Looks like the mainstrem media are finally cottening on:
The Wall Street insider trading investigation may lead everyday investors — already rattled by a stock market meltdown, a one-day “flash crash” and the Madoff scandal — to finally conclude that the game is rigged.
“A large part of trading has to do with trust, and I don’t have it,” says Mark Swenson, a 43-year-old plumber from New Hampshire who refuses to buy individual stocks.
“When a stock moves up 10 percent, you don’t know why,” he added. “We can pretend that everyone has access to the same information, but they don’t.”
Even before news broke that federal investigators were looking into whether hedge funds traded on inside information, small-time investors were pulling their money out of stocks — despite a remarkable run for the market since the spring of 2009.
Americans have pulled $60 billion out of U.S. stock funds this year, according to the Investment Company Institute, a trade group. Meanwhile, investors have piled money into Treasuries and bond funds that are considered safer investments, even if they don’t return as much money. And at the same time, banks like Wells Fargo have reported that money is moving into checking and savings accounts.
You heard it here first.
Now perhaps they will start to realize how many core aspects of our culture have been corroded. How much of our cultural seed corn is being eaten. Gone are accounting standards, the rule of law, markets, security of title. How much more corruption can capitalism take? Will it just collapse in a smoldering heap, crushed by its own contradictions? We have posted about this before here.
Lee Kuan Yew summed it up well:
“If you believe that it’s permanent, it will come tumbling down and you will never get a second chance.”
Enough is enough.