My biggest rambling yet. No spellcheck. Run on sentences galore. My high school english teacher would be horrified. Sorry Mrs. Ippolito.
The Greatest Scam Ever Pulled
In my opinion, the greatest scam ever pulled on the American public was the stock market. How cleverly orchestrated it was. We have a man who understood the basic principals of what would help inflate the market. Greenspan knew that by increasing the money flow, increasing the amount of money available to banks to loan to the AMercian public, he could help fuel this irrational exuberance. With the arrival of online brokers, the internet, and CNBC, the American public was duped into believing that the market goes in only one direction. You see, the DOW had reached it's level of maximum inflation. They understood this, so they made tech look like the more appealing investment. The Nasdaq blasted off, and was at half the value of the DOW in the blink of an eye. CNBC has been saying buy, buy for so long that they too believe this market only goes up. Everyone believes it only goes up. The problem is, recently it has been going down. Trading volume is at an all time high. The big boys are performing a mass exodus. J6P is buying up everything in sight and helping the Big boys exit. One day soon the bottom will fall out. Everyone will wonder what happened. Ill tell you what happened. You were tricked. The American dream is only for a select majority. Not the middle class family with the addicted gambler hovering over his computer hoping that stock XYZ goes up so he can buy Christmas presents for his family. Nope, it's only for the rich, who just became rich to the ninth power because everyone and their mother became an online gambler. We are the victim of our own greed and ignorance. At no time in history has a company traded at such high multiples than we see today. This is not including all the accounting practices that are coming into question such as gain on investments. You see, the bubble fueled the bubble. As powerhouses grew, they bought products from other companies that they had a vested interest in. That company would skyrocket, and they could sell their investment at sky high prices to J6P. This further increased their bottom line and added to the bubble. Events continuesd to play on eachother until the DOW was 11000+ and the Naz was 5000+. Knowing this was out of control, the few wise men on Wall street that were left said it's time to get, while the gettings good. So they left. And with them came the followers. However, J6P had becomed so fimiliar with making easy money that he fought tooth and nail. Believeing the market always goes up, he continued to average down. Now he sits in bafflement as his beloved index, the Nasdung, is 50% off it's high. Of course, a rally is right around the corner. Why? Because this addiction is hard to shake and reality is hard to swallow. Well, Im going to save what m,oney I have left and go back to old faithful. Unfortunately, old faithful has been overvalued for years now. The big boys have been slowly draining their money out of it for years. J6P has set himself up again to be the goat. When the Dow crashes down, we will enter a depression, and the rich will be right where they were before this all began...rich. So once again there will be a huge gap betweeen the rich and the poor. This country is in a sad state, and many are to blind to see that it is only a matter of time before the bottom drops out, and people are staring at three zeros, where 6 and 7 zeros once roamed.
~Jason |
