What the Fed has been doing ever since Greenspan (the veritable “Patient Zero” of the current global $280T debt disaster) is very clever yet extremely toxic, as well as openly duplicitous.
Specifically, the Fed now prints over $120B per month (to buy $80B in unwanted Treasury bonds and another $40B in unwanted, toxic MBS [mortgage-backed securities] paper) with no apparent inflationary effect (despite the fact that inflation is defined by money supply) beyond its 2% “allowance.”
Such extreme money creation openly dilutes the USD to inflate away US debt with increasingly diluted dollars, now a desperate as well as deliberate Fed policy.
It beggars the imagination that there IS NO imagination in the deep ranks of our Care Guardians. Those suckers are whistling past the graveyard and that’s ALL they’re doing. Whereas, Pilgrims, it’s Dutch Uncle time. Time for some relentless realist to announce to the country that the current political-economic-social “strategy” most closely resembles what you’d find in your freezer after a one-week power outage.
The duplicity of these financial gods is amply laid out in the article in the Notes below. The graphic therein showing how inflation is just defined away to get to the politically convenient result is beyond illuminating. If we still calculated the Consumer Price Index the way we did in the 1980s, inflation would be around 9% per that graph. But, “officially” it’s around 2% because of the way that the method of calculating the CPI has been fraudulently “revised.”
As Mr. Piepenburg shows, the inflation-adjusted return on a U.S. 10-Year Treasury would be/is very negative if we were to use the more (?) honest 1980s measure of inflation. This has the effect of making said Treasury instrument highly unattractive and making gold highly attractive. Who in his right mind would want to help the U.S. government finance its spending addiction on these terms? You see another reason here for the Fed’s lies. Somebody still buys those bonds — the Fed apparently — but for how long exactly? Powell must have Bernie Madoff on speed dial to help keep this shift show going.
Solzhenitsyn warned us to live not by lies but that is exactly how we live as a so-called nation.
 “The Fed’s Most Convenient Lie: A CPI Charade.” By Matthew Piepenburg, ZeroHedge, 3/10/21 (emphasis added).