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View Full Version : Big Middle Finger to the Fed (strong language inside)



DemonD
09-19-07, 12:43 AM
I'm still hopping mad - 10 hours later.

I must be getting old... my football team loses last night and I'm over it in about an hour. Maybe I care more about money and the state of my country than football?

Anyway, I feel the need to just let it fly. I had thought the Fed was going to hold the line. Hell, even at 5.25%, inflation is STILL too high. And now it's dropped, and likely to drop again. My thoughts were that the Fed would either hold steady, or give a token 25 point drop as a bone to wall street. I had thought the chance of a 50 point drop with an "ode to our banker friends" as remote, less than 5%.

Boy I was wrong. And I'm still ******* mad.

Partly I'm mad because I've divested a lot of my main stock holdings this year, but I'm more mad because of what this means for the future. But yeah, losing 5% on every single liquid dollar in my name has me pissed the fuck off, and maybe even more pissed at what I won't be able to afford in the future, despite having a good white collar, upper middle class type steady job.

More inflation. Higher oil. An attempt at retriggering the housing bubble. Stagflation much worse than what we saw in the 1970s. Class warfare?

Not that I didn't think these things would happen before. Nor did I think we would get someone with the stones, intelligence, willpower, and political backing of Volcker.

And who knows, maybe it is too little too late.

But still, I just want to give a big FUCK YOU to all the ******* banksters out there especially the head bankster, the former head bankster, and especially all the lying fuckers that talked tough on inflation and then voted for the 50 bps rate cut (I'm looking at you William Poole).

And yeah, blah blah blah gold silver platinum oil copper palladium hard assets - while I get the message, I'm underweighted to where I should be in commodity based investments due to the fact that I was waiting for a nominal Ka event in the stock and equity markets (it's the value investor in me - I don't like to buy something unless it's screamingly undervalued). Which may still come? Geez I ******* hope so. Doubtful at this point. Gotta pull back, no investing decisions for a week, see where I stand and what I want to do.

I can't ever remember a time where I have been more pessimistic about the monetary, political, and social aspects of my country, and maybe i'm just being a young curmudgeon, but I seriously feel like this is one very, very dark day for the US of A. So go to hell Greenspan, big middle finger to you Bernanke, Mr. Poole, you are a lying sack of dog shit, and all the Fed governors who continued to talk about fighting inflation, you are all lying bastards who are doing more to destroy the fabric of our society more than any criminal, drug dealer, addict, car thief, or murderer, you should all be sent to seven years in a federal "pound me in the ass" prison and be made to watch Office Space over and over again Clockwork Orange style.

Uncle Jack
09-19-07, 07:41 AM
Good rant, really, I enjoyed that. And I hope you feel better.

However, your anger is pointed at the wrong target. The Fed does not create inflation, they are merely the facilitator of inflation. Get congress to stop spending money they do not have, thereby forcing the central bank to monetize the debt, and your dollars will maintain their reduced value.

However, getting back to your rant, pointing out Poole for talking one thing and doing the other is completely correct. As I said, nice rant.

Jim Nickerson
09-19-07, 11:33 AM
I'm still hopping mad - 10 hours later.

I must be getting old... my football team loses last night and I'm over it in about an hour. Maybe I care more about money and the state of my country than football? As you develop more wisdom, and you already have a lot, I believe you'll decide getting emotional about sports especially professional sports is truly a waste of time. You are correct to worry more about the future than the moment.

Anyway, I feel the need to just let it fly. I had thought the Fed was going to hold the line. Hell, even at 5.25%, inflation is STILL too high. And now it's dropped, and likely to drop again. My thoughts were that the Fed would either hold steady, or give a token 25 point drop as a bone to wall street. I had thought the chance of a 50 point drop with an "ode to our banker friends" as remote, less than 5%.

See my bearish comment last night on comments by Bill Gross. My opinion is that things are worse than we probably know, and the Fed knows it. It would be interesting if Bart could come up with a chart that shows what Gross mentioned about the Fed beginning rate drops with 0.5% cuts and recessions still occurring. Perhaps it is not lost hope that we are again in such a situation, and in view of the fact the broad indices have not had a serious correction in almost 5 years, that such still lies ahead.

Boy I was wrong. And I'm still ******* mad. I totally share your consternation, my thought was some of those dudes ought to be assasinated.

Partly I'm mad because I've divested a lot of my main stock holdings this year, but I'm more mad because of what this means for the future. But yeah, losing 5% on every single liquid dollar in my name has me pissed the fuck off, and maybe even more pissed at what I won't be able to afford in the future, despite having a good white collar, upper middle class type steady job. You are young and hopefully have a lot of opportunities in front of you. I am a lot older and I still think there will be opportunities.

