Readers of my various books, most notably Saucers, Swastikas, and Psops, and Covert Wars and Breakaway Civilizations, will be familiar with the Bank of International Settlements, otherwise known as the BIS, and more (or perhaps, less) affectionately as The Tower of Basel(in fact, there is a book out by that name covering the history of this dubious organization).
Well, because for one thing it was the brainchild of one Dr. Hjalmar Horace Greeley Schacht, the head of Germany's Reichsbank for much of the interwar period, and also, for a brief time, under Adolf Hitler. Present at its miscegenation were the then governor of the Bank of England, Montague Norman (another dubious character), and lurking in the background were the ever-present American corporate interests. Now, as the following article notes, the BIS is...well, the best way to look at it is that it is an international bank, a kind of central bank to central banks (only Schacht could have come up with this monstrosity), and as such, Schacht deliberately wanted it included in its charter that it would be immune from any other sovereignty. In effect, it's an international bank, with the sovereignty normally accorded to a nation-state. During the Second World War, it served at the point of contact between the "warring" Nazis, and their counterparts in the West. In fact, as I pointed out in Saucers, Swastikas, and Psyops, its wartime head was an American, Kittredge, who managed to travel throughout Axis Europe under diplomatic passport (doubtless from the "bank").
Now, with that in mind, ponder the following article:
This is the sort of bland, dry-as-the-desert financial prose that masks something that might be truly extraordinary, from a geopolitical standpoint:
It warned losses could range from 15% to 35% of GDP in the UK, France, Italy and Japan and even greater damage in a number of other countries.
"Such a big upward move can happen relatively fast," BIS said, referencing the 1994 crash.
"Someone must ultimately hold the interest rate risk. As foreign and domestic banks would be among those experiencing the losses, interest rate increases pose risks to the stability of the financial system if not executed with great care."
"The warning from BIS comes after the US Federal Reserve set off the most dramatic spike in US borrowing costs for over a decade by hinting at an early exit from quantitative easing."
Translation: "Someone must ultimately hold the interest rate risk(and it isn't going to be us)."
In other words, BIS was serving less-than-gentle warning to the US Federal Reserve that it is close to being "off-the-reservation." What that means is that one of the prime tools in the financial arsenal of the West, the BIS itself, is now having some second thoughts about US treasuries and the bond market in general... and they're warning of dire global depressive consequences.
As for "monetary tightening", that too has interesting deflationary connotations and implications, an austerity program... Now, the last time the BIS made these sorts of staid comments, we had a little thing called World War Two, when another country (Germany) went "off-the-reservation". Interestingly enough, Schacht was tried at Nuremberg, given a comparatively light sentence, and ended up only serving a small portion of it. There have been speculations to this day that Schacht "knew something" and used it to blackmail the power brokers behind his accusers...
...maybe it had something to do with the fact that, on his trip to the USA in 1928 and his visit to the New York Federal Reserve to inspect Germany's gold deposits, the staff of the bank couldn't find it.
No problem, said Schacht. "I trust you..."
So, one central bank (BIS) says to another (Federal Reserve): watch your step... Maybe the ghost of Schacht hovers over it all.
See you on the flip side.