Yes, the markets have been overliquified, which is why they
have been soaring. Easy money, more leverage, even more control
of about 15-20 large global financial institutions over all
markets. Manipulation leading to trading losses for most others,
uninitiated, not connected enough. Running bubbles. High
frequency trading, a computer algorithm version of the old
illegal practice of front running. Little wonder it makes money.
The problem is, someone has to buy this at the top, and J6P is
broke. Will the Fed push money creation to infinity to "save"
these markets from another, bigger blow up? Maybe, but I think
by doing so the Fed will destroy itself. The public outrage is building,
and the more these practices continue, the more calls there
will be to can the Fed. I believe this is what's going to happen,
rather than hyperinflation. Public outrage finally leading to
a reform of the corrupt system. We'll have a few more
years of bad economy, as things are likely to get much worse
after the reform before they get better.
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Front running is the illegal practice of a stock broker
executing orders on a security for its own account while
taking advantage of advance knowledge of pending orders from
its customers.
en.wikipedia.org
market-ticker.denninger.net
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