Sprott "Fed has lost control of the bond market"

[Large Sarge]

http://www.silverdoctors.com/eric-sprott-the-fed-has-lost-control-of-the-bond-market/

[Spectrism]

The fed can buy as many bonds as they want. If they maintain the market for bonds- even if they buy every last one of them, how can the reates go up? They can use infinite digits to collect up dead paper. The fed will never lose control.

What will happen is the destruction of the dollar value. A vicious two-edged sword: dollar devaluation on one side// lack of dollars and decreased money velocity on the other. The sucking sound we are hearing is the desperate pillaging of banks and governments happening around the world and coming to Amerika soon. They will suck value and assets away from the little people.

Hyperkitty's Korollary: the top sucks from the bottom and the bottom dies.

[Large Sarge]

I need to listen to this interview again, but at one point, he tlaks about the events right before Cyprus bail in,

and he says things are mirroring that right now...

like the gold price drop, the drainage of GLD (700 tonnes), and 1 or 2 other things...

to read between the lines he is saying the set up is very similar ....

[mick silver]

as long as they have worker to run the presses they will never lose control of paper , they can buy with a push of a key

[Hypertiger]

rates have been dropping for 32 years...because the yield from the uSA of real power...has been collapsing for decades....to zero.

20% of the population are net producers of yield...and 80% are the net consumers.

yield rates have been dropping for 32 years because the 80% or net consumers or top have been demanding more than the bottom or 20% or net producers can supply.

If I'm working to my maximum potential and you are only getting a 1% return from me.

and you double the amount you invest into me looking for twice the amount of yield.

you will only get 0.5%.

like 1 person invest a dollar into me and I produce 1% yield.

1 penny for every 1 dollar invested into me.

another person decides usury is better or smart rater than working for a living which is dumb and invests a dollar too.

now for every 2 dollars the yield is 0.5%.

4 would be 0.25%

this has been going on for 32 years.

8 dollars invested would get you 0.125%

well the zero line on the bottom of the charts is not the real zero lien.

the zero line is the middle...then there is the maximum potential of positive inflation and the maximum potential of negative inflation.

the FED could be playing games to hold the fake rates low.

but the real demand rates can be higher.

it's why the price of oil is high...those with pricing power will demand more to make of the difference.

when the yield from the 20% or bottom hits zero....the fractional reserve.

the bubble of the top that the 80% exist in will pop.

hyperdeflate or collapse.

They were have to keep it from popping back in 2009 to now.

The top or those that live off of interest from the bottom..

suck the bottom dry...they supply zero yield and the top collapses.

that is what has happened for all recorded history.

every time this same exact situation has happened.