Re: Financial topics
Posted: Sun Mar 02, 2014 12:34 am
This is how the Fed can box themselves into a corner, like always happens when interventionists think they can outsmart the market. The manipulation schemes continue to work until one day the unexpected happens and prices are obviously too high to support the scheme any longer. Nobody thought Putin would invade the Ukraine. Further manipulation seemed sure to trigger additional herding onward and upward. Now I guess we will see just how extreme and surreal the Fed wants to make it. If they continue, somewhere down the line the ridiculous extreme could be reached where the stocks of companies that have had their production facilities bombed out in a war are being bid to new highs with counterfeit money by a Fed that is the only owner of the stock. We're probably about halfway there already.Higgenbotham wrote:Over the past few weeks, I had 4 key numbers posted here for 4 indexes.aedens wrote:This moved me to consider, called the market as they demonstrated on close the way they feel is chosing a way they want to live.
SPX 1853
DJIA 16250
NDX 3683
COMP 4289
It's quite interesting to look at today's last hour selloff. You will find that every one of those numbers was penetrated last hour and then every index closed the week and month above those critical numbers. Anyone who has watched these markets for the past 4 years knows the Fed is in there with black budget fiat moving these futures markets over the key levels at the key times. The bounce back from this selloff today was not natural. No free market would move like that.