About a week ago both Houses of Congress sent a bill to Biden demanding the release of all Federal Covid information etc. IIRC Biden threatened to veto but Congress would have the votes to overturn the veto.
The bill remains unsigned and the media silent. Is the WH scurrying around buying Dem votes not to overturn a Presidential veto?
Seems there are a lot of very noisy distractions all of a sudden. Bank failures, the Reaper drone, and the push for Ukraine to have a victory etc. Coincidence or just life in America these days?
Mark, on Soros at the center of Davos money, take a moment to read some of Richard Poe's articles https://richardpoe.substack.com/ He contends Soros is (as Rothschild's were) a front man for City of London, Royal Family.
I did recently read an article from, I believe, about 1997 by the now deceased former editor of Antiwar, Justin Raimondo. He maintained, similarly, that the idea that Soros was a self made man--a successful genius investor--is a myth and that Soros was, as you suggest, able to ingratiate himself with the rich and powerful and front for them.
I eagerly await the 5.00% savings rates, the local Ford dealer having to sell that new Bronco I have been eyeing for 10% below MSRP ! We'll know for certain that Powell has succeeded when the F-35 & B-21 programs are cancelled, no more obsolete aircraft carriers are built and most of the existing fleet is mothballed. Senators/Warmongers will wail and gnash teeth, and I shall rejoice at hearing the lamentations of their women, especially Ms. Lindsey.
Years ago I remember reading that Soros would be put in jail if he set foot in France because of the damage he had done to the French franc or economy. There are players on the world stage who couldn't care less about the damage they are causing. There are others who do not understand the effect of what they are doing. Then there are those who simply kick the can down the road and are only concerned with their immediate goals. I assume Powell is conscious of the danger to the world economic system we now face and doesn't want it to crash on his watch. In addition to this the big banks have skin in the game and stand to lose big if the American economy blows up. They are the adults in the room. Our politicians have created this problem they have no understanding of and in any case will not deal with. Reality trumps everything.
The Biden Administration seems to have been deliberately pushing inflation, probably with the goal of inflating away the deficit, so they can continue spending without care.
There is a scheme called 'financial repression' governments have used to liquidate debt, and I have a feeling Trump would have done it. Having manipulated things so the government takes on enormous debt at very cheap rates then the rates dramatically increase, and previous debts can be paid off at a large discount as the loans adjust to reflect the present rate of interest. For this to work you have to have a healthy economy with a surplus. If you continue to run large deficits you only take on more debt at an even bigger cost due to increased interest. You then get more inflation and an impossibility to service the debt.
Tom is wrong when he says: "So Powell backstopping [regional banks] at par now allows them to start offering savings rates that are above the zero bound. Oh! Does that change the dynamic in the US banking system?"
Janet Yellen recently testified in Congress that the backstopping of uninsured deposits will be decided on a case by case basis. There is no blanket guarantee. Consequently, large deposits are still fleeing from regional banks to the usual winners - the Big Banks...Powell's buddies.
There is something very rotten and nefarious going on here that doesn't jive with Tom's painting of Powell as the Knight in Shining Armour galloping in to save the dollar and all American banks, large and small.
The Big Boys are not just whacking the Eurodollar, they are whacking any and all competition to the foundation of their power - the dollar, and that includes whacking crypto, which came into being precisely to offer an alternative to the rigged game that is central bank manipulated fiat currencies.
You might want to go take a look at her actual testimony. The senator questioning her had her in a corner and she was left with no option but to admit in no uncertain terms that the backstopping of uninsured deposits is decided on a case by case basis, not a blanket guarantee. I'm amazed this is not headline news.
Yellen said that SVB was one of the banks that they deemed necessary to backstop because, according to their estimation, allowing its uninsured deposits to take a hammering posed a systemic risk. Same with Signature. (No doubt, a lot of Yellen's Democrat buddies had uninsured deposits at these two banks, so it comes as no surprise that it was deemed a systemic risk to allow the deposits to get hammered.)
But I don't think this being a "non-blanket" backstopping changes the dynamic Luongo is describing. Basically sound banks that found themselves sideways by buying fixed treasuries before the rate hikes will be helped, on a case by case basis. That's gotta be preferable to blanket guarantees. And knowing this should change things--sound banks should not be simply subject to predation. That seems to be the idea.
"whacking crypto, which came into being precisely to offer an alternative to the rigged game that is central bank manipulated fiat currencies."
