Steinhardt On The Fed's Failure And The End Of Wall Street As We Know It

Tyler Durden's picture

The low interest rate 'logic' is not working and "the economy can't gain any zest, can't gain any vigor" is how Michael Steinhardt describes the crushing of 'widows and orphans' that the Fed has embarked upon. In a Bloomberg TV interview, the WisdomTree chairman notes the broad 'pall' over the equity markets (conjuring images of a funereal procession down Trinity Street) pointing out that there is no reason to be wildly bullish here. Citing Wall Street's lack of 'spirit', he questions the entire raison d'etre of efficient capital transfer as becoming secondary as he rather poignantly asks who has benefited from Fed's policies "Certainly the banks. But ordinarily you'd say, well, low interest rates benefit housing. It certainly hasn't benefited housing." Reflecting on his performance as a hedge fund manager he concludes that extraordinary performance is sadly not necessary anymore as the money flowing into hedge funds means people do exceptionally well for themselves despite diminished performance. While finding equities broadly unappealing, and suggesting talk of QE3 should cease, he notes there are pockets he would invest in but ends by noting that "Bonds are no place to be".

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Mr Lennon Hendrix's picture

The Fed is doomed between a rock and a hard place, bitchez!

They have to wait for stocks to fall, to create a panic so that the Muppets think they need QE to liquidate finance, yet if stocks fall, it shows that the intervention really only has a half life and recovery is not sustainable, because artificial liquidity does not equal growth.

Henry Chinaski's picture

Time to go to Plan B.

Wait, there is no Plan B.

john39's picture

sure there is.  the collapse has been engineered from the beginning.  it is plan A.  they are sitting on the next stage until the time is right...   digital fiat, maybe a regional or world currency, with supranational central banks...  they want to take the ponzi to a level where it can never be stopped.

trembo slice's picture

So there's still no plan B...

john39's picture

technically, no...  they are sticking with plan A...  there is no turning back.

Mr Lennon Hendrix's picture

I like that you are thinking like the enemy, problem is, the enemy are a bunch of idiots.  No one wants fiat anyore; it has no intrinsic value - money is suppossed to be an asset, but fiat loses value steadily over time due to inflation, making it a liability.  No one wants fiat and fiat has no value; these two facts combine to mean that fiat stands no chance at holding the system together.  The Fiat Ponzi will fail, and the freams of the NWO with it.

e2thex's picture

All that's missing is his declaration: "I'm a 'umble man, I am."

Turning the clock back two decdaes, his trading desk eat "orphans and widows" alive.

TruthInSunshine's picture

The successor to the Non-Federal Reserve-less Non-Bank has already been crafted, and has been kept in the wings, ready to be wheeled out when the time is right (i.e. soon).

It will have a very patriotic sounding name, like The American National Monetary & Financial Policy Oversight Board, or something similar, and it will be marketed as an entity whose mission is to ensure zee price stability, prevent taxpayer losses & pursue the best interests of the American Citizenry as a whole, while doing the exact same things for the exact same global bosses that control things now.

Widowmaker's picture

Don't forget a triple-mandate of some sort that is dripping with conflicts of interest or false dichotomy.

These fucks have to be able to "not see it coming" whenever they want as a requirement.

AldousHuxley's picture

At least Bernanke is not a crazy Mofo like Steinhardt.


Take Back Zionism (WTF?) Launch Party

Michael Steinhardt Co-founder, Taglit-Birthright Israel and Chair to Birthright Israel Alumni Community speaks to Birthright Israel alumni at Take Back Zionism Launch Party.

During his speech he offers a free honeymoon to anyone who meets at the event and plans to marry within the year. Catch is you must be Jewish to go on that trip and to be qualified.


Sounds more like racial supremacist cult leader attempting a mass wedding.

Gives Mormon, INC. Romney a run for his cult offering.

Element's picture



"It is unacceptable to hold the aspirations of an entire people hostage to the greed and paranoia of bankrupt regimes."


- President Obama, in India, Nov 8 2010.


Before you get too perplexed, he wasn't referring to Israel or USSA, but to Burma.

boogerbently's picture

Increase rates, anyone buying a house because of "rates" has done so. Advanced notice of rate change will inspire a round of home buying.

Increased rates will help "savers". Most savers afraid of stock market anyway, higher rates better for banks.....we'll need to give/print them less.

AldousHuxley's picture

too bad bad borrowers and bad lenders just got another bailout as part of foreclosure settlement....


Bank of america home owners will get an average of $100,000k tax free debt reduction!!!


ChrisFromMorningside's picture

IMF SDR's for sovereigns / public financing.

Digital fiat for the serfs. No more paper, just plastic cards.

Tobin Tax paid to IMF/World Bank.

