Evidence shows, the past 2 years, the juice of QE 1 and 2 caused our equity markets to rise, although anecdotal, is pretty evident to a portion of the investment community. Every measured word of Benny and some of his jets created moves in equity markets.
By putting us on notice for QE 3, AND then announcing it's QE Infinity contimnued the applause.
BUT, now we are faced with the prospects that Mr.MArket has baked in QE Infinity and as several on this board have already posted, they have no more bull ets.
Also, as we were bottoming out of the recession, analysts reduced their estimates, companies cut expenses, cut payroll and we had a terrific earnings season last year.
This season is not turning out to be the case except for a handful of Blanksters who participate in the continued games of swaps and allowed to make that .25% allowed by the agreement.
Europe is in a mess and IF they kick Heinz down the road, call it what you will, but one day they will reach the 57th timeand it doesn't change anything, except weaken the Euro, which strengthens the buck.
Stronger bucks hurt our exports unless of course,we got what to export and THEY don't have what to manufacture.
But it's looking more and more like QE is becoming less meaningful.
Now add this to the equation; If the Romnettes are elected, I htink it's fair to say, there will be some cuts and certainly Benny is gone.
Mr. Market is contemplating all this lately.
When I bought my first used car, I didn't realize one of my tires had a slow leak, until it was half flat.
And I couldn't buy a new car until I turned my finances around.
SO I know how that works.
All morning I heard the low pitch hiss coming out of the tire. VIX was red.
Volume started picking up a bit, some HFT attacking before the weekend and as I post VIX turns green and $15.85, I mean $15.89
It means jack until it gets to 25, but by then, it's too late.
AG and AU sold off from a flat position before the CPI report, which is just a continuation of the Govt sale of Wolf Tickets.
I can think of 57 reasons to be cautious.
BTW, last night had a clear, concise winner.
And she's on husband #3.
Are you refering to Martha? Bring back Jim Leher at least he stayed out of it. Next week we get Candy Crowley and word is she is really going to throw her weight around.
The FED has directly bought stocks and balooned the market up this year. I expect the baloon to pop and the market to fall 50% very soon. Physical silver and SLW is the only game Im in now. With a crashing dollar what else is there. If I were a gambler Id be buying on companys producing non-essentials. IMO
Sentiment: Strong Buy
Correction.. Id be buying ( puts ) on companys