Mr. Marketjangles...
One must take a note when the Market is discounting bad news - but one shouldn't ignore longterm charts.
It looks like a lot of investors were true lovers of these in the past great companies. Like everbody who's in love you have a strong will to forgive nearly all they did mad: "You did right that you've come to daddy and admit what you bungled. I'm not angry about you anymore."
BTW you could see the same effect yesterday with Siemens in Germany - seldom a company came out looking that bad (exept SIE - they use to do that now for 20 years ggg); but the public turned the facts just around saying: eventually we've learned all negative news - from now on thing cannot move elsewhere but up. That's logic.
The consequence for me could be: when OEX doesn't like to cross one of the next resistances I should remember Siemens, Xerox, Gateway, shortly all these losers with warranty, should try to be one of the first disappointed "lovers" who starts clobbering.
The governments dollars - that remembers me in history, in mid 30's, when the US government prepared his wartill by forcing all US-citicens to give up all that gold they owned in exchange for printed paper. Hey man, that would have been the right time for going short in gold!!! Then they supplied Stalin for his confrontation with arms, planes, jeeps on credit, of course, creating an "inevitable" situation leading to the known provocation of Japan.
What's happening today? US is spending dollars like mad, but despite this the dollar get stronger and stronger, just because more and more foreign richs invest their "new" money in US-companies. No clue how large this bubble can get before a majority of Mr. (worldwide) market realizes that not only the "new" economy was imagination in great parts but also a great part of the "old" economy still makes products that nobody needs.
Take (in mind, please! ggg) some parts away from the money-streams: of course "irreal" production (remember the crazy GDP), then the money serving itself (all that speculation-stuff), then the money that never has existed (like borrowed money) and finally the money that gets burned by the government, also known as tax. Take away companies which produces never-to-use services and products... I'm thinking on f.e. homeworkerequipement (ggg), Shakespeare-collections and churches. Think on all these products they cause more damage than profit like cars, colts, sweets, software and dessous. (lol)
So, time for breakfast, petit déjeuner, onbijt, desayuno, Frühstück.
Bon appetit!
Jury |
