DOW, Nasdaq, S&P, plunged to negative territory sending everyone into panic mode! France’s market, Germany’s market, Canada’s market all followed or led – doesn’t really matter because the selloff was global.
Saudi Arabia’s credit was lowered to negative in response to oil tanking to near $40 a barrel. Silver slipped, copper slipped and gold hedged upward a bit.
More migrants losing patience and turning violent.
North Korea threatens South Korea.
A former UBS and Citibank trader was jailed for libor manipulation.
BP manipulated the natural gas market.
The silver inventory market for taking delivery – is being manipulated.
Currency manipulation, market manipulation, insider trading, we read the headlines and don’t process the words.
The boy’s games are imploding.
The Big Boys have been accumulating their stashes, waiting for the inevitable, taking advantage of a public that wears blinders and pretends everything is just fine. Blame it on China…the pundits decry – But, in fact the oil market was a hefty driver of the global economy and when we started messing with it in order to tank Russia’s economy we risked exactly what we reap today. An uncontrolled spiral.
MarginsMix – A Nix: The US is well aware of the margin call phenomena – pushing algorithms to their limits, computer trading has the effect of heightening losses as the computer generates automatic sells and calls based on math rather than emotion. With the Chinese market soaring to unlimited heights, 150% upticks and flyers, they thought joining the margin world was a good investment option. Add to the fly that every Yu, Hu and Hong joined in the frenzy with little knowledge and less logic, the China market began to waver. And as the waver turned into a tsunami, little earthquake tremors began to surface around the world.
Ethics no longer play in the big game. Greed rules. And when the manipulation travels without a passport, ultimately it leaves a trail of death and destruction along its path before the earth swallows the mud and spits back fire. Each time, a new greed is manufactured; libors, derivatives, micro-lending, anything to hijack a new manipulation, the old is left to die and the new becomes the game. A game of thievery – Pacman – and whoring.
Who is to blame? We all are for allowing it, for jumping on the bandwagon, for voting for government officials who we know are corrupt, dishonest, fake, fraudulent. When we think that lying and cheating aren’t wrong because everyone does it, we are to blame. When we think that casualties of war and strife are worth nothing more than a noncommittal shrug, we are to blame.
So the market is tanking… don’t see a lot of job growth coming out of that Mr. President. Oil tanking, a lot of layoffs Mr. President. We wanted to cripple Russia and ended up crippling the global economy. Not the brightest move Mr. President.
When we lose our ethics, just as when we lose our morality, we lose ourselves. So if you really want to point a finger, point it back at ourselves, not at China or Russia or Venezuela or Brazil or Yemen or Syria or Sudan or Egypt or Turkey or Qatar, or anywhere else. Because our priorities have turned topsy-turvy and left us with empty hearts, empty bank accounts, and empty lives.
When something goes up disproportionately, you can bet it will come down disproportionately.
Margins are debt. Debt kills. So be careful what you ask for – you just might get it…going – going – gone.
Like a Bridge Over Troubled Water…