John Hussman

What To Do With Your Cash?

Is it folly to hold cash right now? Or brilliant? ..."The problem with bubbles is that they force one to decide whether to look like an idiot before the peak, or an idiot after the peak. "

"Like A Wrecking Ball..."

"There will be no avoiding the completion of this market cycle for investors in aggregate... Indeed, the 30-day crash probability that we estimate from [Sornette's model of log-periodic power law bubbles] is rising vertically,"

Weekend Reading: Yellen Lets Doves Fly

The problem for the Fed remains the rising risk of a monetary policy error against a backdrop of an over valued, over leveraged and overly bullish financial market. Historically such combinations have tended not to turn out well.

Weekend Reading: Oil & Retail Send A Warning

There are two important areas of the market that have historically been good leading indicators of the strength, or weakness, of the markets and the economy... Oil and retail.

Hindenburg Omen Reappears As Main Market Supports Get Kicked Away

In the last week, the controversial Hindenburg Omen has started to cluster ominously once again. Combined with divergent market internals and rates off the zero-bound (and global central bank balance sheets actually shrinking), John Hussman warns of the rising likelihood of an interim market loss on the order of 50-60% over the completion of the current cycle.

Weekend Reading: Charged With Obstruction

No! I am not talking about President Trump but rather the crash in both Technology stocks, and Oil prices, which are obstructing the continuation of the “bull market.”

The Fog Of Markets

"Investors, actually the entire population, have become mesmerized by the system as altered and put forth by the central bankers...  Sanity, reality and a large dose of fear will eventually reassert themselves and force the market to adjust to appropriate levels."

Moving Closer To The Precipice

Slowing money supply and credit growth and historically extremely high stock market valuations far more often than not turn out to be uneasy bedfellows. In fact, usually the latter will eventually fall out of bed. Circumspection remains advisable.