Saturday, August 18, 2007

Is the Fed Secretly Easing while telling the world they are not?

While the Fed is advertising the Federal Funds rate at 5.25% officially, behind the scenes it appears they are doing something entirely different. Imagine that, a private banking cartel in charge of the United States money supply saying one thing and doing another.

It is kind of like our goverment telling us the CPI shows inflation is under control while behind the scenes they are using "magical hedonical adjustments" to make it appear however they wish. They say that food costs are going down when we all know better.

Has the Fed Already Eased?
Posted by David Gaffen

The active conversation among the panicky revolves around whether the Federal Reserve should move to cut interest rates before its meeting about a month from now, but the slide-rule committee, through open market operations, has kept the effective funds rate way below its target for several days now. Is this, in and of itself, an easing? (Read more here)

Monday, August 13, 2007

U.S. Warned to "Learn from the Fall of Rome"

In as shocking turn of events, an actual employee of the Federal Government, has issued a grave warning to the United States of America. This is no low level employee of the U.S. Federal Government either, this is David Walker, Comptroller General of the U.S.

Learn from the fall of Rome, US warned

By Jeremy Grant in Washington
Published: August 14 2007 00:06 Last updated: August 14 2007 00:06

The US government is on a “burning platform” of unsustainable policies and practices with fiscal deficits, chronic healthcare underfunding, immigration and overseas military commitments threatening a crisis if action is not taken soon, the country’s top government inspector has warned. Read more here.

Tuesday, August 7, 2007

Will China Purposely Crush the U.S. Dollar with Nuclear Force?

China has all of the power when it comes to pricing the U.S. Dollar lower. Accordingly, they have now issued a "nuclear warning" to the United States regarding the value of the U.S. Dollar and how it relates to the value of the Chines Yuan.

It is clear that China has the power to decimate the value of the U.S. Dollar and in the process of selling off U.S. Treasuries, send U.S. interest rates much higher. This would quite possibly have a huge impact on the already fragile U.S. Real Estate market as well as the credit markets, derivatives, etc...