Just quoting myself in another thread, of some random thoughts and research iv'e been doing (not stock related but more so economics). Figured i'd post it here aswell.
It seems like you are green, so i wasn't going to comment on what originally posted, although his comment has a great deal of validity to it.
Quantitative easing (video) | Khan Academy
TDLR: Fed Buys Long term treasuries, which increases the supply of USD in circulation, because the FED prints the $ used in these purchases.
Here is a picture of the M2 Money supply Vs. S&P dating since 1980. I see you STEM in your profile so im assuming you are aware of the 2nd derivative. So peep your assumed 2nd derivative of M2 (blue line), versus the S&P. The idea of QE, and a whole gang of other tricks the FED has up their sleeve, is artificially propping the markets is not a "crazy idea", shyt, most professionals ASSUME that.
In fact, here the what people call the dark pool. Pretty much the dark pool is the exchange that hedge funds makes trades. After all, retail traders (you and I), might make 10k trade here and there, hedge funds makes trades in the billions.
sqzme | Dark Index
post picture
The Blue line signifies Dark pool net buying, a reading of 45%< shows more hedge funds are buying stocks than selling. March 20th the reading was 36%, by march 26th it was 46% (3 days after QE infinity was announced).
But to get back to a point i want to make. and truth be told should be posted in that thread "What stocks are we buying on this dip"
Nine Charts about Wealth Inequality in America (Updated)
These are charts of wealth inequality in America, notice how shyt really hits the fan during the 80's? Even more so in the 90's? (go back to M2 money supply).
TDLR: If you made money on stocks buying this dip, thank Jerome Powell/Trump/Munich
If in 20 years, your complaining about further wealth inequality, thank Jerome Powell/Trump/Munich
So, let me know if i need to explain anything in more depth, touch upon other topics.
It seems like you are green, so i wasn't going to comment on what originally posted, although his comment has a great deal of validity to it.
Quantitative easing (video) | Khan Academy
TDLR: Fed Buys Long term treasuries, which increases the supply of USD in circulation, because the FED prints the $ used in these purchases.
Here is a picture of the M2 Money supply Vs. S&P dating since 1980. I see you STEM in your profile so im assuming you are aware of the 2nd derivative. So peep your assumed 2nd derivative of M2 (blue line), versus the S&P. The idea of QE, and a whole gang of other tricks the FED has up their sleeve, is artificially propping the markets is not a "crazy idea", shyt, most professionals ASSUME that.
In fact, here the what people call the dark pool. Pretty much the dark pool is the exchange that hedge funds makes trades. After all, retail traders (you and I), might make 10k trade here and there, hedge funds makes trades in the billions.
sqzme | Dark Index
post picture
The Blue line signifies Dark pool net buying, a reading of 45%< shows more hedge funds are buying stocks than selling. March 20th the reading was 36%, by march 26th it was 46% (3 days after QE infinity was announced).
But to get back to a point i want to make. and truth be told should be posted in that thread "What stocks are we buying on this dip"
Nine Charts about Wealth Inequality in America (Updated)
These are charts of wealth inequality in America, notice how shyt really hits the fan during the 80's? Even more so in the 90's? (go back to M2 money supply).
TDLR: If you made money on stocks buying this dip, thank Jerome Powell/Trump/Munich
If in 20 years, your complaining about further wealth inequality, thank Jerome Powell/Trump/Munich
So, let me know if i need to explain anything in more depth, touch upon other topics.
