Episode #197 - Caitlin Long and the Fed's Multiplying Problems

been on the podcast before. The last time we did this, she unfortunately didn't have a whole lot of time, so hopefully we can get that make that better this time. We can have a little bit more of a nuanced chat about what's going on and not feel so stressed about the time constraint. Caitlin, how are you and how have you been? And I hope everything in your corner of the world is at least stable, because I know, I know things are complex, but hopefully they are stated has.

and the Trump family. And it's so interesting how there have been different groups that have had outcries about all of this, uh and the streams are are coming together, and the recognition is now there on the part of the Republicans that this was a coordinated, all out effort to to deplatform and in the case of the financial services industry d bank lawful industries that certain people just

didn't like. It's an abusive power, in my opinion, violates the operation show point one point zero lawsuit settlement that the FED or sorry that the FDIC made with the payday lenders. It certainly violates the spirit of that settlement. But the FDS was careful not to go after the payday lenders this time. They did it against different perceived enemies this time. But it certainly violates the spirit of that settlement. And it's it's all going to come out, tom It's all.

their bank accounts. But the settlement, basically Operation Chow point one point zero started during that Obama administration, and it started with the payday lenders, and the consumer advocates were very angry at the payday lending industry, didn't consider it legitimate and discovered that ends justify the means they could use the bank regulators to try to put the payday lenders out of business by pressuring the banks to stop

banking them. In the United States, if you don't have a bank account, you are not a legitimate person or business because in the business world, you've got to pay your payroll, you're withholding taxes to the irs using an electronic transfer, using a bank account, so therefore you really need a bank account and the powers that be It started with the FDIC in the in Obama one point zero is they went after started with the paid eight lenders,

but ended up expanding into the gun manufacturers, into gaming, into adult entertainment, essentially every industry that they didn't like, and it covered thirty different industries. And so the payday lenders sued and the fdi CE originally lied and said we weren't doing this, but of course when the Payday Lenders Trade Association got to discovery, there was all kinds of evidence that yes, indeed they were doing this. Sound familiar, same same thing is happening now, except we do have

evidence that the FED has been doing this. We have evidence that the FED has been specifically targeting custodia, including recently and and and you know, we'll hopefully get our day in court to be able to reveal all bad.

power across the United States. And there were people, including Wyoming's first congressman, who warned that this organization was going to centralize and increase in power, which is exactly what happened. And then in the nineteen thirties when the FDSC was created, the there was an oversight board that was national, but it had no power. And then they gave it power and created the Board of Governors of the Federal Reserve

System in DC. Now there's an inherent tension between the privately owned twelve Federal Reserve banks, which is where all the balance sheets are, and then and then the Board of Governors in Washington, d C. But what has happened, especially since the two thousand and eight financial crisis. The FED did not let a crisis go to waste, and they have massively increased their power and their footprint and

their centralization in markets they are the repo market. There is essentially only one private triparty repo party even still around Bank of New York Mellon JP. Morgan got out of that business. And so who knows what real repot pricing would look like if the FED, with its giant balance sheet that that has no constraint on it, were not the party, if that were privatized. And and that's just one example of just the monopolies that the FED has created in financial markets for itself. UH and UH.

And it's trying to keep the states from being able to charter banks, where in other words, that the FED has to be the states have to go and get permission from the Fed to be able to charter banks, and that is not what the law says. So there has just been this creeping centralization of power over the decades, and it's going to be fascinating. I know you've been

talking a lot about Jay Powell. You and I think don't have this, don't agree on that, but your view is really interesting and I and I will concede there's a lot of truth to it that that that uh, you know, Powell, you think has done a good job. But the point is that the centralization of power in the FED. Last week you saw at his press conference

an incredible reaction from all sides. One of my good friends, who's who's like my my barometer of the quintessential New York Times reader called me and said, boy, the Fed is the Fed really screwed up? And so you know, obviously the Libertarians were all up in arms and the Trump Trump maga folds. But but when the New York Times person calls and said, boy, the Fed really screwed up? Because what what came across in that press conference last week?

When I think it was Victoria Guida from Politico, who does a lot of crypto reporting. By the way, she asked him if if Powell or if if Trump asked you to resign, would you And he said nope, very verbly and haughtily, very arrogantly. And then she said, do you think the fault that the that that that Trump has the power to fire federal reserve governors? And he answered even more arrogantly no. Uh. Now, academics have debated that for years, and I don't know whether it's going

to be tried. That's one of the things that remains to be seen. But it's going to be fascinating. And I was just talking to someone this morning about who's going to be the Treasury Secretary. That's going to tell a lot because if it's if it's a reformer, then oh boy, that's gonna tell a lot. And if it's if it's not a reformer, then that that means more business as usual and it's up to Congress to decide

whether to reform the FED. But now with the Republicans in charge and all this debanking, here's an interesting connection I'll make for you. Sam Brownback used to be the Senator from Kansas. He's the one who's been out there leading the charge against the d banking of Christian groups, and he's one of the Republican senators. They'll know it, right So, I mean, this is common. There's a big

investigation into all this. It's coming. Tim Scott will be Chairman of Senate Banking as of January twod and he's really livid about this, rightfully so. And he announced back in August in when he was speaking in Jackson Hall that there would be investigations into this, and I will take him at his word. The only question that I have is do they decide to actually hunker down and do a serious reform themselves, which would probably take precedence

over a investigation. But either way, it's all going to come out or the power that was abused here is going to be unwhelmed.

hyper financialization of capital markets when we were not. None of us are happy about any of this, None of us and all of the and all of the criticisms of the Federal Reserve going back to its formation from you know where you wouldn't call them Austrians back in the nineteen thirties. That didn't exist as a as a school of thought then. But you know those people back then, those you know, I guess you would call them Protoastrians.

