The Sound of Jawbones Breaking
(and other noises)
Much to panic of parts of the market (gold and silver, oil, hardgoods producers and transportation companies especially), the sounds of breaking Jawbones could be heard from September’s FOMC Meeting as Janet Yellen yet once again fell over her tongue and broke her jawbone for perhaps the last time. It was pitiful to see – much less observe and hear.
There are just so many times the so called “Market Rulers” of what’s left of this country can openly, prevaricate, lie, fib, cheat, and try to guide what’s left of a bankrupted Nation of a 330,000,000 million plus population’s economy and have it work. Over and over and over and over.
The Federal Reserve (shall we call them the “Vaultettes”), Treasury Department Dolts (that’s a modified horse with his head up his ass) and Executive twigs and sprouts can only hope to Say and not DO for so long before the markets (and those who flit around them like flies on a garbage pit) cease to believe that “Maybe” really doesn’t mean “Do” and begin not even to believe that ”Perhaps” means “Maybe” any longer. Or that next January may never come.
The famous and long lived Jaw Bone of historic fame has long been a tool of politicians, legislators, Federal Department puppets and the like to scare the poorer and smaller tiers of the Power’s That Be (Let’s call them the PTBettes or perhaps The Powers that Bets) to steer around various rocks and shoals of foolish fiscal, and financial policy.
The Federal Reserve (i.e. The Banks, REAL PTB (at least those who think they are) and The Dark Side (who know they run it) does not want a market correction (stocks or bonds).They wish not to hear the huge sucking sounds of mal-investment being eliminated in a disorderly fashion, sorted out, going busted, eradicated, being redirected in perhaps unknown or into no pre-set directions; panic in the streets and their control and power both lessened and jeopadized. THEY DON”T WANT THAT TO HAPPEN!
Then there’s the BUBBLE Trouble.
Now BUBBLES are vacuous creations, caused by continuous unlimited issue of unsecured and never-to-be-paid-back debt, and unsecured and unregulated derivatives of bundles of this never-to-be-paid-back-debt that cannot even be predicted by the real PTB (Dark Side Section) because Bubbles float magically throughout a fucked up fiscal policy (guided by no monetary policy – that went out the windows years ago) and is powered by only one thing.. DEBT and the bundling of that debt into huge behemoth bales of trash paper only existing out of some hope that the INTEREST on the debt will be paid and screw worrying about the debt itself. Then the INTEREST is bundled and sold again! All of this is, of course, lighter that air, so they float in uncontrolled bubbles up through the tattered and shattered financial system until at some time (on someone else’s watch, they all hope), the POP.. Hopefully not altogether but one or two at a time so the Junior TPTB can keep the scam humming for just a little while longer — at least as long as the JAW BONE is effective.
Since none of these people – short of armed intervention of some yet to be determined sort – have any real ammunition to keep this all this mathematically flat out proven failure and POP from happening, they have, for years, relied on The JAW Bone! Presidents, Federal Reserve Chairpeeple, Congress Critters, all of them have used JAW BONES coupled with other tools of the trades as lies, misdirection, distraction, and such.
Tell the dummies one thing when fully intending not to do it so the dummies will then react to what they THINK WILL HAPPEN because of the rumors, whispering, innuendoes, lies and general Bullshit the application of JAW BONE technique by the Fed, PTB, et al…
Let me give you a clue..
It just came to a halt. Bang. Whoa Nelly, Fall on your Ass plain HALT.
The Federal Feather Merchants have tried to use the same tool one time to many with the bleating and blathering of Janet Yellen at Jackson Hole once too often and everywhere I look, I see disbelief, backpedaling, “Hold Shit’s” and “This can’t be happening!” going on.
Now nothing about the Federal Government or the economy of this poor benighted country moves FAST.. It can’t.. It’s too big and has too much inertia.
But once it gets rolling, it’s just as hard to stop as it was to get started. Ask FDR and last man standing when Rome fell. It goes very slowly and then suddenly speeds up and goes like Hell. The chocks have just been kicked out from under the metaphoric wheels of the vehicle of disaster we’ve been staring at for 30 years (maybe more for the more perceptive).
I wouldn’t believe another single word issued by anyone in the Federal Government, the Federal Preserve (reserve) especially, equally, and thanks to Mr. James Comey, the premier law enforcement organization of this company (FBI) have now been reduced to lying piles of dog shit, and in an upcoming Muck’s Minute, I’ll see if I can show you how we have only one legal leg of out Three Legged Independent Government structure still standing.
In the mean time, don’t buy any Jaw Bone fragments for use in your soup; they’re all rotten and worthless and will remain so until full confidence has been restored in the veracity of the Federal Government and it’s thousands of worthless, non-functional parts. About the time Hell Freezes Over. (Don’t forget Global warming!)
Old Muck has even given up hope in hoping and will probably be even nastier in the future.
By the way – I lied.. Last Muck’s Minute I promised that would be all you’d hear from me on this Election Cycle. My Bad. One more thing.
