The U.S. Government Buying Stocks

Discussion in 'Stock Market' started by KissMy, Jan 6, 2010.

  1. KissMy
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    KissMy Free Breast Exam

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    The U.S. Government Plunge Protection Team Really Does Exist! - "The Working Group"

    Is The U.S. Government Buying Stocks? Consider the comments of former Clinton advisor George Stephanopoulos who verified the existence of the PPT in an appearance on Good Morning America on Sept 17, 2000. He said:

    "What I wanted to talk about for a few minutes is the various efforts that are going on in public and behind the scenes by the Fed and other government officials to guard against a free-fall in the markets . . . perhaps the most important the Fed in 1989 created what is called the Plunge Protection Team, which is the Federal Reserve, big major banks, representatives of the New York Stock Exchange and the other exchanges and they have been meeting informally so far, and they have a kind of an informal agreement among major banks to come in and start to buy stock if there appears to be a problem. They have in the past acted more formally . . . I don't know if you remember but in 1998, there was a crisis called the Long term Capital Crisis. It was a major currency trader and there was a global currency crisis. And they, with the guidance of the Fed, all of the banks got together when it started to collapse and propped up the currency markets. And, they have plans in place to consider that if the markets start to fall."

    U.S. Government's Capital Injections Provide Much-Needed Lifeline - Check also this Washington Post Artical on the - Plunge Protection Team
     
    Last edited: Jan 6, 2010
  2. Paulie
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    Paulie Platinum Member

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    I have no doubt in my mind that the PPT exists.

    There's no way the government doesn't have something like this to rely on. Everyone has pretty much already come to realize that the banks and the government are each other's best friend. Of COURSE they work together within the markets.

    I remember when Ron Paul asked McCain about this in a primary debate, and McCain TOTALLY side-stepped the question and ended up looking like a retard. :lol:
     
  3. KissMy
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    Executive Order 12631--Working Group on Financial Markets

    Source: The provisions of Executive Order 12631 of Mar. 18, 1988, appear at 53 FR 9421, 3 CFR, 1988 Comp., p. 559, unless otherwise noted.

    By virtue of the authority vested in me as President by the Constitution and laws of the United States of America, and in order to establish a Working Group on Financial Markets, it is hereby ordered as follows:

    Section 1. Establishment. (a) There is hereby established a Working Group on Financial Markets (Working Group). The Working Group shall be composed of:
    (1) the Secretary of the Treasury, or his designee;
    (2) the Chairman of the Board of Governors of the Federal Reserve System, or his designee;
    (3) the Chairman of the Securities and Exchange Commission, or his designee; and
    (4) the Chairman of the Commodity Futures Trading Commission, or her designee.
    (b) The Secretary of the Treasury, or his designee, shall be the Chairman of the Working Group.
    Sec. 2. Purposes and Functions. (a) Recognizing the goals of enhancing the integrity, efficiency, orderliness, and competitiveness of our Nation's financial markets and maintaining investor confidence, the Working Group shall identify and consider:
    (1) the major issues raised by the numerous studies on the events in the financial markets surrounding October 19, 1987, and any of those recommendations that have the potential to achieve the goals noted above; and
    (2) the actions, including governmental actions under existing laws and regulations (such as policy coordination and contingency planning), that are appropriate to carry out these recommendations.
    (b) The Working Group shall consult, as appropriate, with representatives of the various exchanges, clearinghouses, self-regulatory bodies, and with major market participants to determine private sector solutions wherever possible.
    (c) The Working Group shall report to the President initially within 60 days (and periodically thereafter) on its progress and, if appropriate, its views on any recommended legislative changes.
    Sec. 3. Administration. (a) The heads of Executive departments, agencies, and independent instrumentalities shall, to the extent permitted by law, provide the Working Group such information as it may require for the purpose of carrying out this Order.
    (b) Members of the Working Group shall serve without additional compensation for their work on the Working Group.
    (c) To the extent permitted by law and subject to the availability of funds therefore, the Department of the Treasury shall provide the Working Group with such administrative and support services as may be necessary for the performance of its functions.

    Here is video of The Plunge Protection Team getting down to work 30 days before they turned this market crash into the current rally we have been in since March 9th 2009.
    [ame="http://www.youtube.com/watch?v=zZj9HQCqIGo&feature=related"]video of The Plunge Protection Team getting down to work[/ame]
    Read also THE SECRETS OF THE PLUNGE PROTECTION TEAM -- and -- BIG BANKS DECLARING BANKRUPTCY

    :( :( This leads us right to H.R. 4173, the financial-reform legislation passed by the House of Representatives while most were distracted by the holidays. Otherwise known as "Bankers Get $4 Trillion Gift From Barney Frank" :( :(
     
  4. Toro
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    Trims Tabs has an article insinuating that the government has been buying stocks in this run-up. I have no idea if that is true or not but I am doubtful.
     
  5. mudwhistle
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    Fannie Mae and Freddy Mac have been buying risky securities for months. They're speculating in risky home loans. They call it "Buying down the debt".

    Who's running Fannie and Freddy?

    Barrack Obama.
     
  6. william the wie
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    william the wie Gold Member

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    The flow of funds in the stock market indicate about a 20 T cumulative intervention in financial instruments not all of them stocks. Bond and mortgage purchases to prevent substitution effects seem to be the major non-stock intervention. Precious metal markets seem to be doing well mainly because the bullion banks are underfunded for shorting the metals. What is not known is how much of this is the work of PTT and how much the work of their equivalent in other countries combined with arbitrage.
     
  7. KissMy
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    When ask his thoughts on the 3000 point market drop predicted by longest runnung DOW forecaster, Joe Terranova stated on CNBC's show Fast Money "they would never let that happen"..."I believe in the plunge protection team"
     
  8. Toro
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    Yeah, I saw that.
     
  9. Paulie
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    Paulie Platinum Member

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    So do you subscribe to the idea that the government buys index futures to prop up the market and create demand to bring it up?
     
  10. Toro
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    No.
     

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