Page 47 - THE MARKET WHISPERER

THE MARKET WHISPERER 45

Wall Street –
The Wall and the Money

Wall Street has taken on many different semblances since its first
transaction. Most of the changes arose from the ongoing struggle
between two immensely powerful parties: the investment houses and
the government. The former has constantly sought to operate without
supervision, taking advantage of any and every opportunity for stretching
their long arms deep into the public’s pocket. They have never been
averse to any dirty trick: trading with insider knowledge, disseminating
misinformation or incorrect data through media channels, or organizing
raids on a specific stock are all examples of the commonly-known methods
of manipulation that have made Wall Street professionals so loathsome to
the public. More than two centuries after Wall Street’s establishment, the
2008 financial crisis shows us that nothing has changed.

SMART Wall Street has never been averse to any dirty trick that
MONEY deceives the public. The tricks get smarter, and then so does
their regulation. It’s a never-ending game.

On the other side of the divide, the government has generally sought to
set the rules and regulations that restrain the insatiable appetites of Wall
Street traders for money. In short: government-set regulations. Often, legal
prohibitions don’t help at all, and prohibited actions spread anyway. For
example, instead of recruiting a newspaper to publicize false information,
companies were assisted by a grading company that rates performance of

other companies. This sways public opinion because the public is told to
view the grading companies as legitimate. But the grading company often
receives its income from the reviewed company! The conflicts of interest

apparently didn’t bother anyone.

A turnaround in the relationship between Wall Street and the
government occurred as a result of the 1929 Crash, which critically
affected the entire United States financial system. The Crash led to a serious
economic slump of epic proportions that lasted several years, known as

“The Great Depression.”