Submitted by QTR's Fringe Finance
Wharton Professor Emeritus Jeremy Siegel, who has a longstanding presence as an economic commentator and author laying chalk on the modern monetary system and reliably "predicting" the heavy favorite that the market would always continue to go up, humiliated himself this week on national television.
However, in the process, he offered important perspectives on how truly dopesick our stock market and its participants have become.
On Monday, which as of Thursday night has turned out to be the only day with serious volatility to the downside this week, Siegel was on CNBC before the market opened clamoring for 150 basis points in rate cuts.
You can watch the video of him, where it sounds like he’s about to cry, making his case for “emergency cuts” here:
There was no counterbalance to the rest of Monday’s idiocy on financial news, however Fast Money’s Guy Adami did a great job cancelling out Siegel’s white noise after the trading day by making a couple very simple points about Jeremy Siegel’s protest - namely: “There’s no emergency. The stock market can go down, too.”
And by Thursday night, once the piss stain on his Dockers from watching Sunday night’s Japanese index futures had time to dry, Siegel had already gone on the record with CNBC to back off of his position from Monday.
He told CNBC: “I no longer certainly think it’s necessary. But I want [Powell] to move down to 4% as fast as possible. Would it be bad? No. But would it be necessary? No, not at this time.”
In other words, Siegel changed his mind in less than 3 trading days and tipped his hand that he was reacting, almost tick-by-tick, to moves in the stock market — something that any economist knows should not be driving decisions on monetary policy and is not part of the Fed’s dual mandate of price stability (pause for laughter) and maximum employment.
Siegel’s appearance, and his imploring of the Fed to cut rates, was a perfect cross-section of how addicted to total euphoria market participants have become. This “emergency” not only displayed our massive dopamine deficit with regards to market performance, but also took a page directly out of the impotent political and central banking playbook in the sense it was completely reactionary and incredibly hastily put together.
Make no mistake about it: Siegel was...(READ THIS FULL ARTICLE, FREE, HERE).
