Interest rate will become out of control sooner than you think.

**bonncaruso** · 7th February 2012 03:31 PM

Originally Posted by Devil505

Sorry Mike but you can't barrage the forum with daily "The Sky is Falling" posts & not expect to be called on it.
This is a political debate forum not a one man conspiracy addict's platform.

awww, shucks, let him have some fun.

**USA-1** · 7th February 2012 08:24 PM

Originally Posted by Oscar99

wrong.

the Fed never gave out $16 trillion, as they never had even half that much money to give out.

you are lying. its a lie Ive seen before, and its been debunked.

It has not been debunked, you moron. The audit of the FED uncovered it.

The media’s inscrutable brush-off of the Government Accounting Office’s recently released audit of the Federal Reserve has raised many questions about the Fed’s goings-on since the financial crisis began in 2008.

The audit of the Fed’s emergency lending programs was scarcely reported by mainstream media – albeit the results are undoubtedly newsworthy. It is the first audit of the Fed in United States history since its beginnings in 1913. The findings verify that over $16 trillion was allocated to corporations and banks internationally, purportedly for “financial assistance” during and after the 2008 fiscal crisis.

Sen. Bernie Sanders (I-VT) amended the Wall Street Reform law to audit the Fed, pushing the GAO to step in and take a look around. Upon hearing the announcement that the first-ever audit would take place in July, the media was bowled over and nearly every broadcast network and newspaper covered the story. However, the audit’s findings were almost completely overlooked, even with a number as high as $16 trillion staring all of us in the face.

Call me a liar, you asshole? Call the GAO liars.

http://www.bloomberg.com/news/2011-1...to-public.html

The method the GAO used to produce that total differed from Bloomberg’s approach. Bloomberg built spreadsheets to show each borrower’s daily amounts outstanding, and then found the day on which those amounts peaked. The GAO tallied all cumulative loans to arrive at $16 trillion. Its report noted that the total didn’t reflect how loans’ terms varied under different Fed programs.

**new_publius** · 7th February 2012 09:58 PM

Originally Posted by USA-1

Call me a liar, you asshole? Call the GAO liars.

"The method the GAO used to produce that total differed from Bloomberg’s approach. Bloomberg built spreadsheets to show each borrower’s daily amounts outstanding, and then found the day on which those amounts peaked. The GAO tallied all cumulative loans to arrive at $16 trillion. Its report noted that the total didn’t reflect how loans’ terms varied under different Fed programs.

If a bank borrowed $1 billion overnight for 100 nights, Bloomberg’s analysis would show that the bank had a $1 billion balance at the Fed for 100 days; the GAO method that produced the $16 trillion total would sum up those transactions to $100 billion, even though the bank never owed more than 1 percent of that total."

You don't see how 'total transaction amounts' might tend to confuse the issue?

**nonsqtr** · 8th February 2012 04:02 AM

Originally Posted by Oscar99

this is a lie.

the Fed only has around $3 trillion in assets.

Unbelievable. You sure you're from New York?

Um... fractional reserve banking. If they have 3 trillion in assets they can loan out 30 trillion. Or maybe 40 now, I'm not sure what the exact ratio is anymore.

So, do the math. Roughly, ballpark, you're looking at 16 trillion that had already been spent as of 9 months ago, and I'm entirely sure the number is in the 24-25 range by now.

Why do they need to loan other banks so much money?

Well, it's like this - the Fed tries to smooth out regional fluctuations, number one on its mission list is stability. Since the context of "regional" is global now, the word liquidity means that they need to loan banks LOTS of money (overnight and in the short term, mostly) - lots being defined as "more than there is", probably. And why is the volatility so high? It's because the instruments are over-leveraged. They're trading futures at 50 to 100 times the value of the underlying assets, and recently the exchange couldn't deliver so they ended up borrowing funds from customer accounts.

This is a Hail Mary on the part of the Fed. They're hoping and praying the economy gets better before they have to reclaim all that money. Otherwise they have to keep printing more.

**michaelr** · 8th February 2012 08:29 AM

The Fed Resumes Printing

I am amazed at the lack of attention the feds printers get from the "media". What they have against a strong dollar is well beyond anything I can imagine, unless they are tanking it to kill the economy, because that has been the result.

None of the QE programs provided an economy, yes it fed the markets, big fucking deal. It fed the banks, again BFD, and it allowed for the government to move toxic mortgages securities onto the backs of the federal reserve, thus clipping the dollar, it is after all the sum of all its parts. Now they "trade" these things back to the same fucking banks they got them from. Can you say "square one"?

They are hell bent on not allowing the market to determine rates, to do so would bean they default.

Hey people that by definition is a technical default.

They are at it again, got the damn printer working over time, and according to the charts, it will take an additional $2 trillion dollars to meet their goal. Hey it isn't OUR goal, we have no say so, if we did this would not happen. It is insanity.

**Oscar99** · 8th February 2012 11:45 AM

Originally Posted by newpublius

"The method the GAO used to produce that total differed from Bloomberg’s approach. Bloomberg built spreadsheets to show each borrower’s daily amounts outstanding, and then found the day on which those amounts peaked. The GAO tallied all cumulative loans to arrive at $16 trillion. Its report noted that the total didn’t reflect how loans’ terms varied under different Fed programs.

If a bank borrowed $1 billion overnight for 100 nights, Bloomberg’s analysis would show that the bank had a $1 billion balance at the Fed for 100 days; the GAO method that produced the $16 trillion total would sum up those transactions to $100 billion, even though the bank never owed more than 1 percent of that total."

You don't see how 'total transaction amounts' might tend to confuse the issue?

USA-1 is clearly very confused.

**michaelr** · 8th February 2012 11:53 AM

Originally Posted by Oscar99

USA-1 is clearly very confused.

Mostly they got swaps and securities in return.

**USA-1** · 8th February 2012 05:08 PM

Originally Posted by Oscar99

USA-1 is clearly very confused.

Not me:
Audit The Federal Reserve Reveals 16 Trillion in Secret Bailouts | Ron Paul 2012 | Peace . Gold . Liberty

$16,000,000,000,000.00 had been secretly given out to US banks and corporations and foreign banks everywhere from France to Scotland. From the period between December 2007 and June 2010, the Federal Reserve had secretly bailed out many of the world’s banks, corporations, and governments. The Federal Reserve likes to refer to these secret bailouts as an all-inclusive loan program, but virtually none of the money has been returned and it was loaned out at 0% interest. Why the Federal Reserve had never been public about this or even informed the United States Congress about the $16 trillion dollar bailout is obvious - the American public would have been outraged to find out that the Federal Reserve bailed out foreign banks while Americans were struggling to find jobs

.
http://www.sanders.senate.gov/newsro...3-62060dcbb3c3

http://articles.businessinsider.com/...l-report-money

http://www.dailykos.com/story/2011/1...-Thanks-Bernie!

http://www.forbes.com/sites/traceygr...nder-reported/

**USA-1** · 8th February 2012 05:20 PM

Originally Posted by michaelr

Mostly they got swaps and securities in return.

So they did "lend" the money.

**Dangermouse** · 9th February 2012 07:11 AM

Is it me, or is there a discordant note of glee in the title, like the OP is enjoying the prospect of his country going down the tubes so his pointette is proven?

User Tag List

Thread: Interest rate will become out of control sooner than you think.

LinkBack

Thread Tools

Search Thread

Display

Tags for this Thread

Bookmarks

Bookmarks

Posting Permissions