We're making these exact arguments, but sensilization of power and everything and then no circumstances has that changed. It's wrong, and it's and it's greased the skids for everything that we have lived under over the last one hundred years,

one hundred and ten years. Now. The issue is that we are at a moment in time where clearly the central banks were making a big push to destroy the concept of commercial banking as a as a as a thing that everything was going to roll going to get rolled up Agenda twenty thirty style into the IMF and the World Bank and the UN and all.

what that is? Now, my analysis, my argument, has been very simply under those circumstances, no matter how big and how terrible the abuses of the commercial banking system have been under this regime, under this creeping authoritarian centralization of banking globally, at least amongst the G seven, because we kick the rush out so was longer the G eight that that's not what they signed up for. They didn't

sign up for the end of commercial banking. They sign up for more, more market share for them, more more big for them, more more, all of that. But they never in a millionaires that they sign up for, Oh, we're going to turn it all over to the communists now, and I mean that word sincerely. So in that framework,

the FED is the best asset. We have to fight those people, and when they're done breaking those people, then we can then we have to then we can sit down and go, Okay, do we really still need a Federal Reserve in the way it's been currently constituted. I've actually been arguing when you really stop to break it down. I've been arguing for bringing the FED back to its original conception twelve regional banks and as monetary policies, and devolve the power, devolve the power out of d C

and and devolve the power back into the regions. And hell if we need thirty or fifty, I don't care federal reserve banks. It doesn't matter to me. What matters is is A is A is a refederalization of the federal reserve. And when I think about it from that perspective, and I think about J. Powell as a person remember,

I also fundamentally believe in that personnel is policy. Yes, and so of course OWL is not cut from the same cloth as Ivory Tower globalist Channing Allen, Ivory Tower globalist Ben Bernank.

this always made money. He understands how all this stuff works, and he understands the proper role of if you're going to have the Central Bank, how that operates, and if you're going to have a Treasury Department, how that operates. And I can actually see drunken Miller and Powell getting together and going, yeah, this sounds good. What do you

guys want? What do we need to do? I can actually make and make an argument for that, And unfortunately, it looks to me like that, you know, this is with the position that you're in with Custodia that I that I understand to the extent that I understand it is that you're caught in that terrible transition period and that there are deals being made left and right and all of the rest of it, and as everybody is

under you know, everybody is feeling the existential threat. Because the way I read that press, that question at the press conference coming from Frankly some chick from Politico sounds to me like, okay, so Trump wins on Tuesday. On Wednesday, they start floating the idea that Trump is going to put Mike Pompeo in a sect death a secretary of Defense or secretary of State that was obviously been shot down. Yeah, shit, Soday,

It's hey, let's go after the FED. Because I told you, I think I told you, and I know I told everybody there were two people that were most in the crossfire of the Democrats and your favorite person, Elizabeth Warren. In twenty twenty three, it will be Elon Musk over free speech, and it'll be it will be Jerome Powell over the FED not cutting interest rates, and well and behold here we are. And then you know, it's like simple if I'm if I'm am I six, or if

I'm the Bank of England, I got news free. I know exactly what I do on Thursday at the press conference. I activate the Libertarians to go hog wild and the FED like it's the perfect it's the perfect forking play between Trump and his base.

other day was? I think that was no different than when they threw the climate change actively at him when he was at the ECB. And he's he got caught on the hot mic saying closed the fucking door like that was him saying, no, I'm not not having.

and no argument. And my point here is that but he raises interest rates then, and then he holds them there for fifteen months, knowing full well that if you're going to actually survive this, he can't cut rates, no matter how bad the commercial real estate market is, no matter how bad the credit markets on them, how badly they're seizing, up until it's a foregone conclusion that Kamala

Harrison and the Democrats are not going to win. I think Powell held it off, cutting interest rates for as long as possible, and the banks kept the Banks Act and the big ones I'm talking about Jamie Diamond over JP Morgan and others, because they all came out and supported Trump, which was never which was never on the table before. Yeah, and then in September he cuts by fifty to let the markets know. Yeah, No, shit's really bad.

I got it wrong. I thought if you cut by twenty five, the market will sell off, We'll get those bear steep in er trade and all of that stuff. I got it wrong. No, it was the right move to send to the markets. We're cutting hard because we need to now give the banks back their cookie because they took a punch in the mouth for eighteen months over holden rates this high, and now you've got to

cut rates to reliquify the credit markets. And that's why he cut again on Thursday, and he'll probably cut again in December twenty five basis points, and we'll see what

happens during the Trump administration. I've been on the opinion that he's going to cut harder during Trump's term than he would have on a Harris term, because he wants if Congress reforms on the fiscal side of things, then he'll give everybody the room they need to survive, and he'll take another round of inflation over something far worse

than a credit crisis. And I think that's the that's the thing, that's the position that he's in, and I think he's navigated it to this point pretty well from my looking at it.

posted on my Twitter account on Friday. So interesting because Maria she used to be a never Trumper, and you know she's she explained, she she she shifted over the whole Russia Russia, Russia wrestler Russia hoax when she realized that wasn't legit, and so I think she's actually a real journalist, but she was asking, she was really trolling, how over all this are you? How can you possibly think you're more powerful than the President of the United States.

