Computer programs and high frequency trading control the world’s stock markets as retail stock buying has evaporated.
We see almost daily central bank intervention in the world’s currency markets.
The Federal Reserve and the European Central Bank continue to support (aka buy) U.S. Treasury and European bonds to support runaway Sovereign deficits and keep interest rates from spiking.
Our markets are no longer free – and haven’t been for some time. When does the house of cards fall?
jg – June 1, 2010
Another Blatant EUR Intervention Leads To 150 pip EURUSD Move In Seconds
Submitted by Tyler Durden on 06/01/2010 09:35 -0500
With all the grace of a drunk Keynesian at an Austrian economists meeting, the Central Banks once again kill the EUR shorts and intervene to prop it up, for a ridiculous 250 pips intraday move. And thanks to Germany’s Economics Minister Rainer Bruderle, we now know that the Fed is actively manipulating the FX pairs. Thank you Ben Bernanke for making sure that Atari has some confidence left in the manipulated market, as no humans are left any more.