Many are fond of claiming "finite resources" put an upper limit on the potential for continued geometric growth in both power generation and consumption, as well as population growth potential this harnessed power could support. Yet when one considers the power put out by the sun—a quantity mankind is nowhere near harnessing—and that there are countless billions of these celestial objects in our own galaxy, which, itself, is but one among countless billions of galaxies existing throughout the known universe, well, about the only thing we might readily recognize as "finite" is mankind's power of imagination. Truth is even given today's relatively primitive level of technological mastery, the world remains considerably underpopulated. There are no limits to growth, practically speaking.
Now, why is this fact not common knowledge, while consensus holds that the Fed has miraculously saved the world from suffering another Great Depression? Here's why: we are surrounded by suckers! Or, if you prefer, the walking dead. One of these, of course, is leading the Fed. With origins in an Ivy League chock full of soulless sophists—cool, calculating killers in fact—it is high time these dead be buried, as they positively are stinking up the American republic.
Between now and January the Ivy League need somehow save face, if at all possible. Another incompetent "economist" of the imperial monetarist sort simply will not do as Confetti's replacement. The U.S. rather needs, say, a leading plasma physicist with considerable knowledge of American history leading the Fed. Thus, when the new Fed chair appears before Congress to deliver the Fed's annual "Humphrey-Hawkins" testimony, the body politic can be intelligently guided in physical possibilities further offering to geometrically increase mankind's capacity to harness power in pursuit of limitless growth. This person should be able to profusely convince Congress there positively is no need to kill grandma and grandpa in order to save the nation's finances. He or she would understand the only thing Fed credit is good for is promoting mankind's greater mastery over nature. Any other use of Fed credit is an act of treason (thereby leaving Confetti with a 27 trillion count indictment to answer for).
I don't know how you feel, but I am tired of suckers who believe today's Fed is nobly intentioned. How so many witting dupes fail to see a United States (along with every other sovereign nation on the planet) being led straight into a trap by uniformly incompetent financial authorities simply is mystifying. Just how many more days remain before some nefarious intrigue precipitates a catharsis threatening collapse of the global dollar reserve system no one can say. Although only a reasonable guess is this possibility that, mere days remain until a systemically threatening crisis breaks into the open, an end culminating in chaos is just brimming with precedent. Indeed, the many prior instances of nefarious intrigue throughout American history, alone, hang the name "sucker" high above a frightfully clueless majority, some of whom possess impeccable credentials no less. I have said it here before and here will say it again: 2008 was the beginning of sorrows, not their end. The Fed's only success has been to condition the minds of a woefully clueless majority to blindly overlook the many grave risks threatening to bring down the trans-Atlantic banking system in an instant. Indeed, these risks are only the more fearsome now that lenders of last resort are "all in."
We can go all the way back to 2008 to find the market at considerable risk many more times than not whenever momentum of the CBOE Put/Call Ratio has come in to its current reading (see MACD, bottom panel). Apparently the bankrupt pricks finally hit up the Bank of Japan for juice needed to keep up appearances, at last sinking the put/call ratio below its 200-day moving average ... which we see still is rising in fact. So, we've got that going for us.
Obviously, we won't get excited about any negative market prospect until the CBOE Put/Call Ratio's momentum crosses back into the positive. This likely will happen in a mere matter of hours, as the market's advance off its June bottom is quite stretched by all technical accounts (finding several measures negatively diverging versus May peak, and so putting more feathers in our bearskin cap)...
* * * * *© The Risk Averse Alert — Advocating a patient, disciplined approach to stock market investing. Overriding objective is limiting financial risk. Minimizing investment capital loss is a priority.
Analysis centers on the stock market's path of least resistance. Long-term, this drives a simple strategy for safely investing a 401(k) for maximum profit. Intermediate-term, investing with stock index tracking-ETFs (both their long and short varieties) is advanced. Short-term, stock index options occasionally offer extraordinary profit opportunities when the stock market is moving along its projected path.
Nothing is set in stone. Nor is the stock market's path of least resistance always known. More often than not, there are no stock index option positions recommended.
There's an easy way to boost your investment discipline...
Get Real-Time Trade Notification!