The Fed’s Failure & Government Corruption Exposed - Stoic Markets

The Fed’s Abandon Law and Order & The Fed Abandons Duty

Last week was dominated by the two grim reapers of the post Covid economy, inflation and rate hikes. We received new inflation data from the US, which was far less positive than the mainstream media would have you believe, and we subsequently saw the Federal Reserve halt their rate hiking procedures, in spite of the monumental threat inflation poses us all.

But a smaller headline was missed by many, because the media didn’t want us to notice, thankfully though, Stoic Markets will hide no such thing. Sam Bankman Fried, one of the biggest fraudsters and thieves in history, quietly saw 5 of the charges against him dropped, as the Federal Government prepares to let him off, despite his obscene crimes.

All in a days work for the Government of the United States…

Federal Reserve Freeze In The Face Of Danger

On Wednesday, The Federal Reserve’s Open Markets Committee reached an agreement to pause its rate hikes following ten consecutive or 15 months of interest rate hikes.

Despite the halt though, it appears there will still be further rate hikes to come as 12 of the 18 policymakers penciled in rates at or above the median range of 5.5 per cent to 5.75 per cent.

Essentially, 66% of these policy makers think the inflation fight isn’t over yet, but the Fed is happy to slow down their fight, in order to check that they aren’t “over-tightening”.

This was apparently justified because headline CPI figures have fallen, and Jerome Powell seems to think that the moment of pivot is nearly upon us: “It will be appropriate to cut rates at such time as inflation is coming down really significantly.”

The problem with all of this? Headline CPI figures are irrelevant, because they include volatile measures with energy being the big disrupter of the data. Oil prices spiked, then they fell, and so they’ve dragged down the CPI, but Core-CPI data is still terrifyingly high, and most importantly…

It is not falling!

Core inflation sat at 5.3% annualised, 2.5 times higher than it should be, and right around the place it has remained for the entire last year, so when anyone claims the inflation fight is done, merely point them in the direction of that figure, and promptly ignore everything else they have to say.

The silver lining here? The Fed is at least honest when saying that rate cuts aren’t going to come this year, but even 2024 will likely be far too premature, and cause America to enter a state of stagflation.

Joe Biden Employs His Propaganda Experts

Regardless of the still ever so high levels of Core inflation, Joe Biden was not persuaded from putting a positive spin on the reporting’s of May’s CPI level as he released an official statement from the White House where he stated:

“Annual inflation is now at the lowest level since March 2021, and less than half of what it was last June.”

“The plan that I laid out a year ago to bring down the cost of living and sustain stable and steady growth is working”.

When hearing from this government, its important to keep in mind the old adage: “Statistics don’t lie, statisticians do…”

It is unsurprising that Mr. Biden would like to tell people of his effective economic policies, giving the nearing the 2024 elections, but it’s important to note that his presidency began in the midst of a rapid recovery from covid lockdowns, and that his policies have made inflation worse, through irresponsible government spending, not better.

Finally for the Fed, one concerning aspect of this economy was prompty ignored by everyone with a say, who cared not a shred for the banking crisis that saw 2 of the 3 largest American banking collapses in history, just a few short months ago.

Perhaps, Jerome Powell and his committee have decided to turn a blind eye on this issue purposefully so as to not cause another Bank Run, an unsurprising move given the Federal Government’s tendency to help out other members of the wealthy elitist class as evidenced in the following story…

Sam Bankman-Fraud On Track To Be Set Free

FTX Founder, Sam Bankman-Fried (SBF), the disgraced billionaire who defrauded millions of public investors for Billions of dollars was thought to be beyond saving, even with the support of those he “totally didn’t help launder money through Ukraine”…

However, it appears, the Billions swindled by FTX might not have been enough to send this man to jail, as Federal prosecutors asked a judge on Thursday to remove five charges against alleged the crypto-fraud.

These charges included bribery of a foreign government official, after a Bahamas court ruling cast doubt on whether the U.S. government had followed the correct procedure for bringing the charges against the former billionaire; Perhaps this Bahamian judge was bribed?

Or maybe the Federal prosecutors just forgot how to do their jobs? You can decide. Either way, his claimed innocence had nothing to do with the charges being dropped, nor did new evidence proving his innocence. These charges have been abandoned because US Officials “didn’t follow the correct procedures”.

All we say is that we think that SBF was perhaps putting some of his wealth stolen from customers to better use than some of his prior purchases which included:

• 52 properties in the Bahamas worth $255 million

• $2.4 million in a fleet of vehicles.

Perhaps we should add to that list bribery of US Government officials as well?

If you’ve paid attention to previous emails, you’ll know full well that inflation is going to be the defining feature of the coming decades, and it threatens to destroy countless portfolios.

The best way to ensure we don’t lose all our hard earned cash? Is by staying informed, and knowledgable on all things investing.

I personally follow and read 10+ newsletters all based on investing and finance, and like to show some of my favourite to you, so you can stay in the loop too.

Finally, we’ve also noticed loads of people want to see the banned and deleted videos we post on YouTube, which aren’t allowed to be shown after Google struck their ban hammer…

So, we’ve decided to release them for free as part of our referral program! All you have to do is invite friends or family to elevate their financial awareness with Stoic Markets, and for every referral you get, another prize will await!