That's a strategy. You know why Amazon is doing that don't you?
It's called hypergrowth. That's why Amazon is now larger than Walmart.
Plus the Fed buys Treasury Bonds not stock. Do you have a source for their $50b a day of T-Bond purchases. I am certain that is in error.
Thirdly, the DJIA is currently selling at a PE ratio of 16.79X and that is just about average...so the stock market isn't wildly overvalued.
I’m looking for the article reference for $50 billion for the ppt. Directly the Fed is not investing in the markets but it is doing it through the banks.
With respect to the American markets, back in 2008 the American markets were the last to go before all the others that were collapsing. The below article describes what markets around the world are totally falling apart. Things are just not normal.
Just read that they goosed the q3 GDP I think from .7% to 1.3% by giving out subprime loans for cars. So people who cannot afford cars are given loans on cars. They are doing same in housing.
Let me dig up the reference to $50 billion and I’ll send it to you.
At what point do they run out of the investment needed to keep a no profit affair going?