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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (34051)	9/5/2001 3:32:29 PM
From: j g cordes	Read Replies (1) \| Respond to of 69854

Harry, I don't think Greenspan was responsible for the bull market (as many claimed), nor is he responsible for its decline. Its fair to say he was fearful of irrational exhuberence and logically had evidence from many world markets including the US, that exhuberence can fail.. in a crash. I think he was talking down the market the best way he could find.. and there is a graphical though not 1:1 correlaton between markets and consumer spending.. as is there between markets and capital investment. At its peak, the bull market was pushing the historical envelope on PE, while traditional returns like dividends were being eliminated.. stock price was everything. Today were hearing another mantra which is a twist of cause and effect.. that government debt and deficits don't matter. Even an oil man should know you can't pump petroleum from a dry hole.