I’m going to vote for Donald Trump for one reason. NOT because he’s honest, because he is obviously not lily white (with “Charitable Foundations” surrounding them all with less than sunny dealings!); not because he’s a statesman, because he isn’t; not because he’ll be able to change anything for the good (even though he might accomplish something) , but for one reason only.
Donald Trump is a smart asshole (he isn’t nearly as stupid, gross, coarse, or dumb as he looks but his does have has one thing. He has two hands with figurative hand grenades in both pockets, does not wear a head scarf, is white and will (I hope) blow up a lot of things that need blowing up so we can then get around to really starting the job of returning this Amerika to America. We need the biggest BANG we can get, and I don’t want 4 more years and a fiscal collapse with Hellery.
Now for a short snort a good book…
Muck..
I just left the movie Snowden so am pretty hyped. Good rant to read on the ride to dinner.
For a little humor ref your “(Don’t forget Global warming!)”
97% of the Climate Models agree- the Observable Data must be wrong.
Muck,
I really appreciate your article. Some of the concerns you mentioned
may wax and wane in our minds. Specifically that the world/USA “economies”
(ponzi schemes) will begin to slide hard and then accelerate down hard.
No one should vote for Hil, for obvious reasons. I will vote for Trump but
he is not talking about initiating/instituting a plan for sound $ policies.
The SDR changes may provide some pep and confidence for a short while.
We have to consider the whole world has gone to (essentially bankrupt)
fiat money. There are those pesky derivatives hanging around out there.
Bubbles bursting, as defaults can not be hidden anymore, are sure to shake
the banks. Trump is also not talking about ending our involvement in the ME.
Will he obey Israel or break away? The MIC will have a hernia if the spigot is
turned off. Worst is for glitches stacking up that cause our supply chains to break.
People have to heed the warning and put back at least some food to eat. Water?
I try not to pity the people in the big cities, especially those in the high rise apartments.
If things do go sideways fast, the cities will be the last place to be.
Last, as for believing anything gov has to say: Peter Comey (FBI guy James’ brother)
is the tax prep. attorney for the Clinton Foundation. One big happy family, as they say.
Suzanna
Please add dates to your articles. I visit your site every few days from ZH. You used to have dates b4 I click continue – like on the main page. I need to see dates. Thanks – u do great work
btw love the Fourth Turning analysis you do. The DM American Pie was good to.
Muck – some great turns of phrase in there. Wish I knew more about the stuff you write about. Loved the Trump comment.
Thanks.
@LLPOH: Come back from “Down Under” and maybe it’ll make more sense! You loose contact by moving your old ass 8000 miles and upside down at that!
As a matter of note, I’ve been to Aussy land, Tasmania and New Zealand. Too young at the time to truly appreciate it. Sadly, we got to Tasmania two days after the massacre – which dampened the trip a bit.
If I’d had brains of a gnat I’d have bought 1000 acres inland and upcountry from Cairns and parked my ass right in the middle of it.
How is your project progressing my friend? Your many friends on TBP want to know..
Agree with Lloph. A good reasoned rant! Maybe the reason why Trump is hitting so many firewalls is for exactly the reason you laid out.
Muck I have a couple of questions.
I am not much of a financial guy. I work in construction and money has always been ethereal to me. Anyways could you explain long end and short end of curve for a pleb like me. I read much ado about how Fed has boxed themselves in to a corner and can’t raise rates without blowing everything up.
One more question. Negative rates don’t make sense. A tax on savings will eventually leave nothing to tax.
RINS (Better than he thinks he is)/.. You question is far to broad for me to attempt to answer on a blog.
Yes., The Federal Reserve and U.S. Treasury has placed themselves in an untenable position where they will (MUST) continue to expand the debt (borrow or print et al) or DIE. Fact.. This FACT will cause the eventual collapse of the economy of the United States and a Depression (or War – if the politico’s want to distract the public about what caused it).
I can’t cover it here – God, I’ve been a scientist and engineer for 50 years, studying economics for most of that as a sideline and there is no way in Hell, I can give you what you want.
So I give you this.. (Work, of course)… Read Henry Hazlitt’s “Economic’s in One Lesson”. Read Ludwig Von Mises “Human Action”. Read Malthus, study Murray Rothbard, read Thomas Sowell, hell man, if your life is long enough you couldn’t absorb sufficient truth for full understanding of what has happened to our Amerika in only the last 75 years. Read the “Fourth Turning”. Browse the recommended books on the right side of this Web Site – study, study, study.
Best advise I can offer.
Muck
Muck
Thanks I figured you were going to say that. But a fella has to at least try.
🙂
Anyways topic is pretty dry and even for somebody who wants to learn like me I find it hard to keep going. I have made a few sorties into that quagmire but like the Swift boats in Vietnam I usually retreat back to base when it got dark and murky.
Anyways I’ll get to work. I’ll just have to make sure to keep sharp things and rope away from me while I am doing it.