Global "carbon taxes" paid to Rothschilds/Al Gore/JP Morgan, etc on a per capita basis.

Bombs and CIA dungeons for those rebels who keep physical gold/silver or for those countries who resist the new globalist hegemony (i.e. Russia, "rogue states" like DPRK, states that accept gold like Iran/Libya, etc).

^That is their Plan A. 

Plan B? World War III stretching from central Africa through northern Africa into the Mideast and up through Iran into Central Asia. Proxy forces funded by U.S./U.K./Israel on one side versus Russia, Iran, aforementioned states that resists hegemony and MAYBE China (depending on how the political situation their develops).

Plan C? Detonate nukes in false flag terror attacks in the U.S. and Europe. Globalists retreat into bunkers while the rest of the world chokes to death on fallout. 

Pick your poison.


AldousHuxley's picture

Typical American Jewish Zionist hack...made money ole Jewish way of donating $100+M to ONLY Jews.

Widows needing to earn money on dividens is bullshit. Odlies at least have pensions.  

He hates American youth because they are not Jewish enough or not Jewish at all.

He wants young American families unemployed so that his can make more money shifting money around.


Michael Steinhardt Co-founder, Taglit-Birthright Israel and Chair to Birthright Israel Alumni Community speaks to Birthright Israel alumni at Take Back Zionism Launch Party.




Free trip to Israel if you are a Jew. If you are goyim American, he says fuck you you don't even deserve a job.

Capitalist87's picture

Mad anti-semetic goyim on the loose!!

AldousHuxley's picture

"Of course, it is impossible to prove that you are not an anti-semite"


"So many people are suffering, and you want me to get excited about some idiot painting a swastika somewhere?" - professor whose parents died in holocaust


Zionist Jews living in America = hypocrites who love MONEY over Israel and America


Go see this BANNED movie:


Chessmaster Bobby Fisher (Jewish himself) on Zionazis:


Sucks for good innocent Jews for bankster shylock types have built up huge backlash in the minds of the world.

Admit the error of Zionist ways.



whstlblwr's picture

You must be a zionist because this kind of racist discrimination is exactly why zionists justify their nationalism.

AldousHuxley's picture

what are you talking about?

Judaism is a religion, but there are black jews too. Zionists love claiming anyone powerful successful as "Jewish".

TRUE zionists are living in Israel. The real nationalists don't live in a foreign country like US.


As the zionist grandma says, "what are the american zionists doing in America? waiting for Hitler to kill them?"


Zionazi = American Jewish Zionists who falsely accuse anti-semitism on those who real the truth about their dirty secrets.





ChrisFromMorningside's picture

The Jewish people are being used by the financiers of the West. Look at the Israeli populace. Last September there were 400,000+ person protests in Israel demanding social justice and, essentially, inflation control (in the protestors own words, an end to increasingly high prices, especially for housing). This despite the fact that the U.S. pours BILLIONS of dollars into the Israeli economy on an annual basis (keep in mind that Israel is a country of less than 8 million)

Western financiers built the first parasitical city-states in medieval coastal Italy. Then they moved on and created the parasitical city-state-within-a-state of the City of London. They used the City to transform Britain from the home of the Magna Carta, personal liberty and the scientific Enlightenment into a global parasitical empire that amassed enormous wealth by becoming a global tax authority, looting the Third World and imposing mercantilist limits on free overseas trade. Then they built Wall Street and transformed the U.S. in the same fashion. The U.S. was once one of the most "minarchist" nations on the planet, with strong protections for free enterprise and personal liberty, and a violent hatred of aristocracy and bureaucracy. In Wall Street's America, the rights of the domestic population are secondary (if not tertiary or worse). Domestic law in general is an afterthought. The federal government is now a shell corporation being used by a rotating cast of financiers to plunder the rest of the world. 

Israel is a 20th century project in the same fashion. It was built by the same financier elites and their sponsors, the aristocratic families of Europe. Israel was built to be a giant military base (think Airstrip One). It exists so they can stake their claim to the petro-resources of the Mideast/Western Asia/Central Asia. It is a Forward Operating Base for Wall Street/the City of London. Once again, the interests of the domestic populace are an afterthought. Israel's ability to secure Wall St/CoL access to the region's resources is the primary purpose, which is why most of the billions in "aid" go into the military-industrial complex while the domestic Jewish population suffers.

LasVegasDave's picture

Steinhardt is 100X the man that you are, loser.

All you got is Jew hatred.

What a pathetic piece of shit.



AldousHuxley's picture

why not hate the zionazis like Steinhardt who ONLY support zionists and is spending millions on brainwashing Jewish kids to become the next Hitler youth.


calling me a loser make you insecure and immature.


All you got is "anti-semitism", "Jew hate".....


