Berney; RE:" fake money "
>I stopped at a gas station a year or so ago and gave the clerk a magic $20 bill. She actually drew a line upon it with her magic pen. I asked what she was doing. She responded that she was checking for "fake" money. I noted that in fact it was all "fake" and based upon "In God We Trust". Alas, I received a very unrespectfull stare over her glasses...
ROFLMAO !!! That was a really good one, dude! What were you smokin' that day? ;-)
BTW, forgot to add to my last post to you, before the 15-minute edit window timed out, that according to my calculations, for the Berney BigBoyz 'accumulation levels' that I have set (mostly based upon fibonacci retracements and support lines) to all be met, the OEX will have to fall another -9%.
>The other day CNBC indicated that the entire market value of the Russian stock exchange was less than IP, a minor player on the DJIA. It's an absolute joke to think that this equity Market is going to affect the Intl world. Someone referenced a post several weeks ago that this entire "event" was being orchestrated now to ensure that it didn't happen right before our elections in late October. Could it possibly be so ?
It's the Ruble, Berney, not their diddly stock market - As DJ pointed out, the DB has a lot of exposure to it, as do some of our larger, money-center banks. Unfortunatley, when the DB; BOJ; CCI, BAC, NB, CMB and JPM take a hit, real or potential, they take the regionals, the insurers and the brokers down with them, as well as a lot of other stocks in the S&P basket.
>On the other side, as long as we value a GE at almost 3x its growth rate, the accountant in me says that we are going to have a problem. The concept of the problems associated with Indexing, the country baskets, so to speak, really needs to be addressed. Yet, the powers that be are silent. Why?
Oh, the Fed and the S&P-MID400 Fundies have been making a big to-do about value, and it has merit, of course. Fact is, the BigBoyz have stock buy-back programmes when they tank, while the smaller fish do not. That, and people are unwilling to pick stocks in an uncertain environment, so they buy index funds and/or index stocks, perceived bellwethers, in an attempt to minimize specific risk with market risk, which - so far - has been acceptable. It is when the kapital stops flowing in altogether, when even market risk has become unacceptable - that there is no exit - that "value" will be diminished to some historical ideal of what is "fair".
What if (industrial) commodities never recover ? Oh, I mean, they stop going down, somewhere, and go up a bit - but not that much. Even after Asia gets its currency re-stabilised. What then ?
This is not altogether unreasonable to consider. Russia was a real superpower - we tend to ignore that, but they're big ! We are absorbing an incredible new capacity for oil, metals, timber, etc. into the neo-capitalist New World. Nobody is going to build new primary aluminium and steel plants. The big industrials start to consolidate; some, even unimaginable: DAI + C, AN + BP, and so forth.
What if things are fundamentally changing in the world? That Europe is becoming a Union? That banking is becoming a bank? That stock markets are becoming a market ?
Hell, I don't know, dudes {grin} Sell High, Buy Low (^_^)
-Steve |
