A Fed Official Admits to Robbing You!

Okay -for proper credit - brought to our attention by Karl Denninger:

market-ticker.denninger.net...

Honestly people - read this, but click the link to the video and WATCH IT!

So if The Fed is in fact "in the business of moral hazard", then we have just had The Dallas Fed admit a truth that is in fact quite uncomfortable for anyone who has a brain and is willing to use it - The Federal Reserve, as a consequence of how its mission is defined and how it chooses to discharge that mission, shifts costs and losses away from those people responsible for them and onto those people who have been and are prudent - that is, the American Public at large.

In short, what Rosenblum admitted - on national television - is that The Fed as currently constituted and operated exists to rob the public to cover the losses of wealthy investment and commercial bankers, thereby allowing them to take risks that they would never take in a market where idiocy (or even outright fraud) was punished by bankruptcy.

Seriously, take a hard look at this and think about what is being said. Then think about if we have any control over a Global Meltdown. No, there is an admission here of the stick saves, and it's glossed over as being for "us", but it's not. The CNBC video linked to in this thread should leave you with your jaw hanging open, and if not, just read the rest of the post and you should get it.

The problem as I see it is we can't go on forever without this ponzi scheme falling to pieces (as if it's not already).

I read this commentary earlier today. Denninger has been one of the few screaming about the BS going on with the Fed and Wall Street. He's a fromer ISP owner currently trader/analyst who from what I understand got kicked off of the Yahoo stock discussion boards for loudly proclaiming how screwed the mortgage lenders were (and hence extremely shortable) when the momentum of the credit crisis really got going. Rather than do what most people banned from Yahoo do ( make a new ID start over, get banned again) he started his own site and invited everyone who shared his views on the Yahoo boards there. I've seen his site develop from a rowdy Bear-den with some of the smartest people you'll find discussing things economic, to a grassroots effort to affect change. An organization called FedUpUSA.org was organized by members there and has held protests at Bear Sterns, NY Fed, the Treasury, and the Capital. I've seen Denninger and Mark Hansen(Mr. Mortgage), who is also a regular at Denninger's board, make it onto the Glenn Beck show on CNN. ( Don't go to his site and start running the types of post you would put on ATS because he suffers fools lightly and wields a ban-hammer mercilessly.)

On to the topic, I'm more shocked that a member of the Dallas Fed would admit to such than I am that it is going on. I don't know how much longer they can hold things together. I"ve actually been surprised at the levels that Wall Street, the Big Banks and Brokers, and thier accomplises in public offices to keep the bubble going. I know they are going to lose control eventually, and the longer it takes them to let the house of cards fall where it may the worse it is going to be for all of us except the ultra-wealthy few.

Originally posted by jefwane
( Don't go to his site and start running the types of post you would put on ATS because he suffers fools lightly and wields a ban-hammer mercilessly.)

Yes, to clarify that remark, he doesn't tolerate "tin foil" on his Board, so keep that here.

The irony of it is, his board & members are so ahead of the curve on so many financial issues, much would read like tin foil to the uneducated.

Yes, jefwane, to see the video he links to was what propmpted me to bring this to the attention of people here. It was just so bizarre! Frightening explanation of what the Fed's job is if they were discussing the weather.

If we are at the point where this can be discussed so publically and casually, if the powers that be think they have us at the point (so dumbed down) where they can actually say things like that without raising eyebrows, it doesn't say much for where we are at. It also shows the level of manipulation taking place in the financial world.

Not like most of us shouldn't have noticed by now how many Banks are being sued and allowed settlements (not admissions of guilt). The mortgage crisis was caused by so much fraud that went unregulated, which spilled over into everything everywhere, rather than anyone being taken to task for it, and while we (the average guy on the street) starts bleeding profusely, what are we seeing? The bailouts sucking us dry, as one industry after another (like a snowball effect at this point) approaches our government with their hands out.

But it's all under contol because it's all being manipulated to lull us into a false sense of security.

Over 200 years ago, Thomas Jefferson foresaw exactly what is happening today:

"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered." - Thomas Jefferson

One to two million people are waking up each year in this country, homeless on the continent that fathers conquered. For the Fed to deny that, with two million pieces of evidence, would be folly.