Do you know why bankster wannbe elite Jews practice apartheid and brainwash other Jews into false zionism?

because they are so jealous of Arab's lucky oil wealth that's worth more than all of Bernanke paper bucks combined....



LasVegasDave's picture

why not respect a fellow human being for making a lawful success out of himself?

oh yeah, because he's a Jew.

All you got is hate and jealousy


AldousHuxley's picture

Your fellow human being Hitler was wildly successful in Germany.

Can Jews respect that?


That's where Jews don't understand. Money alone won't get you respect. but time and time again, Jews only go for money, then use money for power, they abuse it, then act like victims when masses uprise. When masses uprise, then people like you and I get the suffering because elites run away to another country.


All jews got is money and everyone learns sooner or later, you don't become super rich without skirting the law.


Mr Lennon Hendrix's picture

What's with them Jews Lehman and Bear getting thrown under the bus?

AldousHuxley's picture

Harvard MBA JD Jews don't like the lower status NYU or Duke Jews....

nmewn's picture

So they have no allegiance to lower class Jooos? Man you've really thought this one 

AldousHuxley's picture

do you think top 0.1% zionazis give a shit about 99% of jews?

You mean Rothschilds who sent their kids abroad to expand their banking empire cares about other Jews' kids? These are sickos who lie, cheat, sell out their own kind for one thing They are USING zionism as a racist cause.


sounds like you haven't thought much at all.


Young Jews are waking up: Occupy Birthright Israel....Jewish 99% themselves are calling these programs racist after their experience. They are brainwashed into thinking how everyone else hates Jews so it is ok to hate, cheat, kill non-Jews.


but of course, zionazis can't use "anti-semitism" against their own young Jews, so they came up with "self-hating Jews" who are opposed to zionism.

But what about Israel herself? you can't call anti-zionist on Jews who are actually living in Israel....well 300,000 Israelis realized what zionism, banksterism, nationalism, and all that is about..... it is about making top 0.1% richer on the suffering of everyone else.



nmewn's picture



What its like to go completely insane.

AldousHuxley's picture



do you think Dr. Norman Finkelstein sanity amongst the brainwashed masses?


as the son of Holocaust survivors, felt about Israel’s operation in Gaza, Finkelstein stated:

I think Israel, as a number of commentators pointed out, is becoming an insane state. And we have to be honest about that. While the rest of the world wants peace, Europe wants peace, the US wants peace, but this state wants war, war and war. In the first week of the massacres, there were reports in the Israeli press that Israel did not want to put all its ground forces in Gaza because it was preparing attacks on Iran. Then there were reports it was planning attacks on Lebanon. It is a lunatic state.

nmewn's picture

"...there were reports in the Israeli press that Israel did not want to put all its ground forces in Gaza because it was preparing attacks on Iran."

lol...(because I have nothing better to do) whats your estimate of the "march of their ground forces" to get to Iran? You thinkin (like Finklestein apparently) Jordan or Syria or Iraq or Turkey or Saudi Arabia would just let them cruise right on through?

Way to divert the thread though.


FreeSlave's picture


Michael Steinhardt is ZIONIST Jew

Here is a link for those NON believers:

Michael H. Steinhardt (born December 7, 1940) is an American investor and philanthropist active in Jewish causes.

At the end of the page he is listed as Zionist. He was, and is part of our problems.

Sam Clemons's picture

Yes, I see George Soros, one of the big advocators of worldwide governance and fiat is starting to ridicule those that point out its errs.  These morons are losing on their life long goal.  Must suck to have all the fiat in the world and still fail at what they wanted to do more than anything.

AldousHuxley's picture

Soros isn't trying to force American Jews to marry each other after brainwashing in Israel like this cult leader.


Take Back Zionism (WTF?) Launch Party

Michael Steinhardt Co-founder, Taglit-Birthright Israel and Chair to Birthright Israel Alumni Community speaks to Birthright Israel alumni at Take Back Zionism Launch Party.

During his speech he offers a free honeymoon to anyone who meets at the event and plans to marry within the year. Catch is you must be Jewish to go on that trip and to be qualified.


Sounds more like racial supremacist cult leader attempting a mass wedding.


But the WASP version of this is Mormon, Inc.

tmosley's picture

Plan B is is Plan A, except that this time will B different.

max2205's picture

Funny. 3 weeks ago it was all go go go

Now it's bail bail bail


AldousHuxley's picture

$26,000,000,000 forclosure settlement (aka. another bankster bailout) got the green light this week.


Pladizow's picture

Thanks for nothing Grandpa!

TWSceptic's picture

Yes and according to Barroso anyone who dares to talk about plan B wants plan A to fail. 

Incubus's picture

us americans don't do plan B.



FreeSlave's picture

How do you like a 1% TAX on every banking transaction (Check or Direct Deposit) starting January 1, 2013…?

