TrimTab Ceo 100% bearish, maybe you should be as well!

Discussion in 'Economics' started by S2007S, Jul 27, 2012.

  1. S2007S

    S2007S

    He makes solid valid points on why he is bearish and why the equity markets will eventually fall under all this so called great stimulus. Anyone who thinks money printing is a fix to the problem is being a fool, as he mentions "you cant fix the markets forever"....thats exactly why all this worthless money BUBBLE ben bernanke is printing to "help" the economy is actually doing worse for the economy, it hasnt shown yet, but in due time it will. Wait till QE3 comes into play. Going to be even more fun times ahead. Only a fool would think this economy is better.

    "How is printing money going to solve anything if there is a gap between income and expenditures for the economies and the governments?.”

    "I’m saying that the companies that have been profiting from the central bank rigging of the equity and bond markets, will suffer as those markets implode.”

    “You can’t fix markets forever without fixing the underlying problem of income and spending on a societal and governmental basis.”


    Why TrimTabs' CEO is 100% Bearish
    CNBC.com | July 27, 2012 | 06:30 AM EDT

    Despite Mario Draghi’s reassurance that the ECB will do everything in its power to save the euro zone, Europe is not going to do anything meaningful and central bank action will not save the equity markets – on the contrary, they’ll “implode”, Charles Biderman, Chief Executive and Founder of TrimTabs Investment Research, told CNBC.

    “We see no chance that Europe is going to do anything meaningful. Mario Draghi and the other officials have been talking a good game for many years now but nothing has actually happened,” he said.

    Speaking to CNBC’s “European Closing Bell”, Biderman, known for his bearish stance on stocks and portfolio management, said that the only option he could see for Europe was money printing assuming that Germany agreed to such a stimulus measure, but that that alone was not enough to save Europe from its immediate crises.

    “The fundamental problem in Europe is that the economies [there] are not generating enough taxable revenues to meet current bills, let alone growing future entitlements and let alone the huge stack of already molding debt that exists,” he said. “In the face of that, I don’t know what else they can do but talk.”

    Biderman was not only pessimistic about Europe, however, adding that another reason to be bearish was the faltering U.S. economy, low gains in wages (barely above inflation, he said) the jobs market and the Federal Reserve's strategy.

    “The jobs market is bad, companies are now selling more shares than they’re buying so even zero interest rates isn’t enough to convince them their capital balance sheets to buy back shares.”

    As the Federal Reserve hesitates introducing another round of stimulus by reducing interest rates further, Biderman cautioned against believing that a more extreme strategy of quantitative easing could save the economy.

    “I know most people wish for good things and are praying for a miracle but the only thing that printing money will do is give people a printed piece of paper. How is printing money going to solve anything if there is a gap between income and expenditures for the economies and the governments?.”

    “That’s the issue that nobody wants to talk address," he said.

    Biderman defended his 100 percent bearishness on equity markets, saying that central bank interference in the markets would not last, and could do permanent damage.

    “I’m not saying that the world is going to zero, I’m saying that the companies that have been profiting from the central bank rigging of the equity and bond markets, will suffer as those markets implode.”

    “You can’t fix markets forever without fixing the underlying problem of income and spending on a societal and governmental basis.”
     
  2. has he ever been right about anything? i used to follow his money flow work. it was useless.
     
  3. central banks cant rig markets ? lol look at venezuelas stock market