One has to wonder if Ben Bernanke and his crew of pirates are expending precious grey cells working out a way to corner the gold market since average American moos are now using a new gold ATM in Boca Raton, Florida (and awaiting one in Las Vegas)?
The ATMs, which dispense gold coins and bars weighing up to eight ounces at prices updated every 10 minutes based on the real-time spot price of gold, churn out 20 to 100 gold pieces a day depending on traffic.
WHAT is it going to take for America to realize that The Federal Reserve is a worse case of smoke and mirrors than the Usurper-In-Chief? WHAT? Since American Idol is getting bumped for AIG Bonuses and Chris Dodd, the distraction continues. Get ready for hyper-inflation folks – it is on it’s way. If you haven’t bought gold, silver, and two of everything that you are purchasing right now; better start doing it.
WASHINGTON: The Federal Reserve sharply stepped up its efforts to bolster the economy on Wednesday, announcing that it would pump an extra $1 trillion into the financial system by purchasing Treasury bonds and mortgage securities.
Having already reduced the key interest rate it controls nearly to zero, the central bank has increasingly turned to alternatives like buying securities as a way of getting more dollars into the economy, a tactic that amounts to creating vast new sums of money out of thin air. But the moves on Wednesday were its biggest yet, almost doubling all of the Fed’s measures in the last year.
The action makes the Fed a buyer of long-term government bonds rather than the short-term debt that it typically buys and sells to help control the money supply.
But there were also clear indications that the Fed was taking risks that could dilute the value of the dollar and set the stage for future inflation. Gold prices rose $26.60 an ounce, hitting $942, a sign of declining confidence in the dollar. The dollar, which had been losing value in recent weeks to the euro and the yen, dropped sharply again on Wednesday.
In its announcement, the central bank said that the United States remained in a severe recession and listed its continuing woes, from job losses and lost housing wealth to falling exports as a result of the worldwide economic slowdown.
“In these circumstances, the Federal Reserve will employ all available tools to promote economic recovery and to preserve price stability,” the central bank said.
What did he say? “…promote economic recovery…”. Is that why we have had a great depression and some 12 recessions since The Fed started managing our economy, printing our money, and loaning it back to us at interest?
In addition, the Fed said it would buy up to $300 billion worth of longer-term Treasury securities over the next six months. That would tend to push down longer-term interest rates on all types of loans.
Is this their idea of reassuring China that our debt is good?
All these measures would come in addition to what has already been an unprecedented expansion of lending by the Fed. The central bank also said it would probably expand the scope of a new program to finance consumer and business lending, which gets under way this week.
In effect, the central bank has been lending money to a wider and wider array of borrowers, and it has financed that lending by using its authority to create new money at will.
Since last September, the Fed’s lending programs have roughly doubled the size of its balance sheet, to about $1.8 trillion, from $900 billion. The actions announced on Wednesday are likely to expand that to well over $3 trillion over the next year.
Okay, that’s enough. I am so *&$&*#$@# angry again I am going to be ill!
America – stop watching American Idol and stop paying attention to AIG, Dodd, Frank, and Congress. Start buying hard metals and stocking upbefore you can’t afford to buy anything.