With Central Banks, it's always a question of watch what they do not what they say. And they are between a rock and a hard place with inflation (by definition ALWAYS a monetary phenomenon - caused by themselves) demanding higher rates and a slowing economy demanding lower rates. Especially when the only thing they can actually control is short rates via Fed funds - the markets set longer rates and so the yield curve and swap rates. So in reality, all the Fed can do is talk. And they do that. A lot.
This is from the same people, who use Financial repression, as their main toolkit for getting the public to pay for Government debt and mismanagement, whilst continuing to spend like drunken sailors.
Since “inflation” an increase in the money supply, as long as the Fed keeps printing more currency to finance a government that doesn’t have the will to reduce the spending they continue to approve, inflation will continue to rise!
There is no alternative. The Fed creates inflation by printing currency without limits. Inevitably, this will continue until there is a total collapse of the dollar.
The courts have ruled “Liberation Day” tariffs are null and void. Gold and silver down a bit.
The longer term issue is the virtuous feedback loop of trade surpluses buying US dollars and treasury bonds is slowing down because the US is an unsteady partner. Countries outside the US are buying gold, international stocks, international bonds and allowing their currencies to appreciate.
The Japanese Central Bank fiasco shows they are trapped. They own the majority of the Japanese bonds. They buy more bonds and the yen depreciates or they let interest rates blow up their insurance and financial sector. This is a grey swan event, it is known but I’m not sure anyone knows how to hedge against the impacts. As long as such risks remain, gold will have a steady bid.
I have come to the conclusion legislatures need to abolish central banks and take control of the digital money they produce based on appropriations.
Hi David, thanks for your reply. Do you have a primer on what is considered digital money vs fiat currency? I see no functional difference. The Fed can add money to anyone’s account via a click of a button.
How would private money work at scale across different countries? What would be the definiton of private money?
I am afraid you are right. The Mar a Lago plan will accelerate paper’s demise. Gold and silver will need to be revalued at much higher levels, and the collapse of debt as assets will devastate working people and institutions.
If gold is approaching the event horizon of being formally remonitized, it would make sense that commodities begin revaluing relative to gold, for true price discovery.
The monetary aspect to silver should be kicking in reasonably soon. This arguably goes back to the deception of Grant via the Coinage Act of 1873.
Good one David. I'm wondering if this Williams geezer is working from the same hymn sheet that that prime minister woman, of the time, from New Zealand was singing from during the covid years. You know, the one where she kept telling the people to only trust her word. Don't look at facts and figures or listen to anybody else whatsoever, only to what she said, period! And now here we have Williams telling us that the public must not be allowed to see and facts or figures in relation to runaway inflation or anything of the likes and only trust the word from the Fed, who caused the issue in the first place. Even after all these years they still think the public will fall for it🤦🏻♂️
With Central Banks, it's always a question of watch what they do not what they say. And they are between a rock and a hard place with inflation (by definition ALWAYS a monetary phenomenon - caused by themselves) demanding higher rates and a slowing economy demanding lower rates. Especially when the only thing they can actually control is short rates via Fed funds - the markets set longer rates and so the yield curve and swap rates. So in reality, all the Fed can do is talk. And they do that. A lot.
Its almost as if we don't need central banks🤔
BOOM
The Fed is all talk as they have devalued the US paper dollar by 90% and all they know how to do is devalue dollar and manipulate interest rates.
Buying power is down 99% since yr. 1900.
This is good according to the currency printers.
This is from the same people, who use Financial repression, as their main toolkit for getting the public to pay for Government debt and mismanagement, whilst continuing to spend like drunken sailors.
Since “inflation” an increase in the money supply, as long as the Fed keeps printing more currency to finance a government that doesn’t have the will to reduce the spending they continue to approve, inflation will continue to rise!
There is no alternative. The Fed creates inflation by printing currency without limits. Inevitably, this will continue until there is a total collapse of the dollar.
The economy is overburdened with debt at ~330% of GDP.
It cannot even tolerate current interest rates.
Act strongly = reformulate CPI ?
The usual approach.
The courts have ruled “Liberation Day” tariffs are null and void. Gold and silver down a bit.
The longer term issue is the virtuous feedback loop of trade surpluses buying US dollars and treasury bonds is slowing down because the US is an unsteady partner. Countries outside the US are buying gold, international stocks, international bonds and allowing their currencies to appreciate.
The Japanese Central Bank fiasco shows they are trapped. They own the majority of the Japanese bonds. They buy more bonds and the yen depreciates or they let interest rates blow up their insurance and financial sector. This is a grey swan event, it is known but I’m not sure anyone knows how to hedge against the impacts. As long as such risks remain, gold will have a steady bid.
I have come to the conclusion legislatures need to abolish central banks and take control of the digital money they produce based on appropriations.
CBs do not produce digital money - they produce fiat currency that is in a crisis and on its way to zero.
Private money will be the solution not more central control as the Globalists are encouraging.
Real Money, gold and silver is the solution.
Hi David, thanks for your reply. Do you have a primer on what is considered digital money vs fiat currency? I see no functional difference. The Fed can add money to anyone’s account via a click of a button.
How would private money work at scale across different countries? What would be the definiton of private money?
Digital currency is fiat currency.
Gold and silver have a 4,000 year history as money and each market will decide on its value in private exchange.
I am afraid you are right. The Mar a Lago plan will accelerate paper’s demise. Gold and silver will need to be revalued at much higher levels, and the collapse of debt as assets will devastate working people and institutions.
The privately owned central banks have always been the problem.
It will be interesting to see what remains of the banking sector once the financial system becomes fully digitised.
The bank balance sheets are so levered with debt as assets that as the bond market burns down and interest rates soar, the banks will collapse, IMO.
The cb's will try QE again but that will not work.
It will be rough.
Silver just cracked $35 this morning. It’s begun. 🚀
Platinum is running with silver too.
https://x.com/katusaresearch/status/1930275567854862539
If gold is approaching the event horizon of being formally remonitized, it would make sense that commodities begin revaluing relative to gold, for true price discovery.
The monetary aspect to silver should be kicking in reasonably soon. This arguably goes back to the deception of Grant via the Coinage Act of 1873.
Finaly..... !!!! June 5th 2025
Been a long time.
Good one David. I'm wondering if this Williams geezer is working from the same hymn sheet that that prime minister woman, of the time, from New Zealand was singing from during the covid years. You know, the one where she kept telling the people to only trust her word. Don't look at facts and figures or listen to anybody else whatsoever, only to what she said, period! And now here we have Williams telling us that the public must not be allowed to see and facts or figures in relation to runaway inflation or anything of the likes and only trust the word from the Fed, who caused the issue in the first place. Even after all these years they still think the public will fall for it🤦🏻♂️
You'd better shut off those tsunami sirens, they might cause huge waves to break on the city - The EU.