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Showing posts with label Trillion. Show all posts
Showing posts with label Trillion. Show all posts

Thursday, October 11, 2012

The Fed's Balance At The End Of 2013: $4 Trillion


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by Tyler Durden

What happens next:
Imminently, the Fed's Open Markets Operations desk will commence buying $40 billion in MBS per month, or about $10 billion each week. Concurrently, the Fed which is continuing Operation Twist, will still purchase $45 billion in "longer-term" Treasurys, sterilized by the $45 billion or so in 1-3 years Bonds it will sell until the end of the year at which point it runs out of short-term paper to sell. End result: every month through the end of 2012, the Fed's balance sheet expands by $40 billion in MBS. Beginning January 1, 2013 the Fed will continue monetizing $40 billion in MBS each month, and will continue Operation Twist, however it will adjust the program so that it continues to increase its long-term holdings at $85 billion per month, without sterilization as it will no longer have short-term bonds to sell. It will also need to extend its ZIRP language "through the end of 2016" so all bonds 1-3 years are essentially risk free, as they are now, in effect eliminating the need to sell them. End result: every month in 2013 the Fed will increase its balance sheet by $85 billion, consisting of $40 billion in MBS, and $45 billion in 10-30 year Treasurys, or the natural monthly supply of longer-dated issuance. The Fed will therefore monetize roughly half of the US budget deficit in 2013.

Putting it all together, the Fed's balance sheet will increase from just over $2.8 trillion currently, to $4 trillion on December 25, 2013. A total increase of $1.17 trillion.

This is what the Fed's balance sheet will looks like:

Another way of visualizing this is how many assets as a percentage of US GDP the Fed will hold on its books. Currently, this number is 18%. By the end of 2013, the Fed's historical flow operations will be accountable for 24% of US GDP.

Why is this important? Simple: when the time comes for the Fed to unwind its balance sheet, if ever, the reverse Flow process will be responsible for deducting at least 24% of US GDP at the time when said tightening happens. If ever.

What is scariest, is that as of this moment, all of this is priced in. Any incremental gains in the stock market will have to come from additional easing over and above what Bernanke just announced.

And finally: Fed's DV01 at December 31, 2013: ~$4 billion


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Friday, November 25, 2011

15 Trillion In Debt, But We Can Kill Anyone In An Hour... Nailed It?

Chris | InformationLiberation

The US government is officially 15 trillion in debt, unofficially over 116 trillion, but don't worry, the regime can now kill anyone anywhere in the world within an hour using a "hypersonic" missile!

From AFP

WASHINGTON ? The Pentagon on Thursday held a successful test flight of a flying bomb that travels faster than the speed of sound and will give military planners the ability to strike targets anywhere in the world in less than a hour.

Launched by rocket from Hawaii at 1130 GMT, the "Advanced Hypersonic Weapon," or AHW, glided through the upper atmosphere over the Pacific "at hypersonic speed" before hitting its target on the Kwajalein atoll in the Marshall Islands, a Pentagon statement said.

Kwajalein is about 2,500 miles (4,000 kilometers) southwest of Hawaii. The Pentagon did not say what top speeds were reached by the vehicle, which unlike a ballistic missile is maneuverable.

Of course, to actually accept this technology even works as described is hugely questionable. As Tom Woods discusses in the video below, most of these "super weapons" are just scams to get taxpayer loot.

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another book sale

what is really going on, what is the script, the conspiracy?

the occupy movement is the (div) 'V for Vendetta', their job is to sell out the poor in the name of fairer government, with the target of the stock exchange, the money system. that is to sell out themselves. in V for Vendetta we had radiation experiments being conducted systematically on people, you will find that historically and that is worth check as it reveals who was at it, eg. in britland the national health service. what pepole tend not to notice is themselves, being irradiated at a joke. the media in britland present this as a farse just like they had charlie chaplin mocking hitler so they could have a great war. for people to join in the joke is to be the joke for it is talking about the audience not to them. that is what the media does, talks about you and you are supposed to think it is to you and to join in any argument they rake up.

some people here believe in free trade. what is the most profitable business on earth? it is the prison business, the market is owned, the people, all things, lies, myths and riddles. it is called 'society' and it requires perpetual war.

i picked up this history from the street, it may be innacurate but it is the safest task not to pick a prophet but to examine for yourself.

back in 1049 in britland the freemasons set up in suffolk. that is substantlally about sheep, the wool business, the place to be long ago for trade.

