RE: Market conditions
Sorus, you sound like a wounded bear! Yes, there will be a blowout in Internet eventually, and buying companies that are not making money has never made sense, but I don't see a "return to the days of yesteryear" in the near future, with a 2 to 3 year bear market. There are some politicians that have to get re-elected in November, and God helps a Fed Reserve that forgets it!
There has been a re-alignment of PE, s as Mr. Market realizes that it has been overpaying for Bonds, and underpaying for growth.
Neither you, nor I nor anybody else but "Mr. Market" knows how long things can go. However, there is nothing on the horizon that calls for an extended bear market that I can see. Productivity continues to rise, and we are in the start of the biggest part of the Tech revolution, IMO.
As long as the money supply rises no faster than productivity and the Politicians don't ignite a recession with spending, we should continue the way we have. These small downturns, like the one right now, shake out some of the ribbon clerks, and are needed for a breather. I would love to see Etoy and Amazon and their elk finally recognized for the con that they are. You have to make money sometime!
If you are an old fashion "valuation" guy, you have been shaking your head since about 1993! |
