I was in florida visiting my parents a few weeks ago. they have a group of friends they meet at a panera bread. it was pretty interesting group. former college professors and military officers were among them, as well as two professional investors and a couple money managers as well. most of them had pretty good sized nest eggs conservatively invested and they could not live off the interest. Many have been invading the principle and were very worried about how much longer they had and their friends had. Odd, being the good people they were, they did not see why this was happening to them. In fact one of the group had a ton of money invested in banks and did not realize that the reason for the low rates was that his major banks were probably insolvent because their commercial real estate holdings were a lie. I thought to myself if this group is getting so hammered, imagine what was happening to most seniors. Note not all in the group were hammered. Two were long oil gold and silver.
The problem is quite simple. There is a massive transfer of wealth from the middle class to the banking system orchestrated by the Federal Reserve Banking System. The Fed is stealing from the middle class, and even the upper class, in broad daylight and there isn't a darn thing anyone can do about it except an act of congress disbanding the Fed, which is highly unlikely to happen.
i've asked you to explain this, but you keep ignoring it. there is a direct correlation between the dollar and oil. it can't get any more direct, i don't think. furthermore, you can correlate the same dollar movements to other commodities in food and metals. so unless you're going to try to argue (and i would love for you to try) that the federal reserve does not have much effect on the value of the dollar, it's check mate. your argument is totally bogus and blatantly false. we all see it.
<i>Two of the defining geoeconomic trends of the past two years have been surging oil prices and a falling U.S. dollar. Of late, these trends show an increasingly tight correlationâwith the falling dollar mirroring the rising price of oil.</i> http://www.cfr.org/international-fi...tion-between-oil-prices-falling-dollar/p16569
I used to be a supporter of Bernanke but now I believe he is either confused and does not udnerstand that the value of the dollar is the major force behind everything and that you can have unemployment with inflation and low wages, or he is doing all these for a purpose I do not understand.
Yep. History will not be kind to this administration. I bet Jimmy Carter has popped open his last case of Billy Beer in celebration. The mantle has been passed.
Maybe if the Big Banks marked-to-market all those nice assets from the housing bubble it might become more transparent....