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Strategies & Market Trends : Zeev's Turnips - No Politics

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To: Paul Shread who wrote (71172)5/25/2002 1:09:56 PM
From: TREND1  Read Replies (1) of 99280
 
Paul
You wrote
San Francisco Federal Reserve Bank says 876 is fair value on the S&P

frbsf.org

answer:
(1)The article was interesting.
(2)The current fair value of the S&P 500 is 876 is a true statement...as far as it goes.
(3) Let me quote directly from the article
"Alternatively, one could argue that the market is properly priced but the valuation model is missing some crucial elements."
(4)And again let me quote directly from the article
"Also note that the market has deviated from the model's predictions for sustained periods in the past"
(5)As for my feeling on the market. I am in the
Bob Brinker camp:
(A)Aug 1982 to Mar 2000 was a secular bull market.
(B)Mar 2000 to 2010-2020 will be recorded as a
secular bear market.IMHO.

Hope that helps
Larry Dudash
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