News & Analysis
Central Bankers Gather in Fearful DC Huddle
Fed Hosts Global Gathering on Easy Money ... The world's leading central bankers have spent much of the past few months putting out financial fires and launching measures aimed at recharging the global economy. On Friday, they will gather here to gauge the impact of their easy-money policies—including whether the controversial bond-buying strategy known as "quantitative easing" is a good weapon to keep in their monetary arsenals. A number of researchers say it is, despite nagging doubts. Quantitative-easing programs "stimulate the economy by reducing credit costs," concludes Mark Gertler, a New York University professor, in a paper he will give Friday. The conference is sponsored by the Federal ... – Wall Street Journal
Dominant Social Theme: We wish to discuss ways to make it clear that our methodologies are sufficient and our mentalities are superior.
Free-Market Analysis: It is all falling down about their heads and now they are meeting in Washington DC, fearfully, to try to decide what to do next. Nothing the money printers have done has stemmed the growing, global depression. But they have to do something. The system itself seems in jeopardy.
These meetings are reported as if they are pleasant business get-togethers, but they are more like evidences of a criminal conspiracy. The reason they fly in from far and wide is probably because they don't want to use electronic communications for fear of being overhead or tapped.
This is not how it is presented in the mainstream media, of course. The bought-and-paid-for media will position today's meeting as a convocation of great minds, technocrats dedicated to the highest ideals – administering private funds for the greater public good.
It's a kind of power elite dominant social theme, that the good, gray bankers are selflessly carving out careers that aim their talents at providing systemic financial stability. Billions around the world profit from their calming hands at the tiller of the financial system.
In fact, this perspective is nothing but a fear-based elite promotion. The idea is that if these good, gray men were NOT available, the world would crash and burn as surely as if it had been smashed by a large comet.
Nothing could be further from the truth. Monopoly fiat central banking is ITSELF the main source of instability in the world today and has been a growing problem ever since it was invented some 500 years ago.
Today, central bankers wrap themselves in the flag of the state. Most central banks – and there are some 150 around the world – are carefully mercantilist, relying on state mandates to provide their chicanery with legitimacy.
The Federal Reserve is one such bank, legitimized by the US Congress in 1913 and supervised by Congressional hearings and presidential appointments ever since. The proper word to describe this sort of hybrid public-private arrangement is mercantilist.
Central bankers derive their legitimacy from the governments they serve and try at all times to give the impression that their services are rigorously high-minded and focused on the public good.
This public/private formulation has served the great central banking families rather well in the past century, during which time central banking has swelled from a handful of countries to some 150, run by the Bank for International Settlements out of Switzerland.
As there are now 150 or so central banks around the world, it is impossible to continue to maintain that this monetary priesthood is constructed of a single ethnic or cultural component. In fact, what central banking may most remind a skeptical observer of is a criminal syndicate or crime family.
Lately, thanks to what we call the Internet Reformation, the power of central banking is beginning to wane. Their manipulations are increasingly exposed and the negative effect of their "policies" is increasingly a matter for public debate.
The exposure of the manipulations of central banking has proceeded apace on the Internet. It has resulted, generally, in calls for transparency and even for turning central banks into entirely public entities.
Of course, this would solve nothing as politicians are ALREADY involved with central banking around the world. And if central banks retain their monopoly fiat power, then the generation of monetary inflation is simply transferred from a public/private monopoly to an entirely public one.
The top banking families, in fact, don't care if government administers monopoly fiat or if it is done by quasi-private entities. Via mercantilism, pulling the levers of government behind the scenes, the top elites can control society either way.
What they DO fear, however, is that central banking may be done away with entirely. Monetary competition is likely what they fear most of all – the idea that society be free to create a variety of monies all used together and without central supervision.
This formulation would do away with the current monetary monopoly that is so destructive. Central bankers would lose the ability to stimulate and re-stimulate economies by printing more and more money.
Of course, the REAL reason for all this money printing is, over the long term, to crash and debase the financial vitality of the Western world generally. The power elite that wants to create global government believes that economic chaos must be implemented before a new, universal government and its money can emerge. This is apparently the plan in place now.
But it is one that is increasingly exposed. And the more the Internet's alternative media exposes it, the more uncomfortable the plotters become. When they meet now, it's probably to discuss damage control.
That's what we figure they'll be doing in Washington today. Damage control. No, they won't be talking about the "impact of easy-money policies," or not in so many words. What they WILL be doing is trying to figure out how they can stay in charge and continue to conceal the large-scale financial manipulations they've undertaken.
