by Charles Hugh Smith
Of Two Minds
Here’s the thing about gambling: risk cannot be made to disappear, it can only be transferred to others.
Those taking seats at the gaming tables in the Federal Reserve’s casino believe that they can’t lose. Or more precisely, any losses they suffer will quickly be made good by the house, i.e. the Fed, which can digitally print as much currency as needed to restore order to the gambling.
The punters crowding around the tables have forgotten that gambling is inherently risky. The Fed can digitally print currency, but it can’t force punters to play.
Unfortunately for all the punters crowding around the tables, the casino is on fire. The Fed’s rigged games are in flames, and Head Tout/Fixer Jay Powell is telling all the nervous gamblers who smell smoke to please stay at the tables and continue gambling, the fire is under control.