A reader asks; Are the owners of the Fed trying to crash the markets?

Is the Fed trying to crash the market by raising interest rates?

Creating six trillion dollars, didn’t they expect inflation? Are they fighting a losing battle?


I doubt the Federal Reserve is trying to crash the markets per se, since too many are observing its actions and it would immediately get the blame if the markets did crater. Rather, I observe that its owners and handlers are working through its Federal Reserve to transform the common man’s ways of life going out to the Great Reset and to accelerate the elimination of the last vestiges of our personal and financial freedoms.

A regime of higher bond yields and short-term interest rates work to consolidate the wealth and power into the hands of those who are able to withstand higher costs of capital. Small businesses and wage earners will continue to get pummeled all decade long out to the Great Reset.

It still pays to be an asset owner, whose assets generate income. Those who own the income-generating assets will be able to increase their income through the continual escalations in the cost of living. Thus, I recommend stocks that continue to generate earnings and dividends for their holders. I continue to recommend single-family rentals as rental income will continue to increase for those who are not over leveraged. I observe how the prices of sports teams continue to escalate as their owners just pass the costs along to their fans. In terms of residential real estate, I expect house price to household income multiples to continue increasing over time.

I submit that the Fed will have to relent eventually and that its current ostensibly hawkish stance is mostly for show. The Federal government continues to increase its fiscal deficit spending post-covid and since there is no additional organic demand for the all this added debt, the FED will eventually have to step in to absorb the excess. When and how it decides this remains to be seen, since no one in the Fed hierarchy is demanding the federal government curtail its profligacy.

It’s become increasingly clear that the Federal government has absolutely no desire to curtail its fiscal spending. We need to keep in mind that this additional debt generation provides collateral to own other assets. So, while we recognize the plateau in the traditional money stock measures, all of this extra debt provides collateral to purchase additional assets and will cause ongoing inflation.

To make matters worse, there is an increasing unease within the trading and investing communities regarding this elevated deficit spending, which is accelerating the loss of confidence in the individual nation-state central banking concept. This loss of confidence will begin to manifest and has already shown up in the rising velocity of money measures.

Investors and economic stakeholders will continue to have less of a desire to hold on to their cash and will turn it over more quickly. Even if the money stock measures flatten out at this elevated level, inflation can still remain above target for quite some time and the common man’s ways of life will continue to diminish and suffer as he struggles to pay his bills. The common man is stuck with higher borrowing costs without the ability to increase his balance sheet and passive income cash flow that only income generating assets can provide him. The wealthy are able to offset more effectively this increase in borrowing costs.

Thus, I wouldn’t say the Federal Reserve is trying to crash the markets. Rather, I would say that its handlers are trying to crash the concept of the individual nation state. Through this Hegelian process, I see a global financial system emerging out of these manufactured crises. It will seem almost natural like the morning following the night.

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3 thoughts on “A reader asks; Are the owners of the Fed trying to crash the markets?

  1. I like to thank you for your wonderful insight. If you were not a kind Christian you probably could charge a lot of money for this.

    My gut feeling is that the Fed will NOT allow a stock market crash as too many wealthy people own stocks. The only possibility I can imagine the Fed sinking the stock market is to consolidate the wealth from the top 10% to the top 1%. This could happen after the force majeure which is still a few years away.

  2. https://www.terminaleconomics.com/wp-content/uploads/2024/06/Jobopenings.jpg

    Seems the job market is beginning to normalize post-covid. Bloomberg says immigration has been a positive outcome and that these new immigrants take the jobs no one else wants. Bloomberg is a synagogue of Satan charter member.

    All this immigration since 1980 (over 100mm low-end losers) has only helped to accelerate the reduction in the wage base. All these immigrants work for next to nothing and are essentially the slaves referred to in Revelation 13. The slaves are now employed working the jobs that were once decent paying for the average American 50 years ago. I marvel at how little these multi-colored rabble get paid. The synagogue of Satan Jesus warned us about destroys the livelihoods of everyone else who have lived here and built up the country.

    The Pauline Christians say this is hate speech.

    1. Obviously the SoS is trying to mold our minds to favor the increased immigration and overlook the destruction of our white European Christian culture due to influx of these colored non English speaking mongrels entering our nation.

      CNBC has a very similar article promoting the greatness of immigration.

      The SoS wants to soften us up to accept these uneducated mongrels in our society.

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