SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Gorilla and King Portfolio candidates - Moderated
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Apollo who wrote (151)10/29/2003 5:34:27 PM
From: Knighty Tin  Read Replies (1) of 2955
 
Apollo, It is obvious this market is in "what, me worry?" mode. The main problems are well known to folks on this thread: 1. The economy is awash with debt at every level. 2. We are exporting or have exported our manufacturing and service future. 3. We have basically become a big financial services supermarket. 4. Valuations are bizarre and cos. are back to using pixie dust instead of real eps numbers. "They won't fool us with that crap again" has become "please tell us any old story and we'll believe it." 5. The eventual collapse of the dollar will end our viability in financial services.

All of these things are at the macro end. There are still cheap stocks and growing cos. out there. But the big plug uglies that make up the major indices are overpriced and undergrowing, and in far too much debt. On an absolute and relative basis (to faster growing foreign markets), our markets are overpriced.

So, if you are buying a small biotech co. or an Indian outsourcing stock, you have a chance to make good returns. If you are buying indices or index related investments (the great majority of funds and money managers), you are doomed. There will certainly be speculative blowoffs like we are experiencing now, but I think you have to play them with options, as long stocks are much too risky, in general.

We are still the most innovative country on Earth and that will work in our favor. But new ideas make up a small part of our economy, so they are great, but no panacea. Or is that pancreas? <G>
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News