Ouch! With the DJIA down over 500 points on Friday (the actual publication date of this article), only to be proceeded by drops week long, it really makes you wonder. Don’t worry – you’re not crazy. Stock market manipulation is possible, and I’m willing to bet it happens more than we acknowledge.
As proof, I’m going to show you how Yahoo and MarketWatch did on Thursday, August 21st 2015. Then if anyone actually knows the law would like to chime in, I would be interested in knowing if this is illegal ( I have a feeling it is). I hope to present this accusation in a clear and understandable fashion via video, images, and written opinion. Let’s get started.
What We Read About the Stock Market Affects Trading
Everything we hear and listen to affects our opinion in some way. Many times, if it comes from a source that seems legitimate, we will give value to that piece of information. While reading about stocks online from a trusted source like Yahoo or MarketWatch, you expect some level of sophistication. They are, however, professional news organizations:
Now, Stock Market Manipulation is a big accusation, so let me be more specific: Yahoo, MarketWatch, and Dow Jones did what is referred to as “Stock Bashing”
Stock Bashing: “This scheme is usually orchestrated by savvy online message board posters (a.k.a. “Bashers”) who make up false and/or misleading information about the target company in an attempt to get shares for a cheaper price. This activity, in most cases, is conducted by posting libelous posts on multiple public forums. The perpetrators sometimes work directly for unscrupulous Investor Relations firms who have convertible notes that convert for more shares the lower the bid or ask price is; thus the lower these Bashers can drive a stock price down by trying to convince shareholders they have bought a worthless security, the more shares the Investor Relations firm receives as compensation. Immediately after the stock conversion is complete and shares are issued to the Investor Relations firm, consultant, attorney or similar party, the basher/s then become friends of the company and move quickly to ensure they profit on a classic Pump & Dump scheme to liquidate their ill gotten shares. (see P&D)” – Source: WikiPedia
In this case, it was on large news websites (Yahoo and Marketwatch) like so:
From my understanding, all advertisements must be either clearly an ad, or notated as “Sponsored”, especially in news feeds.
Who Benefits From Stock Market Manipulation
So what is the result? When the DJIA drops around 1,000 points in a week. Financial companies like Fidelity and Scott Trade make tons of commissions in a volatile market – paid every time their automated system make a trade for clients. Groups that set up and executed the manipulation make money when it goes as planned by buying or selling stocks at artificial prices.
Who Losses From Stock Market Manipulation
I’m willing to bet a lot more people than gain from it. Think of all the productivity wasted my people checking their stocks at work. How much time does it take to process a trade, both physically and mentally? How much fossil fuel must be burnt to process these fraudulent trades? It is not productive for society, the environment, or the stability of capital markets.
What Do We Do About It
Stock markets can be a thing of good, spreading the risk and rewards of capitalism over the masses, and providing funding needed to shape the future for the better.
Manipulation preys on the weak, those that don’t know about how money, markets and capital work. Investors need to understand how business and the world works and not just rely upon news in general to shape decisions. The news can be manipulated as I’ve just shown you.
The question is did Yahoo, MarketWatch and the Dow Jones Company do so illegally?
Please leave your questions and thoughts in comments bellow and share to put a stop to Stock Market Manipulation.
Large corporations employ millions in the US, with their assets and earnings representing a large portion of the nation’s economy. Some say that it has lead to American prosperity; however, if you look around in a room full of your peers, you may find it hard to find someone that it has led to theirs.
Big business takes money out of circulation and is inefficient at distributing wealth throughout the economy. You can see this through centralized pay roll in large, multi-state corporations with employee tax withholdings, paid quarterly to the IRS, topping out at 39.6 percent in 2013. That’s not including the Medicare and Social Security withholdings, in addition to state income tax withholding where applicable.
Then there are waves of monetary resources funneled into the stock market each pay period; artificially induced by pre-tax incentives through 401k, pension plans and such. These “investments” come directly out of millions of Americans paychecks before they are deposited into their bank accounts.
All this equals cash flow in the large corporation’s coffers. The government doesn’t care, as they get a nice monthly and bi-weekly kick of payment for tax. Small business never sees any of this cash flow.
It seems like politics are abuzz with talk of “Jobs”. “We have to create more jobs, it will save us all” is how we could all agree to summarize what we’ve heard. Why are we always talking about job creation and growth rates?
It is simply nothing more than the sources we hear about jobs from and their interests in creating jobs in which lies the reason for all the noise. Large corporations, the government, and the media they sponsor get their power (cash flow) and profits from employing people. Employing people for the lowest price and pushing liabilities away from revenue equals high profits.
