Market Settling Back
For the moment the markets are just settling back into reality. How you handle this is obviously up to you. I don’t look for a big bear market here but I personally use the old adage, if I cannot be long I’m short, and try to ask the question every day, would I feel better long or short.
Here is a little blurb today from the web site Seeking Alpha, which I probably should add to the links section. It quotes John Hussman who we do have listed in our links section:
“What we’ve observed in the employment figures is not recovery, but desperation,” writes John Hussman. Of the 1.84M gain in payrolls since the recession’s “end,” 2.96M jobs have gone to workers 55+, while employment for those under 55 has shrunk by 1.12M. By shorting savers of interest income and promoting repeated booms/busts – but no durable returns – “the Fed has successfully provoked job growth of the obligatory, low-wage variety.” (Read the comments on this)
And a later Seeking Alpha article:
9:46 AM No need to wait until May, writes Doug Kass, sell stocks now. The economy is slowing and the likely return to power of Obama and a Republican Congress (at least the House) means gridlock in D.C. Remember, the default scenario for 2013 is a large fiscal contraction (also pointed out by Alan Blinder). (Read the comments on this)