"There's no way the consumer can fuel the economic recovery," notes John Williams
"The Federal Reserve on Wednesday continued to express concern about the U.S. economy as it maintained its ultra-easy policy stance,"
MarketWatch reported.
"The Fed maintained its third round of asset purchases, known as quantitative easing or QE3, unveiled in September, that consists of $40 billion monthly in mortgage-backed securities. The Fed is also buying $45 billion of Treasuries offset by sales of shorter-term securities under its Operation Twist program launched in September 2011."
Though gold has lost the gains it made since the Fed launched QE3, John Williams of Shadowstats.com tells Greg Hunter of USA Watchdog that this loose monetary policy ultimately will lead to inflation, and that's good for
gold prices:
Economist John Williams says the latest round of "open-ended" QE has set the table for a global "dollar sell-off" and "hyperinflation" no later than 2014.
Williams says, "There's no way the consumer can fuel the economic recovery, and there is no way we're going to see one in the near future." Williams predicts, "The Treasury is going to have funding problems, and that means the deficit gets a lot worse."
Now, there is talk the Fed might increase the money printing. Williams charges, "The Fed's primary concern is to keep the banking system afloat, and they're not doing so well with that." Williams contends there is 12 trillion in liquid dollar assets held outside the U.S. Williams says it is only a matter of time before all the Fed money printing will "trigger a sell-off ... and that will provide the early start of the hyperinflation." You think the U.S. is better off today than it was in the last meltdown? Not according to Williams. He thinks "things have gotten a lot worse." Read Article
2001
