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The Federal Reserve Has No Practical Option To End QE (by James Sinclair)
Jim Sinclair ^ | January 3, 2013 | Jim Sinclair

Posted on 01/03/2013 6:31:29 PM PST by dennisw

The Federal Reserve Has No Practical Option To End QE January 3, 2013, at 6:07 pm by Jim Sinclair in the category General Editorial | Print This Post Print This Post | Email This Post Email This Post

Dear CIGAs,

Such an announcement has been part of QE either from MSM or some Fed board member since it began. The implication of stopping QE is so dire to the economy that it is in a practical sense impossible. When gold was being sold by central banks during the 1970s market announcements were made constantly with the bias to depress metals.

There is no way that the implications and consequences of what has been done up to now can be talked or manipulated away. There is no practical way that QE can cease here or in Euroland without a total and final collapse of the financial system. Just go back to the IMF report on OTC derivatives I posted this morning. If QE ceases, the US bond market collapses and the Fed must debt monetize all required debt, which means if QE stops, it starts up again immediately and in a crisis mode.

I have to admit that if you have been a reader here for any length of time you should know this without asking me. The pressure that people unload on me during any gold reaction is downright mean.

The statement that QE can stop is simply MOPE. QE cannot stop or the world ends as you know it.

Please print this out and post it on your computer because every time the long cycle guy repeats his year old bear gold price prediction or the Fed says anything about stopping QE, you all go wild. It is embarrassing really.

If you do not understand what you are in, why are you in it?

Truman said it all when he said if you can’t stand the heat, get out of the kitchen.

The Federal Reserve has no practical option to end QE without ending the economic world for decades to come. Should that actually occur in some parallel universe, only gold will protect those citizens from the collapse of the by-default reserve currency. I am sure i have written this at least 200 times.


TOPICS: Business/Economy; News/Current Events
KEYWORDS: fed; federalreserve; qe

1 posted on 01/03/2013 6:31:34 PM PST by dennisw
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To: dennisw

Kyle Bass recently revealed a fact about our government leaders:

“They’re not going to tell you that a collapse is coming. You’re going to have to see it for yourself. The government’s never going to tell you that it’s going to happen. These guys are never going to tell you the truth, because they can’t tell you the truth. Their job is to promote confidence, not to tell you the truth.”


2 posted on 01/03/2013 6:43:16 PM PST by Zeneta (Why are so many people searching for something that has already found us ?)
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To: dennisw

Thanks for posting. QEPlanned. What would a totalitarian do?


3 posted on 01/03/2013 7:47:46 PM PST by PGalt
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To: dennisw

That’s why it’s called QE Infinity.


4 posted on 01/03/2013 7:53:56 PM PST by Morris70
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To: dennisw

5 posted on 01/03/2013 8:15:37 PM PST by GenXteacher (You have chosen dishonor to avoid war; you shall have war also.)
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To: dennisw

CIGAs = Comrades In Golden Arms

MOPE = Management-Of-Perspective Economics (i.e. happy-talk)


6 posted on 01/03/2013 8:18:34 PM PST by jiggyboy (Ten percent of poll respondents are either lying or insane)
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To: dennisw

Option 1: stop expanding the money supply.


7 posted on 01/03/2013 8:26:28 PM PST by andyk (I have sworn...eternal hostility against every form of tyranny over the mind of man.)
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To: PGalt

The crazy deal here and mass (hypnosis) illusion is that a private bank (the FR) buying USG debt can keep our economy afloat. The Chinese have dropped out of buying US Treasury debt. The Federal Reserve is now the largest buyer at the rate of one trillion per year.

The present economy stinks and is kept out of outright depression ONLY by the FR buying up USG debt thus injecting money into the economy


8 posted on 01/03/2013 8:38:07 PM PST by dennisw (The first principle is to find out who you are then you can achieve anything -- Buddhist monk)
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To: jiggyboy

Yes those are the correct translations for Jim Sinclair abbreviations. I watched him on Wall Street Week 30 years ago....many times and would make a point of trying to see his appearances. No VCRs back then :)


9 posted on 01/03/2013 8:42:02 PM PST by dennisw (The first principle is to find out who you are then you can achieve anything -- Buddhist monk)
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To: dennisw

hard to conceive of a good ending to this.


10 posted on 01/03/2013 8:48:39 PM PST by genghis
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To: dennisw

So who pulled 550 million out of money market?

http://m.youtube.com/watch?v=m_atOvrTtT8


11 posted on 01/03/2013 10:21:54 PM PST by Orange1998 (DO NOT PRESS CTRL W)
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To: Orange1998

Holy moly what happen


39 posted on 01/03/2013 10:25:42 PM PST by Orange1998 (DO NOT PRESS CTRL W)
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To: Morris70

Asking when or how they plan to end QE is like asking when the drug war will end. When we’re all dead, maybe.


