blog.milesfranklin.com / By Bill Holter / March 4th, 2013
Dallas Fed Governor Richard Fisher spoke a couple of weeks back and said “The Fed has artificially sustained markets.” He spilled more beans yesterday. He said that “fundamentals don’t support stock prices.” Is he crazy? Who let this guy out of the box? Doesn’t The Fed have rules and protocol regarding making public statements? He says this a day after Bernanke testified in opposite fashion? Don’t get me wrong, Fisher is correct and a “quiet voice of reason” but isn’t it their job to lie? I forget which Governor it was back about 6 or 7 years who said something like “the truth is the last order of business for a Fed Governor” or something to that effect.
The point is this, because the basic premise (the Dollar) is a lie, they ALL have to lie, lie consistently, lie in harmony, and LIE as one unit. You cannot have 5 different stories coming out of the board which contradict one another. The currency (the common stock of a nation) is a reflection of confidence. How much confidence does conflicting stories build or hold?
This in my opinion is far worse than Alan Greenspan’s “irrational exuberance” speech. At least he was only saying that the market was too frothy. Fisher on the other hand is saying that the market should, would, never have gotten to the levels it is today without the Fed “fueling” the move. If you read between the lines, the word “manipulation” is in there. The conflicting information now coming out shows the actual chaos that is going on behind the scenes. This sort of conflict amongst “bus drivers” will cause a panic where riders will simply jump off of the bus. “Confidence” as I have said many times is THE only thing holding the system together and these bozos are doing their damndest to destroy confidence.