 | 2024976 non_anon
non_anon's picture

nah, nah, nah, told you so!

Sun, 01/01/2012 - 15:54 | 2025016 Byte Me
Byte Me's picture

"When it comes to the fabled President's Working Group on Capital Markets, also known as the Plunge Protection Team, ..."

Aww, can't we call it WOGCAM? I'm sure all would take it in good humour....

Sun, 01/01/2012 - 16:23 | 2025078 blindman
blindman's picture

for much information concerning aids and hiv here a link. warning.. controversial material. at least there isn't a conflict of financial interest. oh, i forgot, that explains everything in a deflating fiat financial war paradigm. Gary Null 2011-0210 - Rewriting The HIV-AIDS Story .


House of Numbers, Full Documentary

Sun, 01/01/2012 - 16:55 | 2025131 supermaxedout
supermaxedout's picture

The information provided seems at first sight all well researched. But what is disturbing me a bit is the way how its presentated. Why does the viewer not have the time to look a bit longer on the documents shown within the presentation.

If its true what the videos tell us, than it might be only a very short time left for the Dollar before he disappears by hyperinflation.  Simply because of the fact that less and lesser US Dollars are used in the trade outside the US. 

What impressed me also is the "wurlitzer" mentioned in the videos. This is what I can experience here in Germany on a superb level. From one day to the other one can hear, read and see on all channels or papers exactly the same news, with often the exact wording. While its often not a real hard fact news presented in the media. No its often just an "opinion" but not a proven fact.  Doesnt matter its everywhere presented as a superior wisdom and planted in the public  minds.

This video is very alarming and it might be all true.

Sun, 01/01/2012 - 17:14 | 2025162 css1971
css1971's picture

You can press pause, then look up stuff.

Got to be honest though, it seems a bit nutty to me. Sure there may be a fund, and there's even probably a fund for black ops, but the cause and effect stuff are OTT.

I mean come on. Drug money is what is keeping the USA afloat?

Sun, 01/01/2012 - 17:27 | 2025183 cherry picker
cherry picker's picture

Think about it this way, marijuana, which Clinton, Bush and Obama, all have admitted indulging in at various times in life is a lot less harmful to society than alcohol.  I don't believe that people sstoned on weed go home, beat on spouses, kill thousands every year in traffic accidents or die from scirosis of the liver.  That is not saying too much weed is good for anyone, but compared to alcohol and tobbaco it seems the least of the three evils.

Pretty common knowledge one would think, yet as a society we outlaw what is grown naturally as someone deemed it was not good for us and started the war against hemp.

Tens of thousand of people have been murdered due to this "war", yet you can find weed in any high school.

There is too much money to lose making weed legal.

They would rather prescribe Loraxipam or Ativan or other highly addictive drugs that screw up minds permanently, but that is OK because it is "legal" and approved.

Sometimes the Medical profession, pharmacies, and FDA are more dangerous than the stuff we deem illegal.


Sun, 01/01/2012 - 18:36 | 2025299 Alpha Monkey
Alpha Monkey's picture

Think about it this way.  90% of the worlds opium comes from afghanistan.  America has been occupying it since 2001.  10 years on, and 150K troops and somehow the drug problem hasn't been erradicated.  Something tells me it's not the taliban that is profiting from heroin distribution.

Sun, 01/01/2012 - 18:41 | 2025303 supermaxedout
supermaxedout's picture

You are right money is not all what is behind the drug business run by the US (CIA, ESF what do I know) . My opinion: Drug business is used to destabilze a war torn country further and to knock out a huge part of the young male population which would otherwise maybe engaged in fighting the US troops.  Alkohol doesn'nt do that but Heroin has a potential to be used as such a weapon.  Plus there exists always the possibility that additives are mixed with the H boosting the "bad" potential of the drug.    Ive never used it but I have seen several friends dying of H in my youth. What I know from my friends and I have seen,  H is the perfect drug.  The world around you can be absolute trashed by a war and there is no hope for a better life in sight and then a boy or young man tries this stuff. From one moment to the other he will be as happy and contended as a baby nurtured by the breast of his mom. He will have everything what he ever has dreamt. Not for long and he has to pay the price but he just wants to be really happy even its just for a  few minutes. He is lost from then on and under the circumstances overthere he will probabaly die soon. One enemy killed!

So drug business as a strategy fits perfect,  plus as a welcome side effect a lot of illegal money can be made. Black cash finds everywhere its use and friends, and one can never have enough of such funds when you want to win a war.

This strategy works. And the US army has a lot of experience with drug business, Golden Triangle, Columbia etc.   In Vietnam I think it backfired somehow because much of the drafted GIs were also in a mental state to need H. I know by personal experience, that in Germany drugs like H were introduced first by the GIs stationed overthere. Most of them lived as if there is no tomorrow and H was very rampant. I remember a ride in a military police car through Heidelberg while we all smoked a huge joint. Crazy times but it all stopped completely after the US ended the war in Vietnam. Within a year everything changed. 

