This article is Part 7 of an 11-part series analysis of Tesla, Elon Musk and EV Revolution. You can read other parts here.
As I discussed, during the transition from one domain to another, many of the assets and much of the knowledge from the old domain become liabilities in the new one.
As the Fed restarted "not QE" but did not go through the façade of attempting to stock the new money away as "excess reserves", this new money is flowing straight into assets, like monetary heroine.
The message remains: close your eyes and go with the flow... We’ve become habituated to assume that whenever being long doesn’t work with immediate advantage, it’s time to cry foul and expect some official intervention...
"At some stage I think it will be likely that there will be a more fully-fledged crackdown. And if you see a crackdown, you could see markets collapsing. For these reasons markets are complacent."
Danske Bank told a select group of mostly Russian customers some time around 2012, that they could now also convert their money into gold bars and coins.
Nearly all big companies now use at least one non-GAAP financial metric. Last year, 97% of S&P 500 companies used non-GAAP metrics, up from 59% in 1996
Since the market increased each time the Fed engaged in monetary programs, it should not be surprising investors now have a "Pavlovian" response to the Fed "ringing the bell"...
