The whole rally since march was a massive transfer of wealth

Quote from MohdSalleh:

there was no volume for the rally at all
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Yah, well I've seen plenty of no volume rallies occur after downtrends (intraday) that make you absolutely positive the rally is just a pullback before more down, but the f#ckin' thing just keeps inching its way up, until gradually, you have to scream uncle and either cover your short, or buy, while still cursing.


IMO though, we need to wait for TARP to be finished towards mid to late next year before we see another big sell off.
 
Quote from vhehn:

in every correction equities are transfered from weak hands to strong hands only to be sold back to weak hands when things look clear again. nothing new there.
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+1
 
Quote from jnorty:

god bless wall street the greatest marketing machine in world history. the gov't and wall street orchestrated this massive rally to sell $250 billion of stock to recapitalize mostly insolvent co's,pay the gov't back and yet again stick the little guy with the bill who bought hugely inflated stock. the worst thing that ever happened is the mkt skying as no lessons were learned and it means theres much more pain to come.
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this is basically "Aluminum Foil Hat" thinking. The market does what it does. Those who try to manipulate their currencies or the markets or oil or gold or other things, will eventually get steamrolled by market dynamics.
 
Quote from TraderZones:

this is basically "Aluminum Foil Hat" thinking.
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There has been a lot of this on the board the past year or so. More people with an axe to grind then are interested in discussing the technicalities of markets and economics.
 
Always amusing to see detractors think their knowledge of the financial world, as it pertains to control, encompasses even the elite.

Boneheads.

The OP is correct.
 
Quote from jnorty:

god bless wall street the greatest marketing machine in world history. the gov't and wall street orchestrated this massive rally to sell $250 billion of stock to recapitalize mostly insolvent co's,pay the gov't back and yet again stick the little guy with the bill who bought hugely inflated stock. the worst thing that ever happened is the mkt skying as no lessons were learned and it means theres much more pain to come.
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Wait until the markets go down big again.

There would be no net transfer or even creation of wealth.
 
This is crazy

Government prints money thrown around to whoever needs it, everybody is happy and back to where we were before the crisis.

There is still no signs of inflation or debasing of currency for many months after printing so much money

This is impossible

What am I missing here?
 
All trends start with minimal participants involved or they could not start. And end with the most or the end could not come.

All trends are transfers of wealth.

From the ignorant to the smart. And so it goes forever and ever.
 
Quote from misterno:

This is crazy. Government prints money thrown around to whoever needs it, everybody is happy and back to where we were before the crisis. There is still no signs of inflation or debasing of currency for many months after printing so much money. This is impossible. What am I missing here?
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Monetary supply dictates inflation takes time for the masses to absorb (become addicted to) the greater M3, thereby delaying the observable symptom of inflation. Inflation is not the disease, it is the symptom of irresponsible M3.

With Greenspan's printing press policy, even before Bernanke put it into overdrive, we got 50% inflation from just the last seven years alone. Forget about CPI, it's bogus, as is the new UI ala-Clinton.

What you are missing is this market is being played. You are correct in your conclusion that something is very wrong.
 
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