The Federal Reserve is keeping interest rates at artificially low rates through their monthly purchases (80 Billion of Treasuries and 40 Billion of Mortgage-Backed Securities). If and when the FED starts to gradually reduce their monthly purchases, then there should be an increase in interest rates. The FED knows that they are responsible the surge in equities and real estate. The FED also know that equities and real estate will crash without their continued intervention. How long will this intervention go on. Your guess is as good as mine. The Fed has one job and one job only. To strip the wealth from the people and concentrate that wealth into the hands of a ruling oligarchy,and they are performing admirably... just look at what has been accomplished since the start of the pandemic... We are approaching the end game... and that was always going to be messy... Yet the Federal Reserve officials have called inflation transitory. For The Fed to suggest that inflation won't be a problem is to ignore the reality on the ground. Inflation is tearing this country apart, it is killing what is left of the middle class. The Federal Reserve HAS REMOVED and DENIED the people the ability to SAVE their way to any financial stability. Earn and save at a fair return, for the car and the house, then invest;those were the steps. Now, go borrow, and leverage.If you save YOU WILL BE PUNISHED, not by free market forces but by decisions made at the Fed by the unelected and unaccountable. Welcome back to The Atlantis Report. You are here for your daily dose of the truth, the whole truth, and nothing but the truth. Please take a second to hit the like button, hit the subscribe button, and don't forget to also hit the notification bell. Thank You. America is bankrupt. Fiscally, America is kaput. America is broke. The Public Debt situation is presently the worst since World War II. America’s big problem is that there are too many welfare queens; Both corporate and personal. The productive cannot support the non-productive anymore. Simple math. The ones who should really be afraid are the ones who can't live without a government nipple in their mouth. Unfortunately, there are a lot of those types, because government policy has been to create as many dependents on government as possible. 50 YEARS OF GLOBALISM CREATED A COUPLE OF HUNDRED BILLIONAIRES AND BANKRUPTED EVERYONE ELSE. 1913 THE YEAR CONTROL OF THE ECONOMY WAS GIVEN TO FOREIGN BANKS. 1963 KENNEDY HIT, THE YEAR THE MIDDLE CLASS WAS ASSASSINATED. $40 Trillion of pension funds invested by wall street in China alone. $29 Trillion of debt run-up. Thirty million US jobs offshored to China, including 6 million Manufacturing jobs. One hundred million immigrated into the US in the past 50 years. - 50 million illegals. 63% of all immigrants now on welfare, and the rate increases every year. Two million green cards and H1B visas per year to drive wages down. $40 trillion paid in welfare reparations with zero effect. America is broke, China is worse, The E.U. is toast, and Russia, even if not in as much debt, is not far behind. If we catch a cold, the world gets pneumonmarknow that much. The debt storm approaches, slowly, then all at once devours everyone. No one shall escape! America is the Titanic and it is sinking in an ocean of debt. Here are some figures about the insane level of debt and taxes in America. Total mortgage debt rose to $9.4 trillion; $1.48 trillion in Student Loans;2.5 Trillion dollars in other consumers' credit-related debt. Total auto debt in Q2 of 2021 is 1.3-trillion. Credit-card loans crossed the $1 trillion marks. Corporate debt is at record highs standing at $10 trillion, and they continue to increase. The U.S. is running up its debt over a trillion a year with 29 trillion already on the books and promises to its retirees and social security recipients of another 200 trillion. We passed the signpost some years ago, and into the Twilight Zone is where we are headed. Wall Street has reported record profits this year. Average bonuses for bankers have risen by as high as 40 percent from last year. And that's hard to hear for everyone on Main Street suffering the effects of the global crisis. The banks want us to pay their bad debts. They are not too big to fail; they are a bunch of money junkies that want every penny we worked for. And here is more sickening food for thought. Americans owe over 11 Trillion dollars in home mortgage debt (and that's just for 1 - 4 family, it does not include multi-family and commercial mortgage debt!). That number was only 2.6 Trillion in 1990, now 30 years later it is over 11 Trillion. AND we owe over 2.5 Trillion in another consumer credit-related debt (cars, boats, R.V.'s, credit cards). Credit cards make up a little less than 1 Trillion of that 2.5 Trillion total. That number was up from 800 Billion in 1990. So, just in home mortgage and consumer-related debt, we owe almost 14 Trillion dollars on assets that are very likely worth less than we paid for them! What's worse, we do not pay the low, low-interest rates on our debt that the government spends on its debt. When the Federal Reserve lowered interest rates in 2008 to fight the recession — giving consumers more incentive to pursue the typical three-to-five-year loan for autos — it kick-started a trend that has held true today. Auto loans continue to increase because of low-interest rates. Student Loans; They continue to escalate, growing to a record $1.48-trillion in Q2 of 2021, up to $73 billion from the same juncture in 2018. When the federal government assumed control of the student-loan program , replacing the previous administrator , costs were cut, and the availability of education assistance was increased. The loans are guaranteed, and it's seemingly a win-win — lower interest rates to encourage higher education — although the rise of student-loan debt has been staggering. Credit-card loans crossed the $1 trillion mark, reaching $1.08-trillion. Credit-card debt, considered revolving debt because it's meant to be paid off each month, is only 26.2% of the total liability (after accounting for 38% of the total debt in 2008). When the Bankruptcy Protection