Bernanke might not take the plunge

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
Bernanke might not take the plunge

WASHINGTON (MarketWatch) — Ahead of a crucial speech, Federal Reserve Chairman Ben Bernanke may not be ready to take the plunge into a large-scale asset purchase program the central bank has admitted is under consideration.
I WeirdVille buying the banks garbage is an asset purchase, in reality it is taking their garbage, paying them face value, the banks then buy the T-Bill, then use their profits to buy equities.

That's your economy.
 

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
Text of Bernanke speech at Jackson Hole

The rundown goes something like this.

QE saved us from utter destruction and can work. I call that double speak. Now that is interesting is, he made no commitment to more QE. I said that was going to happen, he is going to dangle the QE card until the banks collapse, then he will say whoops, gee I fucked up, we need a new bailout. Of course by then this country will be up in flames.
 

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
Bernanke: With unemployment high, Fed can do more

Bernanke make lying look almost fun. I am damn positive he is laughing at the American people.

He also argued that the Fed's moves so far to keep interest rates at record lows and encourage borrowing and spending have helped bolster the economy.
Gee really, huh, well if that were the reason then one could say it is an epic fail, but it isn't the reason at all. The rates are manipulated so the fucked up government doesn't default. It comes at an expense of the economy.

Look people, there have been CEO's waiting for this speech and wondering about more QE for weeks now. It ain't coming..... In today's insane economy we wait to see if the fed will continue to monetize it...amazing.


Bernanke stopped short of committing the Fed to any specific move, such as another round of bond purchases to lower long-term rates. But in a speech at an annual Fed conference in Jackson Hole, Wyo., Bernanke said that even with rates at super-lows, the Fed can do more.
There is no commitment because there will be no QE. I said since the start of this mess that next round has to be the last round. Well these fucks went from 2 rounds of QE to 2 rounds of global QE. In doing that hey picked up currency and bond swaps. If that wasn't bad enough, they did Twist, and that is a real dirty ugly nasty QE.

That was the last round. I also said when they turn off QE that the economy will be turned off....I said that because QE makes up so much of the economy. I know that sounds nuts, but hell that sure shit doesn't make it wrong. The economy has been turned off.
Many analysts think a third round of bond purchases - QE3 - would include both Treasurys and mortgage-backed securities.
The above quote is the very last sentence of the article. Let me explain something here. I don't think this will happen, not entirely. I do think the fed will end run the banks and print and buy T-Bills on their own, but that move officially says the dollar isn't worth the paper it is printed on. No one will accept it anywhere. At least through QE he gives the banks money to buy the T-Bill...after taking the banks garbage off their hands...but when all else fails, you still have the banks. Here you wont even have that!
 

michaelr

Former Staff
Dec 2006
89,668
6,643
FEMA Region 10
Grim jobs market confronts Obama, Fed
I have been giving this serious thought, hell to the point of obsession. The ECB is...you people are going to love this...going to buy all the sovereign bonds via the printing press.

The US Treasury is 'borrowing' to buy up the dead and gone T-Bill, if that ain't a crash nothing it, hell that's a default by definition.

I think the fed is going to just buy the the T-Bills, bypassing the banks. I don't know how the banks will liquefy their toxic derivatives unless they liquefy the banks, and I think that is a real good possibility.

Fed Chairman Ben Bernanke last week said the labor market's stagnation was a "grave concern," a comment that raised expectations for a further easing of monetary policy.
I am sticking to my guns. Me thinks no more QE!
 
Aug 2012
8,348
812
Grim jobs market confronts Obama, Fed
I have been giving this serious thought, hell to the point of obsession. The ECB is...you people are going to love this...going to buy all the sovereign bonds via the printing press.

The US Treasury is 'borrowing' to buy up the dead and gone T-Bill, if that ain't a crash nothing it, hell that's a default by definition.

I think the fed is going to just buy the the T-Bills, bypassing the banks. I don't know how the banks will liquefy their toxic derivatives unless they liquefy the banks, and I think that is a real good possibility.



I am sticking to my guns. Me thinks no more QE!
liquefy??? lol