|
The balanced budgets at the end of the Clinton administration and the prospect of paying down the National Debt threatened the ability of many activities in the financial markets. Tbills are readily available in enormous amounts and provide a safe place to park gains from trading and investments (and market manipulations) that otherwise would be lost during the "market correction". A place for the insiders to protect their own money while the "correction" mostly affects OPM, Other People's Money.
Much of the OPM is from pensions and retirement plans of unions and state/local government employees, plus mutual funds fed by 401k and similar. Those managing such investment funds gain enormous leverage in the markets, and they often use it for enormous gains personally and for their firms.
The price of US stocks and of commodities like oil is closely related to changes to the strength of the US dollar and rates of exchange with other major currencies. In general, a decline in the dollar on FX is paired with a corresponding increase in oil prices, two easily-observed components of the incredibly complex interplay among financial and commodity markets world-wide, governments, public policy, arms dealers, drug cartels, money laundering, tax avoidance, corruption, insider information, public misinformation, Ponzi schemes, outright theft, ...
The markets have always been rigged, usually sanctioned and allowed under their self-defined rules. I have posted often on DU and in my journal on specifics.
|
Printer-friendly format
Email this thread to a friend
Bookmark this thread
(1000+ posts)
Send PM |
Profile |
Ignore
