Feds monitizing debt...what's the result?

[ibjamming]

OK...the Fed just provided $600 Billion for the economy...add that to the money already created during the bailouts, and the other Qualitative Easement...what do you think the future holds?

The government is printing money like it's free.

The value of the dollar goes down (as evident in Commodity and Precious Metals prices) and consumer prices go up. Oil hit almost $90 a barrel...that means gas will be over $3 in a few weeks. High gas prices started (IMO) the last big plunge...will it again? Food prices will soar around the holidays as the prices for grains have soared. Coffee, sugar, they're all up. Because the dollar on the world market has lost significant value...because we keep printing money.

You can't believe the inflation numbers because they leave out energy and food...incidentals have not inflated, but food and energy, the two things you NEED, have.

Gold and silver prices are exploding (I'm double long both AGQ and DGP) with no end in sight as the fed has stated that "there is no limit, stock prices must rise". There is NO downside (I'm also double long the Dow DDM).

China will no longer be the biggest holder of US debt...it will be "The Fed"...a bank holding the most. We are the biggest holder of our own debt.

America is officially bankrupt...it, last week, decided it's OK to use one credit card to pay off another.

It's looking scary out there again....any thoughts? I already have a bunch of stuff from the last scare. I ask because I'm seriously considering increasing my silver holdings...physical silver.

Does the government have something up it's sleeve? CAN it get out of this debt? I'm thinking that it won't, but being too big to fail...a "world currency" will be established, things will "reset" and life will go on. Prices for everything being much higher.

Or...things could go the way of Germany and you'll need a wheelbarrow full of dollars to buy a few groceries...whatever they happen to have available. At that time, silver coinage should hold a lot more value. A 1964 silver "dime" is now worth about $2...a "regular dime" would still be worth .10.

So what do you think?

 

[Guywithoutajeep]

Didn't a bunch of the bailout money already get paid back?

http://www.nytimes.com/2009/08/31/business/economy/31taxpayer.html

 

[SpasticGramps]

The stock market will keep going up. Everyone will rejoice that their 401K is going up while unbeknown to them they will be getting poorer because the dollar will become more and more worthless. Once the currency war goes into full swing all countries will begin to devalue their currency to remain competitive as they are doing now. Eventually the fiat money system will collapse as paper money backed by nothing but debt becomes worthless. The price of commodities and physical gold and silver explodes. Hyperinflation ensues.

America cannot numerically pay off it's debt. Once China and the other countries abandon the dollar as the world's reserve currency and realize that American Treasury Bonds are Junk status the Fed will loose control. At that point it's anyone's guess. The days of corporate and social welfare will be over. A new system will arise from the ashes. Creative destruction at it's best.

Have a great day everybody. lol

 

[coyoteattack]

i heard they're working on a north american currency to rival the euro. definitely feels like things will HAVE to change soon, too many people are getting informed and getting angry about the state of things(the fed, big government, yada yada). Hopefully things will change for the better, but i have some friends stocking up on ammunition and other nessecities should the system fail.

 

[Zen Master]

gas has been above $3 for years now, and the USA has been bankrupt for even more years now.....


hell in a handbasket.... ya'll think Obama and/or politicians mudslinging is bad, just wait till after this holiday season when all the seasonal help is let go, plus the poor sales reports from this holiday shopping, plus the people getting let go off unemployment.

Then foreclosures will peak even higher than before, all while the dollars are worth less and there's political infighting over control, meanwhile the general public wastes away economically.

there is no positive news on the economic front. A mere slight uptick in any area and we are all of a sudden in a "recovery". haha yeah right.

what we need to do is create wealth through exports imo. And what does the USA build that cannot be sourced elsewhere for cheaper? not a whole lot.

taking a dollar from your neighbor to put in your bank account doesn't bring us into a recovery, its just creative accounting, something the USA is (unfortunately) getting better at every year.

the worst is yet to come, I promise.

 

[PuReKnOwLeDgE]

economics is a science, every action has a reaction, and these dudes know exactly what they are doing....if our dollar collapses and they try to sell us a "north american dollar" it is because they wanted it this way.

 

[Vash]

OK...the Fed just provided $600 Billion for the economy...add that to the money already created during the bailouts, and the other Qualitative Easement...what do you think the future holds?

The government is printing money like it's free.

