The Fed's goal has been (still is) to inflate asset bubbles in stocks and bonds (real estate) to "lift all boats." This goal does not work for main street, but it does for wall street for most of the paper wealth that consists of nothing more then mountains of debt in this country. The Feds trickle down is really tickle up. The only thing that went up and still is going up for Main Street is debt, the very debt the richest 4% of the population own.
Right now the spreads between Treasuries and junk bonds are widening. To me that indicates growing fears of a slowdown. Junk bond issuance is increasing, which implies a desire on the part of borrowers to raise cash while they can, much of it used to buy their own shares to make things look better then what they really are.
To me there never was a Main Street recovery. It was all on Wall Street. Oil did a little spike in 2016, which made it look like the global economy was expanding. To me it was just a bounce from an oversold position. To me very few people have an idea on what the growing levels of the debt distort (buy backs) that is in one hand increasing the GDP number and on the other hand destroying what is left of the economy.
Our system is pyramid scheme where wealth and power dominated by the few at the top, who through the flow of credit, control just about everything. This pyramid scheme is out of fuel and the rot of this pyramid scheme is stinking up the place. Yet those who benefit from this pyramid scheme deny that it is failing. The pyramid scheme (status quo) made possible by this pyramid scheme is not only failing to solve our problems, it has become the problem.
To me failure is now inevitable. We must each understand why our status quo has failed, and why the usual menu of reforms can’t stop this failure, so we can prepare ourselves for the radical transformations that is to come. Take a look at some of the latest failings.
In granting a new entitlement, Obamacare did not encourage competition among insurers, it demanded a "one size fits all" approach to coverage, and did nothing to contain the rising medical costs that threaten to bankrupt this country.
The Ryan plan made many of Obamacare's shortcomings worse. It left pre-existing condition requirements in place, which guarantees the premiums and deductibles would continue to rise. It did nothing to relax the state restrictions on insurance competition, nor did it seek to contain medical costs.
The privately owned FED Empire who owns us (we the people) and our government has exploited (will continue to exploit) all of the productive people, leaving nothing left to invest in for the future. Investment by Corporate America today constitutes greedy CEOs buying back their stock to boost earnings per share and share price in order to earn multi-million dollar bonuses. Loan proceeds are accounted for as cash flow, which makes possible the new borrowing.
The globalization scam was nothing more then a means to exploit the dwindling resources of the planet and its people. The monetary machinations of the Federal Reserve have reached their limit. Economic crisis is inevitable. What is coming is an economic meltdown. Debt should not be used as an asset. It should be taken from those holding it. How can debt be paid when the number of currency units in circulation does not even exist in paying for it. All we are doing is trading a large pyramid of IOU's. I milked cows for the most part of my life. We the people today are nothing more then cows to the banksters who milk us.
The only recovery we had was a Federal Reserve "whatever it takes" attitude towards shoring up asset values. The result was a further divide between the haves and have nots. Income growth not debt drives the low and middle class people, and until that is fixed nothing will change.