Bernanke - The Great Deceiver

How would you recognize the most evil "person" on Earth? According to many historical texts certain literature, you should look for a brilliant, enigmatic public figure, a Fuehrer, who has a positive influence on the world, transforms it... for a while. Basically, the last person you'd tap as Satan's human emissary, as Jesus' nemesis.

In Jesus freak eschatology, the Antichrist is a person or other entity that is the embodiment of evil and utterly opposed to truth...
or a "legal personality", usually used to flip n' fuck expandable human capital.



So if you watch the History Channel's 2-parter "The Antichrist" (2008)... watch between the lines. If there is an antichrist, look beyond Arnold and Dubya - the Antichrist is supposed to be a great speaker:) Charismatic? What did that nurse pastor say? - and try to find out 1) who's robbed your savings, 2) why they tax your salary, 3) how many letters are in the profitable legal name...

The Fed

Shout out to the great charismatic board of directors deceivers of the Federal Reserve. You rule!

P.S. In case you want to know why it's highly likely that we'll see yet another black Republican, i.e., neo-con in the White House, remember the keywords: Evengelists, [New Life Church], and arrogant Head-Fundi-in-Charge Faggard Haggard - The Holy Clown.

Beware of the Late Reserve Currency

You honestly think the Fed is wising up? They are not because they don't have to. Obviously there is a great risk to the stability of the US Dollar if that corporation "who" goes by the name of Federal Express Reserve continues to turn its back on the greenback and sacrifices it as the first choice by fucking around with rates to mask problems. Our rates are really only decided based on bullshit economic data that is contained in fishy reports -- they say one thing -- "Fight inflation ... protecting the value of the US currency" -- but do the exact opposite: Fight deflation by killing the buck ...

"I do believe the days of the US Dollar being the reserve currency of the world are coming to an end. However, that doesn’t mean that it should be thrown away (in favor of the Amero). Hopefully, we can see some of our American purchasing power return and at least a HINT of free markets. If not, there is always Canada!" ~ForexHound.com

The Fed is not about the common man, not about real value, and not about to fight inflation ... because their real enemy is DEFLATION... till the endgame? (After the endgame is before the endgame!)

Stockhouse members discussed some of the finer points of currency valuations. "Beware the Amero."

Interesting comments:

"I'll start with the obvious: USD is toast. I just hope that the Amero doesn't come to fruition. I would leave Canada in that case. [...] All money outside of gold and silver is valued by decree. They're FIAT currencies. Ultimately their worth, defined by confidence to hold your assets denominated in that currency, is backed up by the willingness and the capacity of the government to ensure re-payment upon demand, or upon agreed terms."

BTW, this chart illustrates real power perfectly. Any club that can get away with this ... shouldn't be fuck with -- funny when you hear fellow serfs or rappers talk about being untouchable. This is the mothership!

New Video: "Meet the Federal Fockers" (2008)

A new video featuring Ben Bernanke, Federal Reserve Chairman, and Jerry Nelson, Corporate Communications for the Federal Reserve with Gary Franchi, Managing Editor of Republic Magazine. Bernanke is questioned about the Amero and Nelson reveals some little known facts about the FED. Is it really a private bank? Is the Amero on the horizon? What were US Notes printed by John F. Kennedy? Is our money toxic? What happened to the gold in the Treasury? These questions and more are answered in this expose' about the Federal Reserve System, from the mouth of the Federal Reserve. Go to MeetTheFED.com and watch "Meet the Federal Fockers" aka

Meet the Federal Reserve - Toxic Cash 1/3

Part 2, Part 3

Things to google: North American Union, Amero, Lou Dobbs NAU, Creature from Jekyll Island, ... Kennedy Dollars, Liberty Dollars, Title 12 Sec. 411

Gold Good ol' days:

"In 1933 the U.S. Treasury had 20,000 metric tons of gold. The Federal Reserve sold the gold reserves to the US Treasury, purchased with 30,000 x $100,000 bills."

The Austrian Endgegner

Impossible predictions aside, it seems fair to say the US dollar will be a mere shadow of its former self by 2014 (if recognizable at all in its new form). If we aren't on some kind of pure gold standard by that time (an extremely tough logistical nut to crack), we could be on some type of digitized commodity standard instead, under which the currency units in one's bank account are tied to an intrinsic-value basket. One resourcebuck = a fixed allocation of 30% precious metals, 30% base metals, 20% energy, and 20% timberland. Or something to that effect.

Whatever happens, it's important to keep hold of the fact that the world does change. Many things will stay the same, but others will look quite different... including global monetary policy.

The Austrian Endgame

Returning now to the recent past (mid August actually), your Macro Musings editor still has a sore fist from pounding the table for gold stocks. Specifically we said the following:

We feel gold stocks could put in a triple or quadruple from current levels -- over the course of months to years -- and it isn't clear when the move will begin in earnest. Given that it could be sooner rather than later, we think it's time to buy.

The timing was indeed "sooner." Gold stocks took off like a rocket within a few weeks of that call... the price of gold itself adding a none-too-shabby $50 per ounce or so.

Patting one's self on the back makes for a sprained shoulder, so we'll say little more there. It just seems prudent to add, in this discussion of golden milestones, that we are no johnny-come-lately to the bullish gold argument.

