The Market

"The Market"

As was stated, the end game will effect, not just the investors but all of us who have been complicit in accepting something for nothing through the credit card and cheap loans. We all lived beyond our means and now its payback time.

Obviously there is a difference between the investor and the ordinary Joe who bought what he was offered through clever advertising. 

The financial institutions offering credit to kids out of school with no job, offering mortgages many times the traditional barometer of what one could expect a borrower to repay, all to feed a credit hungry market, so "they" could trade.

And  now to add injury, they the market are demanding all kinds of financial austerity on the very people on whom they showered credit !!!  Its obscene !!!   

When of a certain age and background, one reflects on ones childhood, of a time when there was no credit and in fact "credit was a dirty word" in many households. When making ends meet was a national pastime for the bulk of the citizens but when the social fabric of the society made everything seem, OK.

Of course through the propagation of the cult of self  and its hand maiden consumerism we have created a,  must have it now  and,  I am nothing without it, citizenry.

I would challenge the markets to do their worst. Their worst would also irrevocably ruin the Market and the people behind the Market,  there would be few winners !!

In the days of the nuclear stand off the sheer size of the calamity facing us as a civilisation meant that it was in no ones  interest to pull the trigger.

Could the markets afford to wait for their repayment  -  yes,  if structured over time allowing an economy  to recover.  What purpose is gained by piling on the debt by increasing the interest rates on moneys borrowed and required to pay for current expenditure. Other than to teach a lesson.   Debt rescheduling has to be the answer.

Why do we need growth.  Growth is the mantra of the Market. Growth at all costs. 

What about a Pause, what about re educating the consumers that it is better to postpone a purchase until you can afford it.  Wouldn't that provide the balance that society and ultimately the markets need.    

Are we in fact driven by the devil its self, the money market.  

Trades,  not in a proper relationship to"company balance sheets" and the goods they manufacture but to a market made up of minuscule movements in the pricing of the Market Exploiting these variables,  not  investing in the true sense of the word but by  placing a "bet" on the movement of shares generally.

Can we not separate the Commercial Bank from its Investment Bank side of the business and allow the Commercial Bank to make normal profits from normal business. The inevitable fall in income as growth falls would not be multiplied by the bets that would be laid, as the Market fell to a proper sustainable level. The roulette wheel would have less punters and eventually die a slow death.

Readers will say I don't understand what current financial markets are about. I have to reply.  We  had markets in the past that served business and industry, a purpose for which they were created. They served us well and we should get back to them as quickly as possible !!!