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Tag Archives: the fed
Dow Hits Record High in Dollars, 20 Year Low in Ounces of Gold
New York Sun – The Fiat Dow: As the Dow Jones Industrial Average edges close to 14,000 let us just remark on the value of the famous index in ounces of gold. It may be that 14,000 is nearly twice … Continue reading
Federal Reserve’s Operation Twist Ends, Operation “The Money Printing Will Continue Until Morale Improves” Begins
Fed Links Rates to Joblessness, Expands Bond Purchases The Federal Reserve said it will buy $45 billion a month of Treasury securities starting in January, expanding its asset-purchase program, and for the first time linked the outlook for its main … Continue reading
Federal Reserve decides to raise the price of gold and silver
Yesterday the Federal Reserve announced a new round of quantitative easing, AKA money printing. The Fed plans to purchase $40 billion mortgage-backed securities (MBS) from banks and other lenders every month indefinitely. The Fed is supposedly doing this to encourage … Continue reading
LIBOR Interest Rates Manipulated
Federal Reserve Admits It Knew Of Barclays Libor “Problems” In 2007 And 2008 Gold May Have Been Manipulated Like LIBOR – St. Louis Fed Starts Tracking London Gold Prices
The Federal Reserve’s “Operation Twist” Explained
At NPR (audio). Short version: The Fed is selling short-term Treasuries and buying long-term Treasuries (e.g. 10 and 30 year). That makes long-term interest rates slightly cheaper for mortgages, but makes short-term interest rates slightly higher for businesses. Expected effect: … Continue reading
US Debt to GDP Passes 101%
Zero Hedge – As US Debt To GDP Passes 101%, The Global Debt Ponzi Enters Its Final Stages Most people still think of China as buying our debt, but China is unloading U.S. debt. The biggest buyer of U.S. debt … Continue reading
Posted in Economics
Tagged china, gold, inflation, national debt, silver, the fed, what could possiblie go wrong?
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Chris Martensen: High oil prices are a cause of recessions; at these prices economy can’t heal
Chris Martensen - Why Our Currency Will Fail: Also note in the most recent data that oil prices happen to be at roughly the same level that triggered the first recession in 2008 (the purple dotted line). If we needed … Continue reading
The Fool in the Shower
‘Fool in the Shower’ to Give Fed a Good Scalding: Caroline Baum: What the Fed is saying, in essence, is that as the economy improves, it’s appropriate to provide as much stimulus, or support, as it did in late 2008, … Continue reading
30 Year Mortgage Rate Down to 3.88%
Interest rates on the 30-year fixed-rate mortgage hit another low this week, averaging 3.88% in Freddie Mac’s most recent survey of conforming mortgage rates, released on Thursday. The mortgage averaged 3.89% last week and 4.74% a year ago. Rates averaged … Continue reading
Is the Fed Buying Puts on US Treasuries?
Seeking Alpha – Is This What Hyperinflation Looks Like From the Inside?: Some have speculated that the Federal Reserve is writing (selling) puts on Treasuries to keep rates low. As Frederick Sheehan notes, “the Fed-sponsored put option is the logical … Continue reading
U.S. Money Supply Gone Wild
“Inflation is always and everywhere a monetary phenomenon.” – Milton Friedman If uncle Milty is right, we’re in trouble. From the St. Louis Federal Reserve via Zero Hedge: UPDATE: In comments, Douglas notes that the chart above doesn’t show the … Continue reading
Printing worthless currency is illegal? Someone should tell Ben Bernanke.
Zero Hedge – FBI Busts Mastermind Criminal For Issuing Silver Currency, Demanding Repeal Of Fed And IRS; Faces 15 Years In Prison. Counterfeiting – Printing money willy-nilly and releasing it into the economy. Quantitative easing – Same thing, when the … Continue reading
Normal Interest Rates Would be a Disaster for U.S. Debt
“The Most Predictable Economic Crisis in History”: If fewer people are willing to lend us money, the more we’ll have to shell out in higher interest payments. And if bond buyers lose confidence in our ability to make good on … Continue reading