It's so interesting because I watched her, I think it was Friday morning, and at the top of every hour she did that same story in a slightly different way, and and then she had Judy Judy Shelton on and she said, look, howel has just broken his own rule, which is that he's he has officially said the FETE is not is not supposed to be part of fiscal policy. But he went out there and threatened Trump and said,

if you're profligate, I may have to raise rates. So he's cutting rates while he's saying, if your profligate, I am, I may have to raise rates under you. It's a huge threat. And again like that's how the universal reaction that I saw nobody other than you was praising him, which makes it so interesting for you.

He's been sitting there for the last year saying, look, the fiscal we're on an unsustainable fiscal path, and I don't have any I don't have any options here that he's he threw that crap out the window a year ago when he started saying things like we're on an unsustainable fiscal path at every press conference, so he was letting everybody know, and I'm going to keep interest rates high and then if and that's my argument, he's literally

everybody's everybody melting down over this is missing the broader picture because everybody is now it's now fashionable to be anti fed. I'm serious. Clear, Yes, that's clear. It's fashionable to be anti.

that they can run on. And they had a camp, and they had a campaign platform, which they didn't, but if they were going to have one, it would have been you know, Powell took Powell created a recession for you. The FED destroyed your took your took your lunch away, and now your kids can't get you know, can't buy the goojoe with the kunkery grip and all the rest

of it. They tried that game. Elizabeth Warren came out before every freaking FOMC meeting with a sternly worded letter saying, you need to cut interest rate seventy by basis points. Why but the City Bank told me to That's why. Like, I'm sorry, that's the answer. And so Powell effectively saying that Trump, look, I would like to be on your That's why I read it was like I would like

to be on your side. Put the fiscal side of things, come in, do the slash and burn that you've been talking about, and I'll I'll accommodate you, because then I'll have the room to do what I want that I can do that I need to do, which is keep the bank's liquid but get a normally up sloping need curve. Here's this is the way I read twenty twenty five.

At this point, if we if if Congress comes in and does what needs to be done, then what we're gonna have is the that's gonna cut interest rates by I don't know, another one hundred and twenty five basis points from here, maybe one hundred and fifty down to three percent by the end of the next year. The long end of the curve is not gonna move very much because there's gonna be capital influence in the United States.

So we're gonna get the attempt, the tempt that sell offs here and there, excuse me, and then but it'll it'll hold a range, and then the short end of the curve will come down and we'll have a normally up sloping needed curve. We're gonna have a recession Okay, we're gonna have the return of inflation.

or whatever. And no, you're look at the global situation, the interplay between the try the real triparthee repo market, the Bank of Japan, the ECB, and the FED. And now now things change, and that's that's big. That's basically my my macro argument for how the central banks are playing this stuff out. You know, salt to taste, but that's where I see things at this point.

in order to fire anybody. And there's all kinds of Again, there's a question whether it has never been tested before, but it's pretty easy to make a case for cause over all the d banking and maybe that's where he goes.

just crypto. Just like in Operation Choe put in one point zero, it hit thirty industries, right, it hit you know, five or six this time, but you know, including the Trump family, right, and that all that all got done by someone. And it's pretty obvious we know where it happened in the crypto industry. That's already out there.

going to happen? And I don't know because it doesn't sound like it. And then right around the time, Jamie Diamond said, yeah, I kind of like Trump and I'm going to vote for him, and it's and basically telling Wall Street it's okay to vote one first, to vote for a Republican when he backed Nikki Haley back during the primaries, and then later like this isn't Diamond angling for Treasury Secretary? Jamie Diamond wants to leave. He's done. It's very clear. I think that he's he wants to

go the retirement to the retirement and he's done. And you know, if i'm a JP Morgan Chaerholder, I'm like, okay, you did great. And I know something else about about Diamond that's really because I think he's a very pivotal player. He's clearly the CEO of the most powerful bank in the world, so we should have listened to what he has to say. And here's the thing. When he went to Davos earlier in the year, noticed that he had Mary Erdos with him, and he didn't let him let

her off his arm. And yet she's not part of the JP Morgan succession team.

So again, what do you mean by that? What I mean by that is that Mary Urdos is is the is the Davos snake in the grass. She's the and she managed the Epstein account. Now, when we go back to a year and a half ago, when all of a sudden, out of the blue, after Powell raises interest rates and everybody's screaming and blah blah blah blah. Well and behold, Jamie Diamond gets hit with an Epstein lawsuit

coming out of Puerto Rico. Remember that, Yes, yeah, yeah, And and you know and Whitney Webb like took that and and and did the whole guilt by association thing four months on end. And again, I look at it this way, What did Epstein ever have in his bank account at any one time? Fifteen maybe one hundred million dollars? I mean, he had a lot of influence, but he

didn't have a lot of money. Like that amount of money does not get you in the room with Jamie Diamond gets you in the room of Mary erdoes okay, you know, gets you in the room with the VP. It doesn't get you in the in the room smoking

