{"id":17036,"date":"2016-01-28T11:20:20","date_gmt":"2016-01-28T16:20:20","guid":{"rendered":"http:\/\/olduvai.ca\/?p=17036"},"modified":"2016-01-28T11:20:20","modified_gmt":"2016-01-28T16:20:20","slug":"the-federal-reserve-just-made-another-huge-mistake","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=17036","title":{"rendered":"The Federal Reserve Just Made Another Huge Mistake"},"content":{"rendered":"<div class=\"post-headline\">\n<h3><a href=\"http:\/\/theeconomiccollapseblog.com\/archives\/the-federal-reserve-just-made-another-huge-mistake\" target=\"_blank\">The Federal Reserve Just Made Another Huge Mistake<\/a><\/h3>\n<\/div>\n<div class=\"post-byline\"><\/div>\n<div class=\"post-bodycopy clearfix\">\n<p><a href=\"http:\/\/theeconomiccollapseblog.com\/archives\/the-federal-reserve-just-made-another-huge-mistake\/the-great-seal-of-the-united-states-a-symbol-of-your-enslavement-photo-by-ipankonin-6\" rel=\"attachment wp-att-9785\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-large wp-image-9785\" src=\"http:\/\/theeconomiccollapseblog.com\/wp-content\/uploads\/2016\/01\/The-Great-Seal-Of-The-United-States-A-Symbol-Of-Your-Enslavement-Photo-by-Ipankonin-460x460.png\" alt=\"The Great Seal Of The United States - A Symbol Of Your Enslavement - Photo by Ipankonin\" width=\"460\" height=\"460\" \/><\/a>As stocks continue to crash, you can blame the Federal Reserve, because the Fed is more responsible for creating the current financial bubble that we are living in than anyone else.\u00a0 When the Federal Reserve pushed interest rates all the way to the floor and injected lots of hot money into the financial markets during their quantitative easing programs, this pushed stock prices to wildly artificial levels.\u00a0 The only way that it would have been possible to keep stock prices at those wildly artificial levels would have been to keep interest rates ultra-low and to keep recklessly creating lots of new money.\u00a0 But now the Federal Reserve has ended quantitative easing and has embarked on a program of very slowly raising interest rates.\u00a0 This is going to have very severe consequences for the markets, but Janet Yellen doesn\u2019t seem to care.<\/p>\n<p>There is a reason why the financial world hangs on every single word that is issued by the Fed.\u00a0 That is because the massively inflated stock prices that we see today were a creation of the Fed and are completely dependent on the Fed for their continued existence.<\/p>\n<p>Right now, stock prices are still 30 to 40 percent above what the economic fundamentals say that they should be based on historical averages.\u00a0 And if we are now plunging into a very deep recession\u00a0<a title=\"as I contend\" href=\"http:\/\/theeconomiccollapseblog.com\/archives\/economic-activity-is-slowing-down-much-faster-than-the-experts-anticipated\">as I contend<\/a>, stock prices should probably fall by a total of more than 50 percent from where they are now.<\/p>\n<p>The only way that stock prices could have ever gotten this disconnected from economic reality is with the help of the Federal Reserve.\u00a0 And since the U.S. dollar is the primary reserve currency of the entire planet, the actions of the Fed over the past few years have created stock market bubbles all over the globe.<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Reserve Just Made Another Huge Mistake As stocks continue to crash, you can blame the Federal Reserve, because the Fed is more responsible for creating the current financial bubble that we are living in than anyone else.\u00a0 When the Federal Reserve pushed interest rates all the way to the floor and injected lots [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[6069,6061,3920,431,451,506,4901,536,12024,662,12025,6585,7553,4562,2731,11692,5221,753,11960,12026,12027,12028],"class_list":["post-17036","post","type-post","status-publish","format-standard","hentry","category-economics","tag-economic-collapse-blog","tag-financial","tag-financial-bubble","tag-interest-rates","tag-janet-yellen","tag-markets","tag-michael-snyder","tag-money","tag-new-money","tag-quantitative-easing","tag-raising-interest-rates","tag-stock-bubble","tag-stock-crash","tag-stock-market-bubble","tag-stock-market-crash","tag-stock-market-crash-2016","tag-stock-prices","tag-stocks","tag-the-fed","tag-the-federal-reserve","tag-the-federal-reserve-and-interest-rates","tag-the-federal-reserve-is-raising-interest-rates"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17036","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17036"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17036\/revisions"}],"predecessor-version":[{"id":17037,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/17036\/revisions\/17037"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17036"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17036"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17036"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}