A Stock Market Rally Engineered by Government
Thursday, August 27th, 2009
If this article seems to wander between topics that’s probably just because it has lost some formatting (and sadly, a chart or two) by being reposted around the web. However, there is good information in here if what you’re looking for are some of the economic details – a close reading will be rewarding.
Flashback: Judge Orders Federal Reserve To Disclose Who Received Bailout Trillions | Central bank of Canada stands ready to inflate currency in response to strong loonie | Boost Bank of Canada powers: Carney | Geithner lambastes US economic watchdogs resistant to planned transfer of powers to Federal Reserve | Former NY governor Spitzer: Federal Reserve is ‘a Ponzi scheme, an inside job’ | Hands off the Fed, Bernanke warns Congress | US Senate Blocks Bill To Audit The Fed As Government Prepares For Second Round Of Looting | Congressman Ron Paul Slams Federal Reserve’s New Dictatorial Powers | Bilderberg Seeks Bank Centralization Agenda
Bob Chapman, GlobalResearch.ca
August 27, 2009
Since March we have watched a stock market rally borne by low volume and short covering. The gains are reminiscent of the rallies of 1930 and 1932. What you are witnessing is a rally engineered by our government. If you watch the tape and you can read it you can see exactly what they are doing, and how they are doing it. Yes, it is legal under an Executive Order singed by President Ronald Reagan in the aftermath of the October 19th, 1997 collapse of the stock market. It was named the “Working Group on Financial Markets” and was to be used for such emergencies. Unfortunately, like many things in government, the mission of the “Plunge Protection Team” has been distorted. For over the last more than ten years it has been used to manipulate markets 24/7. Thus, what you are witnessing is a sucker rally, which has little hope of lasting.
What do you do with a market that has a trailing P/E of 24 times earnings? You stay as far away from it as possible.
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