Dow Jones at all time high despite US being in a Depression

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This topic contains 2 replies, has 3 voices, and was last updated by Profile photo of Anonymous Anonymous 3 years, 9 months ago.

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  • #57334
    Profile photo of Anonymous
    Anonymous
    Participant

    It is really weird that the Dow Jones of the US stock exchange in New York has reached an all time, reaching levels not seen since before the 2008 sub-prime crash, and this despite the fact that many companies are reluctant to recruit new staff and wages are being cut and the US being in a depression since 2008.

    The high values on the US stock market is a reflection that the value of money, the purchasing power of money, is falling as a result of the money printing and QE of the Federal Reserve which is debasing the value of the Dollar.

    Some people are viewing shares as a safe haven from the World’s economic problems but it is all being fueled on an inflationary basis by the Federal Reserve’s policy of low interest rates and Quantitative Easing. The reality is that high share prices do not reflect the true state of the US economy which has been in a depression since 2008 and will continue to get worse and share prices is in a speculative bubble that is bound to burst when reality sinks in.

  • #116014
    Profile photo of katy
    katy
    Spectator

    All the stock markets are doing well. The UK has also gained all the ground it lost before the crash, However, Spain has a long way to go…it’s about 50% off it’s high.

  • #116018
    Profile photo of Anonymous
    Anonymous
    Participant

    Monetary Inflation is why but they should go for commodities instead.

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