What The World’s Biggest Money Managers Are Thinking Right Now: “Holy Crap!”
Mac Slavo
October 5th, 2015
SHTFplan.com
While stability is a major talking point of the Federal Reserve and US government officials, those who are in the know understand that the economy is teetering on complete and utter disaster. Job losses continue to mount, stocks are swinging wildly and foreign creditors have begun divesting themselves of U.S. dollar-denominated assets.
All of this has put such pressure on the system as a whole that it is set to collapse under its own weight. As global strategist and New York Times best selling author Marin Katusa explains it, the deflationary forces are so powerful and the divestiture of US debt by foreign creditors so significant, that major money managers are spooked as they rapidly scramble to prepare for the next leg down. What’s worse, the Federal Reserve, which has thus far been perceived as being in control through quantitative easing and zero interest-rate policy, is powerless to stop it.
If you use game theory the best game plan for Janet Yellen and the Fed is not to do anything…
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I got heckled and booed at my own conference when I said look at all these deflationary forces… The reality here is that we are an interconnected world… what happens in China affects us here and vice versa. So the reality here is that we are in a deflationary environment. You’ve got some of the smartest guys that I pay attention to saying the same thing.
What does this all mean?
One of the nine who voted against the [interest rate] raise said that by the end of 2016 we’ll have a negative rate. That is something that has never happened before… That was a nine to one vote…
Do you think they’re going to raise it in the next meeting?
Hell no.
Nine [of the Federal Reserve board members] are saying we’re not going to raise rates here. They can’t just do a 180… and the world is not going to solve itself in the next two months.
They’re going to have to put more financial heroin in the markets and just like any drug addiction you need more drugs for less of a high and that’s what we’re going to get into in these markets.
The Rest…HERE
