I have been watching our manipulated markets for over 15 years. The big change occurred in 2008 with electronic trading and with the emergence of digital currencies. Computers replaced real people in the setting of prices and values. Open Outcry was replaced by high frequency computers and electronic currencies. A good example of market manipulation is this commodity called SILVER.
Silver was trading at $48/ounce in 2011 and then manipulation of this PRICE started in earnest. Computer algorithms started setting the spot price of silver and this allowed select computer venues to MANIPULATE the price (so as to confuse traders and the public). It was most likely done to create support of our DIGITAL dollar which our Central Bank now creates via their master computer (with the click of a computer key). Price manipulation is done for a reason (to fool the public and the media).
Our monetary authorities need to FOOL the traders and the public so as to give this digital (imaginary) dollar some credibility. Monetary Central Planning is done so that our DOLLAR maintains its imaginary value for purposes of international trade. Historically, the American dollar was 'tied' to a commodity (originally this commodity was silver). The definition of our DOLLAR was 371.25 grains of pure silver at its origin. Thomas Jefferson was the originator of our American Dollar's definition (back in 1785).
In 1792, the Coinage Act of our Congress officially defined our dollar as 371.25 grains of silver. The idea of Thomas Jefferson was that our Dollar must be defined in terms of something physical (real). What (after all) is a Dollar with no 'definition'? It's a mere 'number' in our imagination. It's a digital unit of consciousness. It's a virtual unit of the mind. Today, we live with an 'imaginary' official dollar. Think of our dollar as a 'number', 'name', and 'symbol' ($1.00). What is a 'number' derived from my MIND? Is it a real/material THING? NO! It's a unit of my 'consciousness'!
Our Dollar today gets created via a DECISION (of the human mind) of our monetary authority (currently the Fed). This entity is responsible for maintaining the ILLUSION that our Dollar is solid and real. But it is all an 'illusion' of our mind. In reality, our Dollar ($1) is nothing but an 'imaginary' number (within our MIND). We call this unit a digital dollar. A digital dollar is also a VIRTUAL dollar (nothing real). Our monetary authorities have chosen to manipulate our dollar (the prices) via their computer (as this is now possible). It's all done in real-time using an 'algorithm' (so as to FOOL the public).
Yes, our PRICES are manipulated continually (now since 2008). The price of SILVER is a good example as this commodity is suppressed to give traders and the public the ILLUSION that all is well with our Dollar. In 2011 the price of silver reached $48/ounce in the spot market. This price could have gone to a $100 in short order if the market were in control of the price. Today, the price of Silver should be multiple hundreds. But the PRICE is manipulated daily by our monetary authorities (using a computer algo to suppress the price).
Prices and interest rates can be manipulated by our authorities (the Fed and our Treasury) with their master computers (hidden behind closed doors). It's all done to confuse and deceive traders, investors, and the public. It's done because these authorities understand that our money unit (the dollar) is nothing (pure imagination). It's a unit of their MIND (also called their consciousness). But WHO understands money today? Few to none (so it seems). A $$$$$$ (symbol) in the computer screen FOOLS nearly everyone.
Yes, Silver is manipulated for a reason. The 10 year Treasury note is also manipulated for a reason. As I write, the 10 year Treasury note is 3.44%. This rate should be higher than the six month rate (which is now 5.05%). What happens is that the 10 year rate is crucial for setting mortgage interest rates. So what do our monetary authorities do? They manipulate the 10 year rate down on purpose. It has been done for years and FEW seem to comprehend that this rate is manipulated. It's done to help with lending on real estate (mostly).
Yes, Silver prices should be $600/ounce today (not $25). If we had a real market where prices were set by real traders, our silver price would be HIGH (say $600/ounce or more). But our monetary authorities (the Fed and our Treasury) FOOL the markets with their daily price manipulation (using a computer algorithm). It's done to FOOL and deceive traders and the public (who can not discern what is happening in real-time). The vast majority of traders and the vast majority of our media and the public can not DISCERN what is happening. This allows for continual market MANIPULATION of prices (by our monetary authorities).
Shame on the media and the public for not being discerning on monetary matters. We live with totally MANIPULATED markets (and prices). It's all done to create an ILLUSION of prosperity. In reality our digital prices are DECOUPLED from material reality (production). What is a virtual dollar (in reality)? Our house prices are virtual. Our bond prices are now virtual. Our mortgage interest rates are virtual. All our stock indices are virtual. The whole house of cards is mostly VIRTUAL (within our consciousness). The lack of understanding is amazing! I have been writing on this issue for years.
Who comprehends the ILLUSION of money? Few seem to comprehend. This allows our FED and their proxies (like select authorities within our Treasury) to FOOL the markets with their continuing price MANIPULATIONS. Today, our stock indices go UP and UP (its been 14 years since our last RECESSION). It was 2009 when our stock markets bottomed. The number was around 6,469 at the time. Today, our stock indices (the DOW) is over 34,000. Has our economy given us 525% growth since 2009? Not in real terms (based on production of goods/services). We are living an ILLUSION!
We are living with virtual/digital prices which FOOL nearly everyone. Our monetary authorities use their ALGORITHMS to manipulate prices and interest rates. It's all done via the COMPUTER (electronically). Money is created out-of-nothing and our media and our public can not discern the monetary ILLUSION. Will all this END well? I don't think so! REALITY will arrive eventually! My sense is that our authorities will LOOSE control in the near future. Computer algo's will change price growth into price decline. It could happen tomorrow. Watch and discern. We live with MANIPULATED prices which fool nearly everyone!
I am: Donald B. Swenson, Economist/Philosopher, donaldswenson.blogspot.com.
http://kingdomecon.wordpress.com
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