Yellow is the New Yellow

Yellow Vest

Interest rates have not even come close to 3% yet, but the central bank of empire has mummified further increases. Savers at traditional banks never realized any interest rate increases at all. Only money market funds offered meager dividends. And, rank-and-file peons surviving “paycheck-to-paycheck” could care less.

In any case, the central bank of empire is now poised to drop interest rates to zero percent (ZIRP) once again and resume purchases of dodgy “paper” (QE). The real danger lies in the fact that public and private debt is “over the top” and asset prices are already hyperinflated. Monetary policy will most likely fail and, consequently, bring about negative interest rates (NIRP). With asset prices hyperinflated, the tragic result will most likely be commodities hyperinflation.

Will the “deplorables” finally arise in protest like the “Yellow Vest” protestors in France? Nah, peons of empire are too busy killing each other or engaged in multiple addictions (i.e., “smartphone,” tube, opioids, antidepressants, cheap booze, junk food, consumerism, etc.) to even bother.

Incidentally, the Gilets Jaunes protest movement is the final culmination of years of oppression by the moneychangers and powers-that-be. The initial catalyst, by implication, was the law imposed in 2008 requiring that all operators of motor vehicles wear a yellow vest. Oh, the irony!

Addendum: Once ZIRP and QE are invoked, the transition to motorhomelessness will commence in earnest. The latter monetary policies will remain in effect for subsequent decades, if not permanently, and there will be no other alternative to survive.