Negative Interest Rates
"Negative interest rates, meaning borrowers are paid to take out loans by the lender, have been adopted by a number of central banks around the world, led by some European central banks and the Bank of Japan."
"We're doing things that we don't know [their] ultimate outcome," Buffett said when asked about the possibility of negative interest rates in the U.S. at Berkshire Hathaway's annual meeting on Saturday.
"[Negative interest rates are] probably the most interesting question that I've seen in economics," Buffett said, speaking to shareholders via webcast and warning of "extreme consequences" if a negative interest rate policy is brought in.
Back in March, Buffett said the puzzle of what negative interest rates would do to U.S. financial markets is "the most important question in the world," admitting he doesn't "know the answer."
Earlier this year, Trump indicated he'd be in favour of the Fed adopting negative interest rates in order to compete with countries that already have.
"We’re forced to compete with nations that are getting negative rates, something very new," Trump told attendees at the World Economic Forum in January. "Meaning, they get paid to borrow money, something I could get used to very quickly."
"Put crudely, the Fed is giving up on unemployment reductions to help keep banks and their shareholders safer," Kocherlakota wrote in a Bloomberg op-ed."
"I think [negative interest rates] will be the last tool the Fed pulls out of its tool kit."
(The last bible study I went to?
At Central Baptist?
Talking about the Coronavirus?
I said the thing is, it hits both sides of the supply chain.
Production and demand.
And?
I mentioned that Central Bankers just doesn't have the tools to deal with this.
Stimulus is used to help things get over the hump so to speak.
Not bring back things from the dead.
I don't think anybody understood a thing I was saying :-).
Like I care :-).
Thing is?
I said it.
(The FED did what it needed to do, don't get me wrong,
but as this thing drags on?
Central banks are gonna run out of options.)
"Coronavirus-induced lockdowns have caused central bankers and policy makers to go further and move faster than ever before, pushing some toward alternatives, such as bitcoin, a cryptocurrency."
New economic system anybody?
There's your 666 on the horizon right there.
"The Oracle of Omaha, Warren Buffett, who's previously branded bitcoin "probably rat poison squared," told Berkshire Hathaway shareholders the coronavirus pandemic could have an "extraordinarily wide" range of possible outcomes."
A severely weakened U.S. banking system—
potentially leading to a bitcoin and cryptocurrency adoption spike—
is one coronavirus outcome that even Buffett might have missed.
It won't be a spike .
It will be world wide adoption eventually.
Count on it.
In the mean time?
Negative interest rates:
"Meaning, they get paid to borrow money, something I could get used to very quickly."
Well...I bet you could Donald.
Matthew 6:24
No one can serve two masters:
Either he will hate the one and love the other,
or he will be devoted to the one and despise the other.
You cannot serve both God and money.
Central bankers are about to be powerless.
Commercial Babylon has fallen.
Never to return.
Revelation 18:14
“They will say,
‘The fruit you longed for is gone from you.
All your luxury and splendor have vanished, never to be recovered.’
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