The market is decoupled today from the economy. That said, the forces driving he market are crazy animals. The institutions are the only ones playing. The market today is one chaps computer software playing Russian roulette against the other chaps software. This is game theory wherein the casino capitalism market is now in the death spiral of software trading that is no longer linked to human anyalytics.
Said another way, the business to business activity, the small business volume index, the global retail sales “math” from China to EU to Africa to South America to North America is not moving into recession. Far from it. Sales are not crashing in large ticket items to base line office supplies. Investment in growth, from office space to plant and equipment is unfolding on longer term plans and proceeding globally.
Geopolitical manipulations between Russia and the USA between Iran and Saudi between the EU and its internal dicey politics, are all unfolding without coupled effect to the real economy. The real economy is not crashing in confidence. IT has DECOUPLED from the drama of the market.
The great market crash of 2016 has resulted in giant fart. A huge business SO WHAT. A yawn. Everyone is doing business as usual. No one is even talking about it. The Election economics are even weird. Rating on Presidential debates are falling to lowest levels ever. Funding is slowing and drying up. It is like NO ONE CARES. The country believes “they are all bad and far from what we need”. All of them.
The market as I stated in January is now decoupling from OIL. The real economy has decoupled from the market. The new markets are forged by record low number of actual individual traders playing – with fantastic leverage and borrowing driven by computer index buying in a new form of digital casino that is so far from the real markets of olden days no one even has an inch of trust or belief the markets are ACCURATE in representing real world conditions.
The profit taking all the way up and all the way down is internal to the software trading platforms. No one really cares anymore. Long term stock buyers pick individual stocks buy them and hold them and disregard the short term casino.
CASINO CAPITLAISM is truly here.
Crammer is no longer coupled to Papal powers of the magic orb of real insight to the markets. Crammer is relegated back to what he started as – the clown of wall street – a pure entertainer using Circus tricks to keep the audience buying mindless crap. No one looks at the entertainment as news and no one see’s anything in the reporting other than pure entertainment. We are laughing at the thoughts and opinions being expressed as they all come out purely wrong. Crammer and his tribe are now relgated to the alchamey of weather forcasters.
The Casino Capitalism is like the Weather in Chicago. Don’t like the weather – pause for 72 hours and the temperature will alter by say a swing of 50 degree’s. The Stock market in the casino format is 22 below zero and 72 hours later 75 degree’s by the beach.
The real economy has decoupled from the market place. Investment is no longer influencece by the casino. Lending policy is no longer coupled to the casino. In Fact the Casino is oceans of leveraged side bets at 400 to 1- ( 400 speculative dollars trading against 1 dollar of real market investing ) such that we are in 2016 at a new frontier. We are engaged in fully digital, absolutely obaque and not transparent, insider trading by alogrythem and virtual economic computer war fare one trading pool against the other, nations against one another, and everyone getting no real results working all in competition to one another.
A real market can not develop again without the cooperation of the G 100.
If the G20 try to take advantage of a cooperation moment the G 80 will see the casino move to their jurisdiction. It takes the entire world acting in cooperative concert to close down the casino, to return transparency for opaque trading via Shadow Banking, and to resolve the issues that brought casino capitalism in the first place.
The risk for casino managers is multiple. There is no history to assess unintended consequences from the actions being taken today. We are in a new world frontier. Economically.
The risk of losing any control remaining is high. A trigger event could create SUPER CRASH and a real contagion debt bomb unwinding that almost instantly initiates spread of real panic and a depression that fosters world war. If nations are engaged in a real non shooting economic war one might assess that 2008 was the financial pearl harbor and that the world is now engaged in real WORLD WAR III only it is non shooting as a war ( yet ) and remains digital warfare. One nation stealing another’s IP treasures. One nation stealing another’s essential security. One nation attacking the backbone – data – power – records – credit – financial trading – identity theft and more using weapons of digital war fare. All this takes place while trillions are lost by ordinary citizens as one nation seeks advantage against another.
As the distrust and on line war fare escalate there is risk of outcomes no one can fore see today. A first strike A trigger event that sets of a world ripple like the history books have never seen before because we never had the weapons we have today. The hair trigger going on as one nation attacks another is gaining pressure point.
Meanwhile as all this takes place in the dark, the market is operating in the dark as well. Manipulated as a rigged casino from interest rates to credit ratings, from fraud at the largest firms paying unthinkable fines for crimes they profited from committing – prices manipulated across the world – while the real criminals trading in Shadow Banking and in the dark make ungodly bonus incomes and prove CRIMES PAYS BIG TIME in 2016. It pays to be a criminal just be a big enough crook your way to important to jail.
TOO big to Jail is real folks. Nations are hostage to crooks. The casino runs the world. The law markets have failed all of us.
So “We the People” do our business outside their auspices. We have dropped out. 7 Billion of us. We are fiscal drop outs. We are not behaving as they expected. We are not paying attention to them. We are not helping them or participating with them. We are running our affairs with each other with our own integrity. We are doing real economics with one another and we have our own decoupled economic.
Today none of the Entrepreneurs are in panic or in crises. They are proceeding to grow their plans disregarding the phony casino altogether. Today the election is an entertainment. Today the casino is an entertainment. We do not trust or believe they are telling us the truth. We GOT THIS.
The phrase comes to mind every inner city child knows so well in their bone marrow – which expresses how 7 billion of US feel around the world.
FUCK EM !
Berny Dohrmann – Chairman
PS: Is that politically incorrect?— February 14, 2016