the 'orwell' in the name george orwell was, officialdom hinted may be true, came from a river in suffolk. (the foresters were here before, later the oddfellows so you could be openly sexually out of the mainstream ie group 'em all up). page 33 of animal farm is chapter V.

so they have free trade, the trade is the pyramid scam and they have been flat out imprisoning all of you and themselves.

in animal farm, which the bbc proclaims top book (a simple template which does not reveal itself as conspiracy unless you know what is going on). in the book alcohol is proclaimed poisonous by the dictator, something the bbc and nhs are doing now.

history was re-written by two words, there was a recent example with patents in the US. <'No animal shall drink alcohol to excess.'>

11 ie them, ie nwo in the current contex. as per 'At the 11th hour on the 11th day of the 11th month of 1918, the Great War ends.'

despite the government closing all the pubs in britland you can still see history (what is still being lived). this includes looking at the names of pubs, the queen victoria, the mason's arms, the king's head, the railway etc. you might believe these are appropriate names, but then if you travel round you might ask who owns the shops, aren't i missing what is right in front of my nose?

that is the elephant in the room, you are surrounded by the military industrial complex (military the means). the business operators have the best trade union that you can die for, it is called government. it is an assembly or representation of vested interests and the stockholders have freedom of trade. i would think mayor of london boris johnson is a 'freeman', freedom to trade in the prison.

as i mentioned the war (2), people were told they were saved from oppression, they are free because of it. that is the opposite of the truth.

if people are looking for psychopathy, in commerce there it is. it opposes humankind, everyone is sold out.

animal farm a fairy story, a fairy story, eric blair was taking the p*ss.

in the media they announced recently no expense would be spared to protect the olympics, they mentioned that surface to air missiles would be used if necessary to defend the site.

i kind of take this in the occult sense. the olympics, that running track and the first past the post. in britland they run a system called first past the post, if i have 2 votes and that is more than others (i can lie as it is a game of cheat), the business roles on.

i spoke to someone who was tasked to one of the electoral reform cons, those delphi discussion units. their job was in effect to coming up with a new way of presenting the first past the post system. it is a cheat, they are voted out by absense of votes and are required to go.

they don't want to go. sams i take as americans, that they will use their US military to protect the dictatorship here, the system it depends on at any cost. they are already doing that, brainbusted units like the cia and us marines already propping up the system. this includes rather significan american military bases in cambridge, to do with stuff you aren't meant to know about as it is about you not for you.

as for animal farm, did barack obama receive the nobel prize for peace (dictator's peace)? did tony blair award himself the highest award the US corporation is allowed to give? did david miliband (now william hague) front global torture, including if you knew it you? extraordinary rendition indeed it was. did a vast some of money go missing, what is called 9/11? and what of the building?

animal / manor farm

As they approached the farm Squealer, who had unaccountably been absent during the fighting, came skipping towards them, whisking his tail and beam with satisfaction.>

i thought they got the presentation of blair after 7/7 perfectly right, salivating after 7/7 after a pre-prepared speach (pre 7/7) was read out when the hot word game rolled, the terrorist gang because it was a general assembly of war crafts, awarded themselves power to do all manner of things to you. their army, their courts, their business. i have the means to kill, i don't have to award myself that power, i am not part of a gang where it proves anything symbolic, but that is the land of land of politics which is of necessity based on a system perhaps best described as mafia.

O GB

<'What victory, comrade? Have we not driven the enemy of our soil - the sacred soil of Animal Farm?'
'But they have destroyed the windmill. And we had worked on it for two years!'
'What matter? We will build another windmill. We will build six windmill's if we feel like it ...>
<'Then we have won back what we had before.' said Boxer...>

i think some remember the bank-notes, it was a rather large sum, i think people have found out all government money is a forgery. it suits not to leave people with things that would, without permission be of use.

i guess if i presented as a vested interest i should declare i don't have a penny but it isn't to me about rich or poor, it is about the division as is well known. hence it is that V is what it is all about, the game requires it and it is the most dangerous game.

you will hear the media say 'orwell' warned people. you have to see the mirrors to know what that means. eric blair was the official prophet of manor farm. as we saw on 9/11 the fairies included the USAF, what 'U2' called the saints.

challenge is inherent in life. courtesy of commerce this comes with what patterns to malice. the prison population will i presume decline no matter of the politicians and their borders to keep people inside the corporations identified by flags. already the dicatorship looks absurd, it fooled me, perhaps you too?

