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Politics : Welcome to Slider's Dugout -- Ignore unavailable to you. Want to Upgrade?


To: yoremopnhoj who wrote (5201)5/5/2007 1:30:09 PM
From: roguedolphin  Read Replies (1) | Respond to of 50127
 
<<<<"This tells me the P/E of the stock markets needs to get at least cut in half">>>>>>

I'm not quite following you here.

What if we presume that the REAL rate of inflation in the US is in the range of 11% or so. Now we have short term rates here in the US at 5%. What P/E should we give the US market under those economic monetary conditions???

Anyone have an answer to that?

This is a recipe for a massive possible bubble in my opinion. Got short (the US economy really sucks....oh well!) got burnt and trying to figure out where we go from here.....

Rogue



To: yoremopnhoj who wrote (5201)5/5/2007 1:31:46 PM
From: roguedolphin  Respond to of 50127
 
<<<"The private buyouts in my opinion are based on a strategy of using today's dollars to buy assets and pay it back with future worthless dollars.">>>>>

This part of your message I seem to agree with.

Rogue