Regulation of employment and general citizens is the government’s job, and oh do they do it well. The Affordable Care Act taking affect now forces every citizen to get insurance or pay fines. In essence, it is a fee for life. This money is mandated to go into the insurance companies (large corporations and banks) ledger each month first, without providing any service; without providing money to local healthcare providers. Sure, the local sales agent gets a rip, but even they too are more frequently becoming corporate employees.
Centralization of Capital
Of all the horrors mentioned prior pale in comparison to that of centralized capital. When large corporations and governments are allowed to operate, they tend to act in their own best interests. Nothing is more convenient to a large organization then to consolidate and centralize it’s capital.
These days, it seems like every good startup or small company is being bought out. A few months ago, my business insurance went from an independent agent to Liberty Mutual. Last week, my friend’s startup that he has been building for years just got acquired by LinkedIn. Whatever happened to Blockbuster Video, or Twinkies damn it?
Gone, that’s what happened to those brands. All the small businesses across America, now nice little pieces of IP and patents scooped up like an amoeba of capital. No more diversity, sacrificed for only one thing – growth. Unfortunately, we live on a finite planet and I don’t think there are enough tickets to the moon, and unless you buy “Piece of Ship”, you can’t ride with me.
Large corporations are inefficient at delivering resources to far flung bits of corporate empire. When too large, they will not perform, and as all extremities removed from nutrients do, they too will dissolve. This is what gives me the strength to keep working on my businesses. I see the holes and inefficiencies, and just like the Eskimos, have carved out a niche for my small business.
I can help you do the same for your business, or help you start your first one. America was founded by entrepreneurs. It is why we have enjoyed so much success in the past. Why are we straying from that?
Please like, share and email your friends, family and fellow business owners. If you have a question, please comment bellow to get this message out!
How do I get a Content ID to claim my music copyrights on YouTube? I want other people you be able to use my music on their videos while automatically giving me credit and displaying ads in accordance with the Google Content ID guidelines.
Additionally, will this allow me to put links to my CD on Google Play – matched up with my YouTube Content ID number?
You can apply for a Content ID account in YouTube here. Unfortunately, you don’t get an automatic answer and there is no way to re-apply once the process is complete. They simply say that they will contact you soon.
Anyone know of a way to get back in contact with Google or YouTube about the status of the Content ID Application?.
Money in Politics – we can’t seem to get away from it. It wins elections by funding attack campaigns, gains exposure with media coverage and advertisements, and people making money together always seem to endorse each other.
What you may not realized is that the game is rigged. Let me explain how.
All media companies can be easily summed up by it’s expenses:
Now political content is fairly inexpensive to produce- so abundant that politicians hand it out in press releases, hopping to land a favorable sound bite in national news, or any coverage at all. Free content for the media.But if TV stations and newspapers gave away their limited press freely, they would never have received the more than 1/2 Billion in ad dollars spent in the 2008 Presidential Electionby Republican and Democratic leads alone – and that’s only the amount legally reported. It’s not including local elections, congress, state, judge and other appointments nor including the ones that didn’t make it. Big money…So what does the press do? They give out free coverage to the candidates that spend the most on ads, they feature candidates popular with big oil, banking and other special interests in Political Advertorials, failing to mention candidates with opposing views (Ron Paul), calling it news. Ever see those ads that don’t appear to be selling you something, but make you feel good. Those are giant corporations influencing your opinion and their press releases are the news you receive – product placement.
Isn’t it ironic that in the pursuit of democracy, we vote for candidates that will most benefit our interests, however historically and as of the recent New Hampshire primary, we elect the ones that spend the most money. Money donated to them by those that benefit from the current system, the ones with disposable income looking for tax breaks.
The whole idea of elections are to ensure that no particular person, group or entity gets too much power. You know, shake it up a little bit. It is impossible to ever have a fair election when you add money to the equation. The outcome will end up the same way, people in power stay in power. American elections exist only to validate those in power and their right to “rule”. This is a democracy, you know.
But wait, what if the current elite saw the loss of productivity caused by voter disenfranchisement and realized that the old tricks won’t work anymore. People get their information freely from the internet, validated by millions of comments from other internet users and social networkers. They might consider providing an open platform to discuss the real issues, and elect leaders that take us back to our nation’s roots of independent, small businesses and self sufficient families – what made America great in the first place.
Enter SOPA and countless other “Internet Policing” laws getting forced down our throats like medicine to a test patient. Don’t worry – it’s good for us, plus, we get paid in the form of benefits (unemployment, welfare, police). All we have to do is let our Corporation run government control the distribution of ALL our news and media – but that is another article in itself..