Stock Market Totally Artifical

[DBTrek]

There’s that Democratic Party 1% again. This imagined “permanent” demographic that are running everything and hoarding all the wealth that rightfully belongs to the Walmart cashiers of the world.

We should probably raise taxes for more Federal Agencies to watch those capitalist thieves and keep us safe, eh? At the very least the esteemed economic geniuses in elected office should pass arbitrary feel-good regulations - which will never be audited to see if they’re effective.

What a brilliant insight. If only one of the two major political parties would’ve thought of that and repeated it like a mantra for forty years.

Oh wait ...

[Martin Hash]

Did I mention I was a Democrat?

[DBTrek]

Did I mention I was a Democrat?

Yeah, I know.
I also know you’re smarter than the average bear, so having you, with your various doctorates, shoveling some truly pedestrian bullshit falsehoods at us is extra irritating.

Because you know better.
And we know you know better.
So WTF?

[Martin Hash]

Frankly, I got mine. Nobody can take my achievements from me though they can take my stuff. I did the American Dream, it was awesome.

I post here as a way to collect my thoughts. I was initially surprised that they were so poorly received but now I expect it. That’s useful to know.

[SuburbanFarmer]

What the video shows is that the recent Stock Market downturn was precipitated by The Fed trying to reduce their Balance Sheet, but when it went into freefall, they started buying again. The Stock Market is directly connected to what government puts into it.

The plan was to reduce the $6 trillion The Fed holds but there’s no chance of that now that they tried.

Yeah, the trap is good and set now. Everybody saw it coming years ago, except the damn people running the show. They’re on borrowed time now.

The bizarre part is the level of delusion in their thinking. They really convinced themselves that this would work out fine.

The only way out is to unload everything onto retail, and let them take the loss - which is not working. Retail pulled out of the ETFs in record numbers this month. Only the hapless pension funds are left to get obliterated.

[Martin Hash]

It’s always been about the Pension Funds: $20 trillion, one fifth the value of the U.S.

Remember, though, money is imaginary, and we can imagine as much money as we need. Unfortunately, if we are worried about wealth stratification (almost no one on this forum is) then who gets the imaginary money is of great concern. Right now The 1% is getting almost all of it.

[SuburbanFarmer]

It’s always been about the Pension Funds: $20 trillion, one fifth the value of the U.S.

Remember, though, money is imaginary, and we can imagine as much money as we need. Unfortunately, if we are worried about wealth stratification (almost no one on this forum is) then who gets the imaginary money is of great concern. Right now The 1% is getting almost all of it.

Indeed, but they’ll be the only ones with anything in 2 months.

- Consumer debt at all-time highs
- First PetroYuan contract to be launched on March 25th.
- Pension funds are selling naked options on the market.
- Fed dumping bonds everywhere

That means no more retail to buy in, pension funds will be wiped clean, and the dollar is about to get ROCKED. We will see inflation this year, like nothing since the Depression.

[Martin Hash]

There's an economic principle that says the price of pork will deflate before it inflates. The logic goes: farmers are losing their ass on pigs so they dump them onto the market, which lowers the price even further. Soon the cheap pork runs out but there is nothing coming up behind it so eventually the price of pork skyrockets. Too late, however, because the house of cards built on pork already tumbled down, which collapsed all the ancillary industries, and it takes a while to rebuild. During that time inflation reigns. So, if this is true, there will be deflation for some amount of time, a year maybe, that consumption exceeds production, then inflation. The 1% won't be hurt either way.

We've already discussed how this will affect the Middle Class. From what I know of the people on this forum, they won't be affected much either; conscientiousness provides pretty good insulation.

[SuburbanFarmer]

There's an economic principle that says the price of pork will deflate before it inflates. The logic goes: farmers are losing their ass on pigs so they dump them onto the market, which lowers the price even further. Soon the cheap pork runs out but there is nothing coming up behind it so eventually the price of pork skyrockets. Too late, however, because the house of cards built on pork already tumbled down, which collapsed all the ancillary industries, and it takes a while to rebuild. During that time inflation reigns. So, if this is true, there will be deflation for some amount of time, a year maybe, that consumption exceeds production, then inflation. The 1% won't be hurt either way.

We've already discussed how this will affect the Middle Class. From what I know of the people on this forum, they won't be affected much either; conscientiousness provides pretty good insulation.

If you’re referring to the bond market or currencies, there’s exactly zero lag time for producing more. I’m not sure I follow you.

I genuinely don’t know how bad it’ll be in the real world, but it will be chaotic. Home prices, business loans, the price of bread - everything is going to be affected a lot.

[StCapps]

A correction is coming sure, but will it be as bad as the SIFCLFs think it will be? Not even close, so simmer down, the sky isn't about to fall.