1971. The year Nixon took the dollar off gold.
House: $25,200.
Now: $410,000.
Car: $3,560.
Now: $48,000.
Harvard: $2,600/yr.
Now: $57,000/yr.
Gas: $0.36/gal.
Now: $2.88/gal.
Average income went from $10,000 to $60,000.
Everything got 8–22x more expensive. Wages only went 6x.
But sure, it's the avocado toast.
This morning, $3T was wiped out from Gold and Silver.
This afternoon, $2.5T was added back.
Both of these moves are now the #1 and #2 largest liquidity events in HUMAN HISTORY.
Gold and Silver broke the simulation and the chaos is just getting started... buckle up.
Repo Stress Returning?
-10/14: Powell says "liquidity tightening" & "firming repo rates"
-10/15: Fed releases report showing Basis Trade responsible for 40% of UST purchases since 2022
-10/31: Logan (former SOMA manager) says asset purchases must return if repo rates dont soften
-11/12: Perli (current SOMA manager) says "reserves no longer abundant"
Yesterday, SOFR spread at levels generally seen at EoQ, just 2bps below the Fed's upper bound (DW/SRF rate). 11/12 isn't EoM, EoQ or EoY, nor tax-deadline.
Today, (11/13) standing repo tapped for $3.9B in AM operations and yesterday morning saw $6.1B in AM operations
Ready to get started on #Nostr?
1) Watch at least the 1st video of this playlist for the crash-course 👇
https://t.co/jRjTBjub0c
2) Create an account on @primal_app - only takes 15mins and includes built-in wallet ⚡️
3) Make an #introductions post introducing yourself!
World-renowned economist Richard Werner on where money comes from: banks just create it out of thin air, and keep a pile for themselves.
(0:00) How Werner Predicted the Japanese Financial Crisis
(14:16) How Banks Create Money From Nothing
(24:09) You’re Being Lied to About the Bank’s Role in Economics
(33:59) The Evils of the Federal Reserve
(38:51) Why Are Banks Allowed to Create Money?
(57:12) Was Leaving the Gold Standard a Mistake?
(1:09:30) The Difference Between Banks and Central Banks
(1:24:26) How Society and Culture Are Impacted by Banks
(1:33:11) Did the US Purposely Destroy the Japanese Economy?
(1:35:42) The Central Bank’s Attempt to Blacklist Werner
(1:39:03) The CIA’s Threat to Werner
(1:47:24) Why Werner’s Research on Credit Creation Scared the Central Banks
(2:03:55) The Link Between Central Banks and Warfare
(2:18:02) Where Is the US Economy Headed?
(2:29:49) The World Bank’s Debt Trap to Exploit Developing Countries
(2:35:34) The Dark Truth About Central Bank Digital Currency
(2:40:19) Where Can People Learn More About This?
Includes paid partnerships.