War Room for Stock Market Manipulation

I constantly make the case that that what is called a bubble in asset prices is not a bubble at all. It is a mature political agenda. It has been a very successful political agenda. In forty years this will all be common knowledge.

What we have today is the equivalent of a stock market war room.This is constant communication, outside of the formal system, with all participating doing all possible to keep stock prices moving higher. This can be formal or informal but it is happening. If one average is weak, there is always strength in another. If the fangs are under pressure, the energy sector or something else is getting its shorts squeezed. If attempts to elevate the Dow are not quite enough, notice that the Russell 2000 is unusually strong. It is hard to goose the Russell 2000 just enough. Just a little buying sends it up our of proportion to everything else. There are virtually no organic market forces in play. Yes, when the market has a bad day, the fix is orchestrated and is in place when the market opens. If there is a good day, the overnight dialog is devoted to keeping it going. Whatever causes weakness in stocks today or any other day will be dealt with before the market opens again. If it is weak again efforts to turn it back up will be redoubled. If all else fails central banks will coordinate their efforts and buy enough to stall the decline. This is not a bubble and stock prices will be managed as long as possible.

This is Fantasy Free Economics. All over the globe, investors and traders are treating stock prices as an organic happening. Just know that Fantasy Free Economics suffers from no such delusion.

This is a timely Curbside Jimmy tune. The scene shifts from a regular swamp to the big swamp in Washington D.C

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About Fantasy Free Economics

James Quillian independent scholar,free market economist,and teacher of natural law. Who is James Quillian? Certainly I am nobody special, Just a tireless academic and deep thinker. Besides that, I have broken the code with respect to economics and political science. Credentials? Nothing you would be impressed with. I am not a household name. It is hard to become famous writing that virtually no one in the country is genuinely not in touch with reality. But, if I did not do that, there would be no point in my broking the broken the code. If you read the blog, it is easy to see that there are just a few charts, no math and no quantitative analysis. That is not by accident. Given what I know, those items are completely useless. I do turn out to be highly adept at applying natural law. Natural law has predominance over any principles the social science comes up. By virtue of understanding natural law, I can debunk, in just a few sentences , any theory that calls for intervention by a government. My taking the time to understand the ins and outs of Keynes General Theory is about like expecting a chemistry student to completely grasp all that the alchemists of the middle ages thought they understood in efforts to turn base metals into goal. Keynesian theory clearly calls for complete objectivity. Government can only make political decisions. Keynesian techniques call for economic decisions. So, why go any further with that? Fantasy Free Economics is in a sense a lot like technical analysis. Technical analysis began with the premise that it was impossible to gain enough information studying fundamentals to gain a trading advantage. Study the behavior of investors instead. Unlike technical analysis, I don't use technical charts. What I understand are the incentives of different people and entities active in the economics arena. For example, there is no such thing as an incentive to serve with life in the aggregate. In the aggregate, only self interest applies. It is routinely assumed otherwise. That is highly unappealing. But, I am sorry. That is the way it is. I can accept that because I am genuinely in touch with reality. Step one in using Fantasy Free Economics is for me to understand just how little I really know. A highly credentialed economist may know 100 times what I do based on the standard dogma. Compare the knowledge each of us has compared to all there is to know and we both look like we know nothing at all. There is always more than we don't know than what we do know. I am humble enough to present myself on that basis. Why? That is the way it is. I am not bad at math. I have taught math. What I understand is when to use it and when to rely on something else. Math is useless in natural law so I don't use it. While others look at numbers, I am busy understanding the forces in nature that makes their numbers what they are. That gives me a clear advantage.