View Full Version : Check Kiting Scheme

25th November 2008, 17:29
I think I finally figured out what gummint is doing with this massive shell game they are playing. It is the age old scheme of check kiting and it works like this:

The Fed lends to banks, The banks buy treasuries and deposit them with the Fed in an endless loop -- Fed>banks/treasury>Fed>banks> treasury. In essence the gummint is trying to finance itself. Round and round the money goes and where it stops nobody knows.

Okay, so now Fed is buying '$600 bn Fraudie and Phony bonds, breaking the loop, so they do a deal where banks will sell a whole new batch of government guaranteed bonds (what kind they didn't say! HaHa!) That means another round of toxic bond sales to go belly up. Or maybe these new bonds are for the promised credit card funding -- oh boy, won't that be fun. Just thinkaboudit, gummint guaranteed credit card bonds. Whoppie, I can go out and buy silver with my Amex. Hurrah for gummint. We're in the money . . . .We're in the money .... the oh so fun nee money.