The Federal Reserve announced a great plan to prevent insolvency... break change its own rules.
The significant shift was tucked quietly into the Fed's weekly report on its balance sheet and phrased in such technical terms that it was not even reported by financial media when originally announced on Jan. 6.
Good old Federal Reserve and it's sneaky tactics.
Many are at once surprised that the Fed can set its own guidelines
Those "many" probably think that the rule of law applies to the FIRE economy - News Flash: They are above your petty little laws.
The change essentially allows the Fed to denote losses by the various regional reserve banks that make up the Fed system as a liability to the Treasury rather than a hit to its capital.
That's right folks. The PRIVATE Federal Reserve owned by PRIVATE BANKS can now offload, excuse me donate its losses as a liability to the PUBLIC TREASURY DEPARTMENT.
Brilliannnnnnnt!
Let's get this straight:
- The Federal Reserve refuses to comply with Freedom of Information Act requests (not a gov agency)
- The Federal Reserve bailed out companies without authorization from Congress($1+ Trillion worth)
- The Federal Reserve has written new rules to screw struggling homeowners to help Banksters
- The Federal Reserve is literally staffed by the same people it is supposed to regulate. (oh hi Jamie)
- The Federal Reserve's toolbox consists of giving Banksters money hoping to con the economy.
Most importantly, the Federal Reserve (through its irresponsibility and crony capitalism) has gotten itself in the situation where it might be insolvent.
And now the Treasury, (a la taxpayers) get to bailout the Fed who needs a bailout from bailing out the Top 1%'s interests in the banks and financial markets. Serfs up!