Don’t count your profits yet – I know I sound like a drumbeat of doom, but the Obama Media is going to convince you that all is well because the stock market went up. In the big picture, the US Stock market is becoming more and more irrelevant to the global economy. Private Equity firms, sovereign funds and hedge funds are where the real money is.. What is driving the stock market up is that the dollar is losing value – As dollars become cheaper to buy, you can pay more for a U.S. stock and those two things offset each other. Interest rates also went up a bit today…. they probably didn’t like Geithner talking about the deficit and needed a tax hike – and then the White House saying no.
Who is in charge of things – the President or Barack Obama?
