Saturday, February 5, 2011

Hedge Fund Manager Bill Fleckenstein: Fed Money Printing to Cover Bank Theft Is Leading to Food Inflation Worldwide

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Video at the link:

Dylan Ratigan says that the Fed is printing money to cover enormous theft by the big banks, http://www.washingtonsblog.com/2010/11/ ... -bank.html and that money printing is leading to food inflation worldwide. http://www.washingtonsblog.com/2011/01/ ... -food.html (Bad weather and speculation on commodities are obviously also contributing to rising food prices).

Bill Fleckenstein largely agrees, telling Ratigan:

* Money printing correlates quite well to rise in commodity prices, but not precisely

* When you "print money out of thin air", you don't know where it will go

* Printing money turns the average person into a speculator (think Chinese farmers buying copper)

* 80% of money in countries like Egypt goes to buying food (and that's for the lucky ones who have jobs)

* 40% of political donations in the U.S. comes from giant banks ... so the banks own Washington

* The Fed won't ever face it's mistakes, and always just wants to print more money

http://www.washingtonsblog.com/2011/02/ ... stein.html