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It's foreign money inflows moving prices up. Domestic money flows are negative. The foreign buyers outweigh the domestic sellers as they are offloading debasing foreign currencies on things of value in the U.S. Hard to believe but what is actually happening. They don't want to save in their phony paper money as many are being debased hard and quickly in percentage terms. As existing bonds are bought by the EU and BOJ, where do you think the original owners of those bonds park the new capital? U.S. stocks and bonds among other things. Huge amounts of displaced capital created every month looking for a home.
Capital will flow to where it is best treated. A large part of the developed world has negative interest rates. So it routes to the most liquid and positive rate market (U.S.) and bids up prices on the available assets. Past metrics of value and fundamentals are out the window in the face of the liquidity wave. Interest rates have never been lower in the history of mankind. It will end when the interest can no longer be paid and the underlying currencies collapse and are reimagined or revalued to an underlying tangible base value and the money flows reverse.
That is why the markets are where they are today and will go higher than anyone will believe. And you won't read anything like this on Yahoo.
Last edited by NoRush993/951; 07-16-2016 at 07:19 AM..
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