Big Tech’s Numbers Game Hides Many Sins

The art (not science) of financial engineering – camouflaging a rise in leverage which boosts present and future earnings for the purpose of sustaining a bull equity run – is most sought after when irrationality in capital markets is at its strongest. That occurs in a monetary inflation featuring virulent asset inflation as its most obvious symptom. Hunger for yield or irrational exuberance means that sober rational cynicism which would help investors spot the engineers’ camouflage is abnormally weak.