There's no modesty in their policy anymore. The Fed is going full bore with their money printing to induce inflation ABOVE their historical 2% target. This is the predictable outcome of their policy if you've been paying attention for long enough. The Fed has no other options at this point. To keep the party going they must go full throttle. To pay back the interest on the debt that's been accrued over decades they have to keep interest rates as low as possible while injecting trillions of dollars into the banking system. They'll attempt to aid these monetary policies by pressuring the government to join their onslaught on sanity with extreme fiscal measures that also include the Fed's money printer, but they, too, will provide ephemeral relief while exacerbating the systemic problems that exist within our system.

We've reached the point where 2% inflation isn't enough. In the eyes of the Fed, they need to overshoot this inflation target to kickstart a flywheel that will save the economy. This too will prove ineffective and potentially disastrous, especially when one considers that the effects of this printing will only be exacerbated by a centrally planned forced shutdown of the economy. If the lockdowns continue for an extended period of time, these coordinated actions will send financial assets soaring and potentially be the catalyst for the consumer price inflation many have warned about for years. Especially if the government continues to force people to stay home from work while airdropping money into bank accounts.

What's even more evil about this scenario is that the Fed's metric for inflation, the CPI, severely underscores real inflation in the economy due to the fact that the underlying variables of the index are constantly manipulated to make it seem like inflation is lower. The Fed will tell you that inflation hovers around their 2% target or fails to reach that target. This is Jerome Powell and friends pissing in your face and telling you it's raining. In reality, if one keeps track of a basket of goods that American citizens actually buy on a consistent basis, as the good people at the Chapwood Index do, you'll come to find that actual inflation is 4-6.5x the Fed's target.

The continued attempts by the Fed to brute force these monetary policies on the public while expecting different results (long-term economic stability) is the definition of insanity. Justifying these insane policies using a manipulated inflation index is pure evil. The Federal Reserve system needs to be abolished if we are ever going to escape this insanity. There is no other way.

Fix the money, fix the world.

Final thought...

Peeing in the hot sand was always a great feeling as a kid. Much weirder as an adult.

Enjoy your weekend, freaks.