There is little doubt in the minds of those who think critically that Federal Reserve monetary policy has  been and is used to elevate asset prices, especially stocks. While true, Federal Reserve policy is only part of the picture. What we actually have is what amounts to a stock market engineering war room, even though there is not an actual room where all of the manipulation thought of is put in place.

How do I know this? Well, I don’t based on any facts at my disposal. I have no such facts. Why would I? If I could demonstrate factually that the stock market is being purposefully engineered higher due to an organized effort, everyone would know what I know and it would stop. The fact is that in the present moment, no one has any facts as to what all others in the world are thinking and doing.  Insight based on human behavior in terms of knowing what powerful people are prone to do based on self interest, in fact turns out to be the best tool for determining what is going on in the world under a the public’s radar.  I don’t use facts for this type of analysis because there aren’t any specific facts. The facts that I do use are present eternally and are not part of economic standard dogma. It is a fact that self interest is the only relevant incentive when it comes to behavior in large aggregations of people. It doesn’t work that way in families and other close nit groups.

I start with the word suppose. Lets suppose for sake of example, how the stock market would be rigged if it was. Then entertain a few questions? Would wealthy powerful people rig the stock market if they could?  They certainly have the means. Then, assuming they could, would they? Why would they not? Would it be in their best interest to do so? Only self interest drives aggregate behavior. It only makes sense that they would.

In the years leading up to the crash of 1929, there were countless successful efforts to rig stocks. J.P. Morgan himself managed to single handedly temporarily turn the stock market up during the 1929 crash.  There are many precedents.

Modern stock market manipulation began when the Reagan administration, began tampering with the financial markets.

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