1929 – 2019….FED VS. LARRY FINK…..AI “WHO” IS IN “CONTROL” ?!
Did ya all…scream that out like Abbott and Costello…WHOSE ON FIRST ? Thats how I meant it and yes you would have to have seen the film.
In 1929 the capital bets into side casino betting upon WHICH WAY asset classes in the big board stocks may go became many times greater capital than the market. With the economic weight of such imbalance – the value of the SUPER BUBBLE created burst. Due to loans on the investing – when margins or loans on stocks or bonds were called by lenders – institutions and banks failed collectively. It require more than a decade of massive never seen before and never seen after PUBLIC WORKS and a WORLD WAR to bring the nation back into growth and prosperity. A cost of economic mis management in 1929 over 100 million lives were smothered out.
Today the market is nothing like 1929 however it is also everything like 1929. This makes keeping score drastically in need of new algorithms the world has never grown before. What gives? What is so damn different?
THINK- when markets are out of control who tells you? The Fed in 2007? The Government in 2007? The Criminal brokers and criminal bankers in 2007. Who TOLD YOU about the Mortgage SUPER BUBBLE and why did that GO OUT OF CONTROL.
As my readers are busy and want the meat without bread – I won’t write a book on this but I would like to. Markets were set up as we know them today in London and the USA around a tree – with goods being traded on paper promises by buyer and seller and for markets in stocks and bonds ( not that many where listed and there as NO SEC remember ).
As we started moving from paper boxes and files, the 1920’s became the dawning of the age of SUPER CHANGE. The age of the telegraph, and the telephone, now moved information with automation that was the stuff of science fiction on that buck board in 1905 in Pittsburg. A bit later in time and that river turned out steal for our cities dames bridges and no one wanted to be seen in any of the new cities in the roaring 20’s of the 1920’s without a fine hat for ladies and gentlemen always in street attire. It quickly got more casual as folks exited the cities in reverse migrations following news of JOBS wherever they might be. Millions resided in shanty town tent cities. It all happened so fast. The blame for the failure of systems has not created a true fix. How do we know that?
Well. We know THAT because in 2019 the scale and demographic of every nameable asset glass upon the earth is many many x more DEBT more leverage and more of a scale %%%%%%% to the stake holder market. For every dollar invested in the stake holder market ( real economics ) up to 100 dollars are invested in CASINO CAPITALISM that is driving market value and prices.
Human beings are no longer involved. The market is real time. The Market is 24/7. The Market is global and the sun never sets on THE market today. The Laws are local. The Trades are AI placed in the cloud outside laws. AI is evolving. Trillions are being spent on AI each year to make AI smarter each quarter. Morgan is in AI Wars with Russia – and China and their state banks and investment banks, Saudi and MBS seek to assure oil prices remain high artificially using new AI to do it, AI controls real goods and real services. If annual stake holder investor circulations are averaging 3.5 to 5 trillion in 2019 and speculations ( at up to 50 to 1 leverage ) – as to WHICH WAY any asset price may go in the future dates and hours of time – betting all the way up and all the way down and profiting. AI reports where Morgan makes the most profit with its AI – other AI bids up Morgan Stock or Apple Stock for job well done – if leaders miss bit a tick that would NOT have depreciated value in price like AI does – the AI punishes error like no model of old economics.
The New AI global economic has zero regulation today. Zero check and balance. LACKING A NEW REGULATORY FRAME WORK – the core system of world trade is at risk for a system SUPER CRASH. The Super Crash as in 1929 and 2007 – occur without any warning at all. The Speed and length of the next SUPER CRASH may terminate the present system. An implosion due to debt defaulting cascades – would stop virtually all trade. A new system following a barter system would unfold. It would take years. World Wars are likely in this time frame.
No one wants this outcome.
Few today believe this outcome is likely. They point to countless theory and charts that all relate to an economy that has left them all behind. They are in a Billy Graham Revival Field – screaming and yelling with all their little hearts about the way to maintain and add fuel to the Model T Fords outside those tens. The AI guys dressed in white robes are trying to explain that they have beamed down from the star ship ENTERPRISE now in Earth Orbit. That the tools for the model T Ford and toxic in the extreme aboard the start ship enterprise. And it is like they could not hear them at all…..
No not tomorrow.
No not this year.
No not in two years.
But yes….at some point….AI and Markets lacking regulations exceed market tolerance for system stability. My long time readers here the phrase VAM – that in Super Change and the markets of today the pressure is always on VAM – Velocity Accelerating Momentum. IS YOURS? Whats YOUR VAM look like? Warp drive must replace petal to the medal in the new age of SUPER CHANGE.
IS your SUPER COMPUTER powered by your own neck – worth a billion trillion dollars – software upgraded. You upgrade your iphone and computer and pads. You don’t upgrade your SUPER COMPUTER? You play video games? Watch THRONE OF KINGS. ( Good show ) .
Think – invest today and diversify. I suggest diversified insurance investments because after 2021-2022 – we then or before move into trigger events to create debt defaulting cascading and that is the risk to the over valued over leverage markets of today in CASINO CAPITALISM. If you hear – this is nothing like before – nothing close….runnnnn !
Invest conservative. Protect principle. Make it work harder for you. discover your options.Never put too much into one market silo – not ever.
RISK TO THE SYSTEM:
- CAPITAL GLOBAL CONSOLIDATIONS – 1% Elties own more wealth than 99% of 8 billion of us.
- The pace of wealth consolidation is accelerating – 1.5 million super money pools in 2008 are now less than 10,000 with fantastically higher valuation and funds – 440 trillion under direct AI control no human – our global markets are all in a new model of AI economics the nations of the world have no experience with – first born 2014.
Jeff Bezo has more influence on markets than the FED. So Does Face Book . That shift with AI is accelerating. Their concentrated wealth IS policy for nations.
What you can know is that in 2019 the precise super bubbles and value drivers ( side bets on forward pricing in a leveraged casino capitalism – then without computers and AI. Today we have much higher % ratio of casino speculation and unwanted wealth consolidations than we had in the 1929 boom period until the bubble burst. What we have now in economics is the worlds largest supper bubble in all asset classes coupled to debt loads that are beyond any prior record. Due to AI SUPER CRASH could destabilize and risk market closures – at a more impactful global level than the Depression of 1929 ever hit.
But not yet.
I’ll bring you more on this – but the principles of:
- Fantastic Debt Super Bubbles world wide
- Value SUPER BUBBLE from speculation and AI price manipulations to all asset classes
- The lack of any AI regulatory frame work – as the change from humans to Ai took place in Super Change too rapidly for law makers anywhere to adapt. Today they apply old economy solutions to a new AI economy which such solutions ( normalizing interest by the Fed ) are toxic – too fast – too high each time – too frequent – almost caused SYSTEM TERMINATION it was closer than anyone believes. We have told you why here.
SO as the WEEK Starts we have the first quarter WHO CARES reporting – because 70% of the WORLD was in WINTER. The markets will reach new highs this summer as the second quarter math confirms – there is NO GLOBAL SLOW DOWN AT ALL – it is a booming world. GO ENJOY but keep your investments like powder dry and high.
Berny Dohrmann – WITH THE NEWS YOU JUST WILL NOT HEAR ON CRAMMER – HAPPY EASTER CRAME