Sunday, February 24, 2008

Friday's Manipulation

Just wanted to link to this comment via the BearMountainBull website via BillCara about the manipulation that took place in the last half hour of Friday's session. I could not agree more with his assessment of the way things are headed if changes aren't made soon. This stood out to me:

"Nobody wants to live in a controlled society – certainly not traders of the capital markets – but frankly these markets are not transparent and the acts of deceit and manipulation that routinely go on necessitate some greater monitoring than happens today.

What’s at stake is the credibility of the government, the agencies of government that are involved in the capital markets, the central banks, banking institutions, and so on.

What happened Friday in the last hour of trading was a raid on the shorts, pure and simple. It might have been orchestrated. For certain there were parties acting in concert if even by common motivation."

Events like Friday are frustrating, but it seems like that is the direction our country is headed - more government involvement in all parts of our society - the stock market, the economy, our personal lives - the list goes on. I don't know how we change things, especially when the choices available this fall for our nation's leader range from two life-long Washington insiders or a newcomer that has the most liberal voting record in the Senate and will look to increase governmental control over our economy even more than it already has. Just my opinion.


bmbull said...

Speaking of 'government involvement', how 'bout this one. Yikes.

Thanks, Mac, for the mention of BMB.

Mac said...

I saw that article too - made me sick to my stomach. Saving, living with your means, working hard - they seem to mean absolutely nothing anymore in our country. It is disgusting.

bmbull said...

It's true. Those of us who save are punished by continued low interest rates to try to keep things afloat, and we're rewarded for living within our means by having our tax dollars used to bail out the irresponsible.

I guess it shouldn't surprise me. After all, our own own government continues to live outside its means, year after year after year, building up enormous deficits, and doing its best to debase the currency. If that's the way they run their finances, it would follow that they have no respect for those who are fiscally responsible.

Mac said...

Exactly - and the worst part of a bailout is that it does nothing but reinforce the very behavior that got them in the mess to begin with. I feel sometimes like I am the idiot for living the way I do.