johngonole

Why the Bulls Are Skating on Thin Ice

I've been quite perplexed myself at the strong stock market surge since March. I've been so perplexed that I've even in my head entertained the notion of a coordinated effort between media, govt, etc.. to convice everyone that things are improving. Could the stock markets rise be engineered by those who need things to improve? Is the FED buying stocks too. Kind of like a way of convincing people to spend again.

I can't help but notice how when republicans are in power we have talk through out the media of just how awful things are (even when unemployment was below the natural rate of employment and people were crashing over the border for all the under the table jobs) yet here we are with the worst numbers I can remember and the media puts a positive spin on everything. All the sudden there is a silver lining in all dark clouds. Where as before any small spot of clouds in the sky on a bright sunny day was repeated over and over.

Of course media bias is one thing we've all known about for a long time. But the stock market rise can't just be from the media's positive spin. I'm just wondering if the govt and/or Fed having been spending their capital buying stocks.