The outsiders make…the insiders take.
Nothing much happened last week. Except that Ben Bernanke told investors that the fix was in…and the stock market went up. The chief of America’s central bank told the world that he was prepared for more QE whenever it was needed.
When will it be needed? When the stock market goes down!
So, why not? Why not buy stocks? What can you lose? If they go up, you keep the gains. If they go down…ol’ Benny will be there with wads of cash to buck them up.
Cash…cash…cash… How much do you need?
A million? A billion? A trillion? Hey, the sky’s the limit. Bernanke is ready. As much as you need…when you need it.
After so many years of fixes (it’s been 5 years since the subprime crisis began) we’re getting to know how the fixes work.
Let’s start with the money. When a fix is needed, the feds come up with money. But everyone knows the feds are broke. So where does the money come from?