Gold sits tonight at $1,389.80 and Silver sits at $26.58. Both have seen drastic rises during the day as a result of the Federal Reserve's overt action to create liquidity to further prop up the Megabanks, both domestic and foreign. The Fed is going to buy $500+ billion in U.S. Treasury Bonds (Federal Reserve to print billions of dollars in massive shadow stimulus - By Agence France-Presse - Tuesday, November 2nd, 2010). This is nothing other than monetizing the debt (Currency Devaluation). Rampant inflation is on the way in staple commodities (Food and Energy)-- worse than we have already seen. The economic system is failing and the World Central Banks and Governments are only making the issues we face a lot worse. We need to face our Economic difficulties head on and the Federal Reserve is simply trying to paper these issues (Derivatives and Mortgage Backed Securities) over. This will not reopen the credit markets or add jobs. It also won't help individuals deal with their own personal credit crunches. As a matter of fact it is going to make all of that much, much worse.
Former Assistant Secretary of Housing under George H.W. Bush Catherine Austin Fitts blows the whistle on how the financial terrorists have deliberately imploded the US economy and transferred gargantuan amounts of wealth offshore as a means of sacrificing the American middle class. Fitts documents how trillions of dollars went missing from government coffers in the 90's and how she was personally targeted for exposing the fraud.
Fitts explains how every dollar of debt issued to service every war, building project, and government program since the American Revolution up to around 2 years ago - around $12 trillion - has been doubled again in just the last 18 months alone with the bank bailouts. "We're literally witnessing the leveraged buyout of a country and that's why I call it a financial coup d'état, and that's what the bailout is for," states Fitts.
Massive amounts of financial capital have been sucked out the United States and moved abroad, explains Fitts, ensuring that corporations have become more powerful than governments, changing the very structure of governance on the planet and ensuring we are ruled by private corporations. Pension and social security funds have also been stolen and moved offshore, leading to the end of fiscal responsibility and sovereignty as we know it.
The Race to the Bottom - April 29, 2010