Sun, 01/01/2012 - 19:01 | 2025326 supermaxedout
supermaxedout's picture

There is one more destructive effect. Like now in Afghanistan a lot of money is spent for the consumption of this drug. This money is pulled out of the economy harming the whole population.

Wed, 01/11/2012 - 17:02 | 2055992 supermaxedout
supermaxedout's picture

This is the missing link, It shows where the drug money goes,

Sun, 01/01/2012 - 17:45 | 2025205 Cult_of_Reason
Cult_of_Reason's picture

It is sad to see such a severe case of paranoid schizophrenia with paranoid ideations and so many "normal" (ignorant?) readers of ZH accepting these psychotic symptoms of a sick individual as "facts".

Do you people really believe that US government was supplying drugs to California and lying about AIDS in order to prop up USD?

Sun, 01/01/2012 - 18:30 | 2025287 Alpha Monkey
Alpha Monkey's picture

What would you do to support your source of power over the world?  Opium wars worked pretty well before, why not try it on your own unsuspecting masses.  After all, we all know not a single .001%'er has the greater masses in mind when making decisions, only what best serves them from one moment to the next.  That is how they became a .001%'er after all.

Sun, 01/01/2012 - 23:10 | 2025767 Cult_of_Reason
Cult_of_Reason's picture

Re: "What would you do to support your source of power over the world?"

Nothing. There is simply no other country in the world that can take this power from the US.

If you think there is such a country, please name one.

As far as "0.001%'ers", they have the entire system already rigged (designed to redistribute wealth from the population to the "0.001%'ers") to maintain their wealth and power (they do not need any lies about 9/11, AIDS, drugs, etc.)

Sun, 01/01/2012 - 18:33 | 2025294 blindman
blindman's picture

it has little to do with belief. check the facts and the numbers
and as usual, follow the money.
House of Numbers, Full Documentary

Sun, 01/01/2012 - 22:51 | 2025732 Cult_of_Reason
Cult_of_Reason's picture

The documentary is a complete B.S. (Michael Moore-like propaganda that ignores the actual well documented and proven facts but instead presents a misleading picture based on convenient and selective factoids). Simply because not all patients infected with a particular virus (HIV, hepatitis virus, influenza virus, etc.)  develop the symptoms of a  disease, it does not mean the virus does not cause the disease.

Fact: HIV (human immunodeficiency virus) causes AIDS (well established fact based on hundreds on studies).


Statements by Professor Niel Constantine and Professor Robin Weiss about the Misrepresentation of their Interviews in "House of Numbers."

"Questioning HIV diagnostics is one of the main tactics of HIV denialism."

"The talking heads in these sections of the video include an eager-to-please but inexpert woman working in a temporary testing tent in a South African mall, several legitimate scientists, and HIV denialist Liam Scheff and filmmaker Brent Leung.... The resulting mess of words creates confusion – as it was intended to."

Sun, 01/01/2012 - 23:07 | 2025761 blindman
blindman's picture

check this.
Entries in AIDS (44)
kerry mullis is very clear in this interview.
he has a nobel prize for his work in biochemistry.
read on.

Mon, 01/02/2012 - 01:26 | 2025889 Cult_of_Reason
Cult_of_Reason's picture

Mullis is a Ph.D (as most HIV denialists) in biochemistry (he is not a M.D., not a clinician, and not qualified to make a diagnosis), so his expertise is somewhat limited (Nobel Prize in chemistry means nothing).

He is not denying existence of HIV, he just demands "a definitive review without much doubt that HIV causes AIDS" -- impossible to produce proof within 10 years (it can take ~20+ years from HIV infection to AIDS, but he wants to have the "definitive" proof within 10 years). His argument is silly because there is also no "definitive" scientific review showing that HIV does not cause AIDS.

Here is one clinical study, that I randomly pulled out of hundreds as an example to illustrate association between HIV and AIDS, showing that depending on initial body response to HIV infection (acute vs. insidious), anywhere from 20-68% of HIV positive patients develop AIDS within ~5 years.

