Morgan Stanley's top strategist Mike Wilson is practically cheering about Kevin Warsh's potential appointment to a key Federal Reserve position. Wilson believes Warsh will serve as a "credibility anchor" for the current government's monetary policy and help stabilize markets.
Wall Street loves predictability. And when they're this excited about a Fed appointment, you need to ask yourself: what's really going on here?
What the Mainstream Won't Tell You
Here's what the mainstream won't tell you: When Wall Street celebrates a Fed appointment, it's usually because they know the money printer will keep running.
I've been saying this for years - the Federal Reserve doesn't work for you and me. It works for the banks, the government, and the wealthy elite who benefit from cheap money and asset bubbles.
Wilson's use of the phrase "market stabilizing mechanism" is telling. What he really means is that Warsh will continue the same old playbook: keep interest rates artificially low, print more money when markets get shaky, and prop up asset prices no matter the cost to regular Americans.
The rich already know this game. They borrow cheap money to buy real assets - real estate, businesses, commodities, and yes, gold and silver. Meanwhile, savers get crushed by inflation that's always higher than the interest rates on their savings accounts.
Follow the money. When Morgan Stanley's strategists are this confident about "credibility" and "stability," they're really talking about continuing policies that transfer wealth from Main Street to Wall Street.
What This Means for Your Retirement
If you're sitting on a pile of cash in your 401(k) or traditional IRA, thinking you're being "safe," you're actually taking the biggest risk of all.
Every dollar you keep in cash equivalents is losing purchasing power. While Wall Street celebrates their "stable" monetary policy, your grocery bills keep climbing, your energy costs keep rising, and your healthcare premiums keep jumping.
Here's the brutal math: If inflation runs at 4% annually (and that's probably conservative), your $100,000 in savings becomes worth about $82,000 in real purchasing power after just five years. The Fed's "market stabilizing mechanisms" are systematically destroying your retirement security.
This is why savers are losers in today's rigged game. The system is designed to force you into risk assets or watch your money evaporate through currency debasement.
What You Should Do
Wake up, people. You cannot save your way to a secure retirement in a currency that's being systematically devalued.
The wealthy don't keep their money in dollars - they convert it into real assets that hold value when currencies fail. Gold and silver have been real money for 5,000 years. The dollar has existed for less than 250 years, and it's lost over 95% of its purchasing power since the Fed was created in 1913.
This is why financial education matters more than ever. Don't trust the government or Wall Street with your retirement security. Take control by diversifying into assets that can't be printed into existence.
Consider moving a portion of your retirement savings into physical precious metals through a Gold IRA. While Morgan Stanley celebrates their "credibility anchors," you can anchor your retirement in real money that has survived every currency crisis in human history.
The choice is yours: keep playing their rigged game, or start protecting yourself the same way the wealthy do.
Source: MarketWatch