cigars with the freakin with the CEO's okay. So meaning this was set up as like Epstein's going to have bank accounts at every major in New York bank and to be activated as a guilt guilt the association end, or what I like to call nuts and slots as a way to do death by reputation, attack the person on their reputation. So that, yeah, so you Diamond, So you tie Diamond by by filing a lawsuit against the CEO of JP Morgan. I mean it's just that, yeah, I mean, it's just that kind of thing. This is

this is so very This is so very typical. This is how they took down with too Salbini. This is how they take This is how they take on everybody. And they can't take Trump down that way because Trump is immune to this because he has no shame. He has no shame. And I don't think Jamie Diamond has much shame either. It's like he's like I wasn't involved in that done and he didn't even comment out and

it moved on with right. But but it was red meeat chum for the end of fetters and for the libertarian movement to then grasp onto and then have it set seed through the zeitgeist for a year and a half. Meanwhile, the reality is is that these people are getting freaking slobber left and right, because I mean, dude, I'm literally sitting here watching the europound cross like drop low three cents and all the markets are closed, right, the bond market,

the US bond markets are closed today. This is a Veterans day, and I'm watching the europound cross like collapse, and I'm like, huh, what a shock?

which is the states state banks? Like the whole brown argument about state banks and all of that as a means by which together do an end and run around the Federal Reserve, which I absolutely and utterly support. But I want to hear you like, put some meat on those bones.

central banks that were chartered. Really related to the wars of the War of eighteen twelve, for example, in the first case, right, and so let's says that history side. But the key point of the history is for half of this nation's history, there was nothing but state charge banks, Okay. And I realized that the people in Washington, d C. Can't fathom the notion that we could have states chartering

banks without federal permission and federal oversights. But that's the system that they that they've created by reinterpreting their governing statutes and keeping out the state chartered banks they don't like. Okay, So now, how how do states fight back against this? When I first learned that this debanking thing was bigger than crypto and fintech, which is of course my world and so I'm very very focused on that was when I saw Jimmy Petru that he wants Florida to start

the Florida Sun Sunshine Bank. He's the chief financial officer of Florida. And he did that because of Trump and because of doctor Mercola, who moved his business from Illinois to Florida, and he's a COVID critic. And it was when Mercola's business he was very public about this. He has a lot of followers, myself included. I look at his daily mail, and I've done that for more than a decade. In doctor mccola's case, and so I really

respect him and he's not political at all. But man, when his company got debanked, it wasn't just his company, it was every executive and their spouses Jesus all got debanked at the same time. Okay, And he picked up the phone. Clearly had a relationship with Jimmy Petronas, and Jimmy Patrona said this is wrong. And so he said, look, I'm going to look into taking the power back from these Jacobins in Washington, d c. And giving it to

the states. So here's what's interesting Wyoming. Of course we're having the problems with the Wyoming Speedy Banks, of which Custodia is on the front line. There's another there's another activity going on in Wyoming, which is Wyoming has a stable token commission for the state to issue its own stable coin. And part of the reason Wyoming did this is in reaction to the FED doing what it did

to the Wyoming Speedy Banks. It's like, all right, if you're not going to let our private banks do it, then we're coming at you as a state, okay, but they can't get banking. And what I have learned from the inside is that it's all that the FED is really freaked out about Wyoming issuing its own stable token. It's a dollar, okay, This is just it's going to create another clearinghouse for a US dollar. That's all it is in function, but thet the FED is freaked out

about it. So step back and put these puzzle pieces together. It's pretty obvious if if Trump hadn't won, that the Red States were going to be getting together and creating their own US dollar clearinghouse. Agreed, But there's plenty of history and precedent for this. It's called the twelve Regional Federal Reserve Banks. What are those twelve Regional Federal Reserve banks? They're US dollar clearing houses. They're banks for banks. That's

what a clearinghouse is. And if the FED is going after Red State people, businesses, religions, entire industries it doesn't like, then create your own version. And I do believe that that was coming because Jimmy Petronos was going to run into the same problem that Wyoming speedy banks ran into, which is, Oh my gosh, the FED thinks it has discretion.

And this has been litigated and in the Tenth Circuit, the only appellate judge to date that has ever looked at the issue said no, the FED does not have discretion. And so so what's interesting is I don't know how far down the path Jimmy Petrona's has gone in Florida. He's put out a commission to study it. I don't think he's going to have to do it, because I think Trump's going to deal with this. But this whole notion that that that the banking system can be used,

can be weaponized against political enemies, it's just wrong. And here's what's fascinating to me. And I by the way, I don't care which side you're on. It's just wrong. Here's what's fascinating to me. I am really watching closely to see if Trump is going to is going to so reform this that the power can never be abused again, or whether he's going to want to control that power. I have a feeling it's the former. I'm optimistic it's

the former. And when I see things like Elon Musk engaging with Ron Paul saying we ought to not reform the FED, we ought to just tear it down. And Elon's saying, interesting, well, okay, that's that's signal that at least it's being discussed. And Jadie Vance also came out and said, hey, I didn't agree with Ron Paul, but the more I think about it, the more I think he's right. So you know, that's where the right and

the Libertarians are. And then the left is mad at the FED because they're partly blaming the J Powell for the Kabala loss. Who is advocating for the FED right now?

