...because once the midterm elections are done, the ruling regime abruptly quits putting lipstick on this pig. Right mini?
That's the theory right now. What if by mid December, the market hasn't dropped? Would you call this the resumption of a true bull market?
it's funny reading all these notes. traders out there every day from et know the scams happening in the market and call it like they see it. yet on tv i've really yet to see 1 bear int he last month who says the market can fall 10%. in many ways outside all the kinky stocks rising 400% this feels like 1999 watching tv as it feels like we can never drop as the talking heads on tv keep coming up with reasons why this will keep going
Nope, sorry, capital inflows will continue throughout q1 2007. Its after small investor money flows in that the pig will remove her lipstick. However, the VERY important question is that will there be enough favorable technicals and momentum that people won't care? I've thrown up my hands on this one too. Very liquid and defensive, but willing to capture a little cash too! Nothing personal tho - love you guys
I think the fed knows they should raise rates, but is scared because they know that debt and leverage is completely out of control. They dont want to be blamed for knocking down the house of cards, even though everyone knows that there policies are responsible for the huge amount of debt and leverage. Stop playing lip service to fighting inflation. There is no evidence at all that fed has done anything to cool down financial conditions. This fixation on the cpi is biggest nonsense on earth. Heli Ben thinks he could have solved the great depression. Thats a little too much hubris for this guy.
rally through the end of NOV. Flat in DEC and up until earinings in JAN. During DEC all the money being pumped into the market by those trying to jump onto the end of this thing will be offset by institutions that will conveniently provide sellers in a time when your average Schmoe is looking for one. During earnings in JAN, institutions will start selling heavily as there will be a lot of downgrades and a great time for profit taking. The big drop probably won't happen until MAY though, when higher wages and energy prices will give the FED no other choice but to raise rates again.
Agree. I think housing has them very worried and they are hoping oil will help out on the inflation side.