Differently have mixed views about this whole stock market thing.
During the spring, I had big reservations regarding the bubble mania, like this cannot continue at the current pace. Historically, stocks are good for about 12-15% gains. Not the 25-35% gains registered for the last several years. Still, people were not only getting use to those gains but they expected them, to continue for some time.
Now we have the public, at historically high levels, invested in the market. Add in the consumer debt levels, also at HH levels, with a declining investment and it adds up to a lot of pain. I expect bankruptcies to increase in the next several months.
That part I don’t like, seeing these generally decent people taking it on the chin.
Well, I figure we have several more months of declining choppy markets, unless Greenie really cuts’em but why should he, so stock valuations get back in line with reality. By that time the public will have pulled out near the bottom.
It’s raining here, so no skiing today, my daughter has a sad face. But the malls open in an hour, so I know what her plan B is, hehehe. |