bigger fight than this. It's it's it's it's fascinating. And what I was trying to say when I was at the Mesa's Institute last month which is Look, it all depends upon the frame. Uh everybody gets tomiss it because because they won't release the speech. So the all I was trying to say is, look, depending on your frame of your framework, right, I can. I can talk about the framework you just put together, which is the FEDS the villain, where the victims and the free and and

and and free banking is the hero. And no argument with that framework at all. I have no argument with that framework. That is the that is the framework we would all like to devolve the system down to. But from another perspective, you have a bigger one where you have transnational globalists and other central banks angling to pull the US banking apart up and the and and by extension, the entire country apart at the seams, both politically, culturally, economically,

and every other way. And then that framework, the FED is the best asset we have because they are the most powerful institution in a fight between central banks. What are you gonna do? You want to go in unarmed? I don't know about you. I don't like going to a knife with I don't like going to the to a gunfight with a knife. I'm like, I like you let them and and they have the incentive structure to do this, because who are they? Who do they work for?

The US commercial banks? And who and who would they be advocating for under these circumstances. The US money Center, I mean, obviously the New York Fed advocates for the New York money Center banks and San Francisco advocates for the military industrial complex, Silicon Valley banks, blah blah blah blah. But that's that's the argument that I'm making. I know, I'm standing out here on an island. I know it, I really you are. I am at this point, and

I don't and I don't care. I'm so far I've been right from that framework, but I don't have any problem with the other framework, and as far as I'm concerned, and then I'm not the only one. Daniel de martinoz Booth is making the same thinking, basically the same argument, so is Martin Armstrong. They're both saying the same thing, which is the which is the which is that we live in a world with these these evil, these evil things. If you don't like they both like the Central Bank

far more than I do. They're not neither of them are are as Doctornari libertarian as I am. And that's fine. I don't have any problem with with them having their perspective on things. They see the but they understand I think, in the in the grand, in the in the real, in the real grand scheme of things that we have. These central banks, they are weapons. They are armies. And in that and and that's in that role. You can't this band your army and say hey, we're gonna fight,

We're gonna win a war. This is a war that has to play itself out until such time as the bad actors are destroyed. And then if we have political control of the United States to hold the Central Bank feet to the fire, we can then reform the central Bank to our purposes. The problem that we've been having is that there are two There are two forms of control over a country, monetary and political. Under the Alma administration we had the globalists were in charge of both.

They were in charge of the political and they were in charge of the monetary. Under Trump, we had political control. The monetary system was only beginning to be We are in a transition period. Powell was coming in to reform the FED, but so for all of that stuff, and that had that take that took a while to play out. Then it was restored, then political restored control was restored under Biden for the globalists. Meanwhile, Powell stood by as a rock say no, that's fine, you want to be

globalist five and a half percent. And it's an audio podcast, folks, I just flipped everybody off. You guys can't see any of this. And then now we are on the cusp of them losing control of both the political and the monetary system of the US and for that to then be reformed in such a way that it works for the American people under its original conception, conception under the Constitution, and we can actually see the process of the end

of the age of central banking. This is a five hundred year plan that's come that has now failed with the United States jacking out of the system. This goes back before the Bank of England. This goes back to the old Venetian banks and everything else in the formation of the Bank of England in sixteen ninety four was the beginning of this era of history. I've been saying this from the beginning. This is what this is about.

And these people that have been quote unquote ruling the world is a shadow oligarchy behind the scenes in years, they are about to get fucking rolled. And we don't want to We don't want to disempower work. We want to use the dragon that we have to go slay those other freaking dragons happened, and then and then we get to sit back and the world pick up the pieces and and where we build the world. That's what I say.

Howard Lutnik is in charge of the of the transition team. Yes, and we don't know what that means again in terms of federal financial regulators, because some of the names that are being floated for Treasury secretary are vehemently anti crypto, like John Paulson, Right, but then you've got Howard himself and Scott Bessent rights. Okay, fire away.

is bullshit. And I'm sorry, but it's bullshit coming out of the bowels of m I six and the Bank of England and the Masade and everywhere else. That's my take on the story. And so far I've been right about this. So let's not like, and you look at Mitch McConnell trying to like select the Senate majority leader in the dark. Why is he doing that?

of the people through Twitter. That's where it's happening. Man, I don't even bother for at this point to go to most other news sources. At this point, Twitter is where. I mean, there's so much crap on it you have to absolutely be able to wade through. But you've got to find high signal to noise ratio people like you and who will make you think whether you're grow with

them or not. And there's so much much out there that you're learning on Twitter that you just you can't get from the mainstream media.

and curating, because I do the best I can. But because there's so much and I can't work twenty four hours a day, I do have to feed my World Warcraft addiction.

of that ship? Now, Okay, let me put some Aaron tweet out onto Twitter that I'm not interested in, you know. And fine, I do a terrible Trump. I do a terrible Trump impersonation. But you know, I think that this is this stuff is very I think it's all in flux, and it's you're seeing a titanic battle of trying to shape the narrative around what's happened here and shape this transition. And I got a couple of things that I threw out, you know, and the and the thing I just did

a coffee and the mic. Has anybody seen Trump? Has anybody seen Hillary Clinton?

