>>I'm betting the PPT shows up this weekend. Nothing is gained from having spent the better part of the past 10 months pumping the market to have it unwind and kill the wealth effect. Now that Bennie has four years of job security, Bennie will do what Bennie does.<<
the assumption there is that the banksters care about the wealth effect and its impact on the economy.
i'm not so sure. obama's "if you want a fight..." speech may well have been orchestrated to bring the markets down.
i can think of two reasons why a collapsed economy and market favors banksters (and that is *all* bernanke cares about - banksters).
1. they are still broke and need an excuse to suck trillions more in tax payer money into their pockets.
2. they have a direct connection to the treasury and now consider themselves protected from a down turn. if so, part two the bubble game is to collapse the system, and i mean collapse the system, so they can buy up assets for pennies on the dollar.
i think hyper inflation will be avoided until the banks are into assets. hyper inflation will cause bank runs and that's bad for banksters (or so i think, correct me if i'm wrong). a giant sucking sound at the bank doors as everyone liquidates their accounts when the banks don't have the money can't be good for them, can it?
once the banks are safe, they take down the economy. to its knees. the government will go into crisis.
retirement accounts will be forced into treasuries. government will have to shrink. unemployment skyrockets. masses of people walk from their homes. tax payers eat the debt. banks raise rates and make a killing. raised rates further depresses home prices and investment and unemployment sky rockets. people can't fend for themselves, the government is crippled...
oh sh*t, celente is right...
then the banks swoop in and buy up assets on the cheap.
now that the banks own everything, they will probably start a war and send all the poor people off to fight it so that the bankster don't have to pay off the debts and they don't have to look at as many poor people since they are off fighting a war somewhere.
the one way inflation trade isn't a gimme, imho.
bernanke will print money to save banks, but the banks may collapse the economy in order to pick up the pieces at a small fraction of today's values.
if you haven't already, watch "the money masters" by bill still on google videos.
the "old dog" is using the same old trick, imho. |
