Fed Continues Printing Money until it Implodes-Fabian Calvo

Fabian CalvoBy Greg Hunter’s USAWatchdog.com 

Real estate expert Fabian Calvo says, “If Bernanke stops printing money, the housing market completely falls apart. . . . They’re just going to continue printing money until there is some sort of end-of-the-road event where this implodes.”  Calvo contends, “People all over the world, really at an unprecedented rate . . . are coming to the U.S and buying real estate because there’s a global rush for hard assets.”  Calvo says the bankers have really screwed up the property titles.  Calvo predicts, “There are going to be a lot of people fighting over the same piece of property, same as the gold market.  People are going to fight over that same bar of gold, claiming they own it.”  Calvo predicts the current real estate boom will go on for 6 to 24 months, but also says, “We’re going to have a real estate collapse that is centered around some sort of bond crisis or dollar crisis, and those will happen simultaneously.”  Join Greg Hunter as he goes One-on-One with Fabian Calvo from TheNotehouse.us. 

Comments
  1. Charles H.

    Hey Greg,

    Fabian Calvo really delivers; and he is very clear in describing the circumstances. Allow me to emphasize in summary some of the content of the interview…
    It’s the Mega Banks that have the great bulk of toxic debt. It is the Mega Banks that re-hypothicate the real estate assets to sell to the Big Hedge-funds. It’s the Big Banks who are holding-back great volumes of foreclosed assets to keep the market prices high, and lie about inventory. Then these same banks bundle great lots of assets which may belong to multiple owners or title-ers, re-hypothicating and possibly selling the same assets multiple times. (Patently illegal by the way) AND THE FED IS SUPPLYING THESE BANKS WITH EASY MONEY?!??
    I suggest the Big Banks have already robbed the everyday guy on main-street with Robo-signing, false foreclosures, and underwater failures. NOW the Big Banks are going after the Big Hedge-funds, who are looking for some safe-haven. So if Fabian is right: there is a six month to two years run-up to a bubble and crash. Then like Old Man Potter from “It’s a Wonderful Life” – the Big, re-capitalized Banks can swoop in and buy up everything. And with government in bed with the Banks, or visa versa – those acquisitions ‘will be MADE legal’. Quite “an end of the road.” Seeing “all asset classes are manipulated at a level most people cannot comprehend” – I would say the whole game is rigged and the players are completely rotten. Big Banks and governments are gutting nations? It sort of makes sense why precious metals are being relentlessly smashed (below in-ground value) by this same rotten gang: it’s mega-Monopoly where winner takes all.
    Another good interview and good work.

    • Greg

      Thank you Charles. I thought it was Calvo’s best yet, and he’s had some good ones.
      Greg

  2. Paul Malley

    Greg, I am confused. Mr. Calvo predicted on your site on 10/20/12 “massive foreclosures” in January 2013. Didn’t happen. Instead the market skyrocketed. To say the current boom continues and is then followed by a pull back is like saying the sky is blue. None the less, love your site and looking forward to your next post. Paul

    • Greg

      Paul, You should read what Jerry said. Here’s some of it:”Greg there is no recovery in the housing market. I’m in it every day. Banks are not lending, and most middle class families do not have the financial resources to put down 20% on a mortgage. Houses over $120,000. are not selling. Most of the buying is done by investors who pay cash. Most of the time they are using the property as rental property under a buy and hold strategy. I am seeing another wave of foreclosures coming, that will drop the home values even further. . . .”

    • shawn

      i sold a house in oregon recently bought for 152k,sold a few months later for 179k. i had huge response, 3 offers in writing ,ALL 100% loans for the fed. 2 ag loans one vet. this is all being pumped up with government money like 2007 and again the idiots are drinking the koolaid.

  3. buggymak

    Keep that good work even if it’s bad news. We are in the same boat here in canada.

    • Greg

      buggymak,
      Thank you for your comment and support.
      Greg

  4. Ravi Najavaran

    I can assure everyone that there will be no implosion. There are think tanks of the very best minds in finance that will be there to assist the 12 Fed governors as well as head Ben Bernanke to put forward sound monetary policy. Larry Summers, Hank Paulson, Lloyd Blankfein and Jon Corzine are just a few of the bright individuals that are available to help the Fed formulate policy to keep the system running smoothly. There is certainly no need for concern nor panic as this guy would alarmingly suggest.