The value of the dollar goes down (as evident in Commodity and Precious Metals prices) and consumer prices go up. Oil hit almost $90 a barrel...that means gas will be over $3 in a few weeks. High gas prices started (IMO) the last big plunge...will it again? Food prices will soar around the holidays as the prices for grains have soared. Coffee, sugar, they're all up. Because the dollar on the world market has lost significant value...because we keep printing money.

You can't believe the inflation numbers because they leave out energy and food...incidentals have not inflated, but food and energy, the two things you NEED, have.

Gold and silver prices are exploding (I'm double long both AGQ and DGP) with no end in sight as the fed has stated that "there is no limit, stock prices must rise". There is NO downside (I'm also double long the Dow DDM).

China will no longer be the biggest holder of US debt...it will be "The Fed"...a bank holding the most. We are the biggest holder of our own debt.

America is officially bankrupt...it, last week, decided it's OK to use one credit card to pay off another.

It's looking scary out there again....any thoughts? I already have a bunch of stuff from the last scare. I ask because I'm seriously considering increasing my silver holdings...physical silver.

Does the government have something up it's sleeve? CAN it get out of this debt? I'm thinking that it won't, but being too big to fail...a "world currency" will be established, things will "reset" and life will go on. Prices for everything being much higher.

Or...things could go the way of Germany and you'll need a wheelbarrow full of dollars to buy a few groceries...whatever they happen to have available. At that time, silver coinage should hold a lot more value. A 1964 silver "dime" is now worth about $2...a "regular dime" would still be worth .10.

So what do you think?

Damn, so somebody IS listening. Props to you,bro. I thought I was the only one stackin' silver. Been waitin' for a "pullback", but it doesn't look like one is in sight. Was gonna turn my gold into silver. IMO PM's are going thru the ROOF! "Bubble" Ben Bernake is printin' that money like there's no tomorrow. The dollar has no where to go but DOWN. I could go on and on about this "TITANIC" economy. As a matter of fact, first chance I get I'm liquidating my TSP plan(just like the 401K). Getting rid of ALL my paper money. Just keeping enough for monthly expenses. People are asleep. There are a lot of very good clips on YOUTUBE that will explain it all because mainstream media is feeding us pure SHIT. Trust me. Thanks for the thread IBJ. You know the REAL deal.

 

[SpasticGramps]

Lots of "awake" people in here. That's good. No one wants to be caught with their pants down once the SHTF. I got silver bullion bars in my floor safe that is cemented in my garage.

The mainstream media serves one purpose and one purpose only. To feed us shit and keep us in the dark. The game is to keep everyone confident and spending every last penny they have on shit they don't need. Once confidence in the current system is lost a new one will replace it.

Off with their heads 2.0 a la the French Revolution.

 

[ibjamming]

Well I ordered some more silver...1oz blanks. APMEX.com seems to be the best deal around. I had my finger on the trigger for a bag of 90% dimes (what I already have) Friday but today they're gone! And a few hours later, the BIG bags are gone too. I had to settle for the blanks. Who knows, maybe someday a few of them will buy me a car!

Yup...this is a continuation of the "Great Recession"...soon to be "Greatest Depression". We never came out of it. There were some accounting tricks to get the public to pay for the failed mortgage debts, but nothing else "really" improved. The govt/media (one and the same) lied, and continues to lie.

The SAME things are happening now that happened right before the last crash...EVERYTHING went up except jobs and pay. People stopped paying. Many already HAVE. Oh, and to top it off...the 99 week unemployment starts running out in Jan. Unless it's extended AGAIN...add another 4 million without money. The difference this time is Ben has VOWED to keep the stock market going up. WTF...the fed is guaranteeing the market? I'm in. The day you hear a rumor that the fed is stopping QE2...sell/short!

The Main Stream Media just cruises along...not a WORD about how fucked up this move is to peoples wealth. If you've got a "savings" account or CD making 1-2%, you're LOSING right now, every month, about 15% annually. How? The government is DEVALUING the dollar EVERY time it does a bailout or "injection". When the fed adds $600 billion...the value of your dollar goes down by that amount divided into the total. Right now, today, with all the programs...it's about a 15% "devaluation"...which means it's really inflation.

Oh well...I've got the seeds that matter...Someone will trade me something nice for some kind bud.

Good luck to us all!