More inflation. Higher oil. An attempt at retriggering the housing bubble. Stagflation much worse than what we saw in the 1970s. Class warfare? Class warfare would be good, but so many trampled down classes too often seem not to have the fortitude to fight.

Not that I didn't think these things would happen before. Nor did I think we would get someone with the stones, intelligence, willpower, and political backing of Volcker.

And who knows, maybe it is too little too late.

But still, I just want to give a big FUCK YOU to all the ******* banksters out there especially the head bankster, the former head bankster, and especially all the lying fuckers that talked tough on inflation and then voted for the 50 bps rate cut (I'm looking at you William Poole).

And yeah, blah blah blah gold silver platinum oil copper palladium hard assets - while I get the message, I'm underweighted to where I should be in commodity based investments due to the fact that I was waiting for a nominal Ka event in the stock and equity markets (it's the value investor in me - I don't like to buy something unless it's screamingly undervalued). Which may still come? Geez I ******* hope so. Doubtful at this point. Gotta pull back, no investing decisions for a week, see where I stand and what I want to do. I agree to pull back a while and see what unfolds. Stick to your guns about what you are willing to buy.

I can't ever remember a time where I have been more pessimistic about the monetary, political, and social aspects of my country, and maybe i'm just being a young curmudgeon, but I seriously feel like this is one very, very dark day for the US of A. So go to hell Greenspan, big middle finger to you Bernanke, Mr. Poole, you are a lying sack of dog shit, and all the Fed governors who continued to talk about fighting inflation, you are all lying bastards who are doing more to destroy the fabric of our society more than any criminal, drug dealer, addict, car thief, or murderer, you should all be sent to seven years in a federal "pound me in the ass" prison and be made to watch Office Space over and over again Clockwork Orange style.

Remember "ignorance is bliss," so your curse is lack of ignorance. When I was your age, I was totally ignorant about such as this, and still the fact of fortunately staying alive for some more decades provided some more opportunities. Don't get over being pissed off, I don't ever.

bart
09-19-07, 03:24 PM
Good rant, really, I enjoyed that. And I hope you feel better.

However, your anger is pointed at the wrong target. The Fed does not create inflation, they are merely the facilitator of inflation. Get congress to stop spending money they do not have, thereby forcing the central bank to monetize the debt, and your dollars will maintain their reduced value.

However, getting back to your rant, pointing out Poole for talking one thing and doing the other is completely correct. As I said, nice rant.



There's a counter to that. As long as Congress knows that the Fed will cooperate, they'll keep on spending - so its not quite that simple although you point is well taken.

Over history, no monetary system (whether fiat or metal backed etc.) has survived for long. It *always* ends up being subverted.





A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largesse from the public treasury. From that moment on, the majority always votes for the candidates promising the most benefits from the public treasury with the result that a democracy always collapses over loose fiscal policy, always followed by a dictatorship. The average age of the world's greatest civilizations has been 200 years.

Great nations rise and fall. The people go from bondage to spiritual truth, to great courage, from courage to liberty, from liberty to abundance, from abundance to selfishness, from selfishness to complacency, from complacency to apathy, from apathy to dependence, from dependence back again to bondage.
-- Attributed to Alexander Fraser Tytler, Lord Woodhouselee. Unverified per the US Library of Congress.

Pervilis Spurius
09-19-07, 10:29 PM
I hear you DemonDude, this decision totally rocked my world yesterday. I actually had to fend off an anxiety attack yesterday evening and not because of my stock portfolio, the loss was rather minor for me, but because of the bleak future this portends. Unbelievably irresponsible.

Every central bank in the WORLD has stood firm on rates or raised them in the past 2 weeks.

Bernanke, just a few days ago, gave a speech in Berlin stressing the need for central bankers to encourage savings.

Paulson stresses to the media that speculators who made bad bets will not be bailed out.

Gold is consolidating at all time highs.

Oil is at all time highs.

The dollar is near all time lows.

And the FED cuts?!?!?

TEOTWAWKI

It's as if this move was orchestrated to purposely kill the dollar and create incentive for regional currency/Amero/Wiedemer what with the other central bank action.

Pervilis Spurius
09-19-07, 11:45 PM
I was just reminded of a quote I saw somewhere recently (I think it was at lewrockwell). It is from Ralph Nader's Dad discussing economics with his kids at the dinner table and he posits this:

Q: "Why does capitalism survive?"

A: "Because socialism always saves it."