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In the Federal Reserve announced that we'll keep interest rates historically and artificially low for the next two years.
The Fed Chairman was at the White House for a meeting with the president and today the market's nose dived again.
Is the Fed now powerless to stop a market and economic slide.
Here to discuss his radio host and author of dollar meltdown and good friend that freedom watch.
Charles -- Charles I'll ask you the same question I just put through a Charlie Gasparino and Steve -- are you surprised at the record nosedive.
The stock market took -- day.
I'm not surprised at all look they have pulled all the arrows out of -- wherever -- shot all of their best shots.
What are they gonna do now drop interest rates down there down rock bottom right now there's nothing that they can really do they get more fiscal stimulation nobody's gonna stand for.
So there there today is the day judge that all the all the bad economists.
Told us not to worry about it's all come true today and as a matter of fact this month.
Is the fortieth the effect Monday this coming Monday is the fortieth anniversary.
Of the day Richard Nixon severed the last link of the US dollar annual -- that.
And and we're paying for now in that in that time in that forty years gold is up five.
The dollar is lost 7075%.
Of -- purchasing power and now we are in a terrible thing.
So what a different world we would the yen had Nixon not did what He did or had a subsequent president.
On done what Nixon did.
But but swelled forty years ago Nixon Nixon -- it was a temporary measure four years ago -- well you know what Milton Friedman said there's nothing in the world more permanent than temporary government program.
They just go on -- that come alive from their own.
But but switching gears just a little bit.
What any effort being made by the Federal Reserve for QE3.
For quantitative easing third round for for injecting another five or 600 billion dollars and to have cash.
Into the economy with the dismal failure that QE2 was during the past 6810 months.
We're reminds -- that expression in the when your -- -- hammer everything looks like a nail because that's all they do.
They -- they print money they buy bonds that's all they did.
I think there are loath to do.
But I QE3 in an over outright way because you're right now you've got the whole world grumbling I mean you've got China very very clear that you know they've got a problem with fed policy you've got potent.
Said the other day you know America's like what -- call -- a parasite in the global economy.
I don't think the world would be particularly happy if we embarked on an overt QE3.
But these guys have a lot of tricks up their -- I think this is the Federal Reserve this is the Federal Reserve the came up with sixteen trillion dollars.
To secretly loaned to a private banks foreign banks included without any oversight or anybody know and it's almost I think that they'll try to.
It's almost in -- -- of all.
Even though the number you gave his true the Federal Reserve because it can print cash.
Has more money than the congress of the United States of America about that as an absolutely.
Truthful fact if you count printed cash.
As real cash switching gears before we finish we have less than a minute ago did -- the Federal Reserve actually make things worse yesterday.
By saying we will keep interest rates artificially low that means printing cash that means giving credit to people that don't deserve it.
That means artificial credit an artificial prosperity which must at some time in the future burst.
-- that means more speculation more Mal investment so -- support.
But the other thing is -- the of the gold market responded unlike the last time the market sold off hard back in 2008 with the mortgage meltdown -- went down at that time from over a thousand to -- down below 700 the response to this event is entirely different it is a harbinger right believe judge of things to come unfortunately.
Charting right and it's a pleasure thanks for joining us.
Thank you -- one glimmer of hope and all of us Democrats and west.