Holy moly. I mean that just the historical significance of that he could easily have been Abraham Lincoln and he wasn't. And what does that mean? And and yes.

with the cornflower tie, you're the middle manager. They put the point here to Boston Tilbert in charge of the global economy, right and in the political power structure, and uh, you know, you get what you paid for. And these they're you know, thankfully, these people are easy to run rings around. And then you know, I haven't even we haven't even discussed, like we've been stuck in the weeds

of the financial markets and everything else. But you know, dude, putin speech about I the other day, was it was was lightning fascinating. Yeah, yeah, I mean, just some unbelievable and I stopped list and it's Putine for a while because I know what he's going to say. But when he said those things at val day, the way he said them.

and the old relationships are breaking down. And I think that my read, and it's very complicated, but as of today, and that could change by Wednesday, but my read is that the German and USh realists are making their presence felt and they are done with this merclist bullshit and it's going to end now, and all off Shoals is desperately trying to cling to power long enough, and the hope that Donald Trump gets assassinated or gets stopped from taking the reins of power in January before they can

then reassert control again. That's what I think is going on. And we'll see what happens if they try to ban AfD.

the Euro. They wanted a big devaluation of the mark, and by going together with the weaker Southern European currencies into one currency, they got to basically backdoor have work into list monetary policy, right, and so they want the Euro to be devalued or maybe even to fall apart.

and the Mississippi is having to deal with the same interest rate that California is. So California is beetting capital at a point and a half lower than it should and Mississippi is having to pay a point and a half more than it should. And that's that's the problem. It's exactly what the Germans did with the euro and now we're getting to the point where the whole thing is starting to collapse. And now you can't now that you've you've just you've destroyed German dynamism within the within

the economy. Now they're at now they're at their their existential moment as well. And then for the Americans to push and for Brussels in a controlled, controlled collapse of the entire European economy and the hope that they can get a war ship all the male contents over into into Ukraine to fight the Russians and then you know, do a monetary reset. That was their plan, and that plan is not going to happen.

Laguard and I've gone over this many times. Go look at break the TIC report down by region of the world, and you'll realize that all summer long, while Yellen was doing QE at the Treasury Department to mantipulate the long end of the field curve down and allow the bond traders to front run the treasury, we watched the European central banks add on over three hundred billion dollars worth

of US treasuries. As of the latest TSE report, which goes through September, and since Powell started tightening, that number is almost a trillion dollars. Wow, okay, and everybody else is basically fine. The Chinese sold off about four hundred million dollars and then they see but they didn't but stopped around. They stopped right around Jackson Holt now right around the end of twenty twenty one, and they've just been bouncing around a twenty billion, twenty to forty billion

dollars ban since then. And the only time you ever hear anything on zero hedge is when they sell forty billion. Knowledge that you never hear about when they bought forty billion dollars the next month, or they buy thirteen billion dollars a month for the next quarter. This sky's always falling, exactly. So you have to, like we all have to temper what we see by looking at the data.

they put the money in, they expect to get paid. Yes, and I own thissary necessarily. Just think it's the whole Bank of England with the original forty billion dollar guarantee. I think there's an awful lot more there. So there's a lot of money, and there's a big cash call coming happening right now. And that's why Canada, that's why Biden back toward another six billion dollars to Ukraine. That's why all off Shoals is trying to get another six

billion dollars in. That's what's going on here. Everybody is trying to They're trying to extend it, right, they're trying to do They're trying to deal with the cash, the global cash call and put it off on the voters, and the voters are yeah. No.

Biden went happening. Trump, Biden went hat in hand to Trump after they pulled this ship that they were going to hold Biden's they were to hold Hunter Biden's sentencing off until after the election. That was That was I think that was the inciting incident for Biden to finally just call up Trump or have Biden had his lawyer

call up Trump's lawyer. I cut a deal because it started about two weeks before that, so I floated it out there about a week before we started this, before the That was right after the Maga hat when Trump the Maga hat. Yeah, I like two days we had I think we had dinner like that Sunday, and that's when this came out. I'm like, oh, I'm going to throw that out there and see what happens.

drug crimes and things like that, nonolent crimes. Right, well, will Trump just go do a mass commutation of nonviolent criminals. I mean, he might do something that big.

United States again. And it's going to be so fascinating to see how he does it because one of the challenges. One of the things that I learned, and again I'm pointing to publicly available documentary discovery evidence, is just how much the senior career staff at the agencies are involved in a lot of this. And so you know, Kennedy RFK has been talking about this a lot at the FDA, and I boy, I know exactly who the instigators of the debanking were at different federal agencies because of various

insiders who have come forward to me. And yes, it's the political appointees that instigated it, but it's also career people. And there's I'm told by people who are very likely to be appointed in senior Trump financial services roles that there's a phrase called basementing. They know they have to

basement a lot of the senior career staff. And it's just you and you were talking about this in one of your podcasts with Alex Kramer, Craner, the O five's and the six is right that they're still loyal to America. But it's the people above them that have been cherry picked over the last decade in the Defense Department who are not not not down with all this right, And there's just going to have to be a major cleaning house.

