Comments on Econ Base's articles RSS Syndication from SeekingAlpha.com http://seekingalpha.com/author/econ-base/articles http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-772302 772302 Sun, 22 Nov 2009 18:13:41 -0500 http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-772141 772141 Sun, 22 Nov 2009 16:09:34 -0500
"A major market correction is inevitable." Yeah, probably...but WHEN? There will ALWAYS be a major market correction in the future...but will it happen next week? Or, after stocks go up another 10%? or 20%? Why doesn't the author go out on a limb and suggest a timeframe?

Or, better yet, use real examples: Which stocks do you consider "overvalued," and why? Clearly, if you think the S&P 500 is overvalued, then there must be a large number of these 500 stocks that are - in your opinion - "overvalued." How about naming a few? At least then we could have an intelligent conversation about valuation, company performance, etc. Without discussing specifics, the article has no practical utility...it's just the SAME article published over and over again at SA...for the last eight months. Basically, the idea is: "The market is too high now...it will (it MUST) go down (sometime in the future)."

There's nothing new here.]]> http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-772085 772085 Sun, 22 Nov 2009 14:49:23 -0500
]]> http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-772042 772042 Sun, 22 Nov 2009 13:48:45 -0500 These are but some of the reasons the market will correct. ]]> http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-771837 771837 Sun, 22 Nov 2009 11:19:48 -0500 Also, I'm tired of these comments that suggest that "government is inefficient" or "can't do anything right". They assume agreement between writer and reader and lack the intellectual rigour that's necessary to prove the point.
And . . . I have to ask: Where would you have preferred to put your money over the last 30 years, in bank stocks with "safe" dividends or into the SSN trust fund (how many payments have they missed?)
There will be a correction and a pretty significant one. Too many people have made too much money in too short a time. I agree with the comment above that a correction by the S&P down 20% is very likely (900 area from 1100)
Back below the March lows? Ain't going to happen. ]]> http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-771678 771678 Sun, 22 Nov 2009 10:00:14 -0500
1. I think that the stock market is about 20% over valued and I have seen others come up with this figure too. But that doesn't mean that there will be any correction. It can get far more over valued than that. The stock market is hardly ever at "fair value". Mr Market will drive it one way or another. That's life.
2. 20% over-valuation is not a bubble. It's just 20% over-valuation.
3. Low interest rates are a legitimate reason for high stock values, particularly where there is confidence that low rates will persist - as the author says they will.
4. The carry trade has nothing to do with this. Carry trade money is, by definition, not invested in the US stock market. Carry trades are also, by definition, unwound at some point in time.]]> http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-771671 771671 Sun, 22 Nov 2009 09:53:46 -0500 http://seekingalpha.com/article/174648-a-major-market-correction-is-inevitable?source=feed#comment-771475 771475 Sun, 22 Nov 2009 05:18:33 -0500 http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-731757 731757 Mon, 26 Oct 2009 23:23:27 -0400 http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-730165 730165 That giant sucking sound you hear is the debt implosion. > Credit is being wiped out faster than it can be created. That's deflationary.]]> Sun, 25 Oct 2009 23:56:55 -0400
Please point us to a single Wall Street strategist who stated during the credit boom that massive credit creation was inflationary. Credit was exploding 15-20% per year, every year. Show us the quote from Bernanke (or Greenspan) saying this was inflationary, and Fed Funds should be bumped up to 15%. Find us any quote, even one, to support this idea.

But now, the con-artists on Wall Street want to claim that THEIR LOSSES are somehow the equivalent of deflation.

The dollar is going down. Cost of living is going up. And Wall Street isn't fooling anyone outside of the Fed.

Man up and admit you are wrong


On Oct 25 10:01 AM The Geoffster wrote:

> That giant sucking sound you hear is the debt implosion.
> Credit is being wiped out faster than it can be created. That's deflationary.]]> http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729749 729749 Sun, 25 Oct 2009 17:59:56 -0400 http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729653 729653 Sun, 25 Oct 2009 16:08:53 -0400
Meanwhile, the cost of living keeps going up and the dollar keeps going down. Bank losses on bad debt (that a smarter group would not have lent in the first place) are not deflation, anymore than the absurd "profits" (aka accounting fraud) of 1990-2007 were inflationary.

Get a clue Wall Street -- no one will ever trust you with their money again. Losses stemming from your incompetence are not the same thing as deflation, and your shameless efforts to get the Fed to print money to pass your losses to the public is the reason why people HATE Wall Street now.

