Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak – Finance Bitcoin News


Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak

During the last two months, the global economy has shuddered and a great number of people still attribute the financial meltdown to the Covid-19 outbreak. However, during the last two weeks, the blame has shifted, as many citizens are now blaming the government lockdowns, overly-predictive models, and industry shutdowns. Moreover, a recently published report notes that the financial crisis in America started five months before Covid-19’s first death report in the United States.

The Fed’s Monetary Easing Schemes and Wall Street’s Secret Deals Started Well Before Covid-19

The Covid-19 outbreak has been scary, but a lot of people are more frightened by government regimes than the virus itself these days. Governments worldwide, without vote or discussion, shut down major industries and severe cracks in the supply chain are beginning to show. On May 1, financial columnists Pam Martens and Russ Martens explained in a report that the economic carnage started five months before the Covid-19 virus started to scare the population. For instance, Martens details that the first death in China was reported on January 11, 2020, but the signs of an economic meltdown started on September 17, 2019. In fact, The Federal Reserve gave primary dealers a whopping $6.6 trillion before the first death from Covid-19 was reported in America.

Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak
Photo via Federal Reserve data and Wall Street on Parade columnists Pam Martens and Russ Martens.

The first signal that started showing signs of cracks in the U.S. monetary system was on September 17, 2019. “[The] New York Fed announces it is intervening in the repo loan market for the first time since the Wall Street crash of 2007 to 2010,” the report written by Martens highlights. “The Fed will provide a maximum of $75 billion per day to 24 Wall Street trading houses (primary dealers) with a cap of $40 billion going to any one firm. (This large-cap suggests the New York Fed knows that one or more specific firms are in trouble.),” the research further added. Three days later on September 20, the Fed again said the repo markets would continue and it also added an extra $30 billion to some 14-day repo contracts. By this point market strategists and U.S. economists knew something was wrong. Then on October 1, 2019, JPMorgan reduced its cash-on-deposit with the Fed and reduced holdings by 57%.

Three days later, the New York Fed decided to add an additional $75 billion toward specific overnight repo schemes. The $30 billion 14-day plans were increased to $45 billion and they even created a 6-day lend as well. By October 11, Martens’ research shows that the Fed would continue the repo schemes and it would also buy billions worth of American Treasury bonds as well. A week later the rules were changed again, and $75 billion repo contracts were increased to $120 billion. By November 9, 2019, a large swathe of central banks worldwide started following the Fed’s excessive money creation schemes. The first week of November had shown that more than 37 modern central banks were participating in stimulus and easing practices. By December 2019, politicians and Wall Street CEOs were showing a number of signs that something was amiss. 2019 saw a record number of CEO resignations and a large slew of corporate leaders abruptly stepped down. The report written by Martens notes that on December 17, 2019, the New York Fed announced:

[The central bank] would beef up its repo loans by adding a 32-day loan of $50 billion to its ongoing, twice per week term loans of 14-days and it will increase its overnight loans from $120 billion to $150 billion on December 31, 2019, and January 2, 2020. It will also add an extra $75 billion overnight loan that settles on December 31, 2019, and matures on January 2, 2020. That’s an extra $185 billion of liquidity over the turn of the year on top of the ongoing repo loans.

Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak
Unlike the protests after the 2008 bank bailouts, the most recent American protests have been largely against the restrictive lockdowns. However, many citizens from various states in the nation have talked badly about the protestors in 2020 during the Covid-19 pandemic. Many have wished protestors ill and said that they hoped demonstrators would actually contract the coronavirus because they were protesting. After the lockdowns are lifted, it is expected that the protests will not end, as many Americans are aware of the fraud and manipulative acts committed by politicians and the central bank.

$6.6 Trillion Was Injected Into the Hands of the Fed’s Private Dealers Before the First US Reported Covid-19 Death

By the end of January 2020, the Fed’s balance and repo market spreadsheets had indicated the central bank injected $6.6 trillion to private institutions and there were no U.S. coronavirus deaths at this time. The first coronavirus COVID-19 death reported in America was on February 29, 2020, according to the report. As mentioned above, 2019 saw a record 1,300 top executives step down but January 2020, had also shown a record number of CEO resignations (240) in a one-month period. The list of noteworthy CEOs who stepped down is quite exhaustive but includes people like Hulu’s Randy Freer, Mastercard’s Ajay Banga, IBM’s Ginni Rometty, Tmobile’s John Legere, Harley Davidson’s Matt Levatich, and Linkedin’s Jeff Weiner.

Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak

What really upset people, however, was the fact that 2019 was one of the best years for Wall Street traders as stocks hit record numbers. Moreover, the world’s wealthy elite grew massively in 2019 and a Wealth-x report specifically cites the Fed’s stimulus programs “as a direct primer of the stock market and growth of very high net worth.” Meaning the Fed’s pumping just made the rich even wealthier than before. Nasdaq saw a new milestone, the Dow Jones and S&P500 broke records and the world’s 1%, solely protected by the bureaucracy, has reaped the benefits. On February 15, 2020, after the Wealth-x report was published, Northman Trader author Sven Henrich sarcastically congratulated the Federal Reserve for the achievement.

