This Is IT - Fed to buy up to $300B long-term Treasury bonds

[Lucille]

Fed to buy up to $300B long-term Treasury bonds (http://finance.yahoo.com/news/Fed-to-buy-up-to-300B-apf-14679757.html)

And that's that (http://www.youtube.com/watch?v=nsTzWBSDRas).

Prepare.

Weird how Denninger posted a ticker (http://market-ticker.org/archives/878-Caution-On-Quantitative-Easing-QE.html) warning Ben to not do this right before the news broke.

[UtahApocalypse]

sadly most sheeple do not understand that this will cause inflation. They will not react at all, or at least very little compared to the AIG bonuses.

[Lucille]

We are all Zimbabweans now.

[RonPaulVolunteer]

They have plunged 9.7T into the global economy over the last 4-5 months, why is this 300B so significant?

[qh4dotcom]

Gold was below $900 today....as soon as I got this news alert about the Fed, Gold shot up to $950

By the way, it may not be $300 billion....the New York Times is reporting $1 Trillion

http://www.nytimes.com/2009/03/19/business/economy/19fed.html?hp

[torchbearer]

They have plunged 9.7T into the global economy over the last 4-5 months, why is this 300B so significant?

because now the fed is financing the government largess.
Meaning, no one else is buying our bonds.
Hyper-inflation will follow as money is now making its way to main street through government expenditures.

[StudentForPaul08]

because now the fed is financing the government largess.
Meaning, no one else is buying our bonds.
Hyper-inflation will follow as money is now making its way to main street through government expenditures.

And it begins. *dun dun dun*

[torchbearer]

And it begins. *dun dun dun*

Either they will have to raise interest rates to get people buying our bonds again...
Or they will have to crank the printing press.

You see what option they are taking.

Liquidation of our debt based economy through the destruction of the dollar.

[torchbearer]

Its 1.2 trillion not 300B: http://news.bbc.co.uk/2/hi/business/7951493.stm

[ihsv]

Doc... How long have I got?

[smithtg]

Either they will have to raise interest rates to get people buying our bonds again...
Or they will have to crank the printing press.

You see what option they are taking.

Liquidation of our debt based economy through the destruction of the dollar.

seriously what happens if their are no buyers for these bonds the FED is holding on their balance sheet? Will they sell them at a discount and then the money will hit the money supply? just getting confused again (what our handlers want BTW)

[Elwar]

I was thinking of how this translates easily to the average person.

We're not quite at the point where we're using one credit card to pay another credit card bill. That will happen when the bill comes.

I think this is more difficult. My mom used to work for a bank and they had to keep an eye out for people who did this...basically you go to one bank and write a check for $10,000 from another bank and cash it. You now have $10,000 cash. Then you go back to the other bank and write a check from the bank you were just at for $10,000 to cover the amount you just cashed. Back then it took a few days for the money to go through and the banks trusted that the check was legit so the balance went through right away.

So basically, you could write as large an amount as you wanted and you were fine. Just go back and forth every day writing bad checks.

Now, imagine that the bank starts charging you interest on that $10,000. Fine, you just write a bigger check to pay that off...you start writing bigger and bigger checks and the only way to get yourself out of it is for your regular income to hopefully be able to one day pay everything off. But your checks get out of control and there's no way your regular income could even come close to matching the size of the checks you've written, so you're going back and forth writing bad checks back and forth getting higher and higher. There is no possible way you'll ever be able to stop.

Now imagine if every time you wrote a bigger check, prices on everything in the country went up.

Then imagine that the bank catches you (ie. the American people audit the Fed).

Right now, we're at that first $10,000 check. Ron Paul wants an audit.

[weslinder]

They have plunged 9.7T into the global economy over the last 4-5 months, why is this 300B so significant?

This is completely unbacked. The rest of that money was backed by debt instruments, of which there is an implied promise to not pay off with by just printing money. This flies in the face of that implied promise.

[Drknows]

http://img259.imageshack.us/img259/1015/20090225t185334z01btre5.jpg

Yo dawg, I heard you like money, so we bought some money with your money so you can spend money while you spend money .

[jake]

this pisses me off to no end. I'm Canadian and I hold 22k in US dollars (business related) so the US dollar dropping is killing me. I might need to buy a car in the US with the cash :confused:

i hope the us dollar makes one last run up towards 1.30 before it dies.

