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Clever Fed Plan May Destroy Demand

This article was first published by me on Talkmarkets: https://talkmarkets.com/content/bonds/clever-fed-plan-may-destroy-demand?post=169182&uid=4798

The Federal Reserve Bank, the bank that is supposed to be watching out for the United States but that really only wants to watch out for big finance has created a clever plan. The simplicity of the plan is genius. But the plan guarantees the new normal and only has one major weakness. That weakness is discussed at the end of this article.

Fake reflation, as revealed by Jeffrey P. Snider, is just a small part of the plan. It is much more ambitious.

The plan even enlists the help of big corporations, dirty tricksters, as Ted Bauman calls them, not just big banks.

Let's look at how it all works:

1. The Fed keeps interest rates low or rising slowly on the short end. The Fed knows there is a conundrum at the long end. Even a little rise in longer interest rates is viewed with fear among Wall Street insiders. It must mean reflation. But …