The choice for the power elite is stark: Either control the transition or the transition controls YOU. Of course, the great dynastic families that control central banking around the world have precipitated this crisis, in our humble view, so it is no surprise that they should seek to steer it.
People in government around the world use the force of the state to gain wealth and power. They then cover up their misdeeds by claiming that revelations would jeopardize people's safety and security.
But by now the system itself is simply so rotten that it attracts criticism on a regular basis. The basic inequality that people have noticed – thanks to electronic communications – is that while they lose their jobs and houses, central bankers continually print trillions to support each other's bankrupt enterprises.
This comes across as a basically immoral procedure – as indeed it is – and the longer the current recession/depression continues the angrier people get.
Lately the Western mainstream media – controlled by the same elites that control central banking – have taken to proclaiming that Western financial difficulties are coming under control and that unemployment is diminishing.
But this is only making people angrier, because they can sense this is not so. And on the Internet they can read entirely different interpretations of reality.
For this reason, the power elite is facing a conundrum. The powers-that-be have worked diligently over the past century to put in place a system that regularly destroys economies through monetary inflation, depression and further centralization.
This system is supposed to result, inevitably, in world government and a single world currency along with a single, mighty central bank, judicial system, military, etc.
The problem the elites face now is that central banks – and banking – has been exposed. Thus, they are in a position where they must actually find ways to use this destructive system to promote the health of the system that they are seeking to destroy.
This is no doubt why they are meeting in Washington DC. Since every central banking facility including quantitative easing is ultimately destructive it is very hard to try to reposition the system in ways that are ameliorative.
Central bankers talk about "sterilization" and other forms of removing paper money from the system. But ultimately, there really are none. Central banks are large money printing machines. That's what they are set up to do. A crack dealer doesn't walk around confiscating drugs. Neither do central banks, when "push comes to shove."
This is the big problem that central bankers are meeting about in Washington DC today. They are trying to figure out how they can reposition their banking efforts so that they continue to appear to be helpful even as they shred what's left of the world's economy.
Only a decade ago, the plan to rule the world was succeeding wonderfully. People simply didn't understand their sovereignty, wealth and power was eroding thanks to endless amounts of monetary inflation, recessions and subsequent centralization. Today, thanks to the Internet, they do.
Monopoly, fiat central banking is a fairly brutal and simple process. People are tricked into feeling wealthy, capital is misapplied during the subsequent boom and eventually a bust comes along and the central bankers and their enablers and associates rush in to pick up the pieces.
Conclusion: But the trouble is that the Internet has exposed this process for all the world to see. And that's a pretty brutal and simple process as well.
Posted by bob on 03/26/12 12:06 AM
The Federal Reserve Banking system is just another form of a centrally planned and/or managed economy.
Any central planning system has one vital mission it does not like to mention: it is to protect, defend, and to enrich the ruling elite at expense of the rest of a society.
Benny boy proudly mentioned that the FED prevented many failed banks to go bankrupt. Therefore, the FED was aggressively promoting & rewarding fraud, thief, and incompetence. Well, it is not a good way to promote and maintain a healthy economy or a stable political environment!
Consequently, any central planning economy is destiny to collapse since it is inherently promoting special ruling elite interests at the expense/detriment of the entire society.
Posted by Danny B on 03/25/12 12:20 AM
If you've seen the movie with Sandra Bullock, "The Net", you can see just how easy it is to erase a person.
Click to view link
I correspond an a regular basis with Dick Eastman. This morning, both of his e-mail addresses had been deleted from my yahoo mail contacts.
Imagine a world where the slightest provocation of GOV could bring erasure of any part of one's life history or possessions. Imagine if you posted a link that was not acceptable.
Click to view link
Like the "smart meters" that can be switched off remotely, your life could be switched off. You could end up hiding out in Bolivia like Roy Tov.
THAT would be the ultimate control.
Something more pleasant. Click to view link
Posted by nithsdale on 03/24/12 05:21 PM
To expostulate on happenngs is not to endorse them but to eliminate confusion since they are upon us!
What is now proceeding in electronic "banking" has been a steady process from the beginning, well publicied even to intent. The fact that so many clever people, particularly those called "economists", missed the directives is what I find strange.
I know that it is an old ploy to field an opposition at the same time you promote a new direction... .in popular parlance, it is known as "divide and conquer"!
We are moving into Ordem Novus and there is nothing anyone can do about it. We are all hooked in the system, roped in and there is no way to get out of this corral.
