Zero Hedge: “On Friday afternoon, after the shocking Brexit referendum, while being interviewed by CNBC Alan Greenspan stunned his hosts when he said that things are about as bad as he has ever seen.
“This is the worst period I recall since I’ve been in public service. There’s nothing like it, including the crisis — remember October 19th, 1987, when the Dow went down by a record amount 23 percent? That I thought was the bottom of all potential problems. This has a corrosive effect that will not go away. I’d love to find something positive to say.”
Strangely enough, he was not referring to the British exodus but to America’s own economic troubles.
Today, Greenspan was on Bloomberg Surveillance where in an extensive, 30 minutes interview he was urged to give his take on the British referendum outcome. According to Greenspan, David Cameron miscalculated and made a “terrible mistake” in holding a referendum.”
Opinion: To a globalist, letting the people vote is “a big mistake”.
Former Fed Chairman Greenspan then invoked the “I” word: “What I do know is that the money supply, and too, which has always been a critical indicator of inflation, is for the first time going up remarkably steadily 6 percent, 7 percent, almost a straight line.”
Now that is a conundrum. The best offense the Fed has for fighting inflation is to raise interest rates. The last time that happened was December 16, 2015; the Fed raised short term interest rates a measly 1/4 point that sent tremors throughout the global market.
The Fed, like its counterparts the European Central Bank (ECB) and the Banks of Japan and China, are out of bullets.
- Raise rates = crater the economy
- No rate rise = inflation
It is a planned demolition. No sane person would borrow more when debt is the problem. No sane person would print counterfeit money to raise stock market/bond market/real estate prices and call it a recovery.
But that is precisely what has happened.
What Mr. Greenspan doesn’t know is why it is the worst period he can recall in all the years of public service. Based on his last statement, “You don’t have inflation now. And you don’t have it until it happens“, he would need to read Revelation 6:5-6 to understand what is coming:
(Thanks to Vason for sending this in)