Short Sellers Reduce Inflation

Discussion in 'Wall St. News' started by bearice, Jul 29, 2011.

  1. Stock traders who sell or short stocks/shares reduce inflation because stock markets cause inflation.

    The stock market went up over 2,000,000%... about 66%/yr compounded in Turkey, 1982-2005, For those "lucky" enough to have been fully invested for the entire ride (and not accounting for taxes)... they STILL LOST 98% OF THEIR BUYING POWER IN THE DEVALUATION.

    Just before the devaluation in 2005, a cup of cafe coffee cost 3,000,000 Turkish Lira. After the devaluation, a cup of coffee cost 3 New Lira... the devaluation was 1,000,000:1, lopping off 6 zeros.

    If the stock market goes up that much, inflation/currency destruction will destroy buying power.

    Recalled from memory... look it up if you find this astonishing.

    The stock markets increased 400% in Zimbabwe but the people of Zimbabwe were starving.

    From ZeroHedge, 10/22/2008:

    "While markets across the world have been crashing, the Zimbabwe Stock Exchange has being seeing record gains as citizens turn to equities to protect their money from the country's hyperinflation.