The internet promised us life without paper and it is about to give it to us! It is not the boon so many thought it would be. I have no doubt that when it gets going with full steam, we, the people, will receive daily notices re our "account" and how we can amend our misuse of it! They will not even have to include "or else"! If we do not heed it, there will be no plus in our personal account to pay for anything!
We have been dealing with genius and we have shown we are dolts!
Posted by nithsdale on 03/24/12 05:04 PM
The credit card companies, including AE, never asked for what was in bank accounts. Their credit worthiness was based on employment data.
It will be no different with the new electronic data system. The preliminary was set when credit scores were devised, those "Mark of the Beast" we all have now! That system was an extension, perhaps to be an elimination, of the whimsical limits we all had with the credit cards. I still recall news films showing average Joes flipping dozens of cards for the film and boasting about how much money they could "charge" and their income was a small fraction of it, a condition the old line bankers never would have allowed!
We have been moving towards an economic system based on the capitalizing of human life for a hundred years now. It began with "baby bonuses" after WWI, when Europe sought to encourage population growth to restock their ravaged areas, and moved to the Americas when Canada took it on to build its stock for its enormous open country. Since then it has grown apace with all manner of subsidies for child development, including infant feed and school lunches, clothing allowances. Here in the United States we have over 200 programs just giving out money along these lines and we have capped the whole effort with college loans for students. In essence, we have "capitalized" human life. All that remains now is to get the pay back started!
This is what electronic money will accomplish. As you earn, you will pay and if you try to not pay your "fair share", you will lose income. It is the ultimate in people control and a very clever form of slavery since, theoretically, we will all be in the same boat! Comrades in Arms Forever.
This is why the internet was released by our government. It brought the whole world in, in a flash, and everyone bought into it with great celebration! It also allied our givernment with all the developed nations of the world, and many of the developing nations since all governments have been searching for the perfect system to keep their peoples in line. In essence, it has eliminated all controversy among the competing world governance philosophies!
Welcome to the New World, the Change promised. It took three centuries for the "Masons" to build the world they set in motion with the United States of America!
Posted by Jeanna on 03/24/12 01:20 PM
Amex, VISA, M/C all provide a service to their customers by allowing credit to trade whether with a seller in their local community or one in another country. The value of that credit is determined by the currency in their bank account, and their payment history. A customer's good credit is not the value of their currency. It is the value of their money that is being destroyed by the central bankers. The more the currency deflates, wealth is destroyed, and therefore less credit available to trade.
The bankers will do everything they can to keep their power and destroy our wealth, what little we have left. Just because they want to move all wealth to digital electronic accounts means they want the power to track every transaction, and to be able to control those digits. This is not innovation, just more of the same.
Posted by the_IRF on 03/24/12 08:39 AM
Thanks for the clarity of insight from this post, Danny B.
Oh, and i loved the guitar music link, about a flower growing out a 10 sq. ft. back-yard-garden and blossomed into 100 flowers. Interesting counterpoint to the wonderful foreboding demise of all this money horse-pucky stuff that your post carried forth.
And with that, may i once again raise a toast to Mirthful Irreverence Everywhere.
Posted by the_IRF on 03/24/12 08:23 AM
Wonderful article, staff.
I find the fear that many currencies will compete for value in the market place to be most interesting. There is a newly arrive 'pressure' present to this illusion. It is driving everything to the sovereignty of its singular vibration. Mixing vibrations, as in jamming the whole world into one currency under a single NWO government is diametrically opposed to the 'direction' of this 'pressure' of which i speak. So, will this 'pressure' win out? Yup.
The crowd mentioned in the article above were, apparently, told about this some time ago:
"ATTENTION : BILDERBERGERS"
There is additional concurrent and interesting dialogue ongoing at:
Click to view link
[you will have to read the rules of the forum and register, etc.]
Posted by Danny B on 03/24/12 12:16 AM
I forgot to link to something nice.
Click to view link
Posted by Danny B on 03/23/12 11:26 PM
This is from the Daily Reckoning;
"It's going to be the biggest fire sale in history - and it begins in 2012.
Europe's banking sector holds 2½ times as many assets as the U.S. banking sector. It's huge. And it's in big trouble. Europe's banking sector needs cash - mountains of cash.
As a result, it will have to sell more than $1.8 trillion of assets, which will likely take a decade to work through. For perspective, it sold only $97 billion from 2003-10. 'The list of asset sales is the longest I've seen in 10 years,' says Richard Thompson, a partner at PricewaterhouseCoopers in London. "
The cash total needed for rollover in about the next year for both public and private organizations is about $ 17 trillion. I posted it earlier but have lost the exact numbers.
