Jim Grant Slams Steve Liesman “The Fed Can Change How Things Look, But Not What They Are”
I really like it when guests on CNBC get agitated with the Fed-front runners that work for the station. As Jim Grant does in the video below.
bay never STOP BUY GOLD !!!!!!!!
Gotta tell you Matthew,
I thought this was a great interview especially when the folks from MSNBC started yelling at Mr. Grant. When people don’t listen and start yelling that is a great defense!
I’ll side with Grant!!!!!! The Federal Reserve (due to the total complete failure of Congress who couldn’t manage their way out of a paper bag) has taken this country down the road of total financial destruction. The fact that so few people believe this makes it a foregone conclusion that it will happen.
The U.S. (in my opinion) is almost too far down the road now!
“I could just stayed in bed and listened to you!” Jim Grant is great. Unfortunately his coming on CN”BS” is one of diminishing returms’……what does anybody hope to get out this type of altercation? The game is over when the market says it is over.
And that, Marc, is so true!
Jim Grant is talking to a brick wall.
Steve’s argument is the same as ever… well, nothing bad has happened yet.
Wonderful. That is the same nonsense that I heard about internet stocks in ’99 and the first quarter of ’00. It is the same nonsense we heard about the housing market in ’05 and ’06.
What Steve doesn’t get is that you can’t judge the quality of the policy by what is happening during the expansion of the bubble. You’ve got to be able to look 2 or 3 chess moves ahead at what is going to happen on the downside of the cycle.
Rear view mirror, everyone takes it for granted that policy during the housing bubble was misguided. Until we get a currency crisis or a blow up in the interest rate derivatives market, they are going to continue to think that Fed policy is wonderful.
It’s only after the blow up that it will become common knowledge that they did nothing more than bought us some more time (and a very high price).
So to paraphrase Marc Faber, my response to Steve would be: “I will hold onto my gold and silver and you hold on to your Federal Reserve Notes and S & P 500 and we will see how it all works out.”
Geez… it drives me crazy that a guy like that is given airtime on an international news network, every freaking day
Eric, Excellent points! Matt
Thanks, Matt! Can you tell I’m starting to lose it?
This site, and others like it, prove that more and more people ‘get it’. I was talking like this on message boards in 2000 and it was a lonely feeling.
But given the two crashes in the past 13 years and the parabolic move in debt, there is now a significant number of people who no longer take the nonsense at face value.
That said, there are still such a large group of people who are asleep, that unless you get to the point of bank holidays, food disruptions, massive unemployment — they are going to keep believing that the status quo is working for them.
And as long as the government can keep the cattle relatively calm. A couple of hundred people at Occupy Wall Street and easy to wave them off as kooks. But a million people camped out on the National Mall in Washington, DC — that they won’t be able to wave off.
No, you are a sane man in an ocean full of bad ideas! My brother has an MBA and still believes in buying and holding stocks and having Wall Street manage his money. It’s enough to want to make you bang your head against a wall.
Matt, there are many MBA’s out there like your brother. It’s the rule, not the exception. I don’t get it. Yes, they are of equal or greater intellect, but no real sense. My good friend just averaged some large new money into equities… because their well-dressed broker says the market will keep going up and up and up. After all, this broker owns a sweet ride, so he must know right. I have lots of time for Dr. Grant’s opinion. I just hope that more folks catch on before this equity trap gets really ugly.
No Matt, it is simply time to realize “to each his/her own”!
one the thing you guys are missing …..MBA’S…..know nothing of the real world,,they are educated in the SYSTEM……….
I guess with my MBA I could take offense!
But what the heck, you probably ate too much deep fried gator last night!
Al….your MBA and today’s MBA …are not the same….
MBA’s today are a money machine for the universities…….
btw….I am not in FL…yet,,,,waiting till after the holidays……then I plan on being there about two months……
beside the university Presidents need the increased enrollment to pay for their million dollar salaries……..
besides…..Uncle Ben has a PHD….and you would call him educated…..
I wonder if the million people camped out on the Mall will ever actually happen?
HAVE you seen the pictures of the RV’s…parked at the Amazon part time job fair…….a lot of people are working part time traveling around the country in their RV’S , this is a joke ….the country has gone backwards in the last five years……..
Hi, Al
Admittedly, It may never happen. I certainly do not wish for social disorder. But I can visualize circumstances that would give rise to that (and much more). Examples of such trigger events: a massive increase in unemployment; a collapse in the value of the dollar (with a commensurate increase in the price of food and fuel); food or fuel shortages or disruptions; bank closures; so-called ‘bail in’s’, in which citizens relinquish a portion of their bank savings and/or IRA or 401-K account balances.
Any of these events would have every downtown across America re-creating scenes from the Arab spring.
Absolutely..well, well said! Eric!
Eric I’ve never claimed to be anything but a novice in a world of technical. But at least five/six years ago, and when I was still more of a novice I was writing in my parish newsletter about the sheer stupidity of QE. Either my comments were ignored outright or I was criticised for being out of my depth.
So to the Lies-men of this world we still look stupid.
All I can say is ha bloody ha ha ha ha!!!!!
Hi, Rev
you were performing a service, but as they say, you can lead them to water, but…
I walk that tight rope, some. Trying to prepare relatives, friends and neighbors as best I can, but running the risk of being labeled something of a kook or an eccentric.
best to you and yours
You actually wrote about that in the parish newsletter?
Awesome Reverend. I must join your church.
Thanks guys, but I’m now retired.
And that he is making a ton of money!
Mr Grant is one of the good guys alright, but the fed is doing exactly as was intended from its creation. Its actualy pretty efficent I believe.
So, the owners of the fed have got to be quite happy with its performance.
good point — they are working for the banks and its working so far.
Yes it certainly is Eric!
There are always consequences to artificial markets. The Liesmans of the world didn’t think there was anything wrong with Fed policies in 2005 and 2006 either. But then 2008 and 2009 happened and the unintended consequences came home to roost.
The Fed has created another bubble in the stock market. When it pops like all bubbles do the consequences are going to be severe.
The only difference between now and the 1930’s you won’t see bread or bank lines, the food will be delivered to your door while it lasts, and with all the ABM machines out there the banks will be spared the embarrassment of people lining up at their doors or will they? DT
Hi, Dick Tracy
yes the safety nets are able to mask the problem to a large degree (and at great cost, of course).
You’ve got about 15% of the population on the SNAP card (“food stamps”)? Can you imagine if 15% of the population of California was lining up each night at a charity dining room for a meal? if that is what the nightly news looked like, how many would still care where the S and P 500 closed?
I would bet very few, Eric!
If it happens, I think it will be completely different. Not much violence as compared to what could happen potentially. Don’t you think?
A depression with pizza delivery, DT. Sounds ok on the surface. I think the big difference between this coming depression and the last is that next time around we will see social program spending diminish whereas during the first, state supports were expanded to help the poor.
A replay of those few years back would really be interesting, wouldn’t it Gary!
I thought the breadline today was foodstamps. I dont live in the states but I have read that Walmart has a very busy day every month with food stamps.
And with the sale of ammo b for the preppers, so I’m told!
In the Northwest, I have heard that it is very difficult to even get large amounts of ammo, Reverend.
Grant is excellent at sterilizing the Lies-man. For the viewers’ sake, he should have also made it clear that Fed policy is nothing more than wealth transfer (theft) from the masses to a tiny few.