Dear CIGAs,
QE to infinity is, and will continue to occur. Gold will trade at $1650 and higher.
Respectfully,
Jim
Bernanke Signals Stepped-Up Efforts to Spur Economy
By SEWELL CHAN
Published: August 27, 2010
JACKSON HOLE, Wyo. — The Federal Reserve chairman, Ben S. Bernanke, said Friday that the central bank was determined to prevent the economy from slipping into a cycle of falling prices, even as he emphasized that he believed growth would continue in the second half of the year, “albeit at a relatively modest pace.”
To help sustain the economy, Mr. Bernanke gave his strongest indication yet that the Fed was ready to resume its large purchases of longer-term debt if the economy worsened, a move that would add to the Fed’s already substantial holdings.
“We have come a long way, but there is still some way to travel,” Mr. Bernanke said.
“I believe that additional purchases of longer-term securities, should the F.O.M.C. choose to take them, would be effective in further easing financial conditions,” Mr. Bernanke told a Fed policy symposium here. He was referring to the Federal Open Market Committee, the panel that sets interest rates, which Mr. Bernanke leads; some members have expressed unease over the prospect of the Fed pursuing any further monetary accommodation.
“Central bankers alone cannot solve the world’s economic problems,” he said.
Jim Sinclair’s Commentary
As was said in the prophetic movie "Enemy of the State," never look up unless you wish to be on Uncle’s candid camera.
Runaway Drone Violated Capital Airspace
Sharon Weinberger
DENVER (Aug. 26) — A military drone that was supposed to be remotely controlled broke off contact with its operators and wandered into restricted airspace around the nation’s capital, the military has revealed.
More than an hour into what was otherwise a normal flight, pilots remotely operating the MQ-8 Fire Scout lost contact with the unmanned helicopter on Aug. 2. The drone then traveled 23 miles away from Patuxent River Naval Air Station in Maryland and toward Washington. Though it never reached the District of Columbia, it did cross into the National Capital Region airspace, which is restricted.
"The operator team shifted to [the] other Ground Control Station, restoring link and successfully commanding vehicle to recover at Webster Field," Capt. Tim Dunigan, the Fire Scout program manager, said in a statement released to AOL News. "The aircraft returned to Webster Field safely without injuries, and without damage to the aircraft or vessel."
The lost communication link was attributed to a software anomaly that has since been identified and fixed, Dunigan said.
News of the runaway drone was released amid a popular industry conference dedicated to unmanned aircraft and robots being held in Denver. It also comes at a time when supporters of drones are trying to convince the Federal Aviation Administration to loosen restrictions on operating unmanned aircraft in civil airspace.
Jim Sinclair’s Commentary
QE to infinity is the reality of our current economic situation.
Gold will go to $1650.
Bernanke: Fed will take action if economy falters
By JEANNINE AVERSA
JACKSON, Wyo. — Federal Reserve Chairman Ben Bernanke said Friday that the Fed will consider making another large-scale purchase of securities if the slowing economy were to deteriorate significantly and signs of deflation were to flare.
The Fed chief offered his most extensive thoughts yet on how to pull the U.S. economy out of a deepening slump. His remarks came 90 minutes after the government said the economy slowed sharply in the second quarter to a 1.6 percent pace.
Fears are growing that the country could lapse back into a recession. Bernanke described the economic outlook as "inherently uncertain" and said the economy "remains vulnerable to unexpected developments."
Bernanke stopped short of committing to any specific action. But he raised the prospect of another Fed purchase of securities, most likely government debt or mortgage securities, to drive down rates on mortgages and other debt to spur more spending by Americans.
"I believe that additional purchases of longer-term securities should the FOMC choose to undertake them, would be effective in further easing financial conditions." he said. The FOMC stands for the Federal Open Market Committee, the group of Fed policymakers that makes decisions on interest rates and other steps to aid the economy.
