Jimmy Crack Crammer’s video about how he manipulated markets when he ran a hedge fund has generated a big brouhaha out in the message board and infomercial media world in recent weeks. It’s just all so scandalous and scurrilous! Hedge funds actually manipulate the public! I am shocked, SHOCKED!
I mean, really, I just have to laugh about the feigned shock expressed by the paid media hacks.
The argument that hedge funds manipulate markets misses the point completely. Market makers, NYSE Specialist firms, and the proprietary trading desks of the Street’s investment banks and brokers in general, whom we call the Pigmen, are in the business of manipulating all of the customer base all of the time. Research departments are the marketing and PR arms for the wholesale and retail supply operations run by the trading desks. CNBS, Markupcatch, and the Wall Street Whorenal are their tools–owned lock, stock, and barrel by the Pigman manipulators. They use token anti-shills like Herb Greenberg and a few others to give their operations the patina of respectability, but underneath it all they are crooks, plain and simple. Their sole goal is the transfer or wealth from the masses to their plutocrat masters.
That’s the way it has always been, and always will be. Wall Street is a wholesale distribution operation, and it has honed its manipulative sales techniques for hundreds of years. The only difference today versus the days of spreading rumors about the Dutch East Indies Company on Amsterdam street corners, is the use of mass media to manipulate the public. Ironically, hedge funds are just as often, perhaps more often, the victims of these manipulations, as when they are the perpetrators.
All you need do is look at the trading profits of Goldman Sacks and Pillages to know who the masters of this game are.