Silicon Investor (SI) -- The First Internet Community

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 : SiliconInvestor All Stars Forum -- Ignore unavailable to you. Want to Upgrade?

To: SouthFloridaGuy who wrote (280)	2/24/2007 11:41:07 AM
From: John Vosilla	Respond to of 1718

'Equities are as cheap today as they were in 1982 all else equal.' Some are some aren't. Financials are parabolic and haven't discounted the real estate/credit bust or rising long term rates. Take that cash flow model and discount it with 6.5% 10 year treasury versus 4.6% even assuming everything else remains the same so if we have even a slight bump in the road there could be a big hit so we could have two down legs and one up move between now and October, then have a monster fourth quarter rally and still end the year higher than we are even today.. I agree with the other poster the DOW will eventually be at 40k but probably in another 15-20 years. By then the purchasing power of your dollar will be perhaps 20-30 cents and Mish will still be out there as an on old man harping on the coming deflation..