Bob Chapman on Radio Liberty 11-08-10
Bob Chapman - America Needs Tarriffs!Bob Chapman wrote in the International Forecaster of November 10th 2010 ...:``..The Fed has signaled that it will buy bonds, anything they wish to buy. That in turn will force interest rates lower and encourage borrowing by business and individuals. In this process the Fed continues to expand its balance sheet, something that did not work previously. Foreign central banks cannot be counted on to purchase and incur loses and Americans won’t be buyers unless yields rise and the Fed cannot allow that to happen. That means the Fed has to mop up all bond markets and that is where the $2.5 trillion comes in. At the same time commercial banks won’t be buyers because they have to deal with Foreclosurgate and the class action and RICO suits against JPMorgan Chase and HSBC. The Fed has its work cut out for it and the result will be inflation and QE3. The Ponzi scheme goes on based on lies and the greater fool theory. The tulip mania comes to mind. The scheme is simply brazen beyond belief. Unfortunately the scheme is the only alternative for the Fed and they know it won’t work. If we are correct, then that big meeting will be held to devalue, revalue and to default on a multilateral basis. If the US has the gold they say they own then it can return to the gold standard and remain the world’s reserve currency with all dollar holders paying the price. Revealing a Keynesian system that doesn’t work, but has kept the elitist bankers and Wall Street in power for almost 100 years. This meeting will also bring down world stock markets and a 30-year bull market in bonds. The losses will be gigantic and crippling....``
