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February 27, 2017 | Why Do ‘Markets’ Go UP…Irrespective of Real Growth?

Donald B. Swenson: Born January 24, 1943, Roseau, Minnesota. Graduated H.S. 1961, Moorhead High, Minnesota. Graduated College 1968, Moorhead State University, Minnesota. Designated member of Appraisal Institute (MAI), 1974. Employed with Western Life Insurance Company, 1968 – 71; Iowa Securities Company, 1971 – 73; American Appraisal Company, 1974 – 81. Part-time teacher/valuation consultant/bartender, 1979 – 2008 (taught workshops at Waukesha County Technical Institute, Wi. and Madison Area Technical College, Wi.). Retired 2008 (part time teacher/blogger), AZ. Self educated economist/philosopher/theologian:

Image result for demand management is Keynesianism

This mathematical model of economics is what our Central Banks follow!

Image result for our bubble index stock markets

I witness a few minor down trends (in our stock indices) at times but when this happens markets soon reverse and head back UP. Why is this so prevalent in today’s global cyber economy? A key word is ‘cyber’ and another is ‘global’. Today, our markets are driven by speed of light computer trading. Guess who trades our markets in addition to our retail traders/investors? Yes, it is our Central BANKS. What is their motive and which Central Banks do the most manipulations?

Did you know that select Central banks have computers and sophisticated computer traders working for them? Did you realize that our American Central Bank called the FED has some 500 computer traders working for them (behind closed doors)? These traders occupy the entire floors (9th and 10th) within our New York Fed building at 33 Liberty Street, N.Y. Who oversees these traders and gives them their assignments? Yes, it is our FED policy-makers! Why is this so?

Did you know that the Central Bank for all Central Banks in Basel, Switzerland also has two computer trading venues? This Central Bank is called the Bank for International Settlements (BIS). They have one trading venue in Honk Kong and another in Switzerland. Could these select traders affect our global cyber markets with their trades and trading strategies? I think so! Could proxies (say primary dealers) who work for our Central Banks also have instructions to trade our global electronic markets (for select purposes)? Could they borrow at near zero for this purpose? I think so!

So could our centralized global network of Central Banks (now trading our global cyber markets) influence these electronic markets? I think so! Could they have instructions from select overseers to pump UP our markets irrespective of real economic growth? Yes, I think so! Keynesian economics is based upon continuing rising economic asset values so as to service our growing asset debt. Could our Central Banks desire that asset values continue to go UP and UP indefinitely (with brief pauses) so as to keep asset values rising? I think so! A general deflation or crash would destroy their mathematical model!

Did you realize that we now live in a centralized world of economics where our Central Banks (via a global network of computers) rule over our markets? Are you aware that we now live with ‘cyber’ money which can be created arbitrarily and indefinitely via QE policies and select Loan policies? Money is now a mere ‘digit’ within our computer screen. Did you realize this? There is NO printing of these ‘digits’… which our banking system calls our legal tender money. These ‘digits’ get created arbitrarily irrespective of any real economic growth.

The idea for a Keynesian is to influence DEMAND so that more businesses can expand and grow (irrespective of whether or not real growth emerges). We could have a declining level of real growth and still have rising index stock markets. The idea (for Keynesians) is to influence growth via more stimulus and money creation continually. It’s called Demand Management! This is the Keynesian economic model in a nutshell. Increase Demand by increasing the ‘digit’ supply and continue this indefinitely! Keynesianism is essentially a ONE WAY STREET!

Demand must grow and asset values must rise and debt must be serviced and not allowed to crash via deflation or a global liquidation. This is Keynesian economics in a nutshell. Today, our Central Banks trade our markets via their HFT computers to influence demand and to manipulate asset values. They also desire that traders and investors ‘hate’ our historical money called Silver and Gold. These commodities are barbarous metals which restrict their goals and desires (manipulating markets from behind closed doors). This means that silver/gold (prices) must be suppressed indefinitely and continually!

It is time to wake-up folks and recognize that we do not live with FREE markets today. Capitalism is essentially OVER! Our global markets are ‘cyber’ markets and our Central Banks CONTROL these markets with their high-speed computers and their unlimited access to cyber ‘digits’. Watch the electronic indices to witness their daily manipulations. It’s interesting to see their influence and their ability to FOOL almost every media pundit and cyber trader. Working behind closed doors is necessary for all this cyber corruption to continue! Enjoy! I am:

Additional images for your consideration:

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The FED trading venue in New York. All is computerized today! Traders influence our cyber markets with their algorithms and source code instructions!

Image result for demand management is Keynesianism

Image result for demand management is Keynesianism

Image result for the bubble dow index

Image result for the bubble dow index

Image result for speed of light computer trading

High speed computers can influence and manipulate our cyber prices in real-time continually! Today, our Central Banks trade our electronic markets to influence demand, asset values, and the velocity of money. It’s called Demand Management! It’s all controlled ‘behind closed doors’ within a network of Central Banks!

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February 27th, 2017

Posted In: Kingdom Economics

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