Its derivatives. You know futures, shorts, and mutual funds.
The market is SOOOOO overvalued its not even sane. Think like 25,000% overvalued.
The reason is how stocks are valued. They are valuated on ROI, NOT ROI + net profit, or anything sane. Thus a company that goes from $3 million to 4$ million in profits is not as "hot" as company that goes from $4000, to 50,000 in profits.
Where this really hits is in mutual funds/hedge funds. Its possible for a Fund to buy junk stocks but sell its own funds for like $5500 a share even if the REAL equity backing it is $5 a share. The ROI and reputation of the fund determines the funds value.
The stocks market is a joke, and people know it. And there is where the over valuation happens. The REAL GPD, that is the real buying and selling of actual products or actual services delivered on real people at real businesses with actual buildings in America is not AT ALL $21 Trillion. Its more like $5-7 Trillion. And yes that is even counting profits for activities overseas. The gap is NYSE and the finical industry around it making up value that doesn't relate to something that actually exists.
The game they had been playing was to constantly pump the equity market with Public money to keep the can rolling just a little longer while they cashed out and ran to New Zealand.
Now the correction is coming. When it hits, ALL the funds are going to be HARD WIPED. You will own the cash in your bank accounts, your physical property, and any actual business you have. ALL equity, all funds, all retirement plans, all pension plans, all government welfares, all investments, all of it will be GONE, evaporated.
The results will be catastrophic. Something like 60% of the nation will be unable to pay their bills instantly. ONly people will jobs will still have any income at all. And the question will be how long will those jobs last now that all the consumer spending from Retirees and NEETS dried up?
Because they, the Liberal elite, FOUGHT reform of the Markets is going to be a BRUTAL scorched earth apocalypse. You cannot defeat gravity, you can only defy it temporarily. And so they flew the plane of the economy straight up towards the sun. But time is out, it ran out of gas, and this plane has to crash.
Of course its not all Doom and Gloom. The people, business, business equipment, and hard infrastructure of America are not going to evaporate. Tangible things don't vanish because imaginary wealth collapses. So its very much possible to pick back up and carry on after the collapse. But holy hell its going to be BRUTAL.
Its derivatives. You know futures, shorts, and mutual funds.
The market is SOOOOO overvalued its not even sane. Think like 25,000% overvalued.
The reason is how stocks are valued. They are valuated on ROI, NOT ROI + net profit, or anything sane. Thus a company that goes from $3 million to 4$ million in profits is not as "hot" as company that goes from $4000, to 50,000 in profits.
Where this really hits is in mutual funds/hedge funds. Its possible for a Fund to buy junk stocks but sell its own funds for like $5500 a share even if the REAL equity backing it is $5 a share. The ROI and reputation of the fund determines the funds value.
The stocks market is a joke, and people know it. And there is where the over valuation happens. The REAL GPD, that is the real buying and selling of actual products or actual services delivered on real people at real businesses with actual buildings in America is not AT ALL $21 Trillion. Its more like $5-7 Trillion. And yes that is even counting profits for activities overseas. The gap is NYSE and the finical industry around it making up value that doesn't relate to something that actually exists.
The game they had been playing was to constantly pump the equity market with Public money to keep the can rolling just a little longer while they cashed out and ran to New Zealand.
Now the correction is coming. When it hits, ALL the funds are going to be HARD WIPED. You will own the cash in your bank accounts, your physical property, and any actual business you have. ALL equity, all funds, all retirement plans, all pension plans, all government welfares, all investments, all of it will be GONE, evaporated.
The results will be catastrophic. Something like 60% of the nation will be unable to pay their bills instantly. ONly people will jobs will still have any income at all. And the question will be how long will those jobs last now that all the consumer spending from Retirees and NEETS dried up?
Because they, the Liberal elite, FOUGHT reform of the Markets is going to be a BRUTAL scorched earth apocalypse. You cannot defeat gravity, you can only defy it temporarily. And so they flew the plane of the economy straight up towards the sun. But time is out, it ran out of gas, and this plane has to crash.
Of course its not all Doom and Gloom. The people, business, business equipment, and hard infrastructure of America are not going to evaporate. Tangible things don't vanish because imaginary wealth collapses. So its very much possible to pick back up and carry on after the collapse. But holy hell its going to be BRUTAL.