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  • The World Central Banks' Reverse Sovietization of the World's Economies, Political Parties, and Populations.  4 comments
    Dec 12, 2011 5:30 AM

    The World Central Banks' Reverse Sovietization of the World's Economies, Political Parties, and Populations. (And that's OK)

    In 2008 America's privately owned  Central Bank  took ownership of 800 billion dollars worth of troubled GSA  et. al.mortgage backed securities.

    The Central Bank paid nothing.
     
    Starting in March of 2009 the private central bank took ownership on a monthly basis of exactly the same type of US securities that enormous amounts of small after tax profits of traditional economic activity had previously bought.

    The Central Bank paid nothing. 

    As of December 2011 they owned 1.7 trillion dollars worth of the same securities that 15 billion Chinese man years of profits have yet to produce.

    The Russian leader calls a spade a spade and understands that Russian natural gas and oil assets are marginalized by what could be described  as central bank counterfeiting economic terrorism.

    But for the new America, the America whose manufacturing CEO's sold both American self reliability on its own native manufactured products and the American middle class down the river with their powerful NAFTA democrat and republican lobbyists 20 years ago, for this new America, central bank counterfeiting is a viable alternative. Moreover, it provides for much more world stability than disruption.

    Japan's central bank entered the fray 20 years ago with the collapse of the real estate and  40K NIKKEI bubble. The debt to GDP ratio is now around 200 percent. Life goes on in Japan.

    Now enter the European central bank and the IMF, essentially the same organization.  With multiple central bank player's, out right counterfeiting can be somewhat  hidden in a computer shell game where the central bankers borrow from each other so that there is 'no net real' creation of money. Promises will be made to repay each other with no intent to do so. Offsetting interest will accumulate on the books only - never to be repaid.

    And that is what will happen, because it must.  Just as in Japan and just as in the United States ..... without counterfeiting the forward based debt economic system would implode sans the continuation of credit availability  and sans the stabilizing payment of 20 to 40 year system promised pensions and entitlements.

    This is a new world order.

    The world has undergone and will further undergo a defacto new sovietization.  But rather than a political or national or central group poliburo leadership taking the lead and running its own central bank for a five year economic-military plan to dominate other countries and incorporate and standardize and sovitize satelite countries, the central banks are congealing to form the essential hub of a wheel composed of  the global central-bank system's sovietized national governments and economies.

    The World's Fiat money system and western political systems are undergoing global central bank sovietization, and while the rich and super rich will benefit disproportionally, this sovietization will make the system as a whole much more stable.

    But before the world's central bank collaborative printing presses begin in earnest and concert - producing the exchangeable Yen, Dollars, Euro's, Yuan, and Pounds needed to prevent the alternative austerity  meltdown of a highly indebted, asset saturated, and pension and entitlement promised global society - a natural asset valuation devolution will take place.  This global asset devolution will assist the central banks' hub of the wheel evolution.

    The Federal Reserve  provided the liquidity via Q1E and QE2 to maintain unemployment insurance and a floor under the US economy.  QE 1 began in March 2009 and QE2 ended in June July 2011.

    For the Wilshire a Lammert second fractal of 60-61 weeks (2.5x) ended in August of 2010.  The third fractal of 2x 48 weeks ended in July of 2011.  The decay fourth is expected to be 1.5 to 1.6x in length or approximately 38-39 weeks.

    Beginning in August 2011 the Wilshire and FTSE shared a fractal evolution while the DAX and CAC had their own distinct European fractal evolution.

    The Wilshire and FTSE are following a 9/22/7 week fractal devolution whereas the DAX and CAC are following a 7/17/15 week devolution to complete the Federal Reserve's supported QE1 and QE2  x/60-61/48/38-39 week :: x/2.5x/2x/1.5-1.6x ideal growth and decay fractal.

    Over the next two trading weeks  of 12 December  2012 and 19 December 2012,  global equities and the CRB are expected to reached  2012 low valuations while the US Ten Year Note will reach 2012 record low interest rates.

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Comments (4)
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  • ex umbra
    , contributor
    Comments (19) | Send Message
     
    do you mean 2011? ... as in 'the next two trading weeks'

     

    "Over the next two trading weeks of 12 December 2012 and 19 December 2012, global equities and the CRB are expected to reached 2012 low valuations while the US Ten Year Note will reach 2012 record low interest rates. "
    12 Dec 2011, 12:34 PM Reply Like
  • The Economic Fractalist
    , contributor
    Comments (51) | Send Message
     
    Author’s reply » "Over the next two trading weeks of 12 December 2011 and 19 December 2011, global equities and the CRB are expected to reached 2011 low valuations while the US Ten Year Note will reach 2011 record low interest rates. "
    14 Dec 2011, 03:36 AM Reply Like
  • ex umbra
    , contributor
    Comments (19) | Send Message
     
    thanks for the update.
    14 Dec 2011, 03:04 PM Reply Like
  • ex umbra
    , contributor
    Comments (19) | Send Message
     
    http://bit.ly/sORhmI

     

    ^ similar
    24 Dec 2011, 10:57 AM Reply Like
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