Wonderful State of the Union address
Feb 5, 2020 10:44:25 GMT -6
backhoeboogie and greybeard like this
Post by the illustrious potentate on Feb 5, 2020 10:44:25 GMT -6
Great speech besides all the extra spending Trump proposed. I can't understand this kind of thinking, maybe if I owned a money printing press I'd see the light. Your not doing good if you cant your debt off.
Your "money" is made on a printing press. The federal reserve which isn't federal, was not authorized by the constitution to regulate the value of money, but it does.
"The Congress shall have Power....
To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;"
To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;"
Contrast that with the following:
"The federal funds rate is one of the tools the Fed has to help meet its three economic goals: Promoting maximum employment, stabilizing prices and moderating long-term interest rates, which affect the ultimate cost of financial products like mortgages. This short-term rate serves as a benchmark for rates on borrowing and yields earned on savings for businesses and everyday Americans. It directly affects short-term interest rates and indirectly affects longer-term ones, currency exchange rates and stock prices. The federal funds rate is one of the tools the Fed has to help meet its three economic goals: Promoting maximum employment, stabilizing prices and moderating long-term interest rates, which affect the ultimate cost of financial products like mortgages. This short-term rate serves as a benchmark for rates on borrowing and yields earned on savings for businesses and everyday Americans. It directly affects short-term interest rates and indirectly affects longer-term ones, currency exchange rates and stock prices. This short-term rate serves as a benchmark for rates on borrowing and yields earned on savings for businesses and everyday Americans. It directly affects short-term interest rates and indirectly affects longer-term ones, currency exchange rates and stock prices."
www.usatoday.com/story/money/2019/07/30/federal-reserve-why-does-fed-lower-interest-rates/1861483001/
www.usatoday.com/story/money/2019/07/30/federal-reserve-why-does-fed-lower-interest-rates/1861483001/
"The Fed has been injecting hundreds of billions into markets since September's rate crisis. Here's why it might not be enough to calm lending conditions."
And the Fed manipulates the "money" supply in very un-American way.
Who receives Fed aid?
The Fed's injections cater to primary dealers - or high-credit banks approved to purchase directly from the central bank. While the large banks make up a significant portion of the lending market, non-primary dealers are left with little assistance from the Fed's injections.
The smaller banks "are the most acute source of stress in repo markets" and are set to take on a greater burden as larger firms' reserves grow, JPMorgan Chase analysts wrote in an October 18 note. Regulatory hurdles make it harder for cash to reach non-primary dealers, and a lack of reserves at the smaller firms creates a weak spot in the lending market.
Analysts at UBS echoed the warning, claiming the central bank doesn't know "if there is a level of reserves that will 'solve'" the recent rate pressures.
"The primary dealers are only a subset of the demand for cash in the market, so the pressure in markets we have seen in the past week suggests that simply financing the primary dealers may be insufficient," the analysts wrote. "The Fed is hoping that the money those dealers don't take from the market will be available to other borrowers."
markets.businessinsider.com/news/stocks/why-fed-repos-capital-injections-might-not-calm-liquidity-fears-2019-10-1028643549?op=1#who-receives-fed-aid-1
The Fed's injections cater to primary dealers - or high-credit banks approved to purchase directly from the central bank. While the large banks make up a significant portion of the lending market, non-primary dealers are left with little assistance from the Fed's injections.
The smaller banks "are the most acute source of stress in repo markets" and are set to take on a greater burden as larger firms' reserves grow, JPMorgan Chase analysts wrote in an October 18 note. Regulatory hurdles make it harder for cash to reach non-primary dealers, and a lack of reserves at the smaller firms creates a weak spot in the lending market.
Analysts at UBS echoed the warning, claiming the central bank doesn't know "if there is a level of reserves that will 'solve'" the recent rate pressures.
"The primary dealers are only a subset of the demand for cash in the market, so the pressure in markets we have seen in the past week suggests that simply financing the primary dealers may be insufficient," the analysts wrote. "The Fed is hoping that the money those dealers don't take from the market will be available to other borrowers."
markets.businessinsider.com/news/stocks/why-fed-repos-capital-injections-might-not-calm-liquidity-fears-2019-10-1028643549?op=1#who-receives-fed-aid-1
The plan wont be to pay off the debt in the current system, but change the system.
And that wouldn't have been accomplished without strengthening our military first. Which is where most of his spending went. The rest was pork spending in the House to approve what he needed for the military.
When we were losing over 500 billion a year to China, and however many more 100's of billion spent on defending NATO countries that weren't paying their ways, plus all the money gifted around the globe to countries that hate us, I think I can swallow diverting that money to strengthening our military, our infrastructure and our people. And I'm ok diverting some of the money that was going to those sources to fund real contributions to our country. It's not studying how many ducks might be gay.
We need to be financially sound and we've not been. But working within the system and situation he inherited, I think he's made the right moves.
It's up to Americans now to give him a House that will be willing to spend where appropriate and cut deeply where it isn't.
And when that House is delivered in November, I think you'll see the whole of manipulation by the fed stopped with passage of the following at some point in the next 4 years.
www.congress.gov/bill/115th-congress/house-bill/5404/text