Is government buying stocks ?

[Stas1976]

I am sorry guys if question is silly. Nobody can know for sure what is government doing. But what is your opinion ?

Is this level 8000-9000 stays by itself or it is Paulson uses federal reserve funds in order to not let market decline any further?

It is important to me. I have short positions in US equities and long positions in gold and oil. If government really propping up stocks it does not make sense to me to stay short and bet against it.

I know it is illegal for US government to buy equities directly but it also does not seems right that everything else is going down, oil, real estate, employment but not the stocks.

Thank you for your responses.

[freakscene]

Is government buying stocks ?

yes.

The American people were lied to by the Congress, by the President, and by the Sec of Treasury, when they "explained" the TARP plan and what was to happen with the newly created trillion dollars.

so, much like the Russian government is buying stocks of its companies, so is the American government.

a little fear mongoring goes a long way

[Stas1976]

I am not quite sure that TARP money is a concern.

Federal Reserve itself may be a problem.


Fed Refuses to Disclose Recipients of $2 Trillion (http://www.bloomberg.com/apps/news?pid=20601109&sid=aXNaCKxb.oIs&refer=home)

2 trillions of unaccounted money spent within 6 months it is a lot. :sheep:

[BuyOnDips]

They'd probably do better shorting stocks. :)

Merry Christmas!