Revolution In Motion | QPOL Issue #68
Pivot pansies are still in denial and Uncle Jamie is the best Secretary of State the US has ever had.
Dollar Hegemony Is Here To Stay. Sincerely, Jamie
Like it or not, The JPM letter to shareholders confirms Uncle Jamie is a true America First leader/Patriot.
How do you preserve all that’s good/stable in the US?
1) End the inefficient bureaucracy
2) Protect the commercial banking industry
3) Fix Basel III endgame so it favors the US.
Here are some fun Easter Eggs I stumbled upon.
The issue I believe Dimon finds most alarming is Basel III End Game. Rather than argue for “deregulation” in banking, Dimon argues FOR regulation that’s favorable to the US, not Europe. Basel III makes it unfair for US banks to have higher reserve requirements while the eurotrash banks with no collateral are granted more liberal, willy-nilly lending requirements. It’s no wonder why bankers at the previous FOMC meeting were so distraught about the policy. Basel III as it stands castrates the American banking system, leading to scared outflows of capital to Europe. This is ultimately how the globalist oligarch class wins…
The life of the EU, and specifically the euro, is hanging by a thread, and recently revealed its true colors once again. On April 12, the euro dropped to its lowest since November 2023. This most likely followed after Lagarde and other governors at the ECB hinted at potential rate cuts by admitting they do not in fact have their thumb on inflation. It’s not as if America does, but Powell knows monetary policy doesn’t correct the inherent demand for commodities during war time. If the ECB is forced to cut rates before the Fed, it’s a major win for the US. It would prove all their FUD and jawboning about how poor of a place America is for capital investment was all just to save face (because that’s all it is).
Europe is a house of cards and relies on the collapse of the US and her capital flight to survive. This is what Basel III End Game is all about. Not on Powell and Dimon’s watch…
Jamie Dimon’s Letter to shareholders is telling. It basically states that in order for America to remain the strongest nation in the world with rule of law and robust capital markets, we need a strong commercial banking sector.
However, the West’s seizure of Russian assets may have been the kryptonite to Dimon’s mission. Neocon traitors on Capitol Hill seizing Russian assets for Ukraine payola is undoubtedly a set back in the Fed’s plan to maintain US financial sovereignty/credibility. This scares potential foreign investment out of the US. If America did this to Russia, what’s stopping them from doing it to any other country that accidentally looks at them sideways?
This just means the Fed is gonna punch back harder. Maybe not 10% on rates, but maybe that’s not what’s needed?
DXY Talk
Amidst the whipped back and forth, and DXY going down doesn’t mean shit.
Compare it to the euro. Money is gonna flow back to the dollar eventually. Europe is bluffing about them actually being solvent.
They’re broke, have no collateral, and depend on manipulation of their credit spreads to make their markets look more investable than they truly are.
They depend on headlines and smear campaigns FUDing the Fed’s hawkish monetary policy, or dumb political decisions by the USG so capital gets scared and flees the US and back into Europe to help keep the euro afloat.
They also depend on offshore dollar creation and liquidity for investing in their markets/currency.
Powell raising rates destroys that and makes them bankrupt. THAT’S why they hate Powell. THATS why the globalist Jew faggots hate him raising rates.
Easing rates was NEVER about inflation. I was about destroying globalist/Jewish easy money creation via indexing it to LIBOR. Switching to SOFR and raising rates makes their Eurodollar system under the control of the Fed (finally).
FOMC FEEDBACK
The latest flavor of stupid is brought to you by the dimwit macro wannabes who feel like their FOMC commentary is worth the amount they charge for their newsletters. The new FUD on the block is that despite the Fed keeping rates where they are, they are slowing down on the amount of QT (letting assets roll off their balance sheet) every month.
This bull shit is simply just saving face for the markets so they don’t crash. The establishment isn’t worried about the market crashing for the little guy’s sake. They’re worried about their own pockets. Naturally, people are calling this “money printing.” 🙄
Let’s make one thing clear. Less QT doesn’t mean no QT. The mispriced markets are still so in denial amidst Powell’s higher for longer policy. Every market participant w/ or w/o clout will meme “money printing” into existence just for an inch of relief. Wouldn’t be surprised if Powell raises 25bps in ‘25.
