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Strategies & Market Trends : Bob Brinker: Market Savant & Radio Host

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To: XOsDaWAY2GO who wrote (2142)11/17/1997 4:42:00 AM
From: Greg Luke  Read Replies (3) of 42834
 
Am I the only one who is getting tired of hearing about the performance of Index funds over Mutual funds for the past 3 years? And how the market is now near or at record P/E levels and has no place to go but...but what? Sideways? Yet, if the Dow Industrials and the S&P 500 fall another 10% or so, we will have a "buying opportunity"...but not a "gift horse"? This is not advise, it is hedging your bets. Just like the phrase: "stocks tend to flucuate" in the MarketTimer.

BB did have a few good tid-bits of info. today. I thought his assessment of Japan selling US Treasury bonds was insightful. His point being that the record low deficit in US Gov't spending results in fewer Treasury notes being issued...thus the market could easily adsorb a significant Japanese sell-off.

But I hear about one call per hour that really has any meat. Is it the call screener's fault that we hear the endless droan of "my mutual fund is XYZ Group..what do you think?" "Lets see..hasn't kept up with the Index funds for the past 3 years."

Is anybody worried that Japan might fall into a depression if their banks fail? With Japan being one of the strongest markets in the world, I think there is a good chance a catastrophic economic event in Japan would very definately impact the global economy, including the US. We could see Japan offering some government bonds at a high interest rate, in an attempt to bring money into their country. This could drain significant money from the US Stock Market, causing a severe sell-off. Reading earlier postings, Hong Kong and other Asian markets could be in the same situation.

Come on Bob, we need some real insight; advise we have learned to expect from one of the few people with the knowledge to make the hard call. Let's not waste our time on the "no-brainer" phone calls..like investing in gold! Or, look up your mutual fund's performance in Barrons.

Luke
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