In 1910 a group of political, industrial, and financial leaders met in secret on Jekyll Island in Georgia to lay the foundation for the Federal Reserve. The people in attendance included Nelson W. Aldrich, Republic Whip in the Senate, Abraham Piatt Andrew, Assistant Secretary of the U.S. Treasure, Frank A. Vanderlip, president of the National City Bank of New York (representing William Rockefeller), Henry P. Davison, senior partner of the J.P. Morgan Company, Benjamin Strong, head of J.P. Morgan’s Bankers Trust Company, and Paul M. Warburg (partner in Kuhn, Loeb & Company, a representative of the Rothschild banking dynasty in England and France). (This information is from The Creature from Jekyll Island by G. Edward Griffin.) This meeting set up the cartel we now know as the Federal Reserve. It is a cartel because it is a small group of people not accountable to the government who control the flood of money in America. They have traditionally used that power politically and will continue to do that in the future. Although some members of Congress have called for a thorough audit of the Federal Reserve, but because of the power the fed has, that will never happen.
Yesterday The Gateway Pundit posted a story about recent actions by the Federal Reserve. During the eight years of the Obama Administration, President Obama continually used executive orders to put roadblocks in the way of economic growth–over-regulation, increases taxes on successful people, and generally doing things that made it more difficult for small businesses (the backbone of our economy) to grow. During this time, the Federal Reserve kept the economy from feeling the impact of President Obama’s actions by not raising interest rates. Now we have a President who understands economics and is doing things to help the economy grow. So what is the Federal Reserve doing–trying to undercut his success.
The article at The Gateway Pundit reports:
No Fed Funds Rate increases took place between June 2006 and December 2015. CNBC reported in December 2015 that President Obama oversaw “seven years of the most accommodative monetary policy in U.S. history” (from the Fed). Finally, in December 2015 after the Fed announced its first increase in the Fed Funds rate during the Obama Presidency, it was reported that:
“Given the economic outlook, and recognizing the time it takes for policy actions to affect future economic conditions, the committee decided to raise the target range for the federal funds rate to ¼ to ½ percent,” the FOMC’s post-meeting statement said. “The stance of monetary policy remains accommodative after this increase, thereby supporting further improvements in labor Premarket conditions and a return to 2 percent inflation.”
The only other Fed Funds Rate increases since 2016 were after President Trump was elected President. The Fed Funds Rate increased on December 14, 2016, on March 15th, 2017 and yesterday June 14th, 2017 by .25%.
The article further notes:
The Fed Funds Rate greatly impacts the economy:
“Lower interest rates usually spur the economy by making corporate and consumer borrowing easier. Higher interest rates are intended to slow down the economy by making borrowing harder.”
So again the question is whether the Fed is trying to negatively impact President Trump’s economic recovery from the abysmal Obama years (Obama was the only President where the GDP growth rate never broke 3%) or is the economy just so much better now that President Trump has taken office?
We suspect both.