We live in a global world of many currencies. Inflation to Latin America is not the same as to us Americans, and guess what, those societies, especially Brazil (among the worse inflater/deflaters) is still standing, with no critical mass ground zero event crater. We have to start educating that STOCK IS CURRENCY. These Merger and Acquisitions you see are making people rich because they, (YAHOO comes to mind in particular) are buying up "REAL" companies with STOCK and NOT WITH CASH. Lower stock valuations (Ala Greenspan and the GreenMeanies at the FED and Treas) means we have LESS CURRENCY to buy the future, this future is being made now, by the techs and the Internet Revolution in e-commerce and INCREASED productivity in every MODERNIZING sector of the economy ( the Fed being an un-modern sector unto itself, next to commodities and I almost inluced the Utilities but they have now awakened to the new reality). Productivity, do you REALLY BELEIVE IT WILL EVER REACH A SCIENTIFIC LIMIT??? If so, when and how much? When do we stagnate for all eternity? The sales reports and consumer confidence reports ALSO PROVE we are spending our increase wealth from the increased productivity. That means increased wealth all around, unless some old timer kills it because he can.
I am not a sour bull that lost 25%, I am an opportunist, and have bought all the way down, and I consider them all bargain prices that I probably will never see again, for such stocks as AOL: Bought all the way down and am still buying as it gows up, at every point and half point from 105 to 76.5 and up to its 90 range now, and holding every share of AOL all the way, all the way to where Meeker/Blogett/Lehman/etc all say it will hit $200. Don't get brainwashed by Greenspan, this is an opportunity, but what he did to all the scared, panic driven amateurs and smaller investors who can not afford to lose what they lost, is really criminal in my mind. It could cost the US its dominance in the tech/internet build out a race that asia wants to win like it did with Steel, Cars, Computers etc. Although this time around I think Europe can give them a run for the money, of course that means we are no longer in the running, and are back (ten years hence) where we were when Teddy Roosevelt became president, just another plantation former colonial status country...That I do not think is why we have come to where we are today, we have plans, big plans, even though when you look out across our shores you realize we are geographically small, only about 300 millions citizens and aliens live here, we don't have equatorial growing seasons, and so on. Lets be thankful for what we have and also resolve not to lose it. We need what we have to buy and build for tommorrow.
I am,
Truly yours,
-Crystal ball |
