Posted on 06/08/2009 1:24:19 PM PDT by Juan Medén
Yesterday one of our members asked the question why the stock market continued to rise even though we have been and are being bombarded by bad economic news. Over the last few weeks I have noticed that on several occassions the stock market has been in negative territory near closing when, suddenly, a surge occurs just before closing to send it into positive ground. It would take a finer analysis than I am capable of but it did occur to me: What are the billions of dollars in TARP funds being used for? We all know what importance is attached to the stock market in the public eye. With the lack of accountability being exercised over the TARP funds, it would be easy enough to simply move those billions for selective buying to keep the stock market from reaching its real bottom. I wouldn't put it past this corrupt administration to use TARP money to keep the stock market rising. Just a thought. It would take someone brighter than myself to turn it into a theory.
Going up?
Well, (for me anyway) all it has to do is grow 33% to be where it was the day Barry was elected.
My apologies to E Pluribus Unem. He was posting while I was writing.
‘corrupt administration to use TARP money to keep the stock market rising.’
The PTT worked for the previous Admin and now this one.
Socialism is socialism, no matter if they are a R or D.
er..PPT
Fool!!
I always suspected the Clinton administration of manipulating the market in the ‘90s to create the “bubble” that burst around 2000 (?). I trust the Obama administration even less than the Clintons. This would explain how/why they won’t tell anyone about how TARP is being used and by whom.
Summer Rally. It happens nearly every year.
I wouldn’t put it past this corrupt administration to use TARP money to keep the stock market rising. Just a thought......
I put nothing past this group! I don’t have a dime in this market!
Because Soros wants to instill false confidence in Obama, just like he tanked the market after McCain’s poll numbers gave him a double digit lead in September.
Theoretically the DJIA could be moved somewhat with the 700b of TARP, but that’s only a drop in the bucket for broader indexes. This is absurd.
Don’t have proof but Soros has entered my mind many times when this subject comes up. It *is* his forte, after all—ya know, propping up and collapsing regimes.
Being in the market is purely a casino experience these days!
You're not the only one to notice this. I lurk on some economics forums and blogs and they've noticed this also.
I believe one said it was Goldman Sachs doing these at the last minute. So, if true then it would indeed be TARP money, right?
West coast hedge fund here and several fund managers in this office space have talked about the same thing. If the whole world is seeing UFOs can it really be a weather balloon? :)
Now that deficits are ballooning and the G2 supply is at an all time high (printing money) then anything but cash is more safe than cash.
Stocks will rise because of this movement of liquidity -it has to go somewhere - but the stock market rise is very likely to be short lived.
This story couldn’t be related to the previous story about the 9 trillion dollars unacounted for in the federal reserve could it?
This disaster can only get worse! I believe that when the country turns on these chuckleheads they will crash the whole system. I think they are gearing up to the point where they can take the country either way. If a majority refuses to go along with his agenda he will take America down. They do not want to see the capitalist system rebuild itself ever!
NO !!!
Ignore the man behind the curtain!
Ummm, time for a Securities Markets 101 lesson here:
Mutual funds trade at the close. Huge moves in the last few minutes of any trading day, regardless of direction, are almost always attributable to mutual fund trading. Sometimes there are weird patterns because large chunks of mutual fund holdings are 401k accounts nowadays, and generally require at least full day’s advance notice from the account holder to change allocations, so the trade requests are based on day-old news, not the market news of the day on which the trade occurs. Also, many employers are investing 401k contributions on the same day, twice a month, or for some employers every other week, making for additional chunky moves in mutual funds that are commonly in 401k menus (especially S&P 500 index funds).
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