“Central banks have become the primary driver of wealth inequality. And they refuse to admit the self-evident,” Henrich further tweeted. “They are the driver of excess that primarily benefits the few. Central banking is socialism for the top 1%.”

Fraudulent Cover-Ups, Pork Funds, and Special Privileges for Corportists Tucked Into Stimulus Aid Packages

After the coronavirus was in mainland America, Wall Street shuddered during the market rout on March 12, 2020, otherwise known as ‘Black Thursday.’ After this important date, the U.S. central bank fired its “financial bazookas,” like allowing private dealers to operate without declaring any reserve status. The Fed cut the benchmark interest rate to zero and introduced 14 foreign currency swap lines and discount windows. The Fed also created a $450 billion slush fund for Wall Street execs and the Commercial Paper Funding Facility (CPFF), a Term Asset-Backed Securities Loan Facility (TALF), and a Secondary Market Corporate Credit Facility (SMCCF). By the end of March 2020, politicians, the Fed and the U.S. Treasury helped pass the Coronavirus Aid, Relief & Economic Security Act” (CARES Act). This gave American taxpayers $1,200 each for economic relief, but U.S. lawmakers like Representative Thomas Massie from Kentucky said the CARES Act passing was a fraudulent cover-up.

Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak
There are 12 Federal Reserve branches that operate in different states within the nation. The Fed has recently granted special powers to Blackrock allowing them to bail themselves out and oversee $27 trillion in corporate bonds and commercial mortgages.

Come to find out the CARES Act was loaded with pork funds and raises for members of Congress. The bill (section 4409) is also very controversial because it incentivizes hospitals who were already broke to get $1,300 for classifying Covid-19 deaths. The CARES Act also gives an extra $39,000 per patient for hospitals that had to use a ventilator. Lots of money that could’ve been spent on current healthcare costs like Covid-19 test kits and PPE resources went to pork funds, according to critics. For instance, Democratic House Speaker Nancy Pelosi added $25 million to fund the Kennedy Center and for the National Endowment for the Humanities and Arts in the CARES Act. Other stimulus plans created by the U.S. bureaucracy, Treasury, and the Fed also cheated small businesses because they allowed larger companies to take all the coffers’ money in less than 10 minutes.

Making matters worse, after distributing a measly $1,200 check to American citizens, the Fed gave special powers to the equity firm Blackrock. The massive financial institution Blackrock was appointed by the Fed to buy corporate bonds and commercial mortgages. Essentially, Blackrock will oversee $27 trillion and is now considered the most powerful business in the U.S. In fact, Blackrock can even bail itself out and the company’s friends at any time it wants, and most of Blackrock’s buddies are fossil fuel suppliers, big pharmaceutical companies and mainstream media corporations.

Data Shows the US Economy Was Collapsing 5 Months Before the Coronavirus Outbreak
For years now bitcoin proponents and free-market advocates have called out the cronyism between industry and the bureaucracy. However, the majority of the U.S. populace is still not aware of the fraud and manipulation. “If a reputable polling outfit were to ask Americans what caused the current financial crisis on Wall Street, they would say the coronavirus COVID-19 pandemic. If Americans were asked in the same poll when the financial crisis on Wall Street started, they would tie it to outbreaks of the virus in the U.S. this year,” the report written by Martens explains. Despite the populace believing what mainstream media tells them, the U.S. economy was in shambles months before the first U.S. Covid-19 death.

Historical Revisionists and Propaganda Artists Will Try to Frame the Economic Downturn on Covid-19, But That’s Simply Not True

Despite the fact that most of the populace thinks Covid-19 sparked the economic downturn It is simply not true. Sound money proponents and bitcoin supporters have always said that modern central banking and today’s monetary system is fraudulent and manipulated. Only the historical revisionists will blame the coronavirus outbreak on the virus itself, as most are realizing it really accelerated from government-induced lockdowns and the central bank’s Ponzi schemes. Before Covid-19 even started, Wall Street elites and the Fed’s private friends were given $6.6 trillion with only a few economists asking questions. But now nobody is questioning the motives of the bureaucracy and central bank governors because they still truly believe they were not lied to or defrauded. Unfortunately for them, the proof is in the pudding. All it takes is a quick look at the Fed’s announcements over the last seven months and the corrupt bills American politicians have passed so far.

Tags in this story
Bitcoiners, cares act, Coronavirus, COVID-19, Federal Reserve, Monetary Easing, New York Fed, Pam Martens, repo markets, Russ Martens, stimulus, the fed, Thomas Massie, Wall Street

What do you think about the banking system collapsing before Covid-19? Let us know in the comments below.

Jamie Redman

Jamie Redman is the News Lead at News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons, Wall Street on Parade, Blackrock logo, FRED

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