Posts Tagged ‘devaluation’

This week the Fed lost its appeal to protect it from having to disclose who it gave emergency loans under the pretense of saving the global financial system during the 2008 banking crisis. As he faces the fact that he is consistently wrong about the economy, lying about inflation, printing money at a pace never seen before, bailing out and subsidizing banks and Wall Street, and watching governments borrow and spend their nations into bankruptcy he will have to figure out how to not become a victim of the economic hitmen.  Might be a rough weekend at Bernanke’s.     More »

The economy is now several months into Bernanke‘s Viagra treatment program otherwise known as QE2.  This misguided program of artificial stimulation claims it will make things grow and the world will be a better for it, nut just like the pharmaceutical it is only a temporary solution.   There is no real growth that will be sustained, only a symptomatic rise and fall with a whole lot of money spent and no lasting growth.  Ben is praying for a return to the days of his youth.     More »

This week a great entertainer from my childhood passed away – Dandy Don Meredith.  The man responsible for the longest pass play to date in Dallas Cowboys history, and the comedian of the hot new Monday Night Football broadcasts still looms large in my memory.  I can still hear him singing near the end of a game that had gotten out of hand with one team thumping the other, “Good night the party’s over…”  I can only assume that right before he died he was singing the same tune to the US government, the Europeans, and the Federal Reserve. The market was thumping the governments, central banks, and Wall Street elitists.     More »

The G20 summit ended Friday with a statement of principles but no commitment to action, leaving the United States to go it alone in dealing with its fragile under performing economy and near-double digit (or even higher) unemployment.  Leaders pledged to work together and to refrain from protectionism and competitive devaluation of currencies. They also agreed to take steps to promote growth in low-income countries.     More »

Thursday, November 11, Armistice Day, the G20 gets another one of its economic arm-wrestling matches, otherwise know as a summit, underway in Seoul, South Korea. There is no peace in store for the attendees at the 11th hour on the 11th day of the 11th month, however, as the U.S strives to revive its economy by shifting the blame, and the pain to the rest of the world.     More »

And so it begins.   Helicopter Ben and the Fed have commenced QE2.  This time they intend to kick it up a notch since (as with everything the government spends money on to fix) they did the right thing the last time, they just didn’t do enough.  So now they are going to buy $600 billion in government treasury bonds so that the money goes straight into the economy instead of into those evil bankers’ reserves.  In addition, they are going to repeat some of the work of QE1 by printing another $300 billion to roll over those nasty mortgage-backed securities into US treasuries.  All of it spells the foreshadowing of disaster – like hydrogen instead of helium in the greatest airship of its time, the LZ 129 Hindenburg.     More »

Welcome to the helipad!  Yesterday, the Fed’s Ben Bernanke announced QE2, the great grand savior of all that is good and moral in the world economy.  This is Ben’s latest attempt to jump-start the faltering markets around the globe.  By infusing a huge amount of newly printed money he hopes to stimulate spending in the private sector, oddly by stealing from taxpayers and giving it to the federal government to spend in an orgy of new debt creation.    More »