Posted on 02/05/2008 3:34:18 AM PST by Man50D
Consumers should expect a deep recession, triggered by the "stealth methodology" of the Federal Reserve to "depress" the market even while lowering interest rates in an ostensible effort to stimulate economic growth, an economic analyst is charging.
"The Federal Reserve is directly involved in manipulating the stock market," said economic analyst Mike Bolser in a telephone interview with WND yesterday.
The New York Stock Exchange finished the day down 108.03 points, closing at 12,635.16, much as Bolser predicted, despite recent emergency Fed rate cuts of 1.25 percentage points aimed at stimulating the economy.
"Fed wants the Dow Jones Industrial Average and other financial indicators to descend in a managed way," Bolser said. "The Fed wants to drive the DJIA toward the 8,000 level, or below, in order to help create a deep recession which will have the effect of slowing consumption across the board, and dampening the otherwise harmful effects of inflation.
"A falling DOW is only one element of the recession effects of the excessive Fed-created housing and credit creation, whose bubbles are now bursting," he added.
"Without this recession, we would be on quick trip to hyper-inflation," Bolser, the author of an internationally followed newsletter published in conjunction with his InterventionalAnalysis.com website, said, "and the Fed wants to prevent this."
In his twice-daily subscription newsletter, Bolser has devised a quantitative methodology for utilizing Federal Reserve repurchase agreements to predict upward and downward movements of the DJIA, measured on a 30-day moving average.
Yesterday, Bolser noted the Fed added $18 billion to repurchase agreements, edging the pool up to a total of $153.158 billion in unexpired temporary repurchase agreements.
Repurchase agreements involve a sophisticated use of government securities issued every day by the Fed, but little understood or followed, even by sophisticated investors.
(Excerpt) Read more at worldnetdaily.com ...
Not very likely.
Forget the deep recession. Let’s go for the full-on depression! Yippee!
Give a TIN FOIL HAT to Mike Bolser.
P.S. That's why there are so few of them that "made their fortune" in the market.
What a huge pile of steaming, brown, fly swarmed, stinking, glistening, slowly sinking and broadening news.
I agree. Moreover, calling this guy an economist is like calling a line cook a chef.
buy tin foil futures.
LLS
Yeah it’s a superduper secret plan by the Illuminati and the Bilderbergers under orders from the shape shifting alien repteloids who are our supreme masters.....
Total tin-foil hat kookery. The reason WND will never be considered a legitimate source.
It’s them damn Bilderburgers, I tellz ye!
Of course since this is Corsi, I’m surprised he didn’t say that the “real reason” the FED wants the DOW at 8000 so the Amero can be introduced.
I like my Bilderburgers with cheese and onions.
Stopped reading right there.
Either this guy is a kook or he thinks that everyone else is.
Stock prices follow earnings. If the writer is saying that a recession is imminent that will result in the loss of current and prospective earnings by about 1/3, then he is right. I don’t see it.
To be fair, it’s the headline-writer that calls this guy an “economist.” Corsi calls him an “economic analyst.”
Sun rises in east
Corsi gobbles paranoid tale of goldbuggery
Dog bites man
I prefer Buddhist bergers —
One, with everything...
He has nothing to lose with a prediction like that. If he picks 10K he will get clumped in with a bunch of other people picking 10K and nobody will notice. If he hits a home run with 8K, then people will think he knows something..
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