    • Greg

      Ravi Najavaran,
      Yeah Right! That’s what they said in 2007-2008.
      Greg

    • george

      “to put forward sound monetary policy”…Is that what you call what has been going on here?
      Felon money laundering and Mortgage fraud is rampant and the AJ says he can’t prosecute.
      Sounds like a criminal enterprise running the country instead of sound money policy

    • joe

      Those guys are the reason were in a lot of this mess

    • Frank

      Hahaha, just keep burying your head in the sand.

    • Chip

      Ravi, your sarc switch is stuck in the on position…

  5. Taj Rajanathan

    American people wanted easier life and have replaced manufacturing industry with financialization as premier industry. With Fed intervention this model will continue indefinitely because there is an infinite amount of credit available. We can rehypothecate all assets for whatever leverage we need to attain for market stability. Simple minded citizen have difficulty with sophisticated concept but will understand in time as stabilization continues.

    • Greg

      Taj Rajanathan,
      You said, “rehypothecate all assets.” Let me explain this for the “Simple minded citizen.” This means steal as in theft. Wall Street is rotten to its rotten core.
      Greg

      • jc davis

        Great response Greg. I have never understood how mobsters think.

      • Chip

        Rehypothecate = sell something that isn’t yours to someone else and then sell it again to another, and another so that 3 or four people actually think they own it…

    • shawn

      and what are your amazing credentials. i have produced food fuel and housing for 35 years and i say you are dead wrong.

  6. Irving Elfenstein

    Greg,

    Exactly the opposite. Current account deficit guarantees low cost money for investment, speculation and funding for merger and acquisition activites. In 30 years, people will look back at the greatest wealth expansion in U.S. history for those willing to work at it. The dislocations of 2008 somehow have homegrown a large crop of doom and gloomers as well as gold bug extremist idealogues. Either join the party or be a wallflower that refuses to dance while we have all the fun and get superwealthy.

    • Greg

      Irving Elfenstein,
      Even a hint of stopping this massive money printing and your world crashes. Telling the truth is “doom and gloom,” that’s rich. I don’t care if you try to get rich doing what you are doing. If it blow up please don’t come whining for a bailout–again.
      Greg

      • jc davis

        Or 170 billion a month just to stay a float.

    • Anne Elliott

      Everything’s sunny until a black swan poops on your parade… Enter the Bank of China’s default; which in turns causes Wall Street panic and other banking defaults… Which in turn causes… Oh, you get the picture.

    • george

      You wrote,”Current account deficit guarantees low cost money for investment, speculation and funding for merger and acquisition activities.” I have degrees in Accounting, Forensic Accounting and a concentration in Money and Finance. Based on your post, I am confused.
      Just a recap of what “Current Account Deficit” means: A Current Account deficit 0ccurs when a country’s total imports (goods, services and transfers of cash) are greater than the country’s total export (as above for imports). This means a country is a net debtor to the rest of the world.
      Please explain how being a debtor guarantees low cost money. The only reason we have low cost money is due to a flood of money from the Fed Reserve that distorts the true cost of money. If you look at the % of T-Bills/Bonds that the Fed is buy of the total, you can see that very little foreign investment is coming into the USA with respect to financing the Gov’t.
      If being a debtor could guarantee low borrowing rates, then Greece, Cyprus, etc should be booming!

  7. Jeff Parker

    Paul Krugmen says that we are clearly not printing enough. We probably need to print another 70 or 80 trillion dollars just to ward off the current account liabilities for the next ten or fifteen years. The good thing is its only bytes and bits on servers these days. During my fathers day, they had to go out and mine some natural resource in order to back the currency. Thank God we dont have that constraint any longer.

