Stocks and Precious Metals Charts - Option Expiration: For the Love of An Illusion

 

"As a country becomes industrialized, its governance and corruption challenges do not disappear. They simply morph and become more sophisticated: transfer of a briefcase stashed with cash is less frequent. Instead, subtler forms of capture and 'legal corruption' exist: an expectation of a future job for a regulator in a lobbying firm, or a campaign contribution with strings attached. In many countries this may be legal, even if unethical. In industrialized nations undue influence is often legally exercised by powerful private interests, which in turn influence the nation's regulations, policies and laws."

Daniel Kaufmann, Corruption And The Global Financial Crisis, Forbes, 27 January 2009

"America is caught in a confidence or credibility trap, in which the changes, investigations, and reforms necessary to restore trust to an economy or market are rendered unlikely because doing so would expose a pervasive corruption that the principals fear would destroy the careers of politicians and business people who may have permitted and even appeared to facilitate the control fraud that caused the financial crisis in the first place."

Jesse, America Trapped in a Massive Coverup of Control Fraud and Corruption, 22 January 2011

"Jesus began to speak to his disciples, saying: ‘Beware the leaven of the Pharisees, which is their hypocrisy.  There is nothing concealed that will not be revealed, or hidden that will not be made known.  What has been said in the dark will be heard in the daylight, and what has been whispered in the inner rooms will be proclaimed from the rooftops.

‘I tell you my brothers, do not be afraid of those who can kill the body and after that do no more.  Rather you should fear him who, after your body has been killed, has the authority to cast your soul into hell. Amen, I tell you, fear his judgement."

Luke 12:1-6

There were a number of significantly negative developments over the weekend.

You can read about the war in the Mideast and Ukraine for yourselves.

The AI giants are starting to buckle under the weight of their own outrageously 'optimistic' revenue forecasts and spending.

Statements were issued, and hands were revealed for those who had the eyes to see them.

So why did the markets do what they did today, that is, open significantly lower and then recover throughout the day?

For the same reason that the market insiders have been covering up the problems in the oil and gas markets for months now.

There is money to be made in a control fraud.   And this one has the backing of the power elite.

The biggest stock option expiration of the year is this Friday.

One can cite evidence, and historical examples, and most people will sagely nod their heads as if they understand, and then proceed on to obsessively follow the illusion of being exceptional until they leap as a group of true believers into the abyss.

I saw this in so many heartbreaking ways in 2002.  And again in 2008. 

And we are about to see it again.   And they will not believe it is happening until the deluge sweeps them away.

Do not be deceived, for God is not mocked.   What a man sows, so shall he reap. 

Have a pleasant evening.