Monday, January 20, 2020

Central Banks Buying up The World using Phony Money & Record Stocks Profits !!








Wall Street record highs in recent years, which were caused by the Fed's accommodative policies, and Trump's big tax reform have seen the American banks as the primary beneficiaries. Just your normal rigged economy where those who control the money end up with most of it. JPMorgan, Bank of America, Wells Fargo, and their peers have already reported record profits. While JPMorgan and Bank of America both had record years, Goldman and Citigroup had their biggest annual profits since the financial crisis. The staggering profits, coupled with upbeat commentary about 2019, may ease fears that rate hikes and trade wars will bring an end to good times for the biggest banks. America First, The electoral slogan of Donald Trump essentially proven itself in Wall Street First. And this led to the spiking of the profits of the big banks, which in 2019 have experienced exponential growth in recorded profits. Six banks alone made $ 120 billion in profits. The unprecedented leap in the indices, which gained 30% on average in the fiscal year just ended, led to an increase in the leverage guaranteed by equity investments, a sharp revaluation of portfolios, and an increase in the fees received by the major US banks. Welcome to The Atlantis Report. While economies crash worldwide, the parasite banksters engorge themselves at record levels, which is the whole reason for the crash in the first place. this is the year when the six biggest banks generated well over $120 billion in profit. -- Yeah! The super-rich is getting richer and richer while the middle-class is completely and totally disappearing. -- and markets just had the worst October since 1930, worst November since 1930 and then the worst December since 1930. $100 Billion in profit, and they don't even have to pay out interest on their saving deposits. JP Morgan alone earned $ 36.4 billion in profit, beating the record for the most substantial profit recorded by a bank in a single financial year. America of multi-billionaire Scrooges is driven by banks, the roaring engine of the new golden age of US finance. Finance that has now detached every berth that kept it tied to the real economy, feeding on repurchases of own shares by listed companies (buybacks), inflation of the indices linked to the permanent quantitative easing fielded by the Fed and the other central banks and colossal tax discounts. JP Morgan's winning recipe was the ability to ride the boom in “businesses and markets activities, which increased by 31% with immense profits on bond and fixed income trading. The situation has galvanized buyers on Wall Street, which have led JP Morgan to capitalize on 433.5 billion. To give you an idea, it is approximately equal to 11 of the major European banks: Barclays, Soc-Gen, Standard Chartered, Unicredit, Credit Suisse, UBS, BBVA, RBS, INGng, Lloyds, and Crédit Agricole. Furthermore, as media reports, US banks also dominate in Europe. The Dealogic ranking of the first nine months of 2019 in Europe, Middle East and African area sees Goldman Sachs, JP Morgan, Morgan Stanley, Citi, Bank of America in the first seven places (together with the French-American Lazard and the French-British Rothschild) for revenues forfeited in company mergers. Behind the earnings growth is the hand of the Trump administration and its tax reform, which has significantly reduced the tax rates on corporate profits and financial transition earnings. The Trump effect was calculated precisely by Bloomberg, according to which the main US banks would have earned a total of 32 billion dollars from the effects of the reform, of which 18 from the tax discounts achieved in 2019. All without adding real employment to the American market, indeed creating a distorting effect for the net loss of 1,200 jobs in the six main institutions (Jp Morgan, Bank of America, Wells Fargo, Citigroup, Morgan Stanley, Goldman Sachs) in the last two years. The banking boom is part of the more general context of the golden period for Wall Street in the Trumpian three-year period. The 500 largest companies listed on the Stock Exchange produced equity profits of 17 thousand billion, more than ever before. This allowed the Republican President to keep the electoral promises regarding economic growth, maintained on a robust average of 3%, but made it extremely dependent on the whims of finance and, above all, unequal. The toasts of the Wall Street elites to Donald Trump certainly cover the least satisfactory results achieved in the real economy, in the manufacturing industry, and in the areas of the Rust Belt, but they contribute to increasing the already problematic inequalities in the country. And so while the 400 wealthiest men in America with their wealth add up a figure about 3 trillion dollars. Their reference class pays on average less taxes than simple workers, being burdened by a effective tax rate - calculated by adding federal taxes to state and local taxes - equal to 23%, against 24.2% of the latter. Trumpnomics, as recently pointed out, suffers the perennial dualism between these two realities destined to conflict in the long run inevitably. It is unlikely that Wall Street bankers realize this in the short term. Sitting on a mountain of profits in a phase in which the american finance seems to come back to know the hybris that has characterized it in the past. The Fed will rescue until it can't. So far, it has avoided helicopter money and outright (obvious) monetization of the debt. When it appears to be inevitable, they will print enough to save the day (and the banking system) and let the dollar fail. The majority see inflation as akin to the weather...something we can only observe. They (the Fed) will allow hyperinflation to avoid the nastiness of default.Why not...it is only phony money. The US Dollar has been the world's reserve currency since Bretton Woods. Even after Nixon