Putting out a Fire with Straw or Gasoline?



The Controlled Demolition of the Dollar:(3 Charts)
Chart (1) 5 year
Chart (2) 2 year
Chart(3) 1 year


The Fed decided that introducing 200 billion more paper tigers into the market was the best way to help the economy. OH yes they said that they would be glad to do so, and they would be happy to accept mortgage backed debt as a pledge against the new loans. Does this mean that if the banks who are going to borrow these paper tigers are unable to repay the 200 billion that the Fed will now take possession of our homes too? This is an international issue, as the International Banker aspect of the Fed shows that it is in fact tied with the other banksters in the world. According to FOX ( Fair and balanced) Business news, the day of the move said , "Today’s plan is a joint effort between the Fed, the Bank of Canada, the Bank of England, the European Central Bank and the Swiss National Bank. The announcement moved the market sharply higher in pre-open action and the U.S. dollar strengthened against the Japanese Yen -- a key indicator of currency demand."





The Dollar would get stronger by dumping billions of units on the market? Well only if the other central banks in on the deal dumped more paper tigers into their economies then we did into ours, and that by a very large percentage, WHICH THEY DID NOT.

Bloomberg - "The dollar rose the most in three months against the yen after the
Federal Reserve said it will lend up to $200 billion of Treasuries and boost
swap lines with European central banks in a bid to ease a credit crisis....

( allowing the country to INCREASE it's debt will only prolong the problem, rather then having to be able to tame a 5 trillion pound Paper tiger we will have to kill a 10 trillion dollar one.. impossible)



Bloomberg continued:

The U.S. currency also rebounded from a record low versus the euro as traders
speculated the steps will help spur bank lending and avert a recession. Traders
trimmed bets [towards the half-point range of the possible spectrum] the Fed
will slash its benchmark rate as much as 0.75 percentage point this month, from
3 percent."

OK.. how stupid can investors be to invest in FRN's. These guys in wall street, when the fed announced their plan, actually thought that this move would make the dollar stronger? The dollar gained today... the Index went UP to over 73 blah blah blah.. the Dollar index was well over 90 only 2 year ago... and guess what folks it is down to 72.56 from yesterdays "strong gains".





OH and the Fed is still thinking strongly about cutting interest rates again by .75%.





OK Add 200 billion, Cut rates .75% while the rest of the world is raising rates= inflation unchecked. SURE THE STOCK MARKET WILL RISE. Folks talk about the Stock market rising yet it is only relative. the reality is, that against purchasing power and non dollar denominated purchasing units of almost any kind, the Stock market as tanked, and has been doing so for quite a long time.





I read an article yesterday about the falling dollar in relationship to purchasing power.


they said: if someone had purchased 100000 Euros worth of dollars in March of 2000. (8 years ago) they would have had to spend .964345 cents in order to trade for ONE euro. IN order trade for ONE euro today exactly 8 years later, one would have to trade 1.547 ( One Dollar and 54.7 cents)


OK Lets do the math. One pays 96,434.54 FRN's and gets in return 100,000 euros in the year 2000, IN 2008 he converts his euros back into FRN's and now has 63,532.40 which calculated for inflation with the federal Reserves Inflation calculator based on the very liberal Consumer Price Index (CPI) would equal to about 50,743.41 FRNs worth of purchasing power.





One individual I had read calculated that given the price of goods in Europe, the European who invested his Euros in FRN's lost some 71,000 Euros in buying power in just the last few years.





IN other words the Federal Reserve ban and all the credit card companies in America, as well as all the local banks are increasing the Paper Tiger ( and Digital Tiger) supply at a much faster rate that the Europeans and Japs are doing in their little neck of the world.





When you think of inflation, most of you are thinking that the prices are inflating, but that is the result of inflation not the cause of it. INFLATION is the INFLATING of the Paper Tiger/Digital Tiger DEBT Supply in relationship to the total number of available goods and services. The American Heritage® Dictionary of the English Language, Fourth Edition, Copyright © 2000 Published by Houghton Mifflin Company puts it this way: INFLATION is.....caused by an increase in available currency and credit beyond the proportion of available goods and services."





Your price in not going up, your value is going down.





Nothing is worth MORE.........





YOUR money ( FRN's and CREDITS are worth less ( WORTHLESS).





The only advantage that we have here in America ( and this advantage is dwindling) is that we do not have the psycho-Taxes that they have in Europe. So where as our Gasoline in America is High, their's in Europe is NUT CASE high, but hey they have free medical care and transportation.





They have learned to spread the pain not the gain and so their pain tolerance is much higher in Europe than it is here in America.





On a side note, our Constitution and Declaration of Independence speak of Life, Liberty, Property and Pursuit of Happiness, the freedom of expression and religion and self Defence, not the equality of results but the equality of opportunity. It is a shame then that those in the KNOW and at the head of State are working the destruction of these goals and aspirations for the goal of a New International Economic Order. They knew they could never destroy America and her Constitutionally protected Freedoms so they decided to drive her into a DEBT that can never be repaid for the Borrower is Servant to the lender.








P.S. HOMEWORK: if you had invested your 100,000 Euros or FRN's in Silver in march of 2000 what you would have in purchasing power today? You do the math....





in Christ


The Preacher..