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For years now we have been discussing this, looking for answers. Watching to see what they do, and how they try to accomplish it.
But, and a very big but it is,
We have been looking in the wrong places!
It is already here!
While certainly there will be those that do not believe it, and cannot comprehend it. From my POV it exists and it is already here.
We can all make some educated guesses here. For one, if what we see is true, for instance, the dollar sinking while the zero and yen are rising again, then that must mean that their economies are in far better shape than the dollar.
What do we have though? The zero land continues their monetary expansion and game playing with neg rates, while in yen land, abenomics is soley built to depreciate and stimulate the economy. So we are told.
While here in the US, unemployment is dropping, things are definitely better than they were in '09, and yet the dollar is sinking again. Threatening to take out important support at 92.50. Again, all else equal, this should not be happening.
Or another, 'ole yeller raised rates a few tics in Dec, and yet the dollar dropped afterwards. Now that doesn't make a lick of sense when you factor in the zero and yen activity.
An argument can certainly be made that the dollar index should be clearing 100 + or so, yet it declines.
So what gives?
One explanation or theory first espoused by BB, is that the majority of the currencies are being massaged to achieve x values. At that point it dawned on me that the currencies are no longer tied to their respective economies, but are only part of a greater group now. In that, the currency values are being maintained to achieve a relative position vs other currencies for reasons that are political or other.
This would also put a period at the end of 'ole yellers statements over the past couple of year. The reason she cannot explain her position, give future guidance, has a tendency to flip, is because she has control of exactly nothing other than title. She is taking orders and does not now what her next move will be.
Look at the other central banks around the world and their actions. As you look into it, they too are not operating as we would have believed. There has been a disconnect somewhere along the line.
Now you may ask, who would have that type of power and why would it be hidden in plain site? Great question. We have all heard of the IMF Bank (International Monetary Fund) of which the US holds a great percentage, along with the BIS (Bank for International Settlements) right? Sure we have. Now couple that with how you have seen the power they exert, whether in Greece, or any other country where they have stepped in to 'lend a hand'. They provide the rope for these countries to hang themselves.
Now if you have read this far, I have one further point. We all know about the Fed being created back in '13, 1913 that is. We know the stories, have read about all of it. It was, and they were true.........for a time. The Fed was all powerful, and is private, and was created by some very well placed men shall we say. But along game the boom, then the requisite bust, and one helluva bust it was. The Great Depression. Right fine depression if I read it correctly, or listened to the stories well enough.
It was at this time, the mid 30's, that the game was changed. The creation of the ESF or 'Exchange Stabilization Fund' :
The U.S. Exchange Stabilization Fund was established at the Treasury Department by a provision in the Gold Reserve Act of January 31, 1934. 31 U.S.C. § 5117. It was intended as a response to Britain's Exchange Equalisation Account.[2] The fund began operations in April 1934, financed by $2 billion of the $2.8 billion paper profit the government realized from raising the price of gold to $35 an ounce from $20.67. The act authorized the ESF to use its capital to deal in gold and foreign exchange to stabilize the exchange value of the dollar. The ESF as originally designed was part of the executive branch not subject to legislative oversight.
https://en.wikipedia.org/wiki/Exchange_Stabilization_Fund
So you have this new entity created that could operate freely, without oversight from anyone. This then put the Fed as the front man for the currency and economic activity. A key point in this is it allowed the real players to move out of the public arena and could now freely operate in total secrecy. The buttons of power were moved from .Fed to .ESF, where no one would follow, no one could question, and more completely, no one had a identity.
This is where the trail goes cold for me though, as there is certainly more to this than the ESF. That there are more players behind the curtains to pull this off that are ex the US. That was only the beginning, followed by JFK, then the moves of '71 and Nixon, and on to 1980 when the debt spigots were opened wide.
Before you consider this a plumb loco, and preposterous, I would only ask that you entertain it, then follow your own tea leaves.
But, and a very big but it is,
We have been looking in the wrong places!
It is already here!
While certainly there will be those that do not believe it, and cannot comprehend it. From my POV it exists and it is already here.
We can all make some educated guesses here. For one, if what we see is true, for instance, the dollar sinking while the zero and yen are rising again, then that must mean that their economies are in far better shape than the dollar.
What do we have though? The zero land continues their monetary expansion and game playing with neg rates, while in yen land, abenomics is soley built to depreciate and stimulate the economy. So we are told.
While here in the US, unemployment is dropping, things are definitely better than they were in '09, and yet the dollar is sinking again. Threatening to take out important support at 92.50. Again, all else equal, this should not be happening.
Or another, 'ole yeller raised rates a few tics in Dec, and yet the dollar dropped afterwards. Now that doesn't make a lick of sense when you factor in the zero and yen activity.
An argument can certainly be made that the dollar index should be clearing 100 + or so, yet it declines.
So what gives?
One explanation or theory first espoused by BB, is that the majority of the currencies are being massaged to achieve x values. At that point it dawned on me that the currencies are no longer tied to their respective economies, but are only part of a greater group now. In that, the currency values are being maintained to achieve a relative position vs other currencies for reasons that are political or other.
This would also put a period at the end of 'ole yellers statements over the past couple of year. The reason she cannot explain her position, give future guidance, has a tendency to flip, is because she has control of exactly nothing other than title. She is taking orders and does not now what her next move will be.
Look at the other central banks around the world and their actions. As you look into it, they too are not operating as we would have believed. There has been a disconnect somewhere along the line.
Now you may ask, who would have that type of power and why would it be hidden in plain site? Great question. We have all heard of the IMF Bank (International Monetary Fund) of which the US holds a great percentage, along with the BIS (Bank for International Settlements) right? Sure we have. Now couple that with how you have seen the power they exert, whether in Greece, or any other country where they have stepped in to 'lend a hand'. They provide the rope for these countries to hang themselves.
Now if you have read this far, I have one further point. We all know about the Fed being created back in '13, 1913 that is. We know the stories, have read about all of it. It was, and they were true.........for a time. The Fed was all powerful, and is private, and was created by some very well placed men shall we say. But along game the boom, then the requisite bust, and one helluva bust it was. The Great Depression. Right fine depression if I read it correctly, or listened to the stories well enough.
It was at this time, the mid 30's, that the game was changed. The creation of the ESF or 'Exchange Stabilization Fund' :
The U.S. Exchange Stabilization Fund was established at the Treasury Department by a provision in the Gold Reserve Act of January 31, 1934. 31 U.S.C. § 5117. It was intended as a response to Britain's Exchange Equalisation Account.[2] The fund began operations in April 1934, financed by $2 billion of the $2.8 billion paper profit the government realized from raising the price of gold to $35 an ounce from $20.67. The act authorized the ESF to use its capital to deal in gold and foreign exchange to stabilize the exchange value of the dollar. The ESF as originally designed was part of the executive branch not subject to legislative oversight.
https://en.wikipedia.org/wiki/Exchange_Stabilization_Fund
So you have this new entity created that could operate freely, without oversight from anyone. This then put the Fed as the front man for the currency and economic activity. A key point in this is it allowed the real players to move out of the public arena and could now freely operate in total secrecy. The buttons of power were moved from .Fed to .ESF, where no one would follow, no one could question, and more completely, no one had a identity.
This is where the trail goes cold for me though, as there is certainly more to this than the ESF. That there are more players behind the curtains to pull this off that are ex the US. That was only the beginning, followed by JFK, then the moves of '71 and Nixon, and on to 1980 when the debt spigots were opened wide.
Before you consider this a plumb loco, and preposterous, I would only ask that you entertain it, then follow your own tea leaves.