This is exactly what Luongo recognizes--feature, not bug. That's in the summary, and there's an extended discussion in the video of where it goes from here. It doesn't go away, but it's brought under control precisely because it's another vehicle for inflation and foreign control of our currency and our politics. Luongo has gone through this many, many times with the usual libertarians. Anyone who thinks crypto is seriously an alternative to the rigged game is seriously deluded. He's not defending central bankers, just trying to open eyes to the whole picture.
I hear you. And I have followed Tom for a long time now. I just have some doubts that the rulers of the rigged game have everything as firmly under control as Tom is implying they do. I understand that the Fed is fighting for America, as it rightly should. Not so convinced that it will emerge as victorious as Tom implies. Yes, it will do a lot of damage and yes, most certainly, it will bring down the euro and the EU, and good riddance. But I suspect the Fed is going to come to appreciate the full meaning of Shakespeare's injunction in Henry VIII - "Heat not a furnace for your foe so hot that it do singe yourself". Like the furnace that America has heated for Russia in Ukraine.
Check out his latest tweets. I don't think he's ever said that a happy ending is a done deal, nor that the NY Guys are White Hats. Not at all. He's just rooting for the Fed to trash Davos. That at least may give us a place to work from.
It's easy to view the FED historically as monolithically evil. But today's FED is running a policy diametrically opposed to the Greenspan-Bernanke-Yellen FED.
If Luongo is right, and the FED doesn't want to monopolize banking (because they don't want the nuisance of dealing with loans for small projects) then maybe the FED is now slightly more than just the enemy of my enemy...?
Curious how long Mr. Wauck has been blogging. I only discovered him in 2020 via Clarice Feldman.
About a week ago both Houses of Congress sent a bill to Biden demanding the release of all Federal Covid information etc. IIRC Biden threatened to veto but Congress would have the votes to overturn the veto.
The bill remains unsigned and the media silent. Is the WH scurrying around buying Dem votes not to overturn a Presidential veto?
Seems there are a lot of very noisy distractions all of a sudden. Bank failures, the Reaper drone, and the push for Ukraine to have a victory etc. Coincidence or just life in America these days?
Good point - everything this administration does is political.
Mark, on Soros at the center of Davos money, take a moment to read some of Richard Poe's articles https://richardpoe.substack.com/ He contends Soros is (as Rothschild's were) a front man for City of London, Royal Family.
I did recently read an article from, I believe, about 1997 by the now deceased former editor of Antiwar, Justin Raimondo. He maintained, similarly, that the idea that Soros was a self made man--a successful genius investor--is a myth and that Soros was, as you suggest, able to ingratiate himself with the rich and powerful and front for them.
I eagerly await the 5.00% savings rates, the local Ford dealer having to sell that new Bronco I have been eyeing for 10% below MSRP ! We'll know for certain that Powell has succeeded when the F-35 & B-21 programs are cancelled, no more obsolete aircraft carriers are built and most of the existing fleet is mothballed. Senators/Warmongers will wail and gnash teeth, and I shall rejoice at hearing the lamentations of their women, especially Ms. Lindsey.
"Senators/Warmongers will wail and gnash teeth, ..."
On their knees the War Pigs crawling,
Begging mercies for their sins,
Satan laughing spreads his wings,
Oh, Lord yeah! ...
Sorry, that memory came rushing back while reading SCT's comment.
…and has an am/fm radio!
Years ago I remember reading that Soros would be put in jail if he set foot in France because of the damage he had done to the French franc or economy. There are players on the world stage who couldn't care less about the damage they are causing. There are others who do not understand the effect of what they are doing. Then there are those who simply kick the can down the road and are only concerned with their immediate goals. I assume Powell is conscious of the danger to the world economic system we now face and doesn't want it to crash on his watch. In addition to this the big banks have skin in the game and stand to lose big if the American economy blows up. They are the adults in the room. Our politicians have created this problem they have no understanding of and in any case will not deal with. Reality trumps everything.
Seems odd to me that Soros still exists. Isn’t he a direct threat to U.S. citizens?
perhaps, but he's allied with the democrats - that makes it ok
The Biden Administration seems to have been deliberately pushing inflation, probably with the goal of inflating away the deficit, so they can continue spending without care.
That seems to have been the scheme. And why they went crazy when Powell started raising rates.
There is a scheme called 'financial repression' governments have used to liquidate debt, and I have a feeling Trump would have done it. Having manipulated things so the government takes on enormous debt at very cheap rates then the rates dramatically increase, and previous debts can be paid off at a large discount as the loans adjust to reflect the present rate of interest. For this to work you have to have a healthy economy with a surplus. If you continue to run large deficits you only take on more debt at an even bigger cost due to increased interest. You then get more inflation and an impossibility to service the debt.
