Why has Philippine politics drifted towards the preference for the superhero icon leftist dictator?
The short answer has presciently been provided by JM Keynes: “As the inflation proceeds and the real value of the currency fluctuates wildly from month to month, all permanent relations between debtors and creditors, which form the ultimate foundation of capitalism, become so utterly disordered as to be almost meaningless; and the process of wealth-getting degenerates into a gamble and a lottery.”
Said differently, inflationism alters people’s values and preferences towards the short term. Or inflationism subliminally seduce the public to seek immediate gratifications
Well, today’s actions in Philippines Stock Exchange demonstrate such pathology or the penchant for gambling and for exigent gratification.
And it’s been more than just gambling and lottery, this relentless pursuit of short-term pleasure via easy money, has evolved towards employment of unscrupulous activities that has been sanctioned by the establishment.
What can’t be made through market pricing has to be deliberately fixed at the closing bell.
A full 49.4 points or 55% of the 89.74 points or 1.2% was expunged through marking the close.
Such 49.4 points has even been larger than the 40.34 points loss for the day!
In fact, the Phisix was down by 117.07 or 1.57% in less than two minutes PRIOR to the market intervention phase (right window). Then massive orchestrated coordinated pumping began which culminated with the marking the close.
Of course, manipulating the index needs a collaborative pump on several big market cap issues which of course was timed at the last few minutes.
This can only happen from coordinated timing.
Massive pumping occurred in these issues which represented the four sectors.
Like the 7,800 Maginot line, the idea is to desperately save 7,400… at all costs!
Because 7,400 have been reduced to symbolism, the function of markets has deliberately been impaired for convenience purposes. In other words, the PSE has been politicized.
And surely money spent to artificially prop up extravagant prices come from hapless and unwitting depositors or taxpayer money.
Yet for the mainstream, in the stock market, prices only matters. High Prices is justified as G-R-O-W-T-H. Hence, manipulating prices, for them, will also redound to G-R-O-W-T-H.
It’s like cheating in school and hoping to get a high-quality job.
Though some may say that this may be about window dressing that would be a non sequitur. Window dressing does not justify perversion of the markets.
And because the cost of price fixing is low, hence the rampancy of its usage. And this is why price fixing has been so prevalent—only in the Philippines.
Nevertheless, all actions have consequences. Gratification today will come at a price tomorrow.
As a clue, today’s pump only mitigated the near complete reversal of the 4.88% two-day pump last week. Newton’s Law in just two weeks.
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