The FED will defend the stock market to its’ last breath

The FED claims that it does not watch the market. It is concerned but not overly.This is further from the truth than one can imagine. The two things they are concerned with is debt and the stock market, because the essence of the economic system is debt and the stock market. Debt is the blood of the system and the stock market is the heart.The economy is a living organism. Let us compare it to a human body.The key components of the human body are the blood and the heart. The heart cannot do without the blood, and blood cannot do without the heart,and the whole body cannot exist without either of them. Massive heart attack and the patient dies. Massive blood loss,if a transfusion is not available, and the patient dies…

What happens when the stock trading opens and there are no bids? The market goes into free fall. The “Plunge Protection Team” moves in and artificial bids are created to stabilize the market. Most of the time the Plunge Protection Team is successful and they blame the situation on some “glitch”. But one day they will NOT be able to prevent the crash.The crash will occur,the stock market will be closed and the consequences will be catastrophic, equivalent to a massive heart attack in a human being: the FED will and must support the stock market.

What happens when the credit ceases? There will be no blood.The FED will try to infuse liquidity, but if credit infusion is insufficient or inappropriate, the system will collapse. The patient will die. So the FED will try to do everything to save the system but may not succeed. This will signal the death of the economic system and the beginning of the new age. It will be very, very interesting!

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