    • Chip

      That we don’t have to back our currency any longer is how we got in this mess. End the Fed. We don’t need a private bank loaning the US Government money with interest. Congress has the authority to control the monetary supply and they should be accountable to the American public. The Fed is not…

  8. jerry

    Greg there is no recovery in the housing market. I’m in it every day. Banks are not lending, and most middle class families do not have the financial resources to put down 20% on a mortgage. Houses over $120,000. are not selling. Most of the buying is done by investors who pay cash. Most of the time they are using the property as rental property under a buy and hold strategy. I am seeing another wave of foreclosures coming, that will drop the home values even further. Granted it depends which region of the country you live in, but as a whole that is what I’m seeing. In Ft. Myers Florida I personally saw my sons home drop in value from $280,000. down to $85,000. in 2008 when that bubble popped, and that market has never really recovered since. Same thing for Las Vegas area. The reality is, this stagnate economy has squeezed the middle class to death over the past five years. The interest rates may have been lower the past few years, but what good does it do when they won’t lend money? We should have let these Banks die with their toxic debt they created, instead of giving them more money at the tax payers expense. This really a sore subject with me, because you get to see the globalist hand in it when you look a little deeper. In the real world, when you make bad investments there is no one there to bail you out and hand you more money, when things go wrong. Who’s going to be there to bail us out when this debt bubble finally pops that the Feds have created? No one! But you can bet the elite Bankers will be somewhere counting the money we gave them under Tarp, waiting to position themselves in power again. You can count on it. By the way Greg, did you see the Stock Market is dropping 200 points again? I guess there must have been some lingering dear from last week.

    • Greg

      Jerry,
      Thank you for your real world reporting and analysis.
      Greg

  9. AndyB

    Greg: the agenda has always been to bail out the TBTFs through recapitalization by any means. As Calvo points out, it most likely will not come from any housing recovery, for two principal reasons: 1) median housing incomes are falling, not rising 2) the Hedgie proformas on massive buy-to-rent portfolios require a 5% YOY increase in rents to offset management costs. Aint gonna happen.

    Failing to recapitalize banks through housing, the FED will simply devalue the USD and slap an immediate excess profits tax on gold. That’s what I see in my crystal ball.

  10. Anne Elliott

    Excellent interview!! If lower real estate prices are coming after the “dump” and the dollar crash, then just think how low those home prices truly will be; I.e. when the dollar is worthless and home prices (based on those worthless dollars) are slashed in half or lower anyway. Also, many of the homes bought previously at the higher prices may be defaulted on again (people losing their jobs, or unable to afford the taxes on them…) so that would put even more homes up for sale or being “squatted in”. That would be beyond Great Depression standards… Truly unfathomable.

    • Greg

      Thank you Anne for the comment.
      Greg

  11. Eli Shwartzman

    The question is always where to put your money. Well its a cinch that currencies and derivatives give the best bang for the buck right now particularly the US dollar. Goldman Sachs just came out with their forcast on the worst place to put your money, which is gold. Goldman Sachs says that gold will end this year at $1,300 a troy ounce, down 9.4% on its previous forecast.Gold will then end 2014 at $1,050 an ounce. See a pattern ? We will soon be at $800 and then $500 gold with a raging bull stock market !

    • Greg

      Eli Shwartzman,
      You are going to believe the folks who started and continue this mess? Really?
      Greg

  12. Troy

    Thank You Greg!

  13. M.Smith

    Greg, a very strange thing happen to me while searching different insurance companies to see what would be difference in rates for the same coverage I have now. Each company value my home & land storage building at any where between $20,000.00 to $40,000.00 less than it is appraised at now by my current insurance company & home owners yearly tax rate. Is this deflation in the works as the system falls apart? I know we have inflation that is not added to the CPI, but deflation is very real as I see it, but when it all said & done both are a killer of economic growth. By the way the amount of homes up for sale or foreclosed is growing in W. TN., jobs are very hard to find & most pay less than enough to support buying a home!
    Thanks again for the great interview!

  14. Larry

    Greg, this was a great interview with Fabian not afraid to express his true feelings. Some of your commentors on this interview believe you can pull rabbits from your hat to infinity. Now if the new paradygm is based on total false belief system where up is now down, in is out, square is round, and other givens are no longer in effect we can believe in any system that works for individuals. Of course how we handle non believers could become really crazy.

