Central banks are printing funny money like water. The last few financial crisis led to rules on stocks and other creative accounting laws to be changed for the banks. Now when you have central banks pumping trillions into the world economy. They dont just give this funny money away. When lockdowns, etc started back in May, the central banks were buying assets at a rate of $2.4 billion per hour. Most of the growth is concentrated in growth-focused tech names, and the market cap of the FAAMG (Facebook, Amazon, Apple, Microsoft, Google) stocks now exceeds that of the entire euro zone equity market. The Federal Reserve intervened in the corporate bond market for the first time in its history. Sidestepping the legal barriers of its mandate, the Fed - with an assist from BlackRock Inc - has financed the Treasury's purchase of bond ETFs. The Bank of Japan has become the largest holder of Japanese stocks with a portfolio of $434 billion.
The stock markets will continue to grow beyond the realities around them as central banks pump more and more fake money into the system and use the money they created out of thin air to buy assets for themselves. The markets are disconnected from reality and do not reflect the strength of the economy or savings of people or investment realities anymore.
Central banks are printing funny money like water. The last few financial crisis led to rules on stocks and other creative accounting laws to be changed for the banks. Now when you have central banks pumping trillions into the world economy. They dont just give this funny money away. When lockdowns, etc started back in May, the central banks were buying assets at a rate of $2.4 billion per hour. Most of the growth is concentrated in growth-focused tech names, and the market cap of the FAAMG (Facebook, Amazon, Apple, Microsoft, Google) stocks now exceeds that of the entire euro zone equity market. The Federal Reserve intervened in the corporate bond market for the first time in its history. Sidestepping the legal barriers of its mandate, the Fed - with an assist from BlackRock Inc - has financed the Treasury's purchase of bond ETFs. The Bank of Japan has become the largest holder of Japanese stocks with a portfolio of $434 billion.
The stock markets will continue to grow beyond the realities around them as central banks pump more and more fake money into the system and use the money they created out of thin air to buy assets for themselves. The markets are disconnected from reality and do not reflect the strength of the economy or savings of people or investment realities anymore.
thats what i call stonks