SirKnight's - Aussie Stock Market Observation (rant)
Ok - everyone here on Steemit knows that world stock markets are rigged.
But in Australia - no way! No one would rig the Australian Stock Market right?
Well guess again!!
Australia's largest company 'Commonwealth Bank of Australia' (CBA) is being hammered by the market - down 3% today - probably on the back of news out this morning that it has allegedly been involved in money laundering for criminal syndicates and drug traffickers (as you do when you are a $130 billion bank). More info here:
And with the fall of the CBA share price we also see the other big banks - ANZ and Westpac down 0.5%, and NAB flat.
Telstra is also down. BHP is flat, RIO is about the only stock in the top 10 that is up.
And yet something is trying to make out that the Australian All-Ordinaries index is down a mere 0.2% at the time of drafting this post. What a load of rubbish!
My observation - don't trust indices! All is not as it would appear.
All we want is the Truth!
I am... SirKnight
Image:
https://www.dreamstime.com/stock-photo-exclamation-question-mark-businessman-holding-image41159971
They're all rigged all the time.
The sheeple tend to assume a good stock market equates to a good economy. Not even close to true. And this is used as subtle propaganda.
Money printing, corporate stock buybacks, Government and Central banks purchasing all make it a ridiculous casino trap for the unaware. If you know the game you can do well if not you WILL get fleeced.
Voted you with all I got bro.
Nice one SK
World has gone nuts mate and greed has consumed the planet! Paid you back mate - in full.
@sirknight, I highly recommend Simon Betschinger's QIX method (Quality Index derived from the DAX). Simon finds my highest recognition next to Warren Buffett, although Simon is a "minnow", but his work is excellent. If this was reapplied to ASX you derive a new index, your "own" index. Then you can "index" according to Jack Bogle, but without the big load of scum companies. Let me know if that helps. Unfortunately... my last walk to CBA looked like this: "Yes, but you guys don't have any money yourselves, you issue bonds every half year to compliment the losses you are making on overpaying dividends", and who knows how they evaluate their assets.
Ageed - the headlines profit numbers look good but drill down a little deeper and things start looking rather messy.
FYI http://www.smh.com.au/business/markets/fund-manager-hands-back-cash-to-clients-citing-looming-correction-20170529-gwfgua.html
Good point about manipulation. The US Fed can technically issue money to anyone in the world without telling anyone. They could be giving it to other entities to prop up markets, manipulate them or whatever.
And the Swiss and Japanese are printing as much money as they like to invest in shares in other countries - it is all BS. Why can't we print money Ted and buy shares with it?
This is so concerning as most people in AU are invested in the (rigged) stock market through superannuation. Thanks for the write up @sirknight!
No worries Msekh - thanks for dropping in.
With AU banks so exposed to the property market, and a rigged stock market putting the average Aussie's retirement savings at risk, sounds like gold and silver are the way to go. Oh, and Bitcoin !! :)
central banks caused the stock market crash multiple times. this is whats good about cryptocurrency, governments cant control crypto!
Hearing you cryptotraderz - agreed that a transparent public ledger must be the future.
Here in the states, every retiree has a significant portion of their retirement "nest egg" tied up in the stock market. Every worker that has a decent company job has their 401k exclusively in the stock market. If the stock market was allowed to ebb and flow as it's supposed to, Americans would pull their money out in droves!!! DOW 22,000 would instantly become DOW 2,200.
Been reading about and listening to stories on these 401k accounts - supposedly underfunded to the extent of hundreds of billions - perhaps even trillions. The working class is being screwed everywhere they turn now.
Thanks for stopping by sirstackalot.
SK.
Actually, it's the pension funds that are underfunded. 401k's are self funded accounts. Pensions, for the most part, have gone away, but the obligations still exits. Here is an example. Let's say I worked for the US Postal Service starting in 1960. I started when I was 25 and worked there for 40 years straight. All those years, "the company" put money into a pension fund for me so that when I retired, there would be this "pool" of money I could draw from for the rest of my life. Back then, people foolishly allowed their companies to save their money for them. Long story short, those companies either folded or never made payments to the pension fund and used the money for other purposes. Pensioneers = Screwed.
Now, we have these things called 401k's that allow us to take a portion of our income and save it "tax free" for when we retire. Most of that money is invested in the stock market (because that's where our advisers tell us put it......another long story). So either our companies make promises and renege, or we put our savings in the stock market and we get screwed.
Need I say more? STACK ON!!!
Thanks for this information sirstackalot! Tell me - can the 401k's invest in physical gold and silver?
nothing is ever what it seems :)
So it would appear Shelly - as unfortunate as this is.
If companies like Fastbrick Robotics get funded, then I know it's going to crack... this reminds me of "Der Neue Markt", a bubble that popped on trash. IAG is the only Aussie company I am still holding. If you calculate, all Aussie Banks are paying more dividend than their profits should allow them to. This thing is going for the drain, and I will be ridding myself of IAG as soon as I see fit.
https://www.iag.com.au/
Not even holding IAG now LD.
Yes I am concerned about Aussie Banks too.
SK
http://financials.morningstar.com/ratios/r.html?t=CBA®ion=AUS&culture=en_US
Look at that... Earnings per Share, Cashflow and Book Value development...
The only reason I am still holding IAG is because I am ultra-long BRK.
Time to start divesting out of the stock market i think
For sure @wakeupworldnews - have spend the past 7 months moving out of stocks into gold, silver and Steem ; )
Australia is not an exception. Everything is rigged in this world BTW. It ain't just the markets!!
Upvoted and RESTEEMED. I suggest you capitalize "observation" as well :]
Noted and done! Thanks MSG.