December 10, 2018 - San Francisco, CA - PipeLineNews.org – While it is becoming increasingly difficult to find anyone in DC who isn’t fixated over the most public aspect of the Democrat engineered Deep State coup - Special Counsel Robert Mueller’s absurd Russian witch hunt - backed by a rogue Justice Department and elements of Big Intel, a complimentary effort to sink the Trump Presidency regardless of the cost is already well underway and doesn’t seem to be especially well understood.
This aspect of the more generalized Marxist-Leninist war against the norms of Western Civilization is especially threatening since it has proven efficacy, relying upon proven, off-the-shelf tools that have been used before, most memorably against the last term of the GW Bush Presidency…the takedown of the economy by the Federal Reserve Bank and its Open Market Committee, the meetings of which are used to artificially set interest rates.
Looking back it doesn’t really seem that long ago…
With the subprime mortgage meltdown already percolating, ominously, the Federal Reserve under both Chairman Greenspan and then Bernanke commenced a spectacular series of interest rate hikes - across seventeen consecutive meetings - that saw the Fed interest rate explode from a mere 2% in May 2004 to the unconscionable level of 6.5% by August 7, 2007 [source, Wiki, History of Federal Open Market Committee Actions ].
When it became clear that a major crisis was underway [March 2008] and while the Fed intervened engineering a pressured sweetheart purchase of the brokerage firm Bears Stern by JP Morgan Chase, rates were still at 3.25%, creating tight credit markets at exactly the point where liquidity was badly needed.
When the Fed acknowledged the seriousness of the threat, it then reversed gears and backed the Fed Rate down. But it did so just enough to hamstring the economy sufficiently to aid the Democrat candidate [it’s the economy stupid] not too much, just enough to bring about a suitably nasty landing.
Unfortunately facing off against the GOP’s schlub of a candidate, John McCain, was the charismatic, Senator from Illinois, Barack Obama…and we all know the result of that mismatch.
But with victory then in hand and the Democrat Party controlling both Houses of Congress in addition to the presidency, the oddest thing occurred; the Fed walked things back down quickly so that Mr. Obama was greeted in December 2008 with an effective interest rate of 0% where it essentially remained for the next 8 years.
But now, with Trump in the White House and his not-so-happy GOP in tow, right on beat, the Fed started jacking rates up again in earnest, rising to the current level of 2.75% a more than doubling of rates from those of December 2016 [1.25%].
A bit of explanation is required here to understand how critical all of this is, and it’s not that complicated.
Under Team Obama and with the help of the Fed, the New York Stock Exchange and world markets in general climbed to unprecedented highs simply because there was no place to invest capital other than in equities; the low rates of return available in high grade commercial paper simply wouldn’t cut it.
That’s right, the huge run-up was almost entirely engineered – not to gainsay the genuine prowess of American industry.
But now with the President’s unharnessing of the US economy, especially the new developments in energy production, the Fed is already playing fast and loose with interest rates, tightening the economy by reducing liquidity.
So now it becomes a battle of wills.
Takeaway: keep an eye on the Federal Reserve while being mindful that with today’s sophisticated program trading, markets can be manipulated in ways never thought possible.
More to the point, be aware that the connectedness that links errant news “events” with wildly fluctuating market valuations is being exploited by globalist entities and players in a mad effort to destabilize the U.S economy.
Case in point, on Wednesday of last week the US DOJ directed Canadian law enforcement to arrest and hold for extradition, Meng Wanzhou the CFO of the Chinese high-tech giant Huawei.
There are several unusual aspects about the action:
First, it is highly irregular [read nearly unprecedented] in and of itself that such an aggressive move would be made under any circumstances, without some lesser means of accommodation first being sought in order to avoid roiling the already complicated relationship between the U.S and the ChiComs.
Second, and this one is very hard to fathom, Wanzhou is not only the company’s CFO, she is also the daughter of the company’s founder, so this is seen as being personal in a country where loss of face is a very serious matter.
Third is the timing, the arrest was made while President Trump was directly engaged in meetings with Chinese trade officials including Xi Jinping, the country’s president and chair of the Communist Party.
Fourth, In response, U.S markets tanked upon the news, at one point being over 700 points down before partially recovering.
When queried, the DOJ had no comment and the matter remains shrouded in intrigue. It remains unclear just what, if any, heads up was given to President Trump before the move, but the central point remains; nearly the entirety of DC has been weaponized to the point where the government is using its vast power to hamper the Trump administration and nullify the will of the electorate.
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