Historically, U.S. political and military interventionism reliably produces three negative results: (a) motion without movement that fools Americans into thinking they are more secure; (b) dead and maimed Americans; and (c) a larger national debt. Let us, for a moment, look at the immediate results of the U.S. military interventionism that has occurred during the past two week:
The Treasury Secretary chimes in on what any market watcher should know instinctively. Mnuchin talks tech: ‘I don’t understand these valuations’, yet the price on promises and future expectation of earnings has a large amount of the equity speculators and computerized trading in a crisis of sanity. Avoiding the fundamental relationship that a stock value is based upon the ability of a company to turn a profit, has become the hottest investment hoax since Bernard Madoff was pitching his Ponzi scheme. Uber, Snapchat and Twitter may be high flyers for the smart set, but for rational venture capitalists, plunking down gambles on risky enterprises that only feed on publicity hype is a sure bet on going broke.