I just found out the other day that I am now a minority share holder in Manchester United. And if you are now living in US, you are as well. How did we all get so fortunate as to have a stake in one of the truly great sports dynasties? It’s simple. The Federal Reserve, bought/bailed out AIG, which had a 56 million pound, sponsorship/investment stake in the team. 56 million pounds translates into roughly $103,000,000.00. Divide that into the US population at 305,198,419 and yours and my share is worth $2.97. I don’t think that it will get me into the lux box where I can tip pints with Ian Brown though.
You might be asking yourself, “What the hell is this guy talking about?”
I’m talking about the unprecedented moves now taking place in the highest financial circles of the world. The Federal Reserve has aggressively moved from being a thrid party lender, moving money in and out of the marketplace, extending huge sums of credit to The US, to actually morphing into a megalithic, financial entity, altering it’s very nature and existence, right before our eyes.
The theme of Pluto in Capricorn is something we have looked at in some detail in previous posts, but I cannot think of a better example of the upcoming re-entry of Pluto in Capricorn than The Fed’s purchase/bailout of AIG. It transcends any action they have been heretofore allowed to take. Now it was critical for this to happen, because AIG, a major insurance giant who got caught with their pants down playing that dirty little derivatives game, had milions of pensions at risk. If AIG had fallen, Wall Street would have experienced a full and total meltdown to it’s very core and the financial stability of the world would have been smashed beyond any immediate repair. So due to the fact that the governments of the world weren’t in the mood to experience massive, global rioting, the move to buy, I mean save AIG by The Fed was undertaken. As a result. the panic slightly abated long enough for Bush/Paulson to roll out their next fix, which is to forgive all bad mortgage debt and wipe the slate clean. Whoa. We’re not talking billions, but trillions of dollars. Wall Street breathed a sigh of relief, The Dow goes up and for the short term, people are wiping their brow and saying, “boy, that was sure close.”
But returning to the effect of Pluto in Capricorn, what we are seeing here is the cosolidation of power in governance and business. We looked at how when The Lord Of The Underworld meets The Hoary Old Goat, that the merging of government and big business will be the order of the day. We are now witnesses of what’s to come. The question is now, “Where is The Fed going to get the money to cancel out the massive mortgage debt?”
Before we answer that, a brief primer on The Fed is in order. The Federal Reserve is neither “Federal,” nor a “Reserve.” It’s a third party lending agent that uses fractional reserve banking as it’s model. The idea is that The Fed makes money avaialble, for banks by finding lenders who will loan the banks money at a set interest rate. The banks loan the money, the money gets paid back plus interest and the original lender gets a cut from the interest. It’s kind of like a Scorcese film, where Tony from Passaic, played by Harvey Keitel, lends Frankie, played by Leo De Caprio, $200,000 to start a bowling alley, but the bowling alley goes into the gutter and now Frankie has to pay Tony back and can’t. Guess what Tony’s gonna do? Uh huh. Tony is The Fed and we are Frankie. Since The United States formally went off the gold standard in the Nixon (Capricorn) presidency, we have been leveraging the credit through the perceived value of future taxation, our available assets(land, water, food) and oh yeah, Social Security. That last one got your attention, didn’t it? Now that the Fed has become our portfolio innvestor, buying up huge busnesses, The Gov forgiving debt, whatever capital resrves we have left in this country will go towards the perceived collateral. That means our future, our childrens, childrens futures will be determined by what we owe and how those that have lent us the money, the Tonys of the world, will want it paid back.
Capricorn in Pluto will herald the alignment of The State and The Corporation, “The Corporatocracy” as the late, David Foster Wallace called it, and the ultimate currency in exchange for this debt forgiveness will be your will. I am not talking about your last will and testament, but your right to choose of your own volition. Each and every one of us is an asset that is taken into account when the debt is fractionalized. From a taxation standpoint alone, your gross, estimated income over a lifetime is taken into account–that’s a given. But if outside interests, multi-national giants now have a huge stake in the game, they’re going to want to dictate how their investement is managed and that means me and you. This is not some huge conspiracy, it’s just plain economics, or “just business” as they say.
How does this manifest?
With Pluto in Capricorn, we see the planet of death meeting the sign of aging and we are about to witness the largest class of seniors ever to hit the retirement rolls. The baby boomers are gray and getting grayer. Will the system be able to handle the numbers, especially based on the debt? It remains to be seen as to how the full impact will occur, but from my perspective, Pluto in Capricorn will manifest in some form of corporate/government standard as to who gets to live and and for how long. Sound far fetched? Maybe, but with the Boomers out of the tax paying and into the tax taking bracket, they are no longer a credit, but a debit and business is run on efficiency and cost analysis. With the alignment of Pluto in Capricorn the numbers of Boomers, no longer giving, but taking, just isn’t cost effective at some point and remember, somebody is going to want a return on their investment.
I actually forsee a broad movement of seniors moving out of The US and into places like Panama, Nicaragua, Belize, The Phillipines and Uruguay, forming new communities with cheaper health care and freedom of choice. The affordable health care will include local help who will assist them in their care. The idyllic and utopian communities that The Boomers once envisioned might actually take root in their silver years, but it won’t be here.
In the months to come, I think we will witness even more radical re-organization of the central banking system accruing more power and as a result, even less oversight will be on hand than the lame watchdogs that were in charge of looking after the public good have been available to offer. A bold power grab and a binding between government and big business looms in the days leading up to Pluto’s epic return to Capricorn.