us federal reserve

Catastrophic Bond Market Collapse Approaches [w/ Video]

~ admin ~ Leave a comment

PentoGreg Hunter – Money manager Michael Pento wrote a book a few years ago warning of “The Coming Bond Market Collapse.” All the signs say this calamity is very close. Pento explains, “Global central bank balance sheets have risen from $6 trillion in 2007 to $21 trillion today. That’s the increase in the size of central bank balance sheets. . . .

I can prove to you when this bubble breaks, it’s going to be disastrous. . . . Just that they (European Central Bank-ECB) didn’t hint at expanding QE and look at what it has rendered us. That’s proof positive that everything that has happened since the 2008 collapse, that it’s just been artificial and ephemeral in nature. Once central banks even hint at pulling back from their QE programs and ZIRP and NERP go away, bonds will crash, and when those sovereign bonds crash on a global basis, it’s going to take everything else down with it concurrently.”

http://youtu.be/BhTl4f10t3g

What happens if the Fed raises interest rates, and what happens if it doesn’t? Pento contends, “If the Fed actually raises rates in this September meeting, I think what you saw last week and what you are experiencing this week is just the warm-up act. You are going to have a wipeout in bonds. Everybody is going to be rushing for the door at the same time, and there is no room but for one out of a thousand to get through. So, it’s going to be catastrophic.”

Continue reading →

Fed Up with the Fed

~ admin ~ Leave a comment

Charles Hugh Smith – Is anyone else fed up with the Federal Reserve? To paraphrase Irving Fisher’s famous quote about the stock market just before it crashed in 1929, we’ve reached a permanently high plateau of Fed mismanagement, Fed worship and Fed failure.

risk

 

The only legitimate role for a central bank is to provide emergency liquidity in financial panics to creditworthy borrowers. Once the bad debt (credit extended to failed enterprises and uncreditworthy borrowers) is written off, the system resets as asset valuations adjust to reality–how ever unpleasant that might be for the credulous participants who believed the ever-present permanently high plateau shuck and jive.

Just to state the obvious: Fed policies are not just insane, they’re destructive:

Continue reading →

2016? One Disaster After Another

~ admin ~ Leave a comment

GreyerzGreg Hunter – Financial expert Egon von Greyerz says the recent Fed rate hike will not help the financial markets. Greyerz predicts, “I think we will have one disaster after another, first in the junk bond market, then in emerging markets and, after that, the subprime markets.

Subprime car loans and student loans I see as another massive problem area. It is going to be one thing after another that will unravel. Since 2008, when the world almost went under, we have printed or increased credit by 50% or by $70 trillion, and the world economy is still struggling to survive. I think the real change in confidence will come down when markets come down. . . . I think things will come down very quickly.” Continue reading →

A Day of Truth For the Financial Markets

~ admin ~ Leave a comment

time

Georgi Stankov – Today is a moment of truth for the entire financial Ponzi scheme with which the cabal and the banksters wanted to enslave humanity in the End Time. The today’s FOMC meeting of the Fed will be the most crucial inflection point since 1929, actually since the beginning of the Orion monetary system. If the central banksters decide to raise the interest rates by 0.25% that may be peanuts in real economic terms but a devastating blow to the US and world economy which is in a free fall since it entered the Greatest Depression of all time in 2008, we may see a precipitous collapse even before Christmas. If however the central banksters become fearful in front their “courage foretold” and decide to keep the ZIRP of the last seven years, then they will lose the last vestige of credibility. They will have spent their last dry powder sitting between the rock and hard place – proving that the Fed and all central banks are out of the Ponzi game or triggering the final financial crash while documenting their destructive role for the economy from the very beginning.

We have reached the peak of history’s greatest credit inflation and the bursting of all debt bubbles. Now we’re hurtling into a precipitous credit crunch with rapidly growing inflation of daily goods.

At the same time the world economy is in the final stage of the Greatest Depression of all time which could only be hidden by forged statistics while exploiting the gullibility of the Zombie masses in the West. In the meantime the commodity prices have experienced an unprecedented slump and are now the lowest since more than 16 years. This deflation caused by the plunge of crude oil, iron ore, copper and other commodity prices should not be confused with the peak in prices for goods for daily consumption. The Orion economy is a hydra with 100 heads. When the source of revenues is dried out in one area, it reverts to another basic source of profits, always at the expense of the people. Continue reading →

Fed Has Lost Control [Video]

~ admin ~ 1 Comment

Holter Greg Hunter – Financial writer Bill Holter contends the recent announcement of the Federal Reserve not to raise rates means the “Fed has Lost Control.” Holter explains, “Whatever the Fed does is wrong. The reason I say that is because no matter what they do, they can’t fix what they have already done. There is no policy at this point that can repair where we are at this point as far as debt ratios, derivative outstanding and the money supply exploding. Nothing that they do now can fix it. The only thing that remains is a reset.”

In the reset, Holter contends, “All debt will be impaired. . . . A reset is going to be a shutdown of the system. Everything will stop. When you are talking about bonds being impaired, you are probably going to see that start or begin in the derivatives market. The derivatives is the tail that has been wagging the dog for years.

[youtube=https://youtu.be/YpZZHeVwFPU]

Derivatives are leverage, and you can use that leverage to control prices. If they can put $1 down and control $100, you can pretty much control the price of an asset, and that’s what they have done. They have supported stocks. They pushed interest rates down and supported bonds. They have suppressed gold and silver prices. They were able to paint a picture using derivatives with 100 to 1 or more of leverage, and when they lose control, that derivative chain between bank A, B, C and D is going to snap. When it snaps, the music stops and everything is going to stop.

Continue reading →