[acptulsa]

Remind anyone else of the guy who was too tall for his blanket so he sewed a few more inches onto the end? Only problem was, he cut those inches from the other end...

[Join The Paul Side]

MSNBC reports Obama and the Fed are working on a 2 Trillion dollar financial rescue plan.

"Close coordination between the Fed and the administration is now more important than ever as they near the launch of two signature programs to rescue the financial system, which together could reach $2 trillion and are aimed at reviving consumer lending and purchasing soured assets and loans from ailing banks."

http://www.msnbc.msn.com/id/29767653

[OferNave]

It's going to get much worse. Check out some of my recent econ viewing:

*Peter Schiff*

Why the Meltdown Should Have Surprised No One
http://www.youtube.com/watch?v=EgMclXX5msc

*Stefan Molyneux*

True News 24 - Jon Stewart, Jim Cramer and the Truth
http://www.youtube.com/watch?v=GZgbizQmVUg

True News 25: Lessons from the Great Depression...
http://www.youtube.com/watch?v=gTDFg9iQUDk

True News 26: AIG, Madoff and Thrown Shoes
http://www.youtube.com/watch?v=Y6lFCU_WvxU

[A. Havnes]

Any ideas why they made such a stupid move?

[Revolution0918]

Beck was just talking about this....how this has NEVER WORKED IN THE HISTORY OF MANKIND.....compared us to Zimbabwe....were screwed, were gunna b buyin loafs of bread with $100,000....atleast Obama voters got what they wanted, theyll all have $100,000...to bad it wont be worth anything

[RonPaulCentral]

Well step one has now come to pass. If you go back and read my post history I had given a warning but couldn't say anything about it.....

Well here is the FIRST thing I was waiting to see.... this. Yes they (foreign governments) are no longer buying the debt and furthermore they ARE GETTING OUT.

These new QE purchases by the FED are being done to "fill the holes" of the countries getting out.

Step two is next .... and I can't say anything about that either other than IT IS WORSE.

The OP said "PREPARE".... this is very solid advise and I highly suggest you take it.

60 days and it should be well on its way coming apart.... 120 days on the outside.

1) Gold and Silver ARE going to be taking off soon (really taking off not this small bump we just had). If you do not have any gold or silver I highly suggest you get at least a small amount ($500 - $1000 worth in SILVER cost, not face value of the coins)... Pre-1965 Washington Quarters are good as are Silver Eagles.

2) Get a MINIMUM of 3 months food & water storage together PER PERSON in your family. If you can afford it 6 - 12 months is better.

3) Get a supply of your script meds if you take them because they might become hard to get.

4) If you wear glasses get a backup set.... they can be purchased online for $15-50

5) If you have the ability to do so store up some gas.

6) Regardless of how you feel about firearms you MUST seriously consider getting one. A shotgun can be purchased for $300-400 and shotgun shells are still rather easy to get. Pistol and Rifle ammo is hard to get unless you want to way overpay for small box quantities.

TAKE THIS SERIOUSLY. 60 Days from now some of these options might not be available to you and it will be too late.

Well these crooks and uneducated jackasses in D.C. finally did it.

[A. Havnes]

Well step one has now come to pass. If you go back and read my post history I had given a warning but couldn't say anything about it.....

Well here is the FIRST thing I was waiting to see.... this. Yes they (foreign governments) are no longer buying the debt and furthermore they ARE GETTING OUT.

These new QE purchases by the FED are being done to "fill the holes" of the countries getting out.

Step two is next .... and I can't say anything about that either other than IT IS WORSE.

The OP said "PREPARE".... this is very solid advise and I highly suggest you take it.

60 days and it should be well on its way coming apart.... 120 days on the outside.

1) Gold and Silver ARE going to be taking off soon (really taking off not this small bump we just had). If you do not have any gold or silver I highly suggest you get at least a small amount ($500 - $1000 worth in SILVER cost, not face value of the coins)... Pre-1965 Washington Quarters are good as are Silver Eagles.

2) Get a MINIMUM of 3 months food & water storage together PER PERSON in your family. If you can afford it 6 - 12 months is better.

3) Get a supply of your script meds if you take them because they might become hard to get.

4) If you wear glasses get a backup set.... they can be purchased online for $15-50

5) If you have the ability to do so store up some gas.

