Selling to Nobody

On our links page we have three links.  We don’t need more because they are some of the the best available.  One is John Hussman’s link.  Here is a little piece of a much larger analysis that he published last week:

” The present syndrome of overvalued, overbought, overbullish, rising-yield conditions is the same basic environment that concerned us in 2007, and in 2000 (as well as May 2011, just before the market experienced a near-20% swoon). While the Fed continues its policy of quantitative easing, that policy is fully recognized and investors now fully rely upon its continuation. It is also an element of common knowledge that “everything will be fine until the Fed reverses course,” at which point everybody will presumably be able to sell to nobody. Unfortunately, the support for such complete confidence in Fed policy is vastly overstated.”

No change in the signals in the Numbers from the last email.