Is The FED Tanking the Markets?

Here we go again with everyone blaming the FED and interest rates for tanking the markets.

While we’re not big fans of the Federal Reserve (FED) we don’t believe they’re responsible for market volatility like yesterday’s 574+ point beat-down.

But, as usual, Wall Street’s bought-and-paid-for media presstitutes blamed FED chairman Jerome Powell’s comments about interest rates as the reason for the decline.

In a nutshell, Powell said interest rates would likely continue rising amid a “bumpy” process to bring down inflation.

Translation:  GET OUT OF BONDS

We’ve been pounding the table for several years about why should shouldn’t own bonds and especially bond funds.

READ the Following:

1. Bond Funds Are Trapped  December 10, 2017
2. Are You Trapped in a Bond Fund?  March 5, 2020
3. Bond Market Tremors = Why Banks Don’t Trust Banks  February 24, 2020

But this all lines up with our call about the Sovereign Bond Default that’s taking place round the world.

Huh?

That’s right.

In case you’ve missed it, governments – including and especially the good old USA – are bankrupt and will continue to default on their sovereign debt.

How can that be, you ask?

Do the math.

Our current debt is approaching $32 Trillion with our GDP lagging at $26 Trillion.

It is mathematically impossible for the US – or any other nation – to pay off their debts.

So, in order to hide the reality of an impending default Wall Street plays the “Blame the Fed” game.

And at the same time, the Banksters are forcing WW3 – via the proxy war with Ukraine – as the real excuse to default on our debt.

FED NOT Tanking the Markets

Despite its dubious origin, the FED was created as a way to stabilize the markets.

Ironically (or NOT) they’ve accomplished that over time even at the expense of raising rates to their historical high 40 years ago.

And most people still don’t’ realize that the FED is NOT a government agency.

It’s a private corporation.

READ: Top 3 Reasons to NOT Hate the Fed November 20, 2021

Powell is caught in a Catch 22.

Because he must raise rates to bring inflation under control.

At the same time, the bond markets will get destroyed after interest rates were the lowest they’ve ever been in over 5,000 years.

So let us remind you that we’re still in The Most Hated Bull Market in History.

And as bond owners around the world get crushed, billions will find their way into stocks.

Learn how to prepare AND profit from it in our March edition of “…In Plain English” (HERE).

Share this with a friend…especially if the think FED is the cause of all their problems.

They’ll thank YOU later.

Remember: We’re Not Just About Finance

But we use finance to give you hope.

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