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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (104403)	11/17/2009 6:21:33 AM
From: jack102son	1 Recommendation Respond to of 116555

Don't buy stocks. Stocks go up and down. GEEE. In a crises some stay down for ever, but some are already at their all time high. What does that mean? I live in a globalized world. Looking at PE tells me nothing. PE was ranging from 6-150 in history..or something in this range... But 100% of the stimulus still exist or is it virtual? The government debt will stay their as it did in Japan. It will even expand more. look at baltic, yields, china, india, brazil, vix, 80% of people employed, bussines expanding etc... In a POST CRASH WORLD things decouple and you can work on the markets. Things will go down too of course, but not all the same..but this is all good!!!! I like marekts going down because people can add.. no more replays from me..

To: mishedlo who wrote (104403)	11/18/2009 7:19:50 AM
From: Dan3	3 Recommendations Read Replies (1) \| Respond to of 116555

Re: The PE is at nosebleed levels, banks aren't lending and the recovery consists 100% of govt stimulus and complete fools who think there is a recovery. The problem is that PE is no longer relevant to the market, which is a bigger problem. Since the market is now operating off of - something else - "real" measures don't seem to matter any more. Since economic fundamentals don't seem to be driving the market, the externalities that are, (FED funded bubbles) could drive us to inflation as easily as they could drive us to deflation. You keep dismissing Weimar style hyperinflation as an impossibility, since fewer and fewer people have jobs and those that do are seeing their disposable income eaten away by local taxes and health care costs. But this may have been destroying productive capacity even faster than it's been destroying purchasing power. The amount of money the FED seems to be willing to funnel to its cronies looks to be infinite. That throws off the ability of logic and reason to predict the market.