H.R. 4646



1% chg. on SS checks starting Jan 1, 2013 (see HR4646)


I am sending this to all my contacts that I am pretty sure are drawing a  government retirement, or social security retirement…

please read and inform your congressman you  DO NOT want  this to pass…


For those receiving Social Security benefits or soon will be:






Subject: HR 4646

Be sure to read entire explanation

Watch for this AFTER November elections; remember this BEFORE you VOTE, in case you think Obama is looking out for your best interest.

A 1% tax on all bank transactions is what HR 4646 calls for.

Do you receive a paycheck, or a retirement check from Social Security or a pension fund and have it direct deposit??

Well guess what ... It  looks as if government wants to tax it 1% !!!

This bill was put forth by Rep. Chaka Fattah (D-PA).

YES, that is 1% tax on all bank transactions - HR 4646, every time it goes in and every time money goes out.

Ask your congressperson to vote NO.



1% tax on all bank transactions ~ HR 4646 - ANOTHER NEW OBAMA TAX SLIPPED IN WHILE WE WERE ASLEEP. Checked this on snopes, it's true! Check it out yourself ~ HR 4646.

President Obama's finance team is recommending a one percent (1%) transaction fee (TAX). Obama's plan is to sneak it in after the November elections to keep it under the radar.

This is a 1% tax on all transactions at any financial institution - banks, credit unions, savings and loans, etc. Any deposit you make, or even a transfer within your own bank from one account to another, will have a 1% tax  charged.

If your paycheck or your Social Security or whatever is direct deposit, it will get a 1% tax charged for the transaction.

If your paycheck is $1000, then you will pay Obama $10 just for the privilege of depositing your paycheck in your bank. Even if you hand carry your paycheck or any check in to your bank for a deposit, 1% tax will be charged.

You receive a $5,000 stock dividend from your broker, Obama takes $50 just to allow you to deposit that check in the bank.

If you take $1,000 cash to deposit at your bank, 1% tax will be charged.

Mind you, this is from the man who promised that, if you make under $250,000 per year, you will not see one penny of new tax.

Keep your eyes and ears open, you will be amazed at what you learn about this guy's under-the-table moves to increase the number of ways you are taxed.

Oh, and by  the way, if you receive a refund from the IRS next year and you have it direct deposited or you walk in to deposit that check, you guessed it. You will pay a 1% charge of that money just for putting it in your bank.

Remember, any money, cash, check or whatever, no matter where it came from, you will pay a 1% fee if you put it in the bank.

Some will say, oh well, it's just 1%. Are you kidding me? It's a 1% tax increase across the board. Remember, once the tax is there, they can also raise it at will. And if anyone protests, they will just say, "Oh, that's not really a tax, it's a user fee"!

Think this is no big deal? Go back and look at the transactions you made from last year's banking statements. Then add the total of all those transactions and deduct 1%. Still think it's no big deal?

Silver Dreamer's picture

Although I agree that it is, what will replace it will be far worse.  The cartel of bankers isn't going anyway.  It may change its appearance, but the control it wields will continue to grow.

Ima anal sphincter's picture

Au contraire, "if" the people finally have the gonads to stop this, the nightmare will end. The groundswell of folks finally understanding the BIG picture is growing. If these fucks keep pushing....the spring-back will be hell.

cranky-old-geezer's picture



If these fucks keep pushing....the spring-back will be hell.

Nope, don't think so.

Those "fucks" have been looting the American people for 100 years now, no one has done anything to stop it, and there's no evidence anyone will do anything to stop it.

Most Americans feel powerless to change what the federal government is doing, and they're right. 

The ONLY thing that would change the federal govt now is a military coup.  Military seizing control of the govt, putting all the top people in military prison, dissolving the federal govt (to terminate all the treaties, laws, and contracts), then starting a new govt. 

There's NO WAY the civilian population can do that.

Dr. Engali's picture

The fed is doomed. question is they make it to their charter ends? It's funny that their charter ends about the same time the dollar has been devalued 100%.

TruthInSunshine's picture

There is no 'charter end.'

The Federal Reserve Act of 1913 was amended to state that the Federal Reserve will be dissolved only by an affirmative act of Congress. All references to a time-limited lifespan were repealed.


To have succession after February 25, 1927, until dissolved by Act of Congress or until forfeiture of franchise for violation of law.


12 USC 341 - Sec. 341. General enumeration of powers - U.S. Code - Title 12: Banks and Banking
Kali's picture

forfeiture of franchise for violation of law

Thou shalt not debase the currency under penalty of death.  Hasn't the Fed already broke laws, numerous times?

Troll Magnet's picture

no, because laws are for poor saps like you and me.  the fed and their buddies are all above the law.  they're doing god's work, you know...