Japan: QE As Morphine For A Terminal Patient
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Marion Post Wolcott Works Progress Administration worker’s children, South Charleston, West Virginia Sep 1938 You can jot down Halloween 2014 in your
[See the full post at: Japan: QE As Morphine For A Terminal Patient]Someone commented: “If printing was a bad short-term thing for those with wealth, it would not have happened. Long term, it is bad for them.” Maybe the U.S. is starting to see the light by watching, in horror, the deer in the headlights in Japan. Put a fork in it! Here, Kuroda, you’re going to be needing this:
https://www.coldsteel.com/Category/36_1/Samurai_Swords.aspx
Karl Denninger said, “Remember, folks, QE works. It works so well that it has be repeated. Time and time again. Every time. All the time.”
https://market-ticker.org/akcs-www?post=229551
And David Stockman says, “Madmen and Morons are Raging”:
“Needless to say, in an even quasi-honest capital market, the GPIF’s announced plan would unleash a relentless wave of selling and price decline. Yet, instead, the Japanese bond market soared on this dumping announcement because the JCBs are intended to tumble right into the maws of the BOJ’s endless bid. Charles Ponzi would have been truly envious! […]
Whether it attains its 2% inflation target or not, its is blindingly evident that the BOJ has destroyed every last vestige of honest price discovery in Japan’s vast bond market. Notwithstanding the massive hype of Abenomics, Japan’s real GDP is lower than it was in early 2013, while its trade accounts have continued to deteriorate and real wages have headed sharply south.
So there is no recovery whatsoever—-not even the faintest prospect that Japan can grow out if its massive debts.”
The BOJ Jumps The Monetary Shark—–Now The Machines, Madmen And Morons Are Raging
Doug Noland:
“There’s always been an arrogance surrounding Bernanke’s view of deflation and the power and omnipotence of contemporary central bankers. He blames inept central banking and associated insufficient Fed money printing for the Great Depression. He places blame for the 1929 crash on the “Bubble poppers” and excessively tight monetary policy. He apparently has little issue with the 1920s Bubble. In general, Bernanke is dismissive of risks associated with Bubbles, convinced that aggressive “mopping up” policies can simply inflate away problematic debt loads and shortfalls in aggregate demand. It’s been an incredibly dangerous six-year experiment: “Sufficient injections of money will ultimately always reverse a deflation.” Well, we do have evidence that injections inflate securities market Bubbles. […]
I have for years argued that Bubbles – rather than deflation – were the prevailing risk to global financial and economic stability. Deflation and faltering demand are certainly risks that I associate with protracted Credit and speculative Bubbles. Dr. Bernanke has referred to understanding the forces behind the Great Depression as the “Holy Grail of economics.” I am instead convinced that understanding this protracted Bubble period is the real “Holy Grail.” And once we come to a more coherent understanding of this period we can attempt to go back and correct the historical revisionism that made such a phenomenal mess out of 1920s and 1930s analysis. […]
I feel quite comfortable stating that more QE – from the ECB, Fed, BOJ, Bank of China and others – will in no way stabilize the situation. Air needs to come out of dangerously inflated global securities markets.”
https://www.prudentbear.com/2014/10/more-wackoism.html#.VFIZBfnF_i5
Parties end!
Party on, dudes!
“Cyprus-style confiscation of depositor funds has been called the “new normal.” Bail-in policies are appearing in multiple countries directing failing TBTF banks to convert the funds of “unsecured creditors” into capital; and those creditors, it turns out, include ordinary depositors. Even “secured” creditors, including state and local governments, may be at risk. Derivatives have “super-priority” status in bankruptcy, and Dodd Frank precludes further taxpayer bailouts. In a big derivatives bust, there may be no collateral left for the creditors who are next in line. […] Rather than banks being put into bankruptcy to salvage the deposits of their customers, the customers will be put into bankruptcy to save the banks.”
This is the problem, isn’t it: the bankrupt unwilling and refusing to go bankrupt. So they turn it around and make you go bankrupt instead. Every criminal’s dream! I hope they’re fast runners.
Why anybody would still be doing business with “banks” is quite beyond me.
I gave up on “banks” more than 20 years ago; credit unions are the only viable alternative, IMO. Being a member is way different than being a “customer” (translation=one-to-exploit).
As long as one plays the game, one is in the game; withdraw consent by not playing the game.The game will go on as it is, until there is suddenly nothing left in the game.
We should do what we can to get our little “dachas” and grow some veggies, and figure out how to get water, beans and some cooking fuel.
It’s strange that the west has become so complacent, and Russia jumps into action to increase domestic agriculture, manufacturing, and self reliance.
Russia has a good spot now, in an otherwise bad 25 (or more) years, and sees the opportunity to avoid ruin. This is uniting Russia, and it’s impressive.
That’s not happening in Austin, Texas.
We’ll have to find ways to work on self sufficiency on a much, much smaller scale.@ John Day
The passivity of Americans is vexing. I have never understood it; having been active in anti-Vietnam war demonstrations (I barely escaped being drafted[but that’s another story]).
Frankly, I do not believe the U.S. citizens know or understand what’s being done to them. Provincialism extracts a very high price in the end. It may be that simple.Self sufficiency probably is not possible for most; but sufficiency will be imposed and those without “community” will be fucked (there’s no polite way to put it).
In fact that’s exactly the situation extant as I type this. The U.S. has lost all sense of community. Of course there are exceptions; but they are far and few between.
My view from afar is that most are not really looking for answers or solutions. Too close to the elephant’s leg…
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