Clown-Free Zone... sorry, no clowns allowed Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Clown-Free Zone... sorry, no clowns allowed

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Lucretius who started this subject	3/12/2002 7:04:22 PM
From: Box-By-The-Riviera™	of 436258

russell exerpt: Back in February 1997 the S&P sold as high as 876. Today, five years later, the S&P is selling at 1155. That's a compound rate of increase of a bit over 5%. Ironically, you would have done better being invested in bonds. Back in April of 1999 the Dow sold as high as 10878. Today the Dow is selling at 10543. That amounts to three years where you would have made nothing in the Dow (actually lost a bit) while collecting ridiculous low dividends of less than 2%. These statistics are characteristic of a "sneak" bear market. They are also characteristic of a vastly overvalued stock market. Finally, they are indicative of the formation of a massive stock market top. With actual price/earnings ratios for the S&P at over 43, stocks are already priced for a major earnings recovery which may or may not occur. But from an investment standpoint, current super-overvalued prices don't make allowances for any risk. Surprises happen --wars occur, slumps occur, inflation or deflation can materialize, terrorists could hit again, interest rates can surge. My point is that at current prices, this market makes literally zero allowance for risk.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next