The banks need to dump huge amounts of assets. The more they dump, the lower they drive the prices for subsequent offloads. Prospective buyers will wait until the banks are really desperate. This will slow the process down even more.
As the asset prices get lower, this will drain capital from equities, gold and bonds.
Corporations are sitting on $ 1 of cash for every $ 4 of debt. Cash will flow to tangibles.
World GOV needs to rollover about $ 7.6 trillion in bonds this year.
Click to view link
Japan needs $ 3 trillion. Fukushima is going to get much worse. Industry is deserting Japan. So, japan will be the first to blow.
Portugal is a forgone conclusion and Spain can't avoid the queue. The Eurozone appears to be the next in line.
America has a huge amount of 90 day paper. The axe could fall at any time.
Martin Armstrong believes that the order is a bit different. We'll see.
Click to view link
The banks are in desperate need of cash and they will offer tangibles. The GOV is in desperate need of cash and they will offer,,,,,,,,,,DEBT. Who gets the prize?
The banks will offer tangibles and GOV will offer negative-interest bonds.
Should GOV offer decent interest rates, debt service will jump from about $ 1.5 billion a day to about $ 4.5 billion a day.
The investors understand compounding interest,,, even if we don't.
Click to view link
The investors understand that GOV will eventually have to choose between supporting voters OR defaulting. Pastor Williams said that a default would occur in 2012.
Dr. Fekete was absolutely clear about the bond buyers deserting the market.
"The Fed is no longer in control. It is lunacy to believe that it can stop the avalanche that it started so easily in the early 1980's. Today the speculators are the only buyers after China and other exporters to the US bailed out of the US T-bond market. Speculators will keep buying the bonds as long as they can reap risk free profits. It is true that 'quantitative easing' cuts into that business, as the Fed is buying bonds directly from the Treasury, bypassing the open market (another illegal practice). Watch for the day when the speculators will start dumping bonds and selling them short. When they transfer their buying from the bond market to the commodity market, the game is up."
Click to view link
"Transfer their buying from the bond market to commodities".
Commodities are overbought already. That is the only thing that has prevented an exodus from bonds. When this huge firesale of tangibles hits the market, cash will flow out of sovereign bonds.
When investors see a definite outflow from sovereign bonds, the MOTHER of all shorts will happen. Sovereign bonds are already showing weakness. Large scale shorting becomes an unstoppable avalanche.
It's possible that the meeting of the CBs is to determine at what point GOV will default OR what point they will desert the sovereigns. The 2 are twined but, that might not keep them from fighting.
Posted by Danny B on 03/23/12 09:14 PM
I can see that you have put a lot of thought into your analysis of universal electronic credit. Sounds like a good idea at first glance.
In actuality, it is 2 orders of magnitude worse that the Diebold voting machine.
There is NO system that is a reliable store-of-value in electronic credit. Ask the Argentines what happened to their pensions.
Let me be clear;
Power attracts the already corrupted.
Here are the people who will have final control of your digital wealth.
Click to view link
It's bad enough, having to rely on a paper-trail. Imagine your life having to depend on a digital trail.
Posted by taxesbyanyothername on 03/23/12 08:36 PM
They may all be disguised as humans.
Posted by terrang on 03/23/12 07:14 PM
But of course. The evil octupus Goldman Sachs. And Bob Rubin, one of the three ethnic stooges, along with Alan Greenspan and Larry Summers, who conned a Congressional committee in 1998 to ignore the CFTC's demands that derivatives be regulated before they brought down the economy. Of course, the CFTC under current management, not the courageous and wise Brooksly Born, failed to regulate and audit Corzines MF Global.
Posted by terrang on 03/23/12 07:08 PM
I respectfully disagree that the power of central banking is waning. It is a fraud. It is bad for western and world civilization, but I do not see it going away.
Noted that Benranke (sic) was on the cover of the Atlantic, of course I would not bother to buy or read the story. Central bankers in district offices are being quoted recently for their thoughts such as the big banks should be broken up etc.
Benranke and the Fed is still fawned over by the controlled business and mass media press.
I agree tens of millions are aware of the evil of central banking and its criminal behavior. But that is not a big enough dent in 300 plus million Americans and the six or seven billion world citizens.
All the things that we know on this board are still not grasped by the majority... not even close yet.
Posted by nithsdale on 03/23/12 05:20 PM
For such advocates for the internet to continue to support outdated theories is remarkable!
