The Market tanked last week. This especially significant because it was the first week of the new year. Is this event rooted in the dark days of the past. Experts believe it is.
While we were sleeping. In 2009, you and I were having a nightmare. We were pretty busy dealing with lost jobs and trashed 401K accounts at that time. In fact, nothing has been quite the same since.
According to Richard Fisher, recently retired CEO and President of the Federal Reserve Bank in Dallas:
“What the fed did, and I was a part of that group, what we did was, we front loaded a tremendous market rally staring in 2009, in March of 2009.”
The banks were bailed out, the Fed dropped lending rates to zero and started printing money, and the market roared back to life. The rest of us lost our jobs and our savings and were reduced to debt peonage with our short term zero percent credit cards that will turn into pumpkins this year when the Fed starts raising the rates for the banks.
According to Fisher, the Piper has now come for his payment. It isn’t a big deal.
“We had a tremendous rally and I think there’s a great digestive period that is going to take place now. And it may continue.”
Is he sorry for what they did?