Korean Job Discussion Forums

[Kuros]

Fed to Pump $1.2 Trillion into Markets

[Robot_Teacher]

This means another temporary market rally which speculators will benefit from by realizing capital gains through selling what they bought low last week or even just 5 days ago. Once the extra financial value from stimulus monies floating around temporarily pumped up markets and individual stocks are exhausted, then markets will decline. This is when the big boys submit their purchase orders if they know it's a low time. Also, the banking stimulus is intended to get banks to lend, but they're not lending it, they're holding these monies, paying big excutive bonuses, and see capital gains off of selling their shares of stock that go up when stimulus money comes in. I woudln't say lending all this money to consumers will fix the economy, becuase we already know a debt based consumer economy lacks rational functionality if consumers can't service their debt levels, but we know Uncle Sam is socializing the executive earnings and day trader speculator earnings instead of having an economy that's producing profitability and long term value. An economy with companies producing long term value and good jobs only makes rational sense; but that's not the easy way for cheaters to hit the jackpot.

Investors are having a hay day off all this volitility. We're talking day trader types, mostly who do transactions in the hundreds of thousands of dollars if not millions. These are the CEO's, C-level employees, and independent wealthy types hob knobbing with the company heads and C level company guys for insider information on what the markets going to do for them such as go up or down or what an individual stock is going to do. While finance is the most complex science, today's system is not rocket science nor smartest of the smartest winning, because it's not a level playing field like it's supposed to be due to unfetterred corruptions. CEO's and C level employess of all companies should not be allowed speculate on their own holdings in the companies they run or are members of a board as they have insider information they just manipulate which destroys long term value and ultimately; the system of capitalism. The big guys know how to play this game capitalizing off volitility based on fear, stimulus monies, insider info, lies, scams, simple and stupid obvious facts, and supply/demand. Part of it is is correct such as supply and demand dynamics, but the rest is fictitious pump and dump schemes.

And the stimulus packages? Every time one is passed, a market rally ensues and selling happens where the wealthy investors, most C level people involved in corrupt collusion, are literally lining their pockets with the government aid monies instead of that financial value being used to rebuild the economy and America itself. Even if the New York Stock Exchange rallys by only 79 points, it's a huge gain for big day traders.

For those with money in the know, this is a golden age of opportunity to easily rack and stack mega free money, but this pump and dump market based on stimulus monies and fear is not going to develop true economic growth and jobs nor is it sustainable. Ultimately, when this repeating process can't function no longer, such as due to China cutting the US off the gravy train, all those dollars won won't be worth the paper they're written on. This greatly concerns me and millions of others striving for a career.

So many folks just don't see what's going on or why as they think they don't or can't understand these sorts of things and entrust those C level people to take care of the system we all live and work under.

[mises]

Not a smart move by Bernake.

Kuros, the outrage about the AIG bonuses is both superficial and important. It is superficial as the total amount of the bonuses is less than a fraction of a single percent of the various bailouts. It is significant because Timmy G. apparently was the one who inserted the loophole for them.

When the government gets down to writing the rules for the new financial system, it matters a great deal who is writing the rules. The AIG bonus fiasco I think reinforces that Tim G. is both out of his league and in bed with the devil.

[Kuros]

Nevertheless, the press is covering the $116 million bonuses far more than the $1.2 trillion the Fed is about to inject into the economy.

One of these numbers is 10,344 times larger than the other.

[mises]

Yes. Very true.

Frankly, I don't think most journalists even understand TARP and the rest. I don't know if advanced banking practices is a required course in J-school.

[T-J]

[RJjr]

This debt shit is out of control. I was thinking about doing an ESL contract in China after the frost sets in and the harvest is over. But it's looking like I would be sleeping in bed one night and then some Chinese soldiers would kick down my door and drag me to a farm or factory and tell me, "Your government defaulted. You have to work off your country's debt. We'll release you to go back to America as soon as you work off all umpteen trillion dollars your nation owes us."

[Kuros]

[bacasper]

[mises]

[Kuros]

Any LoLcats fans out there?

What's big and bloated and growing exponentially?

[Pluto]

Does everyone have a little over $36,200 lying around? That is the amount owed per citizen. LINK

[Cheonmunka]

[ontheway]

The inflation has already happened and more is happening every day. The government has issued trillions of additional dollars without gold backing. Prices will rise over time. The CPI does not actually measure inflation, just the change in price of a politically chosen sample basket of goods and services. Expect at least a 6 fold rise in prices.

The amount of dollars issued to gold that has already happened or been announced means that the dollar should fall to $6000 per ounce of gold over the next few years. All other prices will be rising in dollar terms as well. This is actually the dollar falling of course.

So, for all of you saving dollars or other fiat currencies, you can expect that you will lose, from today, 80% to 90% of what you've worked so hard for and saved (assuming these fiat currencies actually survive at all), unless you can get into some hard asset that the government won't steal from you. Of course, even if you manage to find such an asset, they will tax your paper gains as if they were real gains.


Result of all this socialism:

Yata still gets to retire under a bridge in Iowa. There are a lot of nice little towns around Fort Dodge.

[Pluto]

Have you seen this video? What do you think?