FTX Camelot Madoff With a Lot ... this crypto hijack is not the end just the beginning to loss of values. Founder Sam Bank-Fried to be released on $250 million bond is the biggest scam since Bernie Madoff. But it wilts in comparison to the Fed raising interest rates to stop inflation. Remember 1986, 2005-2008 recessions caused by the Fed's manipulation of its discount rates to its member banks ... Greenspan's 1.76% rate became 5% overnight when he retired and "helicopter" Ben Bernake became Chairman.
Resluting in the Demise of American Liquidity causing the 1986 recessionm, 2007 Great Depression as Democracy is lost to connections, power, money, financed by the Federal Reserve banking system.
Definitions and data extracted from the Federal Reserve website; historical data demonstrates the manipulations that the Fed does with the monetary system to gamble taxpayer money to control, then destroy the economy in 2007 as $30 trillion lost in home values, 401k plans, stocks, bonds and savings.
Fed funds rate, prime rate, Libor rate, MTA, COFI, CMT indices dictate liquidity in the national and international money markets. The CMT indices are the weekly or monthly average yields on U.S. Treasury securities adjusted to constant maturities. Yields on treasury securities at “constant maturity” are interpolated by the U.S. Treasury from the daily yield curve, which is based on the closing market bid yields on actively traded treasury securities in the over-the-counter market.
The CMT indices are volatile and move with the market. They reflect the state of the economy and respond quickly to economic changes. These indices react more quickly than the COF index or the 12 MTA index.
The monthly MTF treasury average is a relatively new ARM index. This index is the twelve-month average of the monthly average yields of U.S. Treasury securities adjusted to a constant maturity of one year. It is calculated by averaging the previous twelve monthly values an annual CMT. Caution ... Invert the yield curve caused a depression in 2008 and likely in2023.
Typically, when the Federal Reserve adjusts the Federal funds rate and discount rate, the prime rate adjusts the same day or within a few days at most. The prime rate is not a very volatile index; however, it generally rises quickly (increases bank profits) and declines very slowly (maintains banks’ profits). It is often the index for home equity lines of credit.
The retirement of Alan Greenspan ignited the Depression of 2008 but did not cause it . . . his replacement Professor Ben “Helicopter” or “Printing Press” Bernanke floats in on a sinking ship captained by a "bumbling" Bush Administration, with Paulson as its Captain Quigg and falls into the “we have to control inflation using the interest rates as our ammunition” and burst the economic bubble! Rather than letting the air out slowly in the housing and energy markets, through slow progression of the interest spreads, Paulson lets the Fed go crazy with the flagrant increases in the discount rates thereby bursting the consumer’s equity, by making mortgage payments too high and did not fix anything but his desire to prove his book right that “the printing press” could fix a depression. While it bankrupts businesses.
In Greenspan’s book “The Age of Turbulence” he analyzes the capabilities of the Presidents he worked for and found Reagan, Nixon, Clinton adept at managing the economy and Bush, sr., Bush, jr., and Carter inept. Mr. Greenspan should be commended for his steady hand on the interest rudder versus such luminaries as KeynVolker "interest hiking king" and Burns the Bear Market queen.
With Biden "bumbling" and Yellon as "Quiqq", markets will not trust a Treasury that creates negative yield curve Treasuries to throw more debt on every problem that shows up. Inflaion, Fed, Crypto currency.