Cheers
rob
@RiNS the Interesting: Economics is the study of Human Action. Human Action is NEVER boring or dull – only the Author’s presentation of the material. That’s why I like Tom Sowell and Walter Williams (both black by the way – no fault of their own) and treasure writers (like Jim Quinn (nose at attention!) , Fred Reed, Jim Kuntsler, Hardscrabble Farmer, Charles Hugh Smith and so many more) who can instruct, educate and entertain all at the same time.
A good teacher can do that. Bad teachers read from the blackboard, textbook, syllabus have no original thoughts of their own and bore everyone within 100 feet.
You didn’t grow up in a day Rob. If you live to 200 you will never have the time or energy to learn all there is to know of Human Action. Start with the authors I listed. Add Ayn Rand somewhere in there and in browsing the recommended websites listed on the right side of TBP, look for authors that can do it. Note them and look for articles by them..
It’s easier than you think – will take you forever and never, never bore you.
Muck
I liked this one a lot Muck. Especially the Trump and Comey parts. I hope more bad stuff coninues to emerge about Comey. He is corrupt as they come.
The bankers are riding a tiger and don’t now how to get off. The plan has reached the terminal phase . This is the phase when they distribute as much inflated assets as possible to the sheep. Meanwhile the banks will continue printing until it all collapses. Their goal? Accumulate as much real stuff as they can before the paper burns. Things will continue as is until it doesn’t.
Real stuff with intrinsic value is the only wise investment. (Not real estate) if you can’t pay the taxes they will take it from you.
“The bankers are riding a tiger and don’t now how to get off.”
Big understatement. The Federal Reserve, Treasury and the imbeciles in the Federal Government have got us there with the full and complete cooperation of corporate America who only wants to make money and doesn’t give a shit how they do it or who they kill in the process.
Everyone of them is either running (transferring corporate assets overseas), hiding (for God Sake, don’t let the shit Hit the Fan on My watch!), buying guns and guarded enclaves to survive, militarizing the police to pray for a little protection when the masses kick over the reins, pop the hobbles and starting breaking things, increasing the size of the National Guard so that eventually they can break that Constitutional limitations on that one and use them against our own citizens..
That ain’t half of it..
Muck
Sampson killed a thousand men with the jawbone of an ass.
“With the jawbone of a donkey, heaps upon heaps, with the jawbone of a donkey have I struck down a thousand men.” —- Judges 15:16
Likewise, Trump will slay millions with the jawbone of an ass named Hillary.
@Stucky. We will see won’t we. At a minimum, I hope, Mr. Trump, pseudo-ass thought he is (or would like us to think), has bags of figurative hand grenades and will, at the least, blow up SOMETHING that my set this country on a better path – or not.
We’ll see.
Give Ms. Freud a hug from me.. As a thinker in her own right, I’ve love to hear some of her opinions sometimes.
Muck
It is getting pretty ridiculous with interest rate nonsense. But I think some people have already forgotten the “taper tantrum” of a few years ago. The same thing happened when we were all waiting to see if the economy was healthy enough for the bernanke to print “only” 75 billion instead of his usual 85 bil that had been the case. Complete clown show. As far as credability goes, they have none as far as Im concerned, and haven’t for a long time(Im also one of those who things the fed is unconstitutional and shouldn’t even exist, another subject for another day). But the algos still apparently find yellen to be credible, so round and round we go.
It had gotten kind predictable, though. Hold DUST in the week or so leading up to the meeting, because gold is always pushed down in that week. They know gold will spike by a pretty good amount upon the decision being made public, so it takes a couple days of 5-8$ down each to push the gold price down to where once they announcement is made, and gold has a $20-$30 up day, its really just back to where it started. A day or so before the meeting dump the DUST and buy NUGT. Dust should go up 10-20% on tyhe down days leading up to the meeting, and NUGT should spike 15-20% on a good day for gold. Just make sure you don’t hold the NUGT much past the day of the announcement. Gold typically has a sell off a day or two after wards.
Thats my thing, anyway. Hows it sound, muck?
@Gator: I’ll look at your “predictable” theory and let you know. I have a simple system. Trade the paper and buy the hard shit. (never sell – just buy – but trade the baloney paper crap).
Also, for free, I’ll give you and the other reader’s of TBP a million dollar tip for free.
Starting at 1 year old (if you could (or your Dad could), open an IRA. Set the IRA up in a Broker Account. Trade the paper in the Broker Account with the IRA. NO TAXES on Capital Gains EVER.. Until such time as you wish to withdraw it when you pay ordinary income tax – but then you can withdraw it in nice chunks just under the amount that would require you to fine a 1040. So you get a trading account and make profits all your life without paying a dime in taxes – then meter the output of the account into your pocket to keep the flow under that required amount to file a 1040 anyhow.
Perfectly legal – just a loop hole the Fed’s haven’t filled yet.
Fuck ’em all.. And the Federal Reserve and Banks they rode in on.
Muck