ended convertibility to gold, the US Dollar remained the reserve currency. The deal with the Saudis to accept payment for oil ONLY in US Dollar cemented the status of the dollar. We have maintained the status of the dollar through the use of military force. Look at what happened to any nation that tried to set up an alternative system. Nonetheless, at some point, the rest of the world will grow tired of propping up the US Dollar and will lose faith in it holding ANY value. When other nations refuse to take US Dollar for payment, the dollar is dead - and so is the US. Unless the US invalidates all US Dollar denominated holdings and currency held overseas (an act which would make the US a pariah and incapable of importing ANYTHING) when this happens, all US Dollar will come rushing back to buy ANYTHING of tangible value in the US. It is better to overpay for something than get stuck holding worthless dollars. NOTHING like this has ever happened in history. All failed fiat currencies had little use or impact outside their issuing nation. If all the US Dollar held abroad flooded back to the US, you would see the whole country bought up and hyperinflation, unlike any seen before. Americans would be homeless and starve in their own country. A few have said this is the plan all along. The US would buy up resources overseas as cheaply as possible for as long as possible. When a crisis finally hit, the US would either repudiate all US dollar holdings overseas or greatly reduce their value and use. No foreign-held dollars would be allowed to purchase US assets. Denied access to overseas goods and raw materials, the US would take advantage of assets long hidden in military reservations, national parks, and other government lands - including substantial reserves of gold. The US would then rebuild its industrial base. Personally, I don't see that happening. The US doesn't think that far ahead, nor would it try to preserve assets. There are essentially two ways the world could deal with the dollar dominance and the risks of being sanctioned by flippant U.S. policies. #1. Simply don't do exchanges in dollars, which will decrease the demand and circulation of the dollar. Less demand for the dollar will decrease its value in trade. That will also have the effect of luring other countries away from the dollar if they want your trade. #2. Or, continue to trade in dollars for now, but pass the dollars off as rapidly as you can for tangible commodities, or material goods, and don't save any dollars. Instead, convert dollars immediately into something else. That way, when the dollar crashes, you won't be holding the bag on a lot of worthless paper money and huge amounts of debts to pay off. Instead, you will have a lot of material wealth, (not toilet paper wealth), that can be traded in other currencies, or in barter. When it comes to U.S. Treasury notes, either of the situations above could cause long-term interest rates to rise further because there will be a greater supply of unwanted Treasuries on the market, and the U.S. Treasury will have to offer higher interest rates on the Treasuries it auctions to convince anyone to buy them. That will put the Feds in a dilemma, as it makes the U.S. debt more expensive for the government to pay back. That is not to mention anything about the severe impact it would have on the U.S. economy, as the feds won't be able to do any quantitative easing to spur economic growth with low-interest rates. It is literally a death/debt trap for the U.S. dollar. JP Morgan, Bank of America, Wells Fargo, Goldman Sachs, and Citigroup are the FED's owners. They are working to rob the middle-class going up and working to rob the middle-class going down. Bringing the markets UP and or DOWN, they are there to serve and to protect the super-rich and to rob the middle-class. -- That's the most important thing we need to know about them. This is why we had bailouts. This is why the FED exists. Well done, banksters! Meanwhile, 78% of American tax-slaves live paycheck to paycheck. Banks are NOT banks anymore. They are no longer intermediaries but rather give themselves access to all the fiat currency they want with no real work, no real risk, and no new collateral requirements! Those in charge might reach a tipping point where they crash the financial system for fun and profit. How exactly will the "Financial-Political Complex" coordinate this devastating crash? Will they send out an email to their exclusive list of Central Bank owners. Some have suggested this was what triggered the great recession in 2008, a massive removal of capital from the money market system, which triggered the entire crisis. The current liquidity crisis that sparked the massive Fed Repo program is quite suspicious, especially since there is absolutely no media coverage of this at all. You would think financial news would be all over it, trying to find the cause. For some reason, they're silenced, and that's when you know it is a serious matter. The 'great manipulation' mentioned is starting to falter now. Once you realize just how detached from reality the markets have become, it becomes obvious what comes next. The only reason it continues is that everyone understands the implications. In essence, what has been constructed is a financial world dead man's switch. Nobody dares poke the US right now or even point out the obvious that the markets and statistics are fake because that might trigger an implosion that will take down the entire world's existing financial system. There is more wealth to be attained, crashing an economy than there was in building it. JP Morgan knows that he who panics first panics best. This was The Atlantis Report. Please Like. Share. And Subscribe. Thank You.










The Financial Armageddon Economic Collapse Blog tracks trends and forecasts , futurists , visionaries , free investigative journalists , researchers , Whistelblowers , truthers and many more

No comments:

Post a Comment