The meeting of the banksters is not to prop up or save the old system, gold, silver, money printing. That is all passe! It went out with the first credit instrument which began to leverage it all out of existence and that happened a thousand years ago. We have been following a new route ever since, sending people and things all over the globe, not with cash in their pocket, but with letters from one leader to another asking forbearance and accommodation of a visitor to be returned when the host becomes a visitor too. This simple act of hospitality initiated an emormous world trade in almost everything Man requires for life in all his Eras!
Some of you call the system Free Trade and many have assumed it was Free for their taking, not giving anything back but it was the givers that kept it going for the benefit of Mankind, not the takers.
The system has had enormous innovation from the start but most new ideas came slowly, were accepted at a snail's pace but they happened. Even as the Venetian traders opened the Orient to Europe a thousand years ago and transformed that continent in just a hundred years, well the last hundred we have lived in has beaten the Venetians' record by transforming the whole world with its innovations. In fact it is being called The American Century!
How did we do it? We were lucky. After WWII, we had a world on our hands without functioning governments, currencies et al and so we set out to try to fix the situation. American Express had a hand in it. They had a product that could be accepted in any area of the world like money because it was not money and therefore did not step on cultural toes, but was a certificate that insured value for value anywhere anyplace. The real money people thought it would never fly but it did... how high we are just begnning to realize.
American Express invented universal credit. Paper became pastic, as in credit cards, and less and less real money changed hands in transactions that grew into the billions in our times, all just electronically now, but by telegraph and by hand before. The vast majority of sales in nations, across borders and oceans are just figures on a balance sheet and they count!
How have you all missed this?
The banksters are meeting to finalize the use of credit accounts as the value transfer of the New Age. That's right, you have been reading about how a small device clipped to a mobile phone can transmit or deduct instantly "money" in your account for any sale or purchase you can consummate. Try doing that with gold and silver, even paper money as you buy something!
The meeting you disparage will bring forth a new economic order only in the sense that it is more instantaneous than all the innovations that went before. It has its drawbacks in that geniuses will abuse it, criminals will divert it and governments misuse it but in the main, more people will like it than dislike it and that is what trade is all about. You have to take a risk in every contract but so far, despite those who abuse ideas, more cotten to them and somehow the losses get lost in the satisfaction of a deal or trade well done!
Schools of economics go wrong when they become doctrinaire, governed by some genius at persuasion, cutting off all consideration of what is new and working. Trying to put parameters, fences on people involved in billions of transactions, insisting rules are the thing, has led to more civilizations disappearing. Perhaps that is why so many schools exist. There appears to be more thrills for the men in our society to bring something down than there is in keeping it soaring!
Posted by EdwardUlyssesCate on 03/23/12 02:24 PM
With the group hug picture at the top of your commentary,
I couldn't help but think of Benjamin Franklin's quote:
"We must all hang together,
or assuredly we shall all hang separately."
Or as in John Law's example, how they'd all feel about
dressing-up as women to escape their countrymen and
the hangman's noose.
Posted by rossbcan on 03/23/12 02:19 PM
DB: "Nothing the money printers have done has stemmed the growing, global depression. But they have to do something."
... what else can be expected from criminally insane, greedy "addicts of the unearned" but a prescription for "more of the hair of the dog that bit them"?
The grim reaper of "Mathematics of Rule" simply and efficiently proves exactly how WRONG they are and how severe a collective survival threat they represent to peace and civilization:
Click to view link
THEY are running amok, out of control and, history makes it clear that when sociopaths are at the helm, it is far past time to "rock the boat" and, if neccessary, sink the ship of state, before it sinks all of us.
Afraid? THEY are TERRIFIED, cornered by their own lies and behavior, with no way out. Such feral, cornered creatures are VERY DANGEROUS, a hazard to themselves and all others.
Posted by steveg on 03/23/12 01:17 PM
An article on "Central Bank Connections" at link below:
Click to view link
Posted by Welkom on 03/23/12 11:22 AM
Who are these people? Is there a list out there that shows the country they are based in and who they are? Perhaps a campaign by petition will finally alow them to realise that stupid lives where they are, not where we are.
Posted by Jeanna on 03/23/12 10:39 AM
The Central Banks haven't been exposed enough. I am astounded every day by people in my town, and my country, by their absolute ignorance, and their willingness to continue so. They will wake one day to the realization they have been deceived, but that does us no good now. Everyone of these people meeting today in Washington should be put on trial and found guilty of theft and extortion, and be put in the general prison population they helped create.