Stack in front of you the biographies of all the Wall Street giants, J.P. Morgan, Joe F. Kennedy, J.D Rockefeller, Bernard Baruch, and you’ll find they all marvel at how they got out of the stock market and put their assets in gold just before the Stock Market Crash of 1929.
On February 6, 1929, Mr. Montagu Norman, Governor of the Bank of England, came to Washington and had a conference with Andrew Mellon, Secretary of the Treasury. Immediately after that mysterious visit, the Federal Reserve Board abruptly changed its policy and pursued a high discount rate policy, abandoning the cheap money policy which it had inaugurated in 1927 after Mr. Norman’s other visit.
The stock market crash and the deflation of the American people’s financial structure was scheduled to take place in March. To get the ball rolling, Paul Warburg gave the official warning to the traders to get out of the market. In his annual report to the stockholders of his International Acceptance Bank, in March, 1929, Mr. Warburg said:
“If the orgies of unrestrained speculation are permitted to spread, the ultimate collapse is certain not only to affect the speculators themselves, but to bring about a general depression involving the entire country.”
During three years of “unrestrained speculation”, Mr. Warburg had not seen fit to make any remarks about the condition of the Stock Exchange. The New York Times, not only gave the report two columns on its editorial page, but editorially commented on the wisdom and profundity of Mr. Warburg’s observations.
With control of the press and the education system, few are aware that the Federal Reserve caused the depression. It is however a well known fact among leading top economists.
“The Federal Reserve definitely caused the Great depression by contracting the amount of currency in circulation by one-third from 1929 to 1933.”
Milton Friedman, Nobel Prize winning economist
“It was not accidental. It was a carefully contrived occurrence… The international bankers sought to bring about a condition of despair here so that they might emerge as rulers of us all.”
Rep. Louis T.McFadden (D-PA)
“I think it can hardly be disputed that the statesmen and financiers of Europe are ready to take almost any means to re-acquire rapidly the gold stock which Europe lost to America as the result of World War I.”
Rep. Louis T.McFadden (D-PA)
40 Billion dollars somehow vanished in the crash.
It didn’t really vanish, it simply shifted into the hands of the money changers. This is how Joe Kennedy went from having 4 million dollars in 1929 to having over 100 million in 1935.
“FDR is probably best remembered for the New Deal. Of courser, since a large portion of the work force was unemployed, there was not enough tax revenue to pay for these programs. So the government turned to its other source–borrowing. In effect, the international bankers, having created the Depression, now loaned America the cash to recover from it. Naturally, the interest on these loans would be borne on the backs of taxpayers for years to come.”
James Perloff, Author of, “It was not accidental: The Shadows Of Power”
During this time the Federal Reserve caused a 33% reduction of the money supply, causing deeper depression. How do they do that?!
First of all, here is how the Federal Reserve makes money out of thin air:
- The purchase of bonds is approved by the Federal Open Market Committee.
- The Federal Reserve buys the bonds which it pays for with electronic credits made to the sellers bank. These credits are based on nothing.
- The receiving banks then use these credits as reserves from which they can loan out ten times the amount.
To reduce the amount of money in the economy they simply reverse the process.
- The Federal Reserve sells bonds to the public and money is drawn from the purchasers bank to pay for them.
- Each million withdrawn lowers the banks ability to loan by 10 million.
The Federal Reserve in this way has overall control of the US money supply. Each country’s central bank does it in the same way. The bankers, through the magic of fractional reserve banking have been delegated the right to create 90% of the money supply.This control makes a mockery of any elected government. It places so called leaders behind a toy steering wheel, like the plastic ones, set up to amuse small children.
Or as Rep.Charles Lindbergh father of famous aviator Lucky Lindy puts it when commenting on the Federal Reserve Act:
“This act establishes the most gigantic trust on earth. When the President signs this bill, the invisible government by the Monetary Power will be legalised.
The people may not know it immediately, but the day of reckoning is only a few years removed… The worst legislative crime of the ages is perpetrated by this banking bill.”
Rep. Charles Lindbergh (R-MN)
Or as Woodrow Wilson put it:
“We have come to be one of the worst ruled, one of the most completely controlled governments in the civilised world – no longer a government of free opinion, no longer a government by… a vote of the majority, but a government by the opinion and duress of a small group of dominant men.
Some of the biggest men in the United States, in the field of commerce and manufacture, are afraid of something. They know that there is a power somewhere so organised, so subtle, so watchful, so interlocked, so complete, so pervasive, that they had better not speak above their breath when they speak in condemnation of it.”
Woodrow Wilson
In order to clearly establish that this is not a conspiracy theory, but is actually how things are controlled, we further quote Charles Lindbergh. From the house of representatives, Lindbergh was well placed to see exactly what was happening back then and continues to happen even today.
“To cause high prices all the federal reserve board will do will be to lower the re-discount rate…, producing an expansion of credit and a rising stock market; then when… business men are adjusted to these conditions, it can check… prosperity in mid-career by arbitrarily raising the rate of interest.
It can cause the pendulum of a rising and falling market to swing gently back and forth by slight changes in the discount rate, or cause violent fluctuations by greater rate variation, and in either case it will possess inside information as to financial conditions and advance knowledge of the coming change, either up or down.
This is the strangest, most dangerous advantage ever placed in the hands of a special privilege class by any Government that ever existed.
The system is private, conducted for the sole purpose of obtaining the greatest possible profits from the use of other people’s money.
They know in advance when to create panics to their advantage. They also know when to stop panic. Inflation and deflation work equally well for them when they control finance…”
Rep. Charles Lindbergh (R-MN)
With the US government with their backs to the wall, the money changers dig in hard to cement their position.
“Franklin D. Roosevelt is probably best remembered for the New Deal. Of courser, since a large portion of the work force was unemployed, there was not enough tax revenue to pay for these programs. So the government turned to its other source–borrowing. In effect, the international bankers, having created the Depression, now loaned America the cash to recover from it. Naturally, the interest on these loans would be borne on the backs of taxpayers for years to come.”
James Perloff , Author of “The Shadows Of Power”
Remember that just before the crash, the money changers had transferred their wealth into gold. Now how to keep the gold and buy back all those shares at low low prices. It was time to create Fort Knox.