Ben “John Law” Bernanke

Thank you Mr. Bernanke for your insane monetary policies. You truly have the opportunity to become the new John Law.

Your QE is doing what everyone knew it would (save possibly yourself and a few die-hard Keynesians) — destroy the dollar and with it the savings of middle-class America. The currency wars that will likely occur (known as “beggar thy neighbor” policies) will destroy the savings of the middle class around the world.

Mr. Bernanke runs the risk of placing the US into a hyperinflationary scenario. Competing actions by other countries runs the risk of placing the entire world in such a condition. Troubles like these easily lead to strife amongst nations.

I awoke this morning to the following news release from Reuters:

(Reuters) – Gold rallied to fresh record highs in Europe on Thursday as the dollar slid to its lowest this year versus a basket of major currencies, boosting interest in the metal as a haven from currency market volatility.

Spot gold hit a high of $1,387.10 an ounce and was bid at $1,382.75 an ounce at 0930 GMT (5:30 a.m. EDT), against $1,370.90 late on Wednesday. U.S. gold futures for December delivery were up $13.90 at $1,384.40, having peaked at $1,388.10 an ounce.

Gold prices have risen more than 25 percent this year as the dollar has been battered by expectations that U.S. policymakers will pursue an increasingly loose monetary policy involving quantitative easing to stimulate economic growth.

“If there is further dollar weakness surrounding quantitative easing and the like, it is almost certainly going to be highly supportive for gold,” said RBS Global Banking & Markets analyst Daniel Major.

To read full Reuters piece, click here.

The QE will not work to revive the economy. It is necessary to keep the government afloat a little longer.

Mr. Bernanke is not a bad man, nor is he stupid. He, like his predecessor, is ego and power-driven. Like his predecessor, he has become nothing more than a “useful idiot” for the desperate Leviathan.