Wow!!! First, I want everyone to look above at my time stamp to see that I did not just see this and then type it here. This just came out at 1130 (at least 1130 my time).
The Most Dangerous Words on Wall Street "The Crisis Is Over": Tech Ticker, Yahoo! Finance
The Dollar Will Fall, The Only Question Is : Tech Ticker, Yahoo! Finance
This is EXACTLY, almost verbatim, what I was saying. Freaky!!! I agree with him 100%. His approach at investing and the life of the market in general is a combination of education, fundamentals, and common sense. That is precicesly how I look at it. Just plain freaky.
All you people that are bullish on the economy, go have fun. I have no doubt you will be right for a while. But without some kind of miracle or massive, unprecedented, unbelieveable change in dynamics and fundamentals, the 'collapse' is coming. Maybe you see it next week, next month, next year... or a decade from now. I cannot say. But the underlying fundamentals have not gotten any better, they have gotten worse. There is also no change in the foundation to support this rally. I somtimes wonder if people invest in the stock market because they have nothing better to do. It is like the people in Florida that were still building houses and trying to flip them a year after the crash. They simply know of no other way to make money anymore.
Another investor said yesterday that the market is making no sense right now and is broken. Something like 25% of all transactions are based around CITI, BofA, and a couple of other intituions, all handled by Goldman, and all for a very small percentage movement. Why the volume and why the small moves? 25%!?
Another point the investor today said which I have been saying for a very, long time (well before this crisis this year or last) was that we are still in a bubble and have not paid for or recovered from the dot.com. Remember me telling you about me leaving S Florida and how I felt that all the dot com bubble did was move into real estate? I have been saying this stuff for years.
I think my favorite quote (which I will paraphrase from him) is: "
What I don't understand is that the people that are all saying the crisis is over are the same people that totally missed it in the first place. And people are listening to them, again. Insanity is doing the same thing and expecting different results."
Watch those articles. Who knows... they might just save your financial life. If nothing else, at least understand that the fundamentals of our economy (and for the most part the world economy) have not changed. The only people that are saying that they see it over are the elite and those whose motives I question in the first place. Those of us on the street that live/die by what is really happening are not so rosy. In fact, we will tell you that it has not improved at all. In some respects, maybe it has gotten worse.
Watch the articles, guys. They are spot on. And the prudent thing to do is at the very least, think about how you can financially and personally prepare yourself should they be true. I am not telling you to go sell your life and live in a bomb shelter. But I am saying that the prudent course of action is to consider all possibilities, look at them from a logical and completely unemotional point of view, and make the appropriate preparations based upon not only the percentage chance of the things happening... but also upon the level of impact it would have on you and your family.
- CD