Act of 2005 was passed making it more difficult for people to file for bankruptcy, there was a turn toward credit cards in a desperate attempt to pay bills. So credit-card debt soared, reaching its all-time peak of $1.028-trillion in July 2008 (an average of $8,640 per household). Most of that debt was due to unexpected medical bills. Credit-card use took a hit during the recession, falling more than 10% in each of the first three months of 2009. Banks followed suit, cutting back on consumer lending when the Dodd-Frank Wall Street Reform Act increased regulations over credit cards. By April 2011, credit-card debt fell to $839.6-billion, a figure that has remained somewhat flat, although the average American household still owes $8,398. People are freaking out about the national debt, but at least the government can tax and print money. And how about state debt. While Americans as a whole carry significant amounts of debt, each state has its own unique problems. The makeup of state-specific debt reflects not just the national economy but also factors like unemployment rates, the worth of homes, and the cost of college. Credit policies long pursued by central bankers based on the Keynesian Model of rising inflation have brought the United States to the brink of economic collapse. Even wealthy nations cannot afford to live beyond their means to support Progressives' "social justice" welfare programs. Nearly all the developed world is at the "Keynesian End Game" and the end of the dollar UNLESS we find a wholly new source of national wealth. Globalization and "free trade" agreements have led to the outsourcing of well-paying jobs from the advanced nations and a boost to the growth of developing countries. Unless reversed, this trend will continue to the detriment and ultimate collapse of western economies. We must become net exporters and keep balanced budgets. Due to the current misguided policies, unemployment is going to climb and will probably stay high for years to come. We need job-friendly, business-friendly, PROFIT-friendly policies that lure jobs back to the U.S. and keep people from going out of business and encourage people to start businesses! What they are proposing is just the opposite. Scary, scary stuff indeed. The power of finance was the power of debt. Bank credit takes future prosperity and moves it into today. This can be useful. To allow business and industry to expand now, rather than later. To allow you to buy a house early in life, and make use of it, rather than later, when you don’t have long to go. Unfortunately, it has been used the wrong way during globalization. Using future prosperity to inflate asset prices today. Real estate does make the economy boom, but there is no actual wealth creation in inflating asset prices. This is what is really happening . When you use bank credit to inflate asset prices, the debt rises much faster than GDP. The bank credit of mortgages is bringing future spending power today. Bank loans create money, and the repayment of debt to banks destroys wealth. In the real estate boom, new money pours into the economy from mortgage lending, fuelling a boom in the real economy, which feeds back into the real estate boom. The Japanese real estate boom of the 1980s was so excessive the people even commented on the “excess money,” and everyone enjoyed spending that excess money in the economy. In the real estate bust, debt repayments to banks destroy money and push the economy towards debt deflation (a shrinking money supply). Japan has been like this for thirty years as they pay back the debts from their 1980s excesses, it’s called a balance sheet recession. Using future spending power to inflate asset prices today is a mistake that comes from thinking inflating asset prices creates real wealth. GDP measures real wealth creation. Policymakers didn’t realize bank credit impoverished the future as they thought banks were financial intermediaries, but this is not true. The central banks started revealing the truth in 2014 , about 35 years too late. Before 2008, the bankers brought future prosperity today, and everything boomed. The claims on future prosperity built up, out of sight and out of mind. Once it became apparent, these claims on future prosperity could never be met. A financial black hole opened up that was ready to swallow the Western financial system whole. Banking should be so easy. Bankers get to create money out of nothing, through bank loans and get to charge interest on it. What could possibly go wrong? Bankers do need to ensure the vast majority of that money gets paid back, and this is where they keep falling flat on their faces. Banking requires prudent lending. If someone can’t repay a loan, they need to repossess that asset and sell it to recoup that money. If they use bank loans to inflate asset prices, they get into a world of trouble when those asset prices collapse. It’s nearly $14 trillion pyramids of super leveraged toxic assets that was built on the back of $1.4 trillion of US sub-prime loans, and dispersed throughout the world. All the President's Bankers. When this little lot lost almost all its value overnight, the Western banking system became insolvent. Wall Street can turn a typical asset price bubble into something that will take out the global economy using leverage. I cannot stress the importance of KNOWLEDGE - it outweighs temporary preps every time! We could have civil unrest, economic collapse, or world war - or all three at once! Think Critically my friends, time is short! And Since banks give me zero interest for my savings, I have zero interest in banks, and I keep all my cash away from any financial institution. I know by doing this, I'm halfway there in being prepared. This was The Atlantis Report. Please Like. Share. Leave me a comment. Subscribe. And please take some time to subscribe to my backup channels, I do upload videos there too. You'll find the links in the description box. You will also find a PayPal link if you want to make a donation. Thank you wholeheartedly to all those of you who have already donated. Stay safe and healthy friends!
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