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Basic income for the rich,,,, until the bond market crashes
“The Treasury Department, for the first time in its history, said it would begin selling bonds for the Federal Reserve in an effort to help the central bank deal with its unprecedented borrowing needs.”
This is extraordinary. Why is the Treasury issuing U.S. government bonds (or debt) to fund the Fed, which is itself supposedly “the lender of last resort” created to fund the banks and the federal government? "
“The Treasury is setting up a temporary financing program at the Fed’s request. The program will auction Treasury bills to raise cash for the Fed’s use."
Who Owns The Federal Reserve? | Global Research - Centre for Research on Globalization
"Kocic calls a "permanent state of exception" from normalcy as a result of the Fed decision to defer the financial crisis indefinitely." " its role is aimed more and more at achieving “social” and not necessarily financial goals." "which has forced the Fed to resort to preserving the social order through the only "monetary channel" under its control: pushing asset prices to ever higher nosebleed levels"
" to be comforted each and every day by the central bank exercising its "power" by perpetuating the "indefinite suspension of traditional market exchange"
QE has become nothing more than "universal basic income for the rich."
" There are two ways to cure inequality: you can make the poor richer, or you can make the rich poorer. The Fed will reduce its balance sheet in the hope of making Wall St poorer."
Deutsche: The Fed Has Created "Universal Basic Income For The Rich" And Now It Can't Get Out | Zero Hedge
"Next, this chart from Bank of America – which itself could be titled Nuff’ Said, in depicting roughly half of all global bond market movements are now attributed to Central banks. A number which, is unquestionably, vastly understated – given how obvious it is that the Fed “monetizes” as many bonds covertly, as it does overtly (in artificially maintaining 1% interest rates, and reinvesting the proceeds of maturing Treasury and mortgage-backed bonds). I mean, who do you think bought the hundreds of billions of Treasuries sold in the past 12-18 months by the Chinese, Russians, and Saudis?"
2.5%-Nuff Said, Part lll-Why Rates Will Never Be ?Allowed? To Rise | SilverSeek.com
"US Federal Spending is rising at a staggering $428,253,120 per day
US Federal TAX Revenue is only rising at $129,857,760 per day.
So the US Government at the federal level is spending about $300,000,000 more per day than it is taking in via TAX revenue."
BUT, the FED claims that it has ended QE.
The FED is owned by private banks. The FED prints endless money to always rescue the private banks. So while it may seem that the FED is always taking "wrong" actions, they are only wrong for the economy, NOT the banks. Ron Paul Warns "Central Bankers Are Always Wrong...Especially Before A Bust" | Zero Hedge
The EU is;
7.2% of the World Population.
23.8% of the World’s GDP.
58% of the World’s Welfare Spending.
The EU average tax burden on workers is 44.9%. The average worker in the EU spends half a year working for the tax man.
Taxation accounts for 41% of the euro area GDP. At the same time, despite massive tax burden and constant confiscation of wealth, the EU’s average debt to GDP is 90%.
On Europe's Unsustainable Welfare State | Zero Hedge
Current account balance;
196 Australia -$33,200,000,000 2016 est.
197 Canada -$51,080,000,000 2016 est.
198 United Kingdom -$114,500,000,000 2016 est.
199 United States -$481,200,000,000 2016 est
https://www.cia.gov/library/publicat.../2187rank.html
"The American people are being brought to ruin by three institutions that are mortal threats to liberty and prosperity. To wit, the Federal Reserve, the military/industrial/surveillance complex and a sinecured Congress "
"Indeed, ever since Ronald Reagan's mild assault on the Welfare State was decisively turned back on Capitol Hill in the spring of 1981, the "guns and butter coalition" has ruled the roost. And that insidious coalition has taken the national debt from $1 trillion to $20 trillion along the way -- even has it has locked in an automatic growth to $30 trillion or 140 percent of GDP by 2027."
"There has been zero net gain in industrial production since September 2007; no net gain in breadwinners jobs since January 2001; and zero gains in real median family incomes since 1989. And that's permanent full employment prosperity?"
"That is, the hundreds of billions of bond purchased by carry trade gamblers, who were given free overnight funding to the tune of 97 percent of their investment, in order to by the very same bonds -- down to the exact CUSIP numbers -- that the Fed had announced it would be buying.
Stated differently, what was the point of QE if it was not to falsify and suppress bond yields in order to goose economic activity -- even if that "stimulus", as it happened, never really left the canyons of Wall Street?
By the same token, why in the world would Yellen expect that the front-runners who fueled the bond bubble during QE will not find is profitable to short-sell what the Fed will be selling once its balance sheet shrinking campaign gets started?" SHORT THE FED !