    • Greg

      Larry,
      It is the non believers who will be the most disenchanted. I believe these same folks are the ones that will have the worst reaction and some will likely be violent. If you are preparing you are preparing to be peaceful and take care of yourself. The folks who are unprepared will panic, and then who knows what will happen.
      Greg

  15. miss marie

    hi greg,

    great interview as always. your youtube channel is one of my favorites; I watch faithfully. we live in a strange world. everything is backwards… its maddening at times. i know i’m not alone in seeing what i do, but it sure feels like it sometimes! anyway, thank you for doing what you do. sending prayers of protection your way.

    <3
    marie

    • Greg

      miss marie,
      You are not alone. Do everything you can do to put you and your family in the best position possible. Do not worry about what others think. We are clearly headed for an iceberg.
      Greg

  16. Craig

    Greg,

    The biggest theft and Government/Big Bank in history of mankind. Much bigger than even the Roman days. These are sick people. We need to take away their drugs. Take out all our cash from the banks/big trading houses and convert to gold/silver or whatever else we can. This way they lose the drugs that enable them to steal. Like a drug addict or alcoholic, if we remove the assets from their balance sheet it makes them naked. It will crash certainly, but to continue to throw debt on debt, while they control the immense amount of cash to pump, dump, and bring out Fed Speaker after Fed Speaker there is no way we can combat and trade to make money. It is simple really, just take out our cash, get our guns, and stop enabling them. Thanks Greg for everything you do.

    • Greg

      Thank you Craig for your kind words and for your comment.
      Greg

  17. nm

    Did you see this stat? 76% of Americans are now living from paycheck to paycheck?

    http://money.cnn.com/2013/06/24/pf/emergency-savings/

    At this point, I’m just looking for answers. What do you do if you’re stuck in a dead-end job, have no savings, are in debt, have bills to pay? etc?

    For many people (even those who know whats coming) there’s not much they can do short of trying to hold on to their jobs.

    How does a typical American, living from paycheck to paycheck get out of this economic malaise? I suppose the discussions should not switch to answers, like:

    1) Should they be looking to get government jobs which may be more secure than private sector jobs and give you a pension?

    2) Should they look for a part-time job just in case they get laid of or fired from their full-time one?

    What is the answer?

    • Donna

      NM: I have had the same questions for awhile now….I do live paycheck to paycheck. I have been buying extra in food, toiletries and medicines as my paycheck allows. We have made plans in our family to all meet at my parents home if things turn ugly, and they will when people get desperate for food. I believe this is all I can do with what I make. I cannot get out of my apt. lease until Feb. 2013. It takes a majority of one of my paychecks. When the economy tanks and paper money is a joke, look to family and stick together.

      Donna

    • Tad

      Batten down the hatches!

    • g.johnson

      hey nm,
      i am pretty sure that the percentage of working age people in america who actually get a paycheck is way below 76%.

    • Allen Ols

      First nm
      Have your life right w/christ
      Then cacel cable tv, use wireless from mcdonalds, maake one trip for all u needs, ride a bycicle, use all savings to buy canned goods, stay home, use cupons , network in this, buy one silver coin a wek,month, litn to jim willie the golden jackass his site, public area, I buy from the mennonites bulk food, get a sawyer filter, buy heirloom seeds, grow potatos in anything, grow lettuce, spinach kale,carrots in buckets free from penara bread, they toss them
      Stock up for 2 wks advance, then 3 wks find rain barrels, flush toilets w/rain water,elevate run hose in back of toilet, get small scooter, find likeminded friends in country, check survivalblog.com. research

  18. Tom Johnston

    Hi Greg

    My question is about unemployment,underemployment.
    I read where 76% of Americans live paycheck to
    paycheck.Obamacare is killing small business and in 2014
    it kicks in.41% of small businesses froze hiring already
    to avoid the 50 employee rule of the ACA.
    I lost my job because of Obamacare.
    19% of small businesses have already made staff cuts to avoid the
    penalties.If we kill small business which is huge loss of
    employment and as part time is the new norm,what effect will that have
    on the overall economy?
    Thanks
    Tom

  19. jerry

    nm – I get your point. I am not a financial advisor, but I have a few thoughts that may help. First you need to sit down and figure out a budget that you can realistically live within. Anything that is absolutely not essential (like food) you need to jettison. Most Americans traditionally live outside their means. If you are making car payments, get rid of it, and either car pool or ride a bike. At this point it is vitally important for you to get rid of as much debt as you can. Cable TV. If money is tight get rid of it. Read books instead. You get the picture? We will all be living with a lot less soon, so you might as well get used to it. As far as jobs, pick up a copy of “How to win Friends and Influence People” by Dale Carnage. Most people fail at job interviews because they don’t know how to interact with people effectively. There is no silver bullet, or book written, on how to survive and economic collapse because most people alive today have never seen one. But know this. There were people who not only survived, but thrived during the great depression. It can be done, if you are willing to work hard. In the end its really up to you, because the government will not be able to help you when that time comes. Good luck. You can do it. Your grandparents did.

