The unregulated shadow banks are now the owners of even the regulated big banks, but also of, for example, all the big digital corporations. At the same time, BlackRock & Co have managed to remain virtually unknown to the general public.
Some Federal Reserve officials are calling for tougher banking regulations in order to prevent the Fed’s low interest rate policy from leading investors to take “excessive” risks that will create asset bubbles.
Ron PAUL
Federal Reserve Chairman Jerome Powell recently announced that the Fed is abandoning “inflation targeting” where the Fed aims to maintain a price inflation rate of up to two percent. Instead, the Fed will allow inflation to remain above two percent to balance out periods of lower inflation. Powell’s announcement is not a radical shift in policy. It is an acknowledgment that the Fed is unlikely to reverse course and stop increasing the money supply anytime soon.
The great de-coupling is here. The U.S. now has plan a to purge Chinese tech companies fully from America’s internet, creating what the Trump administration has dubbed the Clean Network. It mirrors the White House’s existing 5G Clean Path initiative to remove all Chinese components from systems ‘everywhere’, and which now extends it to everything tech on the ‘net.
The U.S. Federal Reserve serves as the great enabler. It is the engine that drives the U.S. thrust for primacy. The Fed’s ability to print apparently unlimited money; its backstopping of any amount of U.S. government spending simply removes any meaningful limits to U.S. actions. It creates a compelling illusion that there are no consequences to U.S. government actions. The U.S. smugly believes itself to be winning the trade war. It can sanction the world at whim.