6) Regardless of how you feel about firearms you MUST seriously consider getting one. A shotgun can be purchased for $300-400 and shotgun shells are still rather easy to get. Pistol and Rifle ammo is hard to get unless you want to way overpay for small box quantities.

TAKE THIS SERIOUSLY. 60 Days from now some of these options might not be available to you and it will be too late.

Well these crooks and uneducated jackasses in D.C. finally did it.

I don't disagree with you or anything, but how can you know what's going on and not tell us? What's stopping you from making a prediction? Quite frankly, your warning caused a gut reaction in me, and I'd like some more details.

[Revolution0918]

agreed

[RonPaulCentral]

I don't disagree with you or anything, but how can you know what's going on and not tell us? What's stopping you from making a prediction? Quite frankly, your warning caused a gut reaction in me, and I'd like some more details.

Here is basically what it comes down to.... I have a friend that is in a position that allows them to be "in the know" about certain things. This individual and I have been friends for over 30 years and there is a level of trust that is absolute. That being said I have basically been sworn to secrecy because of his safety and the position it would put him in if he discussed anything with others outside his "group". I gave my word and that just is the way it has to be.

All I can do is offer "helpful suggestions". I *CAN* however suggest some various things you might like to look into... connect the dots and you will probably be pretty damn close to what I could say anyhow.

1) Foreign purchasing of treasuries (or lack of)
2) Who is buying precious metals right now (normally sells)
3) Which countries are flexing muscles that have been in "hibernation" (and why)
4) Which countries are talking about new backed currencies and time frames for them
5) Central bank policies and actions and the time tables between each event (past weeks)
6) What the media is drawing attention AWAY FROM right now

Lets now consider "support problems". Here is just one example of the endless pits. There are industries that are YEARS away from being productive. Reality is they need to be torn completely down and rebuilt as they have no chance of renewed demand or hope. A good example of this is the auto industry. They are not being allowed to fall because we really need auto production right now. What is concerning these people is what will happen when all of a sudden nobody is receiving their retirement funds AND nobody is working. Think of the number of people we are talking about. Did you notice now today BILLIONS of more dollars are being given to the PARTS MANUFACTURERS? Think what will happen to MI in general with a collapse. So WHATEVER amount of money necessary will be created. There will be a constant stream of BILLIONS quarterly and for a LONG LONG time.

Our dollar is soon to be worthless and those holding them know it. This IS going to have a very serious FAST effect here in the United States. This is why the items I suggested above are very critical and could quickly become UNAVAILABLE. You do not want to get caught in the hurricane when it comes to shore.... right now it is still over by Africa... but it IS FORMED and it is coming.

The real story is not the lack of any more foreign purchasers of Treasuries but the EXIT that is now taking place.... the quiet exit. Some leave and you refill the hole..... WHY? And what is refilling the hole now? FED. But keep it quiet!!! Shhhhhh!!! Those foreign governments are being given a slow and controlled exit. Other choice is either full dollar collapse within DAYS/HOURS or a very very serious war. Foreign governments will be made whole and give them time to go from Treasuries to hard commodities.

The U.S. is now buying its own debt... when has this EVER ended ANYWHERE in the world in a positive manner? We have crossed into the final "well we have this last thing to try" phase.

You are looking at the chess board and your king has just a few more moves to make before.....

You get the picture. I am sorry I can not say more but I am sure you understand. Something has been started that can not just be "shut off".

If you come away with nothing else from this message take this: WE ARE NOW ENTERING THE FINAL CRITICAL STAGE. YOU MUST DEAL WITH PROTECTING YOURSELF AND YOUR FAMILY....... ***NOW*** ... There are only a couple more things that need to happen before it comes apart.

Be safe.

[Revolution0918]

can i call u deepthroat?

[RonPaulCentral]

can i call u deepthroat?

You may if you like... LOL

[torchbearer]

You may if you like... LOL

hey guys, get a room.

[RonPaulCentral]

hey guys, get a room.

Only if the room is filled with.... "Supplies" :p

[Revolution0918]

sooo whats ur friends name

[RSLudlum]

so when will my 100 billion Z$ note be worth more than 100 billion US$?

Ah dammit that's right, my Z note expired Dec of last year!!! ;)

[Revolution0918]

it probly already is worth more....we have no money left in this country....at all