  20. Gene Daniels

    Eli Shwartzman,

    Do you really believe Goldman Sachs to tell you the truth about how YOU can get wealthy? They are all about selling the wealth for themselves. They have been caught over and over again screwing their own clients. And you think they are going to give you free info that will help you beat the cartel? You are living in a fairy tale.

  21. Joe G.

    Hard to tell if some of these comments are from deranged status quo KoolAid drinkers or eloquent & witty comedic trolls…. (Eli Schwartzman)

    A raging bull stock market fueled by phantom, imaginary matrix money isn’t real wealth. You can’t print energy at the touch of a button….

    “Paper is poverty,… it is only the ghost of money, and not money itself.” –Thomas Jefferson to Edward Carrington, 1788.

    • Charles H.

      Joe G,

      I’d like to say “you took the words out of my mouth” – but I can’t. I am encouraged to see that there are ‘like-minded’ commentators, who’s antenna goes up on some of these comments. That was a really good summarized and expressed comment, Joe G. I think you’re right Greg – you have some real sharp cookies posting here.

  22. Chip

    Greg, OT but it’s Tuesday 6/25. Watching the President’s speech on global warming (or climate change or whatever the speak of the day is)? Here’s some interesting FACTS you will NOT hear in his speech your readers might be interested in…

    – greenhouses pump CO2 into their hot houses to increase plant production!

    – CO2 is less that 0.0005% of the atmosphere!

    – Outside air contains less than 400 parts of CO2 per million (PPM) while the inside of your house can contain as much as 3,000 PPM!

    – when you exhale your breath has approximately 40,000 PPM CO2!!! Yes, you read that right FOURTY THOUSAND!

    – man made climate change is a HOAX for a global taxation scheme and more control by the globalists… Wake up Amerika!!!

  23. M.Smith

    Greg, we need a expert who can/will explain Bail in’s in a way the common man can understand. This link was from http://www.jsmineset.com, http://www.valuewalk.com/2013/06/u-s-banks-crisis-plan-fed/. It seems as the big banks want every think their way. What is the use of having regulations that a not enforce? I say all lawyers should be Banned from running for congress period, also no formal banker should hold any public office, not even dog catcher!

    The UN has shown the world again just worthless they are in the studies they do! From http://www.enenews.com/expert-uns-fukushima-study-absolutely-ridiculous-unacceptable-to-claim-no-observable-increase-in-cancer-rates-is-expected-dose-estimates-don‘t-reflect-the-real-dose-of-radiation. Why is this a important story? From day one the U.S. gov has hid the true data of how much radiation was coming to the Americas via air, rain, ocean currents, radioactive dust build up on the coast lines that blow inland. Would you want to buy a home on the west coast if you knew the government hid all this data? Not I! If it were not for the internet all of us would be blind at what the government deems we have no need to know. The fact at Hanford WA., U.S. nuclear site the worse case scenario has happened, the most dangerous material on earth leaking out side holding tank, readings measured 800,000 dpm out side tank! Only local news station covers the story, why? The nuclear industrial complex has had so many set backs this year & all life & the planet takes a back seat over profits! This is the status quo we have been set up to accept & is a great part of our downfall!

    Obama will make our electric bills sky rocket if he uses the EPA to kill coal power in the USA, this is another reason no lawyers should serve in government, why the hell to pay congress? They have no power unless they defund all these agencies who are regulating out of the worlds markets!

    Greg, sorry about ranting, but I only see very bad things for our children & grand children in the future. The day is here when you speak out the TRUTH you are seen as against the status quo where corruption is protected by the very courts that were set up to protect us against corporate owned DC!

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