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To: MoneyPenny who wrote (93789)9/5/2010 10:26:12 AM
From: Dale BakerRespond to of 118717
 
Excellent article, thanks.



To: MoneyPenny who wrote (93789)9/15/2010 7:26:13 PM
From: John VosillaRespond to of 118717
 
'So how perfect. How symmetrical. In 1999, we had to ignore P/E ratios because they were too high. Now in 2010 we have to ignore them again, but because they are too low. That was the upshot of the Journal article.'

They are also saying the same thing in RE compared to 2005. Yes remember those 1% option ARM's, 2% unleveraged cash flow yields and 20% annual appreciation penciling out so buy, buy, buy...

Many stocks with mid single PE's now in the correction since sell in May and go away. As big caps and dividend yields remain so strong when you add in the yield curve and third year election cycle stock pickers should have the wind at their backs for a while.