It has taken a long time, but I'm fairly convinced of the mechanics of this market. It is a bit manipulated, but like damming the Mississippi River, somethings cannot be stopped.
It starts with Greenspan in '87, where it ends? I don't know.
QE funnels money into asset markets. The shadow banking systems is more important than regulated banking. All assets, real estate, equities, fixed income, cryptocurrencies. There are more on this list, they are boosted by QE. The mechanism involves algorithmic trading and has been a turbocharger for Federal Reserve policy moves since the financial crisis. They know it and use it, anyone would. But how do you stop the party without a hangover? That's why I stopped drinking. Well that and God took the urge. Ok, just God. Credit where credit is due.
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