Waiting for the big Kahuna Message Board

STOCKTALK

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 : Waiting for the big Kahuna

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: William H Huebl who wrote (23527)	8/6/1998 8:21:00 PM
From: Tommaso	Read Replies (1) of 94695

The cash flow into equity mutual funds is positive, but very weak--not enough to absorb whatever IPOs there may be and certainly not enough to sustain the bubble. Since we are in the middle of one of the great manias of all time (in some ways eclipsing 1929), anything can happen, but like all the others it will collapse. In 1929 stock ownership in the US was much more limited than now, and the market crash on the whole affected wealthier persons in the New England and Mid-Atlantic states. The South was still so beat down from Reconstruction and other causes of poverty that except in larger cities (Atlanta, Birmingham, New Orleans) the market crash had almost no effect, and even the Depression was not much more than a continuation of hard times. I think maybe the US is like one big New York State for the world now, and our market crash will be like what went on in New York and Massachusetts in 1929. In retrospect these valuations will seem incredible lunacy. People will say, "What! You bought a mutual fund with a 1% yield when you could have got savings bonds with 5% [or whatever it is].!!!"

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next