It’s late Friday night in China, and I have written EVERY DAY this week. My wife’s asleep, and I need to join her shortly; and thus, today’s RANT topic will be EXTREMELY brief.
Think of what I wrote last week in “NEGATIVE MARKET CONDITIONING – ANOTHER NAIL IN THE TAPERING COFFIN”; i.e., the financial system has become so fragile, it couldn’t stand the “shock” of even a mild equity market decline. Let alone, in the FIXED INCOME market – which unlike equities, have a direct negative correlation with economic activity. This is why the BLS was likely ordered to post an NFP report well below “EXPECTATIONS”; and why the Fed – knowing this beforehand, of course, SHUT ITS TRAP regarding the potential for “tapering” its QE program.
Conversely, try and picture what the MSM response would be to just one 5% up day in the gold markets; let alone, a 20% up move like the “DOW JONES PROPAGANDA AVERAGE” was goosed to by the PPT this year. Remember, every major Central bank is engaged in “UNPRECEDENTED” money printing; and every major economy is either amidst recession, or on the verge of such.
In a nutshell, I have spent the past decade writing of how even the most financially illiterate are “wired” to believe a rising Dow is portends “good” things; and conversely, a rising gold price, “bad” things. Moreover, It’s one thing for such things to occur during “one-off” crises like terrorist attacks or “fiscal cliff” negotiations; but another entirely when TPTB believe they have public perception under control, as is the case today.
To wit, the entire global economy is now supported by “smoke and mirrors”; and with GLOBAL MONEY PRINTING exploding higher, a rising gold price has NOT been allowed to occur; or, for that matter, a falling Dow. We are amidst the worst global economic cataclysm of our lifetimes; and thus, TPTB will do anything to prevent the inevitable loss of confidence that occurs when their PROPAGANDA and MARKET MANIPULATION games no longer work.
Of course, they WILL lose this “all in” gambit – as bankers and politicians have done throughout history. However, until this occurs – which could be any time – be prepared for historic attempts to prevent the public from “picturing” the hideous REALITY that awaits.