the 'occupy movement' is government, selling as in all politics 'austerity' and to maintain itself, as per animal farm, revolution is the method. in this instance it is being called marxist, one of the money men's scripts.

someone said the fbi were involved in an attempt to shoot Obama. (the battle of the cowshed, the white house, i seemed to have read the brits burned it down - as in erasing history). as for obama, oh boy, he must need protection. truth backwards, the false prophet is the danger and the protection he has means he is the most imprisoned slave in america.

as for the video and stealth fighters, if you control what people see you have stealth, what the media network does. until now, ie when everything has been stolen so the empire has to reverse to go forward again, people didn't realise who the rescue services were. in britland they are told but they were programmed in advance, the phone number is 101 (V), aka orwell, aka the duality game.

with the video games kids have, they are animating the kids having them literally dance out history of war, being watched as they watch. who is an actor, who is real, that is for each to decide.

i heard on the radio the bbc V 'live' keep asking the poor to phone in, what a contradiction. the raven as per animal farm spoke in their names (the church of england has a huge stake in the media so representation was with issue). they didn't dare let a single real poor person on, not one, the whole thing make believe just like they don't let troops tell people what was done to them and what they have just lived.

i post this with a view of the military industrial complex. i know it is the military industrial complex as there is a wall, uniforms the other side, lots of police uniforms but is mainly industrial. right on cue the signs on the wall tell me this is 'manor farm' not 'animal farm', ie uk plc. what is not so easy to see is that i am living in the 'complex', that is the big part, that is the fool most of the people part.

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Sunday, October 23, 2011

New York Fed: Student loan debt now over $1 trillion

By Stephen C. Webster

The Federal Reserve Bank of New York claimed in a published report Wednesday that student loan debt in the U.S. has now surpassed $1 trillion, for the first time ever exceeding the total amount of credit card debt held by Americans.

Due to the rising cost of education across the board, students are being forced to borrow almost twice as much as they were just 10 years ago, the College Board told USA Today.

That?s what led to a spike in student loan amounts and drove 2010's total loans to more than $100 billion, another new record, accounting for roughly $4,963 for every full time undergrad student.

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Monday, August 29, 2011

Wall Street Aristocracy Got $1.2 Trillion in Fed's Secret Loans

By Bradley Keoun and Phil Kuntz

Citigroup Inc. (C) and Bank of America Corp. (BAC) were the reigning champions of finance in 2006 as home prices peaked, leading the 10 biggest U.S. banks and brokerage firms to their best year ever with $104 billion of profits.

By 2008, the housing market?s collapse forced those companies to take more than six times as much, $669 billion, in emergency loans from the U.S. Federal Reserve. The loans dwarfed the $160 billion in public bailouts the top 10 got from the U.S. Treasury, yet until now the full amounts have remained secret.

Fed Chairman Ben S. Bernanke?s unprecedented effort to keep the economy from plunging into depression included lending banks and other companies as much as $1.2 trillion of public money, about the same amount U.S. homeowners currently owe on 6.5 million delinquent and foreclosed mortgages. The largest borrower, Morgan Stanley (MS), got as much as $107.3 billion, while Citigroup took $99.5 billion and Bank of America $91.4 billion, according to a Bloomberg News compilation of data obtained through Freedom of Information Act requests, months of litigation and an act of Congress.

?These are all whopping numbers,? said Robert Litan, a former Justice Department official who in the 1990s served on a commission probing the causes of the savings and loan crisis. ?You?re talking about the aristocracy of American finance going down the tubes without the federal money.?

Peak Balance

The balance was more than 25 times the Fed?s pre-crisis lending peak of $46 billion on Sept. 12, 2001, the day after terrorists attacked the World Trade Center in New York and the Pentagon. Denominated in $1 bills, the $1.2 trillion would fill 539 Olympic-size swimming pools.

The Fed has said it had ?no credit losses? on any of the emergency programs, and a report by Federal Reserve Bank of New York staffers in February said the central bank netted $13 billion in interest and fee income from the programs from August 2007 through December 2009.

?We designed our broad-based emergency programs to both effectively stem the crisis and minimize the financial risks to the U.S. taxpayer,? said James Clouse, deputy director of the Fed?s division of monetary affairs in Washington. ?Nearly all of our emergency-lending programs have been closed. We have incurred no losses and expect no losses.?

While the 18-month U.S. recession that ended in June 2009 after a 5.1 percent contraction in gross domestic product was nowhere near the four-year, 27 percent decline between August 1929 and March 1933, banks and the economy remain stressed.

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