Topic: Reserve Bank

Federal Reserve Chairman Jerome Powell is facing allegations of perjury following testimony before the Senate Banking Committee. President Trump has continued to call for rate cuts while questioning the independence of the Fed. The discussion reviews the 1913 creation of the Federal Reserve by a banking cartel and debates the transparency of its member banks and decision-makers.

The global financial system has officially transitioned from LIBOR (London Interbank Offered Rate) to SOFR (Secured Overnight Financing Rate) as the benchmark for setting interest rates. This shift moves control of interest rate standards from British banks to the Federal Reserve Bank of New York. The transition is described as a "long game" that allows the U.S. to maintain the dollar's dominance while ensuring internal control over domestic and international lending rates.

An NPR report on South Africa included a list of demands from a pro-Zuma faction of the ANC, calling for the nationalization of mines, strategic industries, and the South African Reserve Bank. The hosts highlight the overt Marxist language used by the protesters. They argue that the unrest is being used as a cover for a communist takeover of the country's financial systems.

A major processing error in the Automated Clearinghouse (ACH) system caused significant delays for direct deposits at several large U.S. banks. While officials cited a "processing error," the hosts speculate on the possibility of ransomware or a move toward the "FedNow" system.

U.S. Senators Jim Risch and Sheldon Whitehouse introduce legislation to seize frozen Russian sovereign assets to fund the reconstruction of Ukraine. The hosts argue this move is illegal under international law and will accelerate the global move away from the U.S. dollar as a reserve currency, as other nations fear their assets could be confiscated.

A debate ensues regarding the future of retail payments, with a prediction that merchants will eventually favor FedNow over credit cards to avoid 3% transaction fees. This shift is seen as part of a broader plan to consolidate the banking industry, moving assets from small regional banks into the "Big Six" institutions. The Federal Reserve is characterized as a collection of private banking interests rather than a public entity.

Economist Robert Reich warns of potential contagion in the regional banking sector as public faith in smaller institutions wavers following the SVB collapse. The crisis may force Federal Reserve Chairman Jerome Powell to reconsider planned interest rate hikes in March to prevent further instability. Tech sector advocates are already calling for qualitative easing or a bailout, though critics argue this would only worsen domestic inflation for consumers.

The House has passed the "Racial and Economic Equity Act," a bill sponsored by Maxine Waters that would amend the Federal Reserve Act of 1913. The bill seeks to expand the Fed's mandate to include the elimination of racial and ethnic disparities in employment, income, and credit access. Critics argue this would saddle the central bank with social justice responsibilities, potentially setting the stage for a central bank digital currency.

Federal Reserve Chairman Jay Powell's comments on the development of a US Central Bank Digital Currency (CBDC) are examined. The hosts link the push for CBDCs and the de-platforming of Russia from the SWIFT network to "The Great Reset," suggesting a slow-motion repricing of global currencies is underway.

The disconnection of Russian banks from the SWIFT system is analyzed as a test case for global financial control. A "former New York banker" suggests that this move will ultimately force China further into the Western-led financial system rather than driving them away, as the power of the network effect (compared to Apple's ecosystem) makes an outsider position untenable for major economies.

The hosts discuss the mechanics of the Federal Reserve as the "lender of last resort," arguing that the banking system is currently being kept afloat by $1 trillion in weekly loans. They critique Glenn Beck's "double counting" of overnight loans but agree that the system is on the brink of collapse. The segment highlights the ongoing balance sheet problems of major financial institutions.

President Joe Biden nominated Sarah Bloom Raskin as the head of bank supervision for the Federal Reserve, a move seen by the banking industry as a return to adversarial regulation. Critics argue Raskin will use her position to push Environmental, Social, and Governance (ESG) investing standards, potentially limiting lending to the oil and gas sectors. The segment explores how regulatory appointments serve as a mechanism for implementing progressive economic policy.

President Biden has nominated Sarah Bloom Raskin to be a top bank regulator at the Federal Reserve. Critics point to her marriage to Senator Jamie Raskin as an example of political nepotism and express concern over her potential influence on the American Investment Authority.

Federal Reserve Governor Lael Brainard is being considered for a top leadership role, bringing her previous advocacy for a "resilient instant payment system" into focus. Her proposals are viewed as the foundation for a Central Bank Digital Currency (CBDC) that would facilitate Universal Basic Income and direct government monitoring of consumer spending.

A significant internet outage caused by Akamai impacted the Reserve Bank of Australia, major airlines, and several global financial institutions. The disruption forced the cancellation of government bond purchases and grounded flights across multiple carriers. This event underscores the fragility of the modern web, which relies on a few single points of failure like Akamai, Cloudflare, and Fastly.

The U.S. economy is described as being in a deflationary state, prompting the Fed to keep interest rates near zero. Senators Bernie Sanders and Kirsten Gillibrand have introduced a new version of the Postal Banking Act to provide financial services to the "unbanked." The hosts debate the feasibility of a digital dollar and the potential pushback from major credit card companies and commercial banks.

At the Federal Reserve's Jackson Hole symposium, Bank of England Governor Mark Carney suggested that the current global monetary system is unsustainable. He proposed the creation of a "Synthetic Hegemonic Currency," potentially a central bank digital currency, to reduce reliance on the U.S. dollar. This move would aim to rebalance the international financial system through coordinated digital assets.

Bloomberg reports that the number of $100 bills in circulation has doubled since the financial crisis, surpassing the number of $1 dollar bills. While economists suggest this is due to global cash hoarding or criminal activity, the hosts note that many No Agenda producers prefer using high-denomination cash for donations.

The funding mechanism for the Green New Deal is discussed, with proponents suggesting the government pay for it similarly to the 2008 bank bailouts and World War II. The plan involves the Federal Reserve extending credit, the creation of new public banks, and the implementation of progressive wealth taxes. Proponents argue that private sector investment is insufficient in scale and speed to address the climate crisis.

Actor Michael Caine's public support for Brexit is featured, where he expresses a preference for being a "poor master of his fate" over being ruled by unknown entities. The discussion laments the decline of the British Empire's trading prowess and blames the private Bank of England for the nation's long-term economic struggles.