Events of the past few years have played out in classic fashion, just as the Austrian Endgame (a personal term) predicted. Here we quote from an explanatory note to readers, penned by yours truly, back in August 2005:

The [Austrian Endgame] is rooted in a basic observation of Austrian economics, articulated by Ludwig von Mises:

"There is no means of avoiding the final collapse of a boom expansion brought about by credit expansion. The alternative is only whether the crisis should come sooner as the result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved."

Here is how it works:

1. In attempting to stave off recession or depression, the powers that be induce a credit boom through monetary stimulus.

2. The following boom is enjoyed at the cost of a massive debt buildup.

3. Excesses of the credit boom eventually lead to inflationary pressures.

4. The powers that be find their hands tied; they cannot kill rising inflation without killing the debt-laden economy at the same time.

5. The Fed's choice thus becomes take real steps to reign in inflation and destroy the economy, or let inflation run and eventually destroy the currency.

Anchors away

We are now heading into the thick of stage five. The sharpest evidence for this is gold above $700 (on the way to new all-time highs), the dollar at fifteen year lows (bye-bye long term support), and loud clamoring for a Fed rate cut from nearly all parties, even as the greenback is getting pitched headfirst down a well. (There is plenty more evidence too of course. Those are merely the most visible symptoms.)

~by Justice Litle (Consilient Investor)

Dollar breakdown would probably not concern the Fed...

"As far as we can tell, the current gold rally is being driven primarily by fears that the debt crisis will lead to a breakdown in the Dollar Index and secondarily by the contraction of liquidity. And unlike surging inflation fears, a breakdown in the Dollar Index would probably not concern the Fed at this time. We therefore don't see the Fed as the main threat to the gold market's short-term upside prospects. The main threat is that the Dollar Index fails to do what just about everyone is expecting it to do and, instead, begins to trend upward."

~Steve Saville, The Speculative Investor

"But what of the U.S. dollar? After all, once the printing presses fire up to full speed, and the Fed Funds rate begins to ratchet steadily downward, won’t the Chinese and other non-U.S. holders of our 6 trillion dollars show their displeasure by ridding themselves of the things, driving the dollar down even further? Surely that can’t be allowed. Can it? In a call with long-time friend Clyde Harrison, one of the most seasoned and sharpest players on the commodities scene (he invented the Rogers International Commodities Index Fund), he quipped to the effect of, "We’re in an election cycle and the foreign holders of U.S. dollars don’t vote. By contrast, the U.S. voting public is up to its neck in debt. When push comes to shove, the dollar will be sacrificed. [...] And central banks? Won’t they try to keep gold down on the farm? After all, if it starts to take off, as we continue to feel is inevitable, won’t that risk expose the fact that the emperor’s clothes are made of paper that fall to pieces in the first moderately heavy rain? Yes. And so we will expect to see more announcements of central bank sales. But the impact this trick has on the price of gold will be diluted with each new announcement. In time, announcements of further sales will be met with cries of legitimate outrage by citizens concerned their central bankers are trading away their only tangible holdings. The dollar is headed toward the sacrificial altar, with a knife made of gold. Sooner or later, the central bankers will have to throw in the towel and just let gold run. These are not ordinary times and the outcome likely won’t be ordinary either." ~The Internationl Speculator, 9/11 2007

...to be eliminated

"The only real reason for gold to go higher is if investors feel that it will hold its value better than other forms of money. For instance, if you lived in Zimbabwe today and were offered an ounce of gold or a brown paper bag of rapidly depreciating Zimbabwean dollars, what would you take? (Hint: take the gold; inflation in Zimbabwe is so bad that a roll of toilet paper now costs over $200,000.)
But the world doesn’t trade off the back of the Zimbabwean currency unit. That honor belongs to the U.S. dollar which, as you are no doubt aware, has evolved into the de facto reserve asset of virtually every central bank in the world today.
That the unbacked currency of one country is now the core holding of all the countries in the world is unprecedented in the history of the world.



[...] Monster chickens, the product of decades of proliferate spending, will eventually come home to roost on a shaky house of cards. The monetary crisis that will follow will eliminate the U.S. dollar as a serious competitor to gold… the only asset that has withstood the test of time as money. And we are not talking decades, but millennia." ~David Galland

Read the whole article: "Lessons from History: The Simple Path to Resource Riches" and say NO to U.S. Dollars and YES to real value, i.e., the gold and silver currency!

"It shames the stench of rancid meat"

At this point in time, one has to consider the efforts of good, decent Americans over the past 90 some years regarding the income tax and where we are today with the inescapable fact that (1) the dollar may not survive; (2) foreign countries own our debt and don't want any more; (3) Congress and Bush are not going to stop what's coming when that first wave of baby boomers begin retiring next year; (4) Congress will do nothing about the IRS because they need it or an alternative scheme; (5) the courts are so rotten and corrupt, only a miracle will save you anymore on an IRS case and the big one (6) the North American Union/SPP and a push for something called the Amero. Let me add the ten ton elephant which is going to break the back of this government and economy: the incalculable price tag of our aging population and medical care. I've written about these issues before while Congress simply continues ignores this ten ton elephant standing in the middle of the room. At some point, the IRS becomes useless because there isn't enough money in the universe to pay these debts. At some point printing up even more worthless Federal Reserve "Notes" will also run its course to stave off the inevitable.

"Taxation follows public debt, and in its train wretchedness and oppression." ~Thomas Jefferson to Samuel Kerchival, Monticello, 1816

(Source:"THE IRS, AMERO AND THE BATTLEGROUND FOR LIBERTY" by Devvy Kid)