Sharing his wisdom and insight on CNBC’s Futures Now program, Paul chastised the money changers for what he maintains is their endless game of “play[ing] havoc” with the stock market. The Federal Reserve has been in the business of artificially pumping fake fiat currency into the markets for more than a century, it turns out, and such activity is nearing the end of its shelf life.
According to Paul, the Fed’s “fallacy of economic planning” is responsible for all the market “bubbles” that are constantly waning and waxing between “booms” and “busts.” The instability caused by this Keynesian model of economics, he contends, will only end in disaster, whether it culminates in years, months, or even weeks.
“I don’t think there’s any way to know what the [timeline] is, but after 35 years of a gigantic bull market in bonds, [the Fed] cannot reverse history and they cannot print money forever,” stated Paul to CNBC. “I think [the crash] is going to be much greater [than 10 percent] and it will probably go a lot lower than people say it should. I don’t think it’s going to be just a correction.”
Despite highs, market remains vulnerable to eventual collapse
The writing is already on the wall, with the stock market once again nearing an all-time high and the Federal Reserve hinting that it doesn’t plan to raise interest rates any time in the foreseeable future. It’s a recipe for a major bust, in other words, despite the best efforts of the Fed to artificially keep the market from dropping any further.
“I look at the markets as being unstable, which means some days they go up a lot and some days they go down rapidly, but they don’t advance very far when you look at real growth,” Paul added. “The [Federal Reserve] won’t allow this market to drop. This is why I’ve always leaned toward the assumption that the Fed is never going to raise interest rates deliberately. I think the market will raise interest rates.”
Full article: Ron Paul warns of coming stock market chaos as bottom falls out of market (Natural News)