Read the Beforeitsnews.com story here. Advertise at Before It's News here.
Profile image
By BARRACUDA (Reporter)
Contributor profile | More stories
Story Views
Now:
Last hour:
Last 24 hours:
Total:

1929, 1987, And 2013: Three Of A Kind?

% of readers think this story is Fact. Add your two cents.


By Jeffrey Cooper    May 17, 2013 

 

Minyanville
 
Editor’s Note: The following is a free edition of Jeff Cooper’s Daily Market Report. For a two-week FREE trial of his daily commentary and nightly day and swing trading picks, click here.

And as I sat there brooding on the old, unknown world, I thought of Gatsby’s wonder when he first picked out the green light at the end of Daisy’s dock. He had come a long way to this blue lawn, and his dream must have seemed so close that he could hardly fail to grasp it. He did not know that it was already behind him, somewhere back in that vast obscurity beyond the city, where the dark fields of the republic rolled on under the night.

Gatsby believed in the green light, the orgastic future that year by year recedes before us. It eluded us then, but that’s no matter—tomorrow we will run faster, stretch out our arms farther…And one fine morning — So we beat on, boats against the current, borne back ceaselessly into the past.”
-F. Scott Fitzgerald, The Great Gatsby

When coming events cast their shadows before, those shadows fall on the New York Stock Exchange.
-William Hamilton

Coming events usually, but not always, cast their shadow, as Mr. Hamilton says.

There are times where things can occur outside the understanding of the markets. But usually, the market reads the tea leaves of the Great  Spiritus Mondi and is more prescient than any one man or any group.

Therein lies the attraction of those who have sought to outwit and beat the market. It’s the grandest chess game of them all — a 3-dimensional chess game, if you will.

Mr. Market has the best antennae, the best radar of any one person or any one group in sensing what is ahead of it.

While the best study of the markets is a study of the markets themselves, the markets are not foolproof predictors of coming events in the markets and in the economy. Not since 1913 anyway, when the free market system met The Cooler.

The market crash in 1929 may not have caused the Great Depression, but it predicted it.

Bernanke, the great student of the Great Depression, came on the job just before the crisis hit in 2007, almost as if the powers that be ‘knew’ what the agenda was and brought on the Great Mathemagician to “make sure the Fed would not make the same mistakes it made in the 1930’s”, as Bernanke himself put it years before the crisis.

Yep, this was our boy.

In 1987, following another boom and crash, there were more than a few folks around who noticed the similarities in the market to the pattern from 1929 — some before the fact, some after — who thought it might lead to another great economic contraction.

Enter the Maestro.

Then in 2008, we got a slow-motion train wreck. Enter the Bearded One. While the Fed clearly thought the issues that led to and exacerbated the crisis were contained as it was in front of their face, Bernanke wasn’t about to make the same mistakes as the Fed in 1929, right?

No, if the Fed was going to make mistakes this time, it was going to be a whole new deal.

So while the market  itself may be the best predictor of coming events, since 1987 and the big Greenspan Put and especially since 2009 and the really big Bernanke Put, what does the market know and when did it know it? Can we trust price?

Today, it seems that big money is investing virtually entirely on the premise and assumption that the Bernanke Put and the Fed will save the day as long as everybody plays along and stays in line. Don’t fight the Fed isn’t just a saying now; it’s become a neon maxim lighting up the sky as if in some psychedelic world of investing where Timothy Leary is Chairman of the Fed.



Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Please Help Support BeforeitsNews by trying our Natural Health Products below!


Order by Phone at 888-809-8385 or online at https://mitocopper.com M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at https://www.herbanomic.com M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at https://www.herbanomics.com M - F 9am to 5pm EST


Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!

HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation.

Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.

MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)

Oxy Powder - Natural Colon Cleanser!  Cleans out toxic buildup with oxygen!

Nascent Iodine - Promotes detoxification, mental focus and thyroid health.

Smart Meter Cover -  Reduces Smart Meter radiation by 96%! (See Video).

Report abuse

    Comments

    Your Comments
    Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

    MOST RECENT
    Load more ...

    SignUp

    Login

    Newsletter

    Email this story
    Email this story

    If you really want to ban this commenter, please write down the reason:

    If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.