Despite continual weakness in the economy and consumer spending (which accounts for about 70 percent of GDP), the stock market is booming.
How can this be?
You can thank the Federal Reserve, which is pumping $85 billion per month of thin-air money into the markets.
Quite simply, this bull market is being fueled by all the funny money being spun out of the Fed's printing press.
Hundreds of billions in new money has been flowing into the stock market, which is pushing the averages to new highs.
This stock market run-up is nothing more than an illusion of economic well-being created by the Fed. It is entirely lacking in fundamentals.
The biggest banks are getting enormous sums of money through the Federal Reserve as virtually zero interest.
They are then able to invest hundreds of billions of essentially free money in the stock market and collect massive returns.
This results in pure profit, which is one hell of a business model.
Coupled with the roughly $2.8 billion in Fed money flowing into the financial markets every single day, there is an extraordinary amount of money chasing fewer shares.
The truth is, the stock market is not an accurate measure of the health and strength of the economy.
In reality, Wall St. is a pretty poor measure of the economys condition since it is simply a bet on the future performances of a select group of companies listed on a few stock exchanges.
The Independent Report: The Fed is Blowing Yet Another Stock Market Bubble
So, Obama got the stock market to double by investing a mere $2.8 billion a month into it
The man is a financial genius
Try $85 billion/month.
7 x $85 billion.
By the time he's done it'll be well over a trillion in new Stimulus.