Let Them Eat Stocks

Tyler Durden's picture

For 50 years - until Greenspan's exuberance in the 90s - it took the average American around 26 hours to be able to afford to buy the S&P 500. In the Trumpian utopia in which we find ourselves now, however, the average American worker will have to work four times longer to join the 'wealth-builders' in equity market land.

The last time it cost this much (in terms of hours worked) to buy stocks, it seems the average American decided enough was enough and buyers went on strike asthe DotCom debacle collapsed.

h/t @jtepper2

Of course, we are reminded of Fed's Dudley's 2011 comments that seemed to suggest how lucky Americans were that iPad prices were falling..

During the Q&A, one audience member asked: "When was the last time, sir, that you went grocery shopping?" A stunned Dudley did not have the heart to elaborate that the caviar and ambrosia eaten on the Dudley family table is hand delivered through the Fed's G-6 from Kamchatka, so instead, as Reuters reports, he "tried to explain how the Fed sees things: Yes, food prices may be rising, but at the same time, other prices are declining. The Fed looks at core inflation, which strips out volatile food and energy costs, to get a better sense of where inflation may actually be heading."

So, Dudley sought an everyday example of a price that is falling.

 

"Today you can buy an iPad 2 that costs the same as an iPad 1 that is twice as powerful," he said referring to Apple Inc's (AAPL.O) latest handheld tablet computer hitting stories on Friday.

 

"You have to look at the prices of all things," he said.

 

This prompted guffaws and widespread murmuring from the audience, with one audience member calling the comment "tone deaf."

As for the FTMFW comment from the audience, which apparently did not realize (unlike the prevailing thought at all other Dudley luncheons) that there is massive career risk in highlighting that the emperor is naked, has rolls of fat around his neck, and has a hairy ass, it was the following:

"I can't eat an iPad," another quipped.

"Let Them Eat Stocks" now seems to be the mantra of the new Fed.

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ebworthen's picture

It's a Central Bankster/Elite utopia.

Us Serfs are doing an Atlas, for now.

Elco the Constitutionalist's picture

"Let Them Eat Stocks" may become as famous as the Marie Antoinette line it is taken.

I wonder how long before someone pipes in that she didn't actually say it?

dude duderson's picture

Now, when is the peasant uprising? Bc this peasnat is sick of these lying fucks and their stranglhold on humanity.

Rebel yell's picture

Good one Tyler! Or iPads!

NoDebt's picture

If 20th century United States income/wealth distribution is your benchmark for "normal" you're going to be really fucking disappointed what things look like going forward. That period of time was the anomaly, not the norm.  Small number of rich, large number of poor and just enough middle class to service the rich- THAT is the "norm", as it has been in most societies throughout most of human history.

 

NoDebt's picture

Downvotes but no replies.  Bring it, motherfuckers.  Argue your point.  Convince me I'm wrong.  Thrill me with your acumen.

 

Mon T's picture

Peoplele are sometimes just stupid on here. Don't take them personally

illuminatus's picture

You  tshould know by now that people don't want to hear the truth.

K_BX's picture

I don´t think so - with the benefits of technology you become less and less dependent from someone ruling over you. Because of declining cost & capital available to everybody, it is becoming easier and easier not to participate in the scheme if you are not satisfied - meaning upward mobility is increasing. All this implies a very flexible definition of "rich", of course...

btw. no downvote from me ;) 

small axe's picture

According to the hedonics used by the government to measure CPI, when steak becomes too expensive, consumers will switch to tenderloin of central banker, a cut which usually goes into cheap dog food.

Stan Your Man's picture

Trumpian utopia?  After 3 weeks? 

Okay.

 

There is a lot of speculation going on these days. ZH has an edge on the usual pundits that is for sure.

 

The analysts who left Goldman 30 years ago have proven themselves to be the most honest and accurate in forecasting stocks, oil and gold.

 

 Their charts on one of their FB pages contains past charts that prove their correctness with market calls.

 

https://t.co/f3mU9N8rc4         

Mon T's picture

It kinda is. But as long as SW keeps making good market calls who cares.

LowerSlowerDelaware_LSD's picture

Here we go again... Mom's basement dweller commenting to himself because he lost all of his money trading.  LOL!

Would someone PLEASE sign up for ShepWave's $39/month scam?  He desperately wants to move out of his Mom's basement but he lost all of his money using his daily "nailed it again," "time stamped," trading calls. Once he starts earning enough to move out of his Mom's basement maybe he'll stop spamming ZH?

He registered the following spam accounts on ZH to promote his scam, giving himself thumbs ups, commenting between his spam accounts, pretending to be multiple people praising ScamWave. - 4Xleverage, AliSONY, Babs.St.Louis, Billy G, Chi Juan, Dr.Carl, Dr.Strangelove , ErikE, FemDayTrader, FRLEPU, Heddgess, Irvingm, jasony, John Beau, Josephuskek, KanSass, KC Spike, lostinhedge, MadhyaBharatx, Marilee, MexInvest, MikeM54, Miss Lou, Mon T, P Christmas Carole, Penny Trader, Pinky and the Brain, PUNE,  RoBERTAZ, RonnieM, RudolPHDs, SlothHedge, Sonya B59, Stan Your Man, StevieTexie, Timming, TrumpRally, Van G, Virginia Wooolf, wisetrader224, and xantippa

pitz's picture

Meanwhile the number of hours worked needed to buy the XAU has been steadily dropping.  The index started at what, 100 in the early 1980s.  Today its not even back to 95, but salaries have risen considerably since.

swampmanlives's picture

The S&P 500 will correct to 1800 then after a few years will zoom up to 4k