40 posted on 01/03/2013 11:32:49 PM PST by Tublecane
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To: Orange1998

All time multi-post record ping!


41 posted on 01/04/2013 4:43:09 AM PST by pingman (Paint it black, go for broke.)
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To: pingman

I’m Famous? Not sure I want to be known as that but... it is what it is. :)

Yours truly,

The Mutli-Post Ping King


42 posted on 01/04/2013 8:53:33 AM PST by Orange1998 (DO NOT PRESS CTRL W)
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To: Orange1998

LOL, These days, we take our honors where we can find them!


43 posted on 01/04/2013 9:00:13 AM PST by pingman (Paint it black, go for broke.)
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To: dennisw; Zeneta; Morris70; GenXteacher; jiggyboy; andyk; genghis; Orange1998; Tublecane; pingman
The crazy deal here and mass (hypnosis) illusion is that a private bank (the FR) buying USG debt can keep our economy afloat. The Chinese have dropped out of buying US Treasury debt. The Federal Reserve is now the largest buyer at the rate of one trillion per year.

The present economy stinks and is kept out of outright depression ONLY by the FR buying up USG debt thus injecting money into the economy

“They’re not going to tell you that a collapse is coming. You’re going to have to see it for yourself. The government’s never going to tell you that it’s going to happen. These guys are never going to tell you the truth, because they can’t tell you the truth. Their job is to promote confidence, not to tell you the truth.”

If you were a totalitarian and QE was all part of a larger plan, what would be the ultimate way to control all movement of goods and services and consumption to the point of disallowing a grocery item or even how much "money" you or your children have?

QE anything/FED existence is already too far down that road...

--That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness.

44 posted on 01/05/2013 7:03:44 AM PST by PGalt
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To: PGalt

Ran across this the other day, and while I’m a little skeptical of the conspiracy implications, it is worth reading.

snip

In part one of this two part series – Hey You – I examined how an invisible government of wealthy, power hungry men have utilized the propaganda techniques of Edward Bernays and lured the American people into a narcissistic, techno-gadget, debt based servitude. Over the last one hundred years they have created a totalitarian state built upon egotism, material goods, and fulfilling our desires through Wall Street peddled debt and mass consumerism. It has been an incredibly effective form of control that has convinced the masses to love their servitude. The ruling oligarchs correctly chose the painless, amusement saturated, soft totalitarianism of Huxley’s Brave New World over the fearful, pain inflicting, surveillance state, house of horrors detailed in Orwell’s 1984.

snip

http://www.theburningplatform.com/?p=45633


45 posted on 01/05/2013 9:50:36 AM PST by Zeneta (Why are so many people searching for something that has already found us ?)
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To: PGalt
Their job is to promote confidence, not to tell you the truth.”

Truer words were never said. Kyle Bass said that. They will promote and promote. They will deny and deny. Until they devalue or steal your savings such as IRA. Wealth and assets must be "appropriated". For socialists it is not enough to tax yearly earnings

46 posted on 01/05/2013 12:03:54 PM PST by dennisw (The first principle is to find out who you are then you can achieve anything -- Buddhist monk)
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To: Orange1998

28 duplicate posts, we have a new record.


47 posted on 01/05/2013 12:17:44 PM PST by TruthWillWin (The problem with socialism is that you eventually run out of other peoples money.)
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To: dennisw

The issue, as it seems to me, is how much will people put up with?

weighing the “greater good” vs. “ME”.


48 posted on 01/05/2013 12:19:41 PM PST by Zeneta (Why are so many people searching for something that has already found us ?)
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To: Orange1998

And with all that the link doesn’t point to your title ?


49 posted on 01/05/2013 12:24:13 PM PST by Zeneta (Why are so many people searching for something that has already found us ?)
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To: Zeneta; dennisw; All
...it is worth reading.

Yes, it is Zeneta. Thanks very much for the link. The post has lots of information and is very current. (I read half last night after work and just finished the other half this morning.)

Worth repeating...

Their job is to promote confidence, not to tell you the truth.”

Truer words were never said. Kyle Bass said that. They will promote and promote. They will deny and deny. Until they devalue or steal your savings such as IRA. Wealth and assets must be "appropriated". For socialists it is not enough to tax yearly earnings

50 posted on 01/06/2013 7:48:32 AM PST by PGalt
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