"Mystery" Central Bank Buyer Revealed, Goes On Q1 Buying Spree

Appears there is an intentional central bank drive to artificially inflate stocks (as many of us have talked about before). Now we have the Swiss manipulating the market in an effort to "devalue" their currency it appears. Long article, highlights below.


www.zerohedge.com...

The answer was revealed on Friday when the hedge fund known as the "Swiss National Bank" posted its latest 13-F holdings. What it showed is that, as rumored, the Swiss National Bank had gone on a record buying spree in the first quarter, boosting its total equity holdings to an all time high $80.4 billion, up $17 billion from the $63.4 billion at the end of 2016, the biggest quarterly increase in "AUM" in history.

What to watch for (if we can) is when these central banks actually sell it off. If we see that, then prepare for crash.

Yet while we are long beyond the point of debating the central bank intervention in equity markets (we do want to remind readers that until several years ago, it was considered "fake news" to even mention it, and those who accused central bankers of manipulating stock markets were said to be paranoid tinfoil basement dwellers), we want to point out that unlike the BOJ, which at least keeps its capital markets distortion local, the SNB, which likewise creates money out of thin air (then sells it for dollars in an attempt to keep the Swiss franc depressed) is actively resulting in even greater price distortions in the US.

While we doubt this will be investigated with stocks are at all time highs, we look forward to the Congressional hearings after the crash when the scapegoating and fingerpointing begins, and everyone is "stunned" to learn that central banks were responsible for blowing the biggest asset bubble the world has ever seen by directly buying stocks.

We will be lucky to make it out of this year.

The cracks are showing, tech, housing, subprime auto loans, student loans... I highly doubt this will be able to continue past 2018.

a reply to: infolurker
We have to figure out how to beat them to the selloff. If we wait till we learn they start selling to make our moves, it will probably be too late for us to avoid a huge devaluation. The good thing, and thanks for pointing this out, is that we got a heads up right now. They tend not to dump it all in a single big move due to investigations from the appearance of insider knowledge. So they have to stay on everyone's radar now so we can see when they start liquidating a chunk here and chunk there.

That's just sound investing.

Amazon is poised to split.

Apple is in striking distance of a $1 trillion market cap.

Google is poised to split.

Long term investing.

They are not in it for a pump and dump.

They may be trying to gain leverage so they can steer the economies better. They could crash a countries economy if they want by controlling stocks, that is power.

You do not need guns to defeat a country anymore.