Sounds like the last 15 years.
This whole mess is even more complicated in that there may be significant drug cartel involvement in the shadow banks across the country and unbelievable political corruption at all levels. Follow the threads in this description of alleged cartel money laundering in New Hampshire with connection to SVB (https://forbiddenknowledgetv.net/silicon-valley-bank-trump-the-cartel-drug-money-bank/), and in Arizona connected to the whole election scandal (https://forbiddenknowledgetv.net/us-politicians-corrupted-by-drug-cartel-money-laundering-scheme-and-election-theft/kl).
What’s the mechanism that removes zhou in June? I need to stock up on popcorn
Tom is wrong when he says: "So Powell backstopping [regional banks] at par now allows them to start offering savings rates that are above the zero bound. Oh! Does that change the dynamic in the US banking system?"
Janet Yellen recently testified in Congress that the backstopping of uninsured deposits will be decided on a case by case basis. There is no blanket guarantee. Consequently, large deposits are still fleeing from regional banks to the usual winners - the Big Banks...Powell's buddies.
There is something very rotten and nefarious going on here that doesn't jive with Tom's painting of Powell as the Knight in Shining Armour galloping in to save the dollar and all American banks, large and small.
The Big Boys are not just whacking the Eurodollar, they are whacking any and all competition to the foundation of their power - the dollar, and that includes whacking crypto, which came into being precisely to offer an alternative to the rigged game that is central bank manipulated fiat currencies.
I'll keep my eyes peeled for more on the backstopping angle. Here's one article:
https://news.yahoo.com/us-says-svb-deposits-safe-230714841.html
You might want to go take a look at her actual testimony. The senator questioning her had her in a corner and she was left with no option but to admit in no uncertain terms that the backstopping of uninsured deposits is decided on a case by case basis, not a blanket guarantee. I'm amazed this is not headline news.
Yellen said that SVB was one of the banks that they deemed necessary to backstop because, according to their estimation, allowing its uninsured deposits to take a hammering posed a systemic risk. Same with Signature. (No doubt, a lot of Yellen's Democrat buddies had uninsured deposits at these two banks, so it comes as no surprise that it was deemed a systemic risk to allow the deposits to get hammered.)
But I don't think this being a "non-blanket" backstopping changes the dynamic Luongo is describing. Basically sound banks that found themselves sideways by buying fixed treasuries before the rate hikes will be helped, on a case by case basis. That's gotta be preferable to blanket guarantees. And knowing this should change things--sound banks should not be simply subject to predation. That seems to be the idea.
Shortly I'll be publishing a DDB Q&A.
"whacking crypto, which came into being precisely to offer an alternative to the rigged game that is central bank manipulated fiat currencies."
This is exactly what Luongo recognizes--feature, not bug. That's in the summary, and there's an extended discussion in the video of where it goes from here. It doesn't go away, but it's brought under control precisely because it's another vehicle for inflation and foreign control of our currency and our politics. Luongo has gone through this many, many times with the usual libertarians. Anyone who thinks crypto is seriously an alternative to the rigged game is seriously deluded. He's not defending central bankers, just trying to open eyes to the whole picture.
I hear you. And I have followed Tom for a long time now. I just have some doubts that the rulers of the rigged game have everything as firmly under control as Tom is implying they do. I understand that the Fed is fighting for America, as it rightly should. Not so convinced that it will emerge as victorious as Tom implies. Yes, it will do a lot of damage and yes, most certainly, it will bring down the euro and the EU, and good riddance. But I suspect the Fed is going to come to appreciate the full meaning of Shakespeare's injunction in Henry VIII - "Heat not a furnace for your foe so hot that it do singe yourself". Like the furnace that America has heated for Russia in Ukraine.
Check out his latest tweets. I don't think he's ever said that a happy ending is a done deal, nor that the NY Guys are White Hats. Not at all. He's just rooting for the Fed to trash Davos. That at least may give us a place to work from.
It's easy to view the FED historically as monolithically evil. But today's FED is running a policy diametrically opposed to the Greenspan-Bernanke-Yellen FED.
If Luongo is right, and the FED doesn't want to monopolize banking (because they don't want the nuisance of dealing with loans for small projects) then maybe the FED is now slightly more than just the enemy of my enemy...?
One can hope.
Hey, saving money, I remember that!
Same here. I’m anxiously waiting to see if, at long last, we’ll stop being punished for that.