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 : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: ayn rand who wrote (89489)	8/7/2009 7:45:40 AM
From: Real Man	Read Replies (1) \| Respond to of 94695

There is huge difference between now and last year. Last year the Fed stopped all the printing, so liquidity dried up, volatility ( the inverse of liquidity) shot up, and the markets crashed. They did even more - started paying interest on reserves in September 2008, so 800 bln piled up at the Fed (and out of the economy) This alone would crash the markets and shoot the dollar up, and it sure did. This year the markets are overliquified, and even more is coming from where it came from. I am not fighting it. The bears expecting return of volatility are likely wrong. This is basic derivatives.