It would be interesting to see how these HIV denying PhDs would try to explain with a straight face such high percent of HIV positive patients developing AIDS, and at the same time to maintain their denial of link between HIV and AIDS (if there were no link between HIV and AIDS, as these clowns claim, then ~20-68% of global HIV negative population would also develop AIDS within ~5 years -- billions would have AIDS globally)

Mon, 01/02/2012 - 02:18 | 2026002 blindman
blindman's picture

your abstract citation neither proves nor suggest what you claim.
you say "there is no definitive" scientific review showing
that HIV does not cause AIDS."
mullis has asked for the scientific evidence that proves that
there is such a thing as HIV and has been told... there is none.
so.. how could there be proof that a thing that has not been shown
to exist can be the causative agent of a variety of diseases?
one might wonder? or perhaps one might not wonder much?
traditionally science has relied on strict proofs. no?
when fiat money is involved, not so much.
The Greatest Medical Fraud in History - The Pain, Profit and Politics of AIDS

Mon, 01/02/2012 - 02:45 | 2026019 blindman
blindman's picture

mullis is a scientist, he is not practicing an art.
practitioner or clinician.
an art that demands of its subjects adherence as if
their art were an actual science which it is not
yet it is sanctioned by law and the authority
of government (fraud).
aka , these are priest in a religion of fiat money
collection with a license to
steal and experiment with innocent and captive
human life. they believe it is all for the good
on the many and for the sake of posterity and
the future of the field of study. but ...
they refuse to adhere to the demands of science and
maintain the status of practitioners of an art,
enjoying the money that the public cannot deny in
the face of a "global pandemic". oh my, ongoing in all
fields of endeavor.

Sun, 01/01/2012 - 19:49 | 2025403 no life
no life's picture

Regardless of whether you believe everything he says or not, it would be naive to not think there is a small group that pulls the strings of society from behind the scenes, and that most of this string pulling involves financial markets across the globe.  The question that's interesting to me, is why? Would the sole motivator be financial in nature, or do they already have enough of that and are just doing it for the sinister joy of knowing that they, for the most part, have control of every person on the planet without anyone even knowing who they are? And that they can not only entertain what would normally be considered pretty moonbat concepts by members of society, but even go as far as to secretly implement those ideas on that same society irregardless from afar.. without anyone having the slightest clue what is going on.

Mon, 01/02/2012 - 22:07 | 2027477 windcatcher
windcatcher's picture

In reply to nlo life:

Why, you ask? Because there is good and evil in this world, like it or not. Good is for humanity, evil hates humanity and wants to reduce it to ashes!

Sun, 01/01/2012 - 20:52 | 2025536 Scrilla
Scrilla's picture

This is some crazy shit.

Cliff notes, anyone?

Mon, 01/02/2012 - 02:47 | 2026020 UP Forester
UP Forester's picture

The Puppetmasters pulling the strings of the ever more tyrannical US Federal Government, in order to keep control over a (ever increasingly less) docile population, foreign and domestic, do a lot of fucked-up shit to keep and increase power over an ever-expanding area of the globe and wiping out any resistance with false pretenses.

The alphabet-soup of foreign and domestic agencies used to accomplish this are ruthless, diabolical and manipulative, and the majority of the population does not know they exist, and propaganda is used to ensure it is kept that way.


In other words, it is always worse than you think, and there are more rabbit-holes deeper than the one you are following, so prepare for the worst, hope for the best, choose your fights, and keep your powder dry.

Mon, 01/02/2012 - 02:39 | 2026014 luna_man
luna_man's picture



Sounds true to me...All of it!  And if you don't believe it, oh well.

Thanks, Tyler!

Mon, 01/02/2012 - 04:59 | 2026094 AustrianEconomist
AustrianEconomist's picture

Europe and the US are going through a deleveraging period which will most likely lead to a balance sheet recession such as Japan did during the "Lost Decades". Economic theory hybridization is needed in order to implement a stable international monetary system that is not just based on leverage but on growth of real GDP, meaning the production of real goods, rather from financial gambling with derivatives.

Check out the latest from the Capital Research Institute (CRI):

Deleveraging - A Balance Sheet Recession

Mon, 01/02/2012 - 12:06 | 2026562 Jim B
Jim B's picture

Watched part of it... incoherent and linking unrelated information into conspiracies....  

Actually they have gotten away with dollar printing because confidence in the dollar hasn't cracked yet...

Mon, 01/02/2012 - 19:20 | 2027197 Below Zero
Below Zero's picture

If you hold your arms out to your side and spin around first 10 times to the right while tilting your head back and then spin around 8 times to the left with your head tilted to the right this post topic will be forever deleted from your memory and replaced with a vision of furry white bunnies that are winking at you. That way the thought police will never ever be able to detect and locate you. Be safe my friends.

Mon, 01/02/2012 - 20:45 | 2027333 billsykes
billsykes's picture

Reminds me of this;

lost me when it was not the bankers to blame- but I really don't know what to think.



Mon, 01/02/2012 - 21:53 | 2027437 windcatcher
windcatcher's picture

Good documentary with highlights on the ESF inter workings, media complaisance and the on going CIA drug trafficking/ arms operations. Oddly, the author did not mention Goldman Sachs or the other bankster cartel family members nor the Trilateral Commission, Council on Foreign Affairs or the Department of Justice anywhere in the documentary. Another chapter is needed to cover the .01 % in the treasonous criminal cartel family who have taken down America’s Democracy, sacked our national sovereignty and are heading us into fascist tyranny of the New World Order.

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