Ronald Reagan’s former Budget Director, David Stockman, explains to Neil Cavuto that, “Bubbles don’t form at the heart of the Dow. They form on the speculative periphery of the economy, and work their way in,” and is evidenced by the market’s behavior every time the Fed threatens to cease QE.
Stockman also states that “there are few ‘real buyers,'” and that “this is massive speculation only.” He also states that “This is the 4h bubble the Fed has created through easy money and printing press expansion.”
Stockman further explains that “This is a destructive, poisonous monetary medicine that is being put into the system, that is distorting all kinds of economic mechanisms with malinvestments on a massive scale.”
Watch for yourself…