On Thursday, the U.S. Federal Reserve announced the single most reckless, radical money-printing experiment in the history of the world — what some are calling “QE-infinity.”
Beginning immediately, Bernanke and his cronies at the Fed will print $40 billion per month — $480 billion per year …
And hand that over to their buddies the big bankers in return for a bunch of mortgage-backed securities.
Instantaneously, global investors did what you’d expect them to do — scramble like mad for protection from Bernanke’s assault on their wealth! Within seconds of that announcement …
- And yesterday, less than 24 hours after Federal Reserve Chairman Ben Bernanke embarked on his reckless strategy, we learned yet again just how dangerous his policies really are!Inflation expectations climbed to their highest level since May 2011, as measured by the break-even rate for five-year Treasury Inflation Protected Securities.
- Gold prices positively exploded, soaring $49.10 — a 2.8% gain in just a matter of minutes.
- Silver prices skyrocketed, spiking 6.3% at the same time.
- The dollar plunged, dropping precipitously against a basket of world currencies.
What’s at fault? Soaring energy and food prices, which started zooming higher as the Fed dropped hints it was about to ramp up the presses again.
As for the Fed’s policy actually helping
the “little guy,” rather than fat cat bankers?
FAT CHANCE!
Average hourly earnings adjusted for inflation PLUNGED 0.7% in August — the biggest monthly decline since June 2009!
A separate report showed retail sales — excluding autos and gas — rose a paltry 0.1%. That was far below the 0.4% gain economists expected.
BOTTOM LINE: The Fed’s money-printing policies are driving commodities sky high … enriching Wall Street speculators … causing the real income of average Americans to plunge … and siphoning off growth from the real economy.
THIS is considered progress?
These guys are out of their minds!
No wonder Congressman Ron Paul told Bloomberg …
“I think the country should have panicked over the fact that what the Fed is saying is that, ‘we’ve lost control and the only thing we have left is massively creating new money out of thin air, which hasn’t worked before and it’s not going to work this time.’”
No doubt about it: As America’s great Fiscal Cliff approaches — the catastrophe that JPMorgan says will push America “head-first into the fiscal meat grinder” — the storm clouds are darker than ever.
