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“This is just such gigantic middle finger to the American public, it’s almost hard to wrap your head around it.
But it gets worse still.”
While America’s corporate press remains singularly obsessed with unproven and likely fabricated Russia-collusion conspiracy theories, Wall Street’s well on its way to getting away with financial murder thanks to an army of cronies embedded within the Trump administration. Indeed, Goldman Sachs running Donald Trump’s economic policy is perhaps the most concerning aspect of his Presidency when it comes to negative impacts on average citizens, yet it’s almost never placed at the forefront of the corporate press narrative.
Many of you probably recall headlines in recent weeks about how Trump might be in favor of “bringing back Glass-Steagall” as well as breaking up the big banks. These are two things I think are extraordinarily necessary and important, but it turns out Trump has no intention of actually doing any such thing.
As the title of Bloomberg’s recent article on the topic so perfectly sums up…
Here are a few excerpts from the extremely disturbing, yet entirely unsurprising piece:
If a former Reagan administration official is correct, we are likely to see the next major financial collapse by the end of 2017. According to Wikipedia, David Stockman “is an author, former businessman and U.S. politician who served as a Republican U.S. Representative from the state of Michigan (1977–1981) and as the Director of the Office of Management and Budget (1981–1985) under President Ronald Reagan.” He has been frequently interviewed by mainstream news outlets such as CNBC, Bloomberg and PBS, and he is a highly respected voice in the financial community. Like other analysts, Stockman believes that the U.S. economy is in dire shape, and he told Greg Hunter during a recent interview that he is convinced that the S&P 500 could soon crash “by 40% or even more”…
S&P 500 tech stocks have now fallen for 9 days in a row. The last time tech stocks declined for so many days in a row was in 2012, and that was the only other time in history when we have seen such a long losing streak. As I have stated before, the post-election “Trump rally” is officially done, and the market is starting to roll over as investors begin to realize that all of the buying momentum has completely evaporated. Tech stocks tend to be particularly volatile, and so the fact that they are starting to lead the way down should definitely be alarming to many in the investing community.
Of course it isn’t just tech stocks that are falling. The Dow was down another 59 points on Wednesday, and the S&P 500 has closed beneath its 50 day moving average for the very first time since the election. For those that have been waiting for a key technical signal before getting out of the market, there is one for you.
In retrospect, those who said Trump will ultimately do Wall Street’s bidding, may have been correct all along.
About time, ZeroHedge!
I’ve always warned that Trump, like Obama, Clinton, Bush, Putin, Merkel, Cameron, May, Sarkozy and Hollande, is a Freemason and a Rothschild puppet.
One of the traditional signs of market tops is individual investors finally succumbing to the lure of apparently easy money and pouring their savings into the stock market. In the past this dumb money flowed into equity mutual funds in general. But today it’s favoring exchange traded funds (ETFs) that, rather than trying to pick winners, simply offer exposure to sectors or broad market indexes.
(Wall Street Journal) – Investors poured $62.9 billion into exchange-traded funds in February, pushing the year-to-date world-wide tally to $124 billion, the fastest start of any year in the history of the ETF industry, according to data from BlackRock Inc.
Marc Faber, known as ‘Dr. Doom’ for his pessimistic views of equity markets, has warned investors that US stocks are vulnerable to a seismic selloff, which could start any moment.
The Swiss investor doesn’t expect the rally’s disruption to be evoked by any catalyst, as the markets are overbought and sentiment is way too bullish for the so-called Trump rally to continue.
“Very simply, the market starts to go down. As it goes down, it will start triggering selling, and then it will be like an avalanche. I would underweight US stocks,” Faber said in an interview with CNBC.
This bearish forecast is not tied to President Donald Trump, according to Faber.
And what could possibly go wrong?
H/t reader squodgy:
“Of course, he’s right. We all know it, we’ve watched the manipulations.
We’ve seen the Shipping Activity Index (BDI) sat in the gutter.
We’ve seen Caterpillar report 5 consecutive years of continuous order book drops.
We’ve watched the food stamps grow to one third of the population.
All these show total disconnect from Wall St & the Fed bullshit manipulation
Stocks prices continuously rise as a result of false purchases by the banks and buy backs by the Companies…..but activity, earnings and returns are rubbish.
Now the truth outs. We are slap bang in a depression & Trump has been set up to take the fall for it.
Yet, being an astute businessman, he knew all this already, and his crowing is equally false. He knew he was going to be the scape goat.”
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