Archive for August 24th, 2009
By; Jeff Nielson
As U.S. equity markets have mounted a huge, phony “rally” based on nothing but hot air from the propaganda-machine and Plunge Protection Team manipulation, one fact has seemed to defy explanation to myself and many other commentators. How have these Manipulators been able to push U.S. markets this far above any rational valuations
With another report out today showing that “insider selling” has continued to accelerate throughout this entire “rally”, the people who know these companies the best are demonstrating in the clearest possible terms how grossly inflated U.S. equity valuations have become.
Meanwhile, the hard data on the U.S. economy (i.e. numbers which can’t be falsified) show that the economy continues to plummet downward. Thus, the “big picture” confirms the signal which insider-selling has sent to markets.
I, and many other commentators have made continual, disparaging references to “market sheep”, who have apparently allowed themselves to be herded and directed effortlessly by the PPT. Yet, at the same time, we were all flabbergasted that these huge equity markets could be so completely dominated by this “herd mentality”.
What finally struck me over the weekend is that the answer has been sitting right in front of my nose all this time. I have referred on many occasions to Chris Martenson’s stunning analysis/presentation which he has titled the “Crash Course”. Among the nuggets of valuable data was a breakdown on the disgusting wealth-distribution numbers for the U.S. population.
With 80% of the U.S. population holding only a minute 15% of total wealth, this means that just 20% of the U.S. population holds 85% of all wealth. However, the even more shocking numbers are the obscene pools of wealth held by the wealthiest 1% of U.S. society. This microscopic segment of U.S. society holds 35% of all wealth, and even more stunningly, they hold 55% of all stock.