"the combination of Fed selling and speculators piling on would cause the entire global bond bubble to implode, and all the economic rot that is built upon it to shatter."
http://www.zerohedge.com/news/2017-0...danger-potomac
“The Treasury Department, for the first time in its history, said it would begin selling bonds for the Federal Reserve in an effort to help the central bank deal with its unprecedented borrowing needs.”
This is extraordinary. Why is the Treasury issuing U.S. government bonds (or debt) to fund the Fed, which is itself supposedly “the lender of last resort” created to fund the banks and the federal government? "
“The Treasury is setting up a temporary financing program at the Fed’s request. The program will auction Treasury bills to raise cash for the Fed’s use."
Who Owns The Federal Reserve? | Global Research - Centre for Research on Globalization
"Kocic calls a "permanent state of exception" from normalcy as a result of the Fed decision to defer the financial crisis indefinitely." " its role is aimed more and more at achieving “social” and not necessarily financial goals." "which has forced the Fed to resort to preserving the social order through the only "monetary channel" under its control: pushing asset prices to ever higher nosebleed levels"
" to be comforted each and every day by the central bank exercising its "power" by perpetuating the "indefinite suspension of traditional market exchange"
QE has become nothing more than "universal basic income for the rich."
" There are two ways to cure inequality: you can make the poor richer, or you can make the rich poorer. The Fed will reduce its balance sheet in the hope of making Wall St poorer."
Deutsche: The Fed Has Created "Universal Basic Income For The Rich" And Now It Can't Get Out | Zero Hedge
"Next, this chart from Bank of America – which itself could be titled Nuff’ Said, in depicting roughly half of all global bond market movements are now attributed to Central banks. A number which, is unquestionably, vastly understated – given how obvious it is that the Fed “monetizes” as many bonds covertly, as it does overtly (in artificially maintaining 1% interest rates, and reinvesting the proceeds of maturing Treasury and mortgage-backed bonds). I mean, who do you think bought the hundreds of billions of Treasuries sold in the past 12-18 months by the Chinese, Russians, and Saudis?"
2.5%-Nuff Said, Part lll-Why Rates Will Never Be ?Allowed? To Rise | SilverSeek.com
"US Federal Spending is rising at a staggering $428,253,120 per day
US Federal TAX Revenue is only rising at $129,857,760 per day.
So the US Government at the federal level is spending about $300,000,000 more per day than it is taking in via TAX revenue."
BUT, the FED claims that it has ended QE.
The FED is owned by private banks. The FED prints endless money to always rescue the private banks. So while it may seem that the FED is always taking "wrong" actions, they are only wrong for the economy, NOT the banks. Ron Paul Warns "Central Bankers Are Always Wrong...Especially Before A Bust" | Zero Hedge
The EU is;
7.2% of the World Population.
23.8% of the World’s GDP.
58% of the World’s Welfare Spending.
The EU average tax burden on workers is 44.9%. The average worker in the EU spends half a year working for the tax man.
Taxation accounts for 41% of the euro area GDP. At the same time, despite massive tax burden and constant confiscation of wealth, the EU’s average debt to GDP is 90%.
On Europe's Unsustainable Welfare State | Zero Hedge
Current account balance;
196 Australia -$33,200,000,000 2016 est.
197 Canada -$51,080,000,000 2016 est.
198 United Kingdom -$114,500,000,000 2016 est.
199 United States -$481,200,000,000 2016 est
https://www.cia.gov/library/publicat.../2187rank.html
"The American people are being brought to ruin by three institutions that are mortal threats to liberty and prosperity. To wit, the Federal Reserve, the military/industrial/surveillance complex and a sinecured Congress "
"Indeed, ever since Ronald Reagan's mild assault on the Welfare State was decisively turned back on Capitol Hill in the spring of 1981, the "guns and butter coalition" has ruled the roost. And that insidious coalition has taken the national debt from $1 trillion to $20 trillion along the way -- even has it has locked in an automatic growth to $30 trillion or 140 percent of GDP by 2027."
"There has been zero net gain in industrial production since September 2007; no net gain in breadwinners jobs since January 2001; and zero gains in real median family incomes since 1989. And that's permanent full employment prosperity?"
"That is, the hundreds of billions of bond purchased by carry trade gamblers, who were given free overnight funding to the tune of 97 percent of their investment, in order to by the very same bonds -- down to the exact CUSIP numbers -- that the Fed had announced it would be buying.
Stated differently, what was the point of QE if it was not to falsify and suppress bond yields in order to goose economic activity -- even if that "stimulus", as it happened, never really left the canyons of Wall Street?
By the same token, why in the world would Yellen expect that the front-runners who fueled the bond bubble during QE will not find is profitable to short-sell what the Fed will be selling once its balance sheet shrinking campaign gets started?"
SHORT THE FED !"the combination of Fed selling and speculators piling on would cause the entire global bond bubble to implode, and all the economic rot that is built upon it to shatter."
http://www.zerohedge.com/news/2017-0...danger-potomac
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