Archive - Sep 22, 2011 - Blog entry

I was going to write something smart and pithy about this recent market decline, but then I realized that I’ve written about this in the past (more than once).  So here is an excerpt from the Little Book of Sideways Markets.  In addition, here is a copy of the presentation about sideways markets.  – Enjoy. 

The real occupations began long long ago, on Main Street USA and in Washington DC

The Fed is trying to lower long-term interest rates… at a time when Treasuries are trading at all time highs. This is akin to buying Tech stocks in late 2000 or buying Housing stocks in late 2007. The US debt market is officially in a bubble… and the Fed wants to spend $400 billion trying to make it bigger. With leverage of over 50-to-1 the Fed is finished.

Flashy Crashy. Is History repeating itself, or is this time different?

Stacy Herbert and Max Keiser have absolutely scooped the FT on the French bank run story with thier interactive interview of me and the use of new media. Absolutley!

Methinks the smaller media and blogs should be taken moe seriously as a platform by the mainstream media. Seriously! ZH and BBB are perfect examples.

"We look at conservatively estimated earnings yields and compute an equity risk premium of 600 to 700 basis points.  That is an extraordinarily high reward for anyone willing to invest in stocks.  History shows it is a bargain.  We will seize it.  Our longer-term target for the S&P is above 2000 by the end of this decade, if not before." -- David Kotok

Seat belts on. Impact is imminent.

The big news yesterday was not of the twist type, but of another dance number (or slumber) between Bernanke and Obama.

I fully believe that the Great Collapse, the time when the Fed completely loses control of the markets, has arrived. We're going to be seeing Market Crashes, Bank holidays, riots, food shortages, and more in the coming months.