“There is too little economic risk-taking, and too much financial risk-taking.” ~ Christine Lagarde
By Catherine Austin Fitts
The financial news is full of fear (like all other news these days in response to a wide selection of fear mongering boogeymen) regarding the drop in the US equity markets. We are long overdue for a 10-20% correction. The last three years have been surprising for the absence of volatility in the broad market indices. Some of us now associate market drops with 2008-2009 swan dives as opposed to natural market consolidations.
If the global economy has one problem it is that the efforts to institute global control are throttling the functioning of markets and animal spirits. That weakness is in turn compensated with more monetary infusions directed into the pockets of those who are trying to control. Hence, we see strong profit reports from the large financial players this week.
Is the global financial system a battle zone or a mechanism for pricing, liquidity and transactions? Time will tell.
In the meantime, a correction is underway. That is a healthy thing. That is what markets do. They go up and down. If we want them to go up again, we would be well served to invite the war machine and the boogeyman media machine to take a break.
What you and I can do is to refuse to take them seriously.
