Follow the “bouncing ball.” The U.S. labor market is rapidly deteriorating (again). The Federal Reserve pretends that it cares about unemployment, and pretends it is capable of “doing something” about unemployment.
It announces another $500 billion per year in money-printing – all of which is going into buying worthless, financial feces from the balance sheets of U.S. Big Banks. So how is this supposed to “help” the unemployed? Because we’re told that doing all this bond-buying will “lower U.S. interest rates” (a tiny amount).
However, the official government interest rate is already set at 0% (by the Fed), so how can it possibly “lower” interest rates any further? Because other financial instruments have higher rates of interest – reflecting various levels of risk, and length of term. Supposedly it’s the interest rates on those other financial instruments which will decline, and supposedly this will help the unemployed.
We already knew the second half of the propaganda was a lie. As I explained recently; with U.S. interest rates already frozen at 0% for four years, U.S. unemployment has only worsened. We can now see that the first half of the propaganda is also a lie – as the interest rates on U.S. 30-year Treasuries jumped higher to their widest interest rate differential in 16 months.
All of these theatrics by the bankers and their servants in the media are simply to pretend that the bankers are “helping” ordinary people – when they are doing the exact opposite. They are inflicting massive inflation on everyone with this additional money-printing, for the sole purpose of engaging in a(nother) closet-bailout of Wall Street.
Understand the insane vicious-circle in which the Serfs are all trapped. It is precisely the excessive money-printing and permanent near-zero interest rates which are destroying all Western economies (along with rapidly worsening unemployment) in the first place. Thus we have now devolved into a literal definition of insanity: doing the same thing over and over again (printing money) – but expecting a different result.
The bankers (and their Liars in the media) tell us that their money-printing will “save us” when in fact it is their primary tool in committing economic rape against all our nations…
Treasuries Fall as Fed Plan Boosts Inflation Indicators
Treasuries tumbled, pushing 30-year yields [interest rates] toward their biggest weekly gain in three years, as inflation expectations surged after the Federal Reserve said it will buy more debt to strengthen the economy.
The yield between 10-year notes and comparable Treasury Inflation Protected Securities, an indicator of traders’ outlook for consumer prices over the life of the debt, reached the widest in 16 months…