SOFR is saying the quiet part out loud. No longer do the offshore oligarchs control whether or not the Fed pivots. The Eurodollar futures curve has ditched LIBOR and has re-indexed itself to SOFR entirely.
This means that cheap credit/dollars can’t be created to manipulate the futures curve/markets to the downside. For example, instead of SOFR revealing an expected hike of 25 bps in 2025, LIBOR may try to price in a cut some time in 2024 (preferably before the election).
Anyone expecting a rate cut in the near future might be more disappointed than they already are. SOFR is the law of the land now…
Pay no attention to midwit charlatans profiting off midwit finance bro wannabes on Twitter. They’re as bad as the corrupt central bankers they claim to hate. They all want a pivot.
Slowing QT is NOT QE! It’s Bernanke Doctrine 101: QE only happens at the 0 bound. Keeping rates where they are makes it that much more difficult for globalist traitors to rig an election. It also enables the continued correction in the market and price discovery to take place. This is the essence of Powell’s Higher For Longer.
Fed whisperer, Pedro da Costa, also revealed this little gem after Powell’s FOMC speech. “Fed Chair Powell said rate hikes are unlikely. But he also removed the following sentence from his press conference opening statement. (h/t to my eagle-eyed colleague Jean Yung for spotting this).”
Additionally, US monetary sovereignty and higher for longer means staying tough on the offshore dollar markets (Eurodollar system). This sentiment was expressed in Dimon’s letter below. To me, the highlighted passage (blue) from the letter screams “tighten the leash on the offshore dollar system!”
So long as QT keeps happening every month, rates remain higher for longer with a possibility of just one cut for 2024 (if not a raise), and Dimon demands revamp of Basel III while asserting the Fed should avoid stepping in, I don’t see QE happening any time soon…
Bitcoin Thoughts
How high will #Bitcoin get in the next year? Over $100k? Will it even ever become money in our lifetimes?!? NO!!!
Bitcoin as “money” by definition of medium of exchange, store of value, and unit of account, will not be met in our lifetimes. Arguably it never will be. You can scale payments via the transactional layers above it, but I think that’s a pipe dream.
It’s much more likely that during the next transitional monetary reset that the dollar is replaced with the most liquid stable coin (Tether), which is backed by valued commodities like gold, Bitcoin, corporate paper, and possibly oil. This is the system that I can envision the enablement of the regionalization of US interest rates via SOFR. Purely speculation of course and much further down the road.
The most “Bitcoin Maximalist” I’ll ever go is agreeing with Saifedean in that nation states will rely on bitcoin and the Bitcoin network to become the world reserve asset and to settle payments between each other to ensure secure transactions lacking counter party risk and peaceful cooperation. Although, I differ from Saifedean that this basket will be simultaneously backed with gold and oil. I only say oil for now because it’s currently the world reserve asset as I’ve come to learn via Tom Luongo.
However, it’s likely oil is just a world reserve asset temporarily (despite futile efforts of price suppression) because the world is essentially at war and everything is mispriced as a war strategy to maintain control (or more realistically, to prevent/stave off losing a war). A global monetary reset happens AFTER war to (can you guess it?) RESET global order.
Perhaps we’re seeing that already as the Fed/JPM et.al allow the price of gold and bitcoin to rise to further hedge themselves and soften the blow when/if a major global event occurs. It’s the transition to this new monetary order that America (if it’s still called that) becomes much more than the cleanest shirt in the dirty laundry of world capital safe havens.
Therefore, the new monetary system will be one where true price discovery and global reserve and leverage standards are set in place (like Basel III), and SOFR both enables and puts a leash on true price discovery.
I’ve warmed up to the possibility that the American project is near its end as far as a constitutional democracy/democratic republic, and we’re transitioning back to a type of monarchy. This cycle change is normal and we’re coming up on our due date.
As long as men walk God’s green Earth, there will always be fiat. How that fiat is managed is the real question. With the sovereignty of the United States hanging in the balance, the successors within the counter revolution will have to take the reins of control and steer us towards a new normal of rational economic policy.
This is what Powell’s higher for longer is seeming to accomplish. He’s not the only nationalist minded agent in his country. There’re nationalists and globalists in every country butting heads with one another. It’s always been that way.
But this thread was just supposed to be about how high Buttcorn was supposed to go in the next year and no one has been able to give me a straight answer yet… 😉
~ Mr. Pseu
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