Even the Slightest Whiff that QE will Slow will Cause an Outright Panic and Implosion!
- All the talk about the FedRes ending or slowing QE is propaganda BS! The global economy and financial system will implode! I do not believe they are ready to pull the plug just yet! But it is coming! The Illuminist plan is global economic, financial and currency collapse; and the Satanic World War 3!
– - A “Whiff” is all That is Needed!
by Bill Holter, http://blog.milesfranklin.com/
Bernanke signals Fed to maintain stimulus efforts
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This link was headlined on the Drudge Report as “Fed chairman warns ending stimulus would carry substantial risks.” Well no kidding! As I’ve written many times, “No more QE…no more system,” period. Who would step in and purchase $1 trillion+ of Treasury securities that the Fed is currently buying? And if they did find buyers (doubtful), how high would the yields need to be to attract the buyers? …and of course the next question would be, are those rates too high and at levels that take up more in interest expense than the Treasury even takes in?
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Ben Bernanke testified yesterday before Congress and spoke about the “tapering” of QE. We have also been offered a trial balloon(s) over the last few weeks regarding cutting back on QE. The results (even though nothing has been shaved back)? Japanese treasury securities are now over 1% and U.S. Treasuries are over 2%. The Japanese Nikkei average ended last night down over 7% after opening up 3%…can you say “reversal day?” Stock markets all over the globe are down over 2% (except of course the free markets in the U.S.). It is important to understand that these dislocations have taken place strictly based on the “THOUGHT” of lesser quantitative easing.
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Before I write any further, I’d like to go back to basics and remind you exactly what “QE” is. QE is “code” for outright monetization. It is highfalutin gobbledygook speak for plain old fashioned PRINTING. “Printing” to purchase Treasury securities that no one else neither wants nor would purchase. Pure printing to be used to buy “stuff.” “Stuff” as in assets that need “help” to keep their prices high so that the message that “all is well” continues to ring throughout the realm. Pure and unadulterated printing that is used to paint the pretty (false) pictures so the populace will continue to sleep in oblivion.
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The point is this, even the slightest whiff that the monetization will slow (forget about actually stop) will cause an outright panic and implosion of asset values as EVERYONE tries to be the “first one out.” Think of it this way, in any Ponzi scheme wouldn’t you be an immediate “seller” if you knew that no more sucker money (or even just less money) was going to enter the scheme? And this, in a nutshell is THE problem! Without the infusion of new money, current asset values are not and cannot be justified in any world that we know of.
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