Man up and admit your mistakes. Write them off, and move on. Don't try to mislabel your losses as deflation]]> http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729302 729302 Sun, 25 Oct 2009 12:04:04 -0400 http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729215 729215 Sun, 25 Oct 2009 11:31:14 -0400 http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729090 729090 Sun, 25 Oct 2009 10:01:36 -0400 Credit is being wiped out faster than it can be created. That's deflationary. ]]> http://seekingalpha.com/article/168649-deflation-is-the-threat-not-inflation?source=feed#comment-729007 729007 Sun, 25 Oct 2009 08:13:45 -0400
Modern economists seem to have forgotten the 70's.]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-666312 666312 Tue, 08 Sep 2009 10:35:06 -0400 ]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665811 665811 Tue, 08 Sep 2009 03:07:20 -0400
BTW, it's going to be the way that we rid America of the Democratic rule in Congress starting next year and in 2012, the Great Change artist Obama as well.]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665729 665729 Mon, 07 Sep 2009 22:59:07 -0400
Government wasteful spending, prolonging a market collapse, and distorting the market is exactly the type of concoction that creates depressions. ]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665559 665559 Mon, 07 Sep 2009 18:52:30 -0400
And if you think the jobs the baby boomers had will be filled, not likely.....]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665396 665396 Mon, 07 Sep 2009 14:51:40 -0400 http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665306 665306 Mon, 07 Sep 2009 13:16:04 -0400 http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665279 665279 Mon, 07 Sep 2009 12:50:53 -0400 seekingalpha.com/insta... ]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665163 665163 Mon, 07 Sep 2009 11:49:48 -0400
The economy needs jobs which pay taxes and fuel more jobs; not absurd consumption but further innovation and investment. The government has to lead the way, the private sector and capitalism in general has lost its way.

We can continue to stick our heads in the sand by hoping the financial system will efficiently allocate the resources. Come on, what are we smoking; the financial system promotes the financial system and will not change until forced to change. We can also just continue deficit spending on unemployment, food stamps and medicaid. What a waste!

Labor has been commoditized and we are stuck in this downward spriral. We have to break it and we have to do it by putting this country back to work, plain and simple.]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665087 665087 Mon, 07 Sep 2009 11:03:19 -0400
We all want it to be otherwise, but all the efforts of the world's governments to pump money and liquidity in to jump-start the economy are not working, and the excess money is not even looking like starting the inflation that would be expected if their policies were to work.

Stock up on gold and sell your bank and financial stocks whilst you can get a price that's way over their worth right now.

Most of all, look deeper at what is happening so that you don't get taken by surprise when the bottom falls out of everything, not just the markets.]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665057 665057 Mon, 07 Sep 2009 10:38:13 -0400 www.scribd.com/doc/175...]]> http://seekingalpha.com/article/160274-job-growth-is-key-to-a-turnaround?source=feed#comment-665011 665011 Mon, 07 Sep 2009 09:50:06 -0400 http://seekingalpha.com/article/145902-tips-are-untested-what-happens-when-inflation-takes-over?source=feed#comment-569124 569124 Tue, 30 Jun 2009 19:18:26 -0400 http://seekingalpha.com/article/145902-tips-are-untested-what-happens-when-inflation-takes-over?source=feed#comment-567867 567867 Mon, 29 Jun 2009 23:01:43 -0400
I own Gold and TIPS. TIPS pay me an income. Gold does not. Gold has gyrated much more than TIPs, which is good for traders, not so good for the rest of us. How about a little of both. And, a basket of currency from countries than are more leveraged to gold production - Austraila, Canada, etc.?]]> http://seekingalpha.com/article/145902-tips-are-untested-what-happens-when-inflation-takes-over?source=feed#comment-567818 567818 Mon, 29 Jun 2009 21:34:26 -0400 One quality would be equity.
Equity money.
As compared to debt-money.
Which is what we have now where all money is created as a debt.
And where, in doing so, we create a new debt obligation that can never be repaid.
And then we end up with a debt crisis.
Which is really the insolvency of the debt-money system.
And the only way out of the insolvency of the money system is to continually create more and more debt.
Thereby requiring even more debt-service payments.
Because the debt money system lives on debt.
So, not creating unpayable debts would be another of the good qualities of Greenbacks.
Unless these are not the same Greenbacks.
]]>