Questioning European leadership, 17 elites set to strip away
European autonomy, a charade of misdirection, no new Euros printed as of
yet, ECB in bed with The Fed, gold and silver the only true value of
currency, Greek exit from Euro inevitable.
by Bob Chapman
Even
the middle of the road journalists are beginning to question Europe’s
elected and appointed leadership. This past Monday the plan for the euro
zone was laid out for a final capitulation to world government. The
financial crisis has been handled from behind the scenes by the Fed, so
that Germany’s Chancellor Merkel and France’s President can concentrate
on more important matters, namely the final federalization of the euro
zone to be followed by the entrapment of the remainder of the European
Union.
The calls for major changes to the current treaties have
little to do with the debt crisis. What these two emissaries of the
world elitists are up to is to tear down the legal strength of monetary
and political union of this unnatural association, and replace it with a
stricter budgetary discipline known as the ESM, the European
Stabilization Mechanism, this ostensibly to support countries in
difficulty. Within this major change is a complete shift away from the
original Maastricht and Lisbon Treaties, which is being done without the
consent of the public in these countries. There is one exception to
that in the case of Germany that must approve the changes.
On the
9th the final proposals will be laid out and agreed upon by various
heads of state, some elected and some appointed. This “leadership” could
care less what the people of these countries think. There are no
trappings of democracy here, just the iron fist of Illuminist world
ambitions. Any thinking, sophisticated person has to look on in
disbelief at what is about to take place.
The plan is to have a
committee of 8, assisted by 17 immunized finance ministers control the
budgeting and fiscal policies of these 17 nations, which strips them of
their sovereignty.
We read writer after writer and they do not
have a clue as to what is being done to the people of these nations.
They don’t know these appointments are all members of the Trilateral
Commission, Bilderbergers and former Goldman Sachs employees. If they do
know they are ignoring its significance. This is where Messrs. Draghi,
Monti and Papademos all came from appointed to take the euro zone and
eventually the EU into world government.
We have studied these
characters for more than 50 years and we know exactly what they are up
too. It is the job of these 3 Sherpas to continue to advertise the
increased risk to financial and economic conditions, if such treaty
changes are not made. This is a charade to mislead and misdirect the
people offering them the only way out. Unfortunately, as far as we know,
our voice is the only one being heard in exposing the real intent of
what is being pulled off. There is no question that there is an economic
and financial debt crisis, but these treaty changes have little to do
with that. Their key phrase is price stability when real EU inflation is
running more than 7%.
Since July the ECB has refused to expand
money and credit. A month ago control passed from the hands of Trichet
to Draghi, who immediately lowered interest rates, which we predicted he
would do – no one else made such a call. The ECB still hasn’t printed
euros, but the Fed is going so in its stead. The ECB is buying Italian
and Spanish bonds, but only about $20 billions worth. The ECB, known to
few, has been sterilizing its sovereign debt buying by draining an
equivalent amount of euros from the banking system. This is the
antithesis what central banks do. The Trichet ECB wanted their actions
not to create inflation. This is why inflation has held so well in
Europe. That is all about to change as the FED takes over. The funds to
purchase bonds and supply liquidity will be available to jump start
Europe as inflation climbs.
All of the players knew austerity
plans play well and eventually work to tear down an economy, but short
term they are a loser. The only thing that works is more and more money
and credit. Who wants to stop economic growth. Up until Draghi took over
the euro has not been wantonly destroyed. Just be patient Draghi will
end all that.
We know it’s hard to believe, but debt is not taken
seriously. Many things today were similar to 19th century England, where
government workers, attorneys, politicians and moneyed people made six
times more that a skilled worker. That should sound familiar in today’s
economy. In those days those who did not pay went to debtor’s prison, or
worked off their debt. Today, few care about debt; it is usually just
discharged. We mention this because since WWII the whole attitude
regarding debt has changed. Accumulate it and simply walk away from it.
This has become the attitude of nations, companies and individuals.
The
call comes each day for the ECB to lend to sovereign states when in
fact those who request these loans know under Article 101, that the ECB
is prohibited from lending to any government.
We now have 5 and
perhaps 6 nations that cannot service their debt and the ECB cannot
legally lend to them. During the past two years, with the exception of
bond purchases, which had been offset by the purchase of euros, Mr.
Trichet had refused to break the rules. He is gone now and the Federal
Reserve has filled the ECB’s place. It had to happen sooner or later.
That is the Fed becoming banker officially to the world. The process
really began more than three years ago, as we have been in the process
of finding out just what the Fed was up too. They were responsible for
the disbursement of trillions of dollars, which they withheld from the
public. That is exactly what America needs, a privately owned central
bank, that operates in secret and when asked what it is doing we are
told it is a state secret.
These insolvent sovereigns are now
paying yields over 7% on 10-year bonds and we know that kind of debt is
unpayable, and it is a sure sign they’ll eventually default. In order to
extend the time line the Fed has become the lender of last resort and
that bill will be paid for by dollar holders, as the value of their
dollars depreciates in value.
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