And I know you're a big Tulsa Gabbert fan, so oh am I And you know, if she gets Department of Defense, if she gets Defense Secretary, I assume she's going to go in there and clean house. And it's going to take somebody like that to go in and

clean clean house. And so it's an interesting question. Is Trump gonna take that power and not tear it down and use it for him for his own people, or is he going to tear it down and leave America in a far better place and reverse really probably the last fifty years of centralization of power into Washington, d c. And out of the United States.

and he brought it up. He said, to look, she's a perfect candidate for Veterans Affairs to learn how to manage a big three hunter agency. Go in there and do the job that to take care of the people that she cares about the most. And where her conscientiousness and her and her you know her just her sheer decency, will will you put the best effect? And then in twenty twenty six, half midway through, then we have a shuffling in the cabinet and she can be promoted. She

also gets the move. She also gets to deal with the she has to deal with some of the seniority issues within GOP. The GOP is a very seniority driven, you know organized, but.

spilled out into Twitter. It's fascinating how how and this is we literally are watching history because no question Thoon was going to be the GOP Senate leader from what from most every source that I've heard. And now there's this ground swell for Rick Scott. But I actually threw out yesterday talking to one of my friends who's in DC, I wonder if this groundswell for Rick Scott is all about sidelining Thoon so Trump can get who he really wants,

which is Steve Danes. And Steve Danes endorsed Thoon, which is interesting because Steve Danes has earned it, but he said he doesn't want it now. He obviously presumably wants a committee chair role or thing like that. He doesn't want to be doesn't want to have the responsibility of being the Senate g OP leader. But I mean, just the stuff that both fun and Cornin have said about Trump in years past that's come out that the the

internet has gone and dug up there. They were never Trumpers and they're not like JD that has you know that, and or Tulsi that made a made a complete break with their never trumperism. It's uh, it's that they they

have they've been tepid in saying so. So my big figure is that we're going to get another you know, just wish rhino exactly, and that and that that's going to get in the way of of of truly taking this power away from the places that where where it's just been this creeping centralization of power all throughout the US government and the average American recognizes that that that it's just being abused right and left, and it needs

to be reversed. And if they're really going to to to change fiscal policy such that to your thesis that j. Powell can lower interest rates rather than keep raising them, they have to cut cut slash right, and they do.

Hit Chopra of the Republicans. He's read all the rules, He's already got the plan in place. Roe Hit is known for for reading all the rules and figuring out how to use them and justify the means. Bill Ayers type rules for radicals, right, and and the Veke is on the other side of that, the guy who also reads the rules, but instead of how do I use this to to to to install more Marxism in the US government, he wants to install more freedom in the US government.

I was taking notes about my presentation the entire time. That's one, like how do you do this and do it better? That's one. And two everything that I have been saying about how do we go from taxations theft

to this to and the FED and stop? And we have to tell the story in between of how we get from how we tell the whole story to get to convince people to go order step by step, order by order, you know, from point A to point B to point C to point D, and not from point A to point B to point z, which is what we libertarians always do, and we do wrong, and we need to just fucking make our goddamn peace with it.

The VEC just gave us ninety minutes of how to do that and communicate it to the American people and do so in a credible way.

kind of Trumpian weaving, you know, meandering way. So VEC was like point to point to point to point point. Yeah, this is how we can get rid of eighty percent of the government. This is how we can pay for it, This is how we can have it not affect GDP, this is how we can do it. This is how we do it. I'm like, there's your blueprint. But so exactly cabinet secretary. So guess who he gets to be.

He gets to be fucking cabinet secretary because the cabinet secretary is the guy who implements the executive orders and actually runs the goddamned executive branch. Right, That's where he question.

So I like vek there. And then I also think there will be FOMC appointees coming up again between now and twenty twenty six, and I think then we go ahead, I get one more time, and we try and get Judy Shelton on the f M S. Yeah, yeah, they remember. Everybody forgets this, but Kamala Harris and John McCain high fived on the Senate fucking floor to block her nomination.

clearly empty. Yes, Sarah Bloom Raskins page like fuck these Deo Field, these to tate you whatever her name is, all those people are awful. We need to get at least thank you. That's the name.

He tried to just freeze them out and make them so that they were just yes men to him and to Powell. Okay. So that's the dynamic of the FED. Now come back to if Trump wants to put his print on the FED, here's how can he do it now? Technically. One of the interesting things Peter Country Brown, a terrific academic, wrote a book about the history of the FED, and he openly questions, because there're seven FED governors and seven Supreme Court justices, why does the FED not operate the

way that the Supreme Court jet does? And the answer is that green Span created the culture of the place of the iron fist. You will vote with me, I want unanimity, and that has been that has been carried forward with subsequent subsequent FED chairs, including Powell. He's got governs with an iron fist. Nobody challenges him. Okay, other than he gave bar total control over the over bank supervision and then borrowing and and executed all this debanking stuff.

And again, now Powell probably looks at that and says that.

of them voluntarily leaving. So even though they're not lifetime terms unlike Supreme Court justices, they're fourteen year terms, which is which is a long term in US government service, and almost none of them ever served it out. And so there's a history when there's a presidential change that the vice chair will step down. Randy Corral stepped down and opened up the vice chair for supervision role for Biden's appointee. So Biden basically got to completely remake the FED.

And again that's not that unusual. More so in Biden's case, but it's not that unusual in history. Presidents usually do. Here's the interesting question. Will will folks in these vice chair roles who are political appointees from Biden step down or will they force Trump to fire them? Or will

they try to stay their fourteen year terms? And if they try to stay their fourteen year terms tom now we're back to this whole how does how does Jay Powell, who has to be renominated in two years, keep control of this.

