8/9/2011 Portland, Oregon – Pop in your mints…
Something extraordinary happened today. The FED, one day after the worst stock market crash in the series of stock market crashes to which we are doomed until the problem of too much debt is dealt with, came out and announced that it would hold overnight rates under 0.25% for at least two more years.
This is the ultimate stimulus measure, money will continue to be free, let the final stage of the mad scramble for resources begin. With this statement, the FED has confirmed that the currency will be destroyed. Plan accordingly!
We saw a chart at the Wall Street Journal site today which was entitled “Downward Dow.” The name hearkens to the canine/yoga position better seen that described:
The FED sees what is going on and is taking a long, running, Charlie Brown style kick at the Downward Dow before it. Unfortunately for us all, like Charlie Brown, Ben and the gang are going to whiff on the Dow, which is more likely to lie down than resume its forward gait, and pull a hamstring in the process.
In other words, the FED, with today’s statement, has severely injured itself and will do nothing more now than sit on the sidelines and hand out free money. With Congress paralyzed, the helicopters (the FED member banks) will be in charge of dropping the money on the populace.
Helicopter Phase is here!
Stay tuned and Trust Jesus.
Stay Fresh!
Email: davidminteconomics@gmail.com
Key Indicators for August 9, 2011
Copper Price per Lb: $3.97
Oil Price per Barrel: $79.75
Corn Price per Bushel: $6.78
10 Yr US Treasury Bond: 2.33%
FED Target Rate: 0.08% TIGHTENING? NOT!
Gold Price Per Ounce: $1,750 PERMANENT UNCERTAINTY
MINT Perceived Target Rate*: 2.00%
Unemployment Rate: 9.1%
Inflation Rate (CPI): -0.2%!!! PULL OUT THE HELICOPTERS!!!
Dow Jones Industrial Average: 10,826 TO THE MOON!!!
M1 Monetary Base: $2,012,200,000,000 RED ALERT!!!
M2 Monetary Base: $9,226,100,000,000 YIKES!!!!!!!
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