Vinny Catalano

Bargain-Hunting Hedgies and CEOs Poised to Bring Closure to Credit Woes

I appreciate the comments.

Allow me to clarify a few points.

To begin, you have to read this blog posting and the day before (on Sarbox) to get a more complete picture of what I am trying to articulate. I don't disagree that the hedgies, private equity, and others do not have the wherewithal (even with 4 times leverage) to clean up the mess. But what they can and will do is provide a cushion for any sustained decline and, I believe, once most of the bad news is out (by 1Q08) the conditions will be set for the last hurrah for the bull.

That said, I like the pessimism expressed in some of the comments. Only makes me more convinced of the bull reasserting itself into 2008, preceded by a solid year end rally.

By the way, the technicals of the market are lining up for another upside move. For that you need to read my Technical Thursdays posting on my blog.