 

[statusquo]

I definitely agree with ya. I have been looking heavily into palladium (NOT platinum) and gold bullion. At this point I would much rather have physical confirmed gold - not some representative piece of paper that's supposed to be a placeholder for it. Companies have already been caught saying they have WAY more gold than they do and selling excessive shares that they couldn't cash out with physical gold should the need arise. Also got to be careful about the gold plated tungsten (similar metallic properties) bars in circulation. About 15 years ago (alan greenspan anyone?) a bunch of these were made and IIRC some went to Fort Knox and remain there still, and some went into international circulation so heads up.

 

[Tony Aroma]

To answer the original question, the end of civilization as we know it.

Actually, it's just one contributing factor. Face it, our civilization, like every one that has come before, will someday end. All civilizations have a beginning, middle, and end, and ours is currently entering that end stage. Just look at what happened in the last few hundred years of the Roman Empire to see what's in store for us. Only things move a lot quicker these days. While the Roman Empire was around for over 1000 years, ours will be lucky to make it to 250.

And the cause of our decline will be the same as it was for Rome. A country can't buy more than it sells, any more than an individual can spend more than they make. We no longer produce anything in this country. We buy lots of stuff from other countries, but sell them virtually nothing in return. That means money goes out, but none comes back in. Doesn't take a genius to know that can't go on forever. Nor that the simple solution is for us to start producing stuff again, stuff that the rest of the world wants to buy. Sadly, the people running our country won't realize it until it's too late, if ever.

 

[SilverSurfer_OG]

Ya hyperinflation.

Then we will be told - "See our experiment of freedom and prosperity was a massive fail. Now we need a cashless society where every transaction is recorded so this will never happen again" Something along those lines. Throw in a couple more 9/11 type incidents and the sheeple will be crying out for more "govt. protection". Which really equates with total and complete tyranny. Enter stage right the one world currency the Bancor... kinda rhymes with something...

Thats the plan anyway.

I will not submit.

 

[Greenstar420]

I've been tracking silver and gold all year and damn have they blown up. want to buy more silver but wonder where it will top out at, wish i would have gotten a shitload more earlier this year when it was $15per oz.- I like the metal you can hold in your hands. fuck paper money these days.

 

[Guywithoutajeep]

Read this article from the Economist about quantitative easing.

http://www.economist.com/node/17417742?story_id=17417742&CFID=147544291&CFTOKEN=12339786


Our civilization will not end any time soon. Humans will conquer the universe.

 

[Iron_Lion]

gas has been above $3 for years now, and the USA has been bankrupt for even more years now.....


hell in a handbasket.... ya'll think Obama and/or politicians mudslinging is bad, just wait till after this holiday season when all the seasonal help is let go, plus the poor sales reports from this holiday shopping, plus the people getting let go off unemployment.

Then foreclosures will peak even higher than before, all while the dollars are worth less and there's political infighting over control, meanwhile the general public wastes away economically.

there is no positive news on the economic front. A mere slight uptick in any area and we are all of a sudden in a "recovery". haha yeah right.

what we need to do is create wealth through exports imo. And what does the USA build that cannot be sourced elsewhere for cheaper? not a whole lot.

taking a dollar from your neighbor to put in your bank account doesn't bring us into a recovery, its just creative accounting, something the USA is (unfortunately) getting better at every year.

the worst is yet to come, I promise.

^ all true.

Very scary times in the US, think back 5 or even 10 years, the US has changed so much in such little amount of time. We went from "america fuck yeah,lets bomb some arabs" spend happy americans to everyone is broke, stressed out and depressed.

I watched my parents suffer thru the last "recession" in the early 90s and now as an adult Im living it myself, I almost think it might even be worse. I've watched all the factories in the area close, vacant signs go up in every other store front, it looks grim. I honestly cant see things getting better anytime soon, if anything I only see it getting worse. Every day I wake up I have a little bit more of an anxious feeling in my gut.

I even see the prices of weed coming down slightly, when weed prices go down you really know shit is bad.