And if you don't like it, well, then you're going to sleep with the fishes tonight. I'm that serious. That's the that's where we are in this process, and we will we don't know. These are all great questions, and these are all the things that we should be watching for over the course of the next two years and certainly the next two months, because they're just und we

live in unprecedented times. And and but you know, and the other last thing to say, I altern it over to you for the last word on this clearly is let's not get too far ahead of ourselves. Let's let's just work. We're gonna have to work each problem as it comes up at this point because they're going to throw everything imaginable at us, and just let's not take

bait and react to every little thing. Let's remind ourselves that there's a different that every framework has a different strategic and tactical you know, every layer that I was talking about earlier. Everyone has a strategical and tactical order of operations that fits into the larger picture. That fits

into the larger picture. If you're a stock trader. What happens if the daily chart is not the same that what happens to the Yes, yeah, and so we have to go we have to remind ourselves to like kind kind of compress, go into the daily chart and then go out to the monthly chart, and then go, you know, and just keep doing that, but always keep each of our analyzes segmented in proper order. So I think that would be I think that's probably the best way to

put this. But please have the last word. And whether or not you agree with me on that or not, Well, I.

regard to crypto. I I got from one of my tentacles inside the FED that one of the senior people in the Novel Activity Supervision program, who would be giving the green light to the banks, who did give the green light to Bank of New York Mellon, of course, but who would be get giving the green light to other banks to get involved in crypto He announced to a to a group of people that crypto is for nothing but criminals, and can you know this is where

where people were ten years ago, but that's where the feed is now. So the magnitude of the disconnect between the people who are going to have to deal with this under a Trump administration and where the knowledge is is staggering. And I've talked about this before that one of the senior officials, it came out in our lawsuit filings, didn't even know what an API is. Okay, when you've been at a you know again, I mean, how are they going to deal with the technology? If that's if

that's the level of understanding. I'm not saying it's everybody, but just think about the incentives within the organizations. They don't have experience, they've not worked in the private sector. It's a seniority based system. So they've been there thirty years and they and the pace of change in technology is accelerating, and so that gap is getting wider and

wider and wider and wider and wider. And Marty Gruenberg got the FDIC who has basically ruled with an iron fist for the last ten years and has been very anti tech, has been able to block the banks from getting involved in tech. But here comes Trump with all this pro crypto stuff, and there is not knowledge, certainly among the senior people at these agencies. Again, it's coming back to the Defense Department analogy that you were talking about. The five's and O six is are fine, but the

people above them are where the problems are. Okay, how that all shakes out is going to be fascinating because they cannot avoid it now, and what crypto does and especially Howard Lutinink being involved with tether. It did come out at the very end of the campaign, about a week before election, that the DOJ is investigating Tether. Well, tell me what else is new. I think the dj has been investigating to other basically since it started. Right, That was clearly a plant in my mind to try

to knock Trump and Lutnik down. But it's going to be fascinating because that's a whole new euro dollar market. Tom. We've talked about this on your podcast before, right, It's

a way to project dollars out into the world. But the surveillance state doesn't have perfect control over that in the way that they do with the domestic banking system, where everything is so surveiled, And so that clash is going to be fascinating because you've got the fear of the technology among the agency staff only the Let's face it, there is an age thing to technology skills, especially in crypto.

It clearly skews young. The younger folks are going to be aware of this, understand it better, and if they're not aware of it, they're not afraid of learning it. But the older, more powerful, more senior people aren't, and Are they going to still try to stop it? Are they going to still try to do what Marty Gruenberg did and say banks can't adopt new technology while the fintech industry runs circles around them. And the fintech industry right now is having circles run around it by the

crypto industry. And how that all shakes out and Trump being pro crypto, Trump having a crypto business himself, Trump recognizing especially through his kids, and what they have said, that that the that the power of the banks, the monopoly power of the banks isn't right, and we need to fix the We need to fix the payment system and allow people to to have cheaper payments and and not to have to pay three percent interchange fees anymore. That's coming, but I can't tell you right now how

it's all going to shake out. It's just going to be so fascinating. And again we're back to this dichotomy are we having Are we having a second version of Trump one point zero? Or is Trump, with all these real reformers around him, making the break with the neocons, making the break with it with the the rhinos and the uniparty, is he really going to reform and I don't know the answer to that. I certainly hope it's the ladder.

fun with it. And that's what we have to continue doing. Bitcoin eighty eight thousand. While we watch a well we watch a a minor liquidation of gold and silver at the same time, is actually quite perfect.

everything else. And that's all to the good. And we just watch it play out and don't get ahead of ourselves, and we don't have to get religious about it because we don't know how this thing is going to play out. But we can expect a Sincere empire strike back over the course the next two months. We can expect it, and we should be happy. We should we welcome in.

I'm out. As always, you can follow my work on my blog over tom la Wango dot em or Goldcoats and Guns dot com. You can follow me on Twitter at TfL one S eight and you can follow the sign up for the Patreon at patreon slash Gold Ghats and Guns where you can sign up for the twice we can Be Market Reports and or the Gold Goats and Guns Investment newsletter where we go forward looking in

time with all bespoke. You know, articles and research between myself and Dexter White and uh give you a portfolio strategy for trying to make sense of what's going on out there. So if that sounds good to you, get it a shot. You guys, be well, you take care, we'll talk soon. You'll keep your suck on the eyes