It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Some features of ATS will be disabled while you continue to use an ad-blocker.
(visit the link for the full news article)
We learned recently on good authority that Federal representatives may have opened multiple undisclosed-type accounts with none other than State Street Global Advisors over the past few months. All of these accounts are allegedly handled by one single trader, who is cocooned and isolated from interaction with other partners.
Zero Hedge can, as of yet, not vouch for this being 100% factual.
If this is true and especially if The Fed is involved, there is a major problem with the law.
See, The Federal Reserve is explicitly not permitted to buy anything that doesn't have the full faith and credit of The US Federal Government behind it. It is that fact (found in Sections 13 and 14 of The Act)...
The Fed's charter and statement of operation is that liquidity operations are to be performed through the NY Fed dealing desk. That transparency is important...
If The Fed is dealing through one "special trader" at State Street, then all such transparency of action and intent is GONE.
State Street to Repay TARP Proceeds to the US Treasury
Company to be in First Wave of Stress-Tested Banks to Repay Funds
BOSTON – June 9, 2009 – State Street Corporation (NYSE:STT), today announced that its application to repay the full amount of the US Department of the Treasury’s investment in the company under the TARP Capital Purchase Program (CPP) has been approved.
Originally posted by Amagnon
My thoughts are that this manipulation has been going on for ages - gold and silver, and bonds (which is supposed to be ok I guess) and the market.
Its nice to see someone finding the hand thats full of bills where it shouldn't be though - hope this turns explosive.