I think back to like 2001-2002 when everyone had those stupid american flag things attached to their car door window, dont see too many of those around these days

 

[RetroGrow]

Voodoo economics.
Stagflation, Japanese style is where we are headed.
Our so called "leaders" are flying around in private jets trying to "fix" things.
But they're fixing things only in their favor.
This can't end well.
Overpopulation means the breakdown of all systems, including economic.
We've already destroyed the environment.
The oceans are open sewers.
There is no fix, other than to limit the world population.
This ponzi scheme of more people to sell stuff to is collapsing.
A total failure of leadership, starting with our own clueless president.
What are we supposed to do?
Walk around with bags of gold and silver?
Everything is a bubble, and it's all going to burst.
No jobs, yet our government continues to invite more of the masses to pour over our borders.
"Give us your tired, poor and homeless" is an idea who's time has come and gone, yet political correctness prevents our fearless leaders from discussing the real problems.
Too many people, and not enough to go around for everybody.
But we have plenty of videos and celebrities to keep people distracted while Rome burns.
Really kind of a hopeless feeling, as our government's idea of creating jobs is building more prisons to lock more of us up, so we can hire more prison guards, and buy more helicopters for fly overs, and now backscatters to watch our every move.
Things have gotten so bad, I don't even know what to say anymore.
Good thing we know how to grow our own herbs.
Maybe we can all move to the mountains?

 

[VirginHarvester]

Makes me sick to think about what they have done, the position they have put us in. Eventually we will understand how much wealth has been siphoned out of our country by manipulating interest and inflating our currency which reduces its value.

Have we been robbed?
http://zerohedge.blogspot.com/2009/05/federal-reserve-can-not-account-for-9.html

http://www.independent.org/blog/index.php?p=2339

I have to hand it to Grayson on this. But why no follow up? We should all be demanding answers, although not sure we really want to see the carnage.

 

[SilverSurfer_OG]

I agree with you 99% Retrogrow. I just feel the overpopulation is a myth. For instance if every person had a 1/4 acre of land they could implement permaculture systems, feed themselves and not be part of the problem. I put it down to bad leadership and greed.

Ultimately it is a battle between good and evil.

 

[zenoonez]

What is the alternative guys? You think that anything less than printing bills like its going out of style is going to fix what has happened? Hell I am glad they did what they did because I would rather have 10 years of stagflation than a complete and utter collapse of the banking system worldwide. We stood on the brink people. I mean really we just stared worldwide economic collapse in the face and if this hyperinflation or stagflation is what it takes us going through to have the chance to recover from it, then so be it. Oh and be VERY bullish on silver over then next 2 months. The profit potential in silver is higher over said time because in truth silver has been undervalued as people grabbed up and bought into all the gold companies. However, I will warn, when the market truly begins to recover, not the win lose win win lose cycles we are in now, then sell everything you have in silver, gold, and anything else other than stocks because when wallstreet feels safe again it is going to be as if stocks were shot out of a gun. Stay safe out there people.

 

[robbiedublu]

What is the alternative guys? You think that anything less than printing bills like its going out of style is going to fix what has happened? Hell I am glad they did what they did because I would rather have 10 years of stagflation than a complete and utter collapse of the banking system worldwide. We stood on the brink people. I mean really we just stared worldwide economic collapse in the face and if this hyperinflation or stagflation is what it takes us going through to have the chance to recover from it, then so be it. Oh and be VERY bullish on silver over then next 2 months. The profit potential in silver is higher over said time because in truth silver has been undervalued as people grabbed up and bought into all the gold companies. However, I will warn, when the market truly begins to recover, not the win lose win win lose cycles we are in now, then sell everything you have in silver, gold, and anything else other than stocks because when wallstreet feels safe again it is going to be as if stocks were shot out of a gun. Stay safe out there people.

Are you serious? "Printing money" is not going to fix anything, ever. It's just going to make every dollar you've ever saved or any pension you've earned worth less and less. There is no "chance to recover". The ultimate outcome will be default. The longer we extend and pretend and deny the worse it will ultimately be.
I agree with buying silver but I will never sell mine. If the price drops I buy more. Precious metals are a store of wealth and a way to transfer wealth to your kids, not an investment.
Have you looked at buying volumes and insider selling on wall street? Very few shares are actually being bought and insiders are selling shares as fast as they can without crashing prices. Insider selling vs insider buying has been multiple thousands and even 10s of thousands/1 for weeks and weeks.
You need to take off your rose colored glasses, stop watching cnbc and main stream media, and read zerohedge if you want to really know whats going on and more importantly, whats coming.