As long as the politicians, government officials and ex-government officials keep preaching that this is the worst crisis since the great depression, the markets will keep going lower.
They certainly aren't helping the situation with their rhetoric and grandstanding.
Assessing the Market's Current Valuation [View article]
Mike, What do 1200 companies that have zero sales do? I.e., how do they make money and how do they stay in business?
On Feb 18 09:02 AM Mike Carr wrote:
> A lot of stocks are trdaing below their their average P/S ratio. > And more than 1200 stocks reported zero sales in the past 12 months > - seems interesting to me that so many stocks exist given all the > emphasis on fraud in teh current market. Could be indicating that > investors still seek risk?
Assessing the Market's Current Valuation [View article]
You said: "Using the P/S ratio to measure fair value, we find that 8,211 stocks have reported at least some sales in the past twelve months. (As an interesting trivia note, there are more than 1,200 listed securities with no sales at all in the past year.)"
I ask: Would you please read that again, and again, and even again if necessary.
Stop Trying to Jump-Start the Consumer - Barron's Interview [View article]
You said: "If I spend all my income this year, but make $50K in the stock market, the govt says that my savings rate is 0."
I ask: And what is your savings rate if you spend all your income this year, but lose $50K in the stock market?
On Feb 16 06:01 PM Stone Fox Capital wrote:
> The US savings rate is one of the most inaccurately used figures > around. To economists it seems that savings is the portion of income > but under the mattresss, but it never factors in investment/capital > gains. If I spend all my income this year, but make $50K in the stock > market, the govt says that my savings rate is 0. The savings rate > in the US is alot higher then the govts continues to mislead with. > I know very few people that have 'zero' savings as the govt suggests. > .
With Steve Jobs relieved of the burden of day to day activities, it just may be that he will have more time for the blue sky visions he's noted for.You know, like sometimes the best ideas come not when you're in the office, but in the proverbial shower.
John Hussman: Buying Near the Bottom [View article]
John,
You said: "While we do expect fourth-quarter GDP to come in at a loss of -4% to -6%, it is important to recognize that this is a quarterly change at an annual rate."
I have no idea what that means. Surely not the quarterly change multiplied by four?
What is wrong with using the year over year number?
Consumer Inflation Falls More than Expected [View article]
Perusing a calendar and using my inner-city public school education, I conclude that the elapsed time from August 29 to October 31 is actually only two months, not the three mentioned in the article.
Also, no mention is made of how the annualized percentages are calculated and somehow those numbers seem suspect. Some clarification is in order.
3 Signs of a Near-Term Market Advance [View article]
Where do you suppose that $3 trillion in cash came from?
Not from investors selling their stocks since for every seller who now has cash, there was a buyer who now doesn't have an equal amount of cash. No net change.
Not from new money generated from savings. $3 trillion represents more than 20 per cent of U.S. GDP of something less than $14 trillion. The U.S. is not a nation of savers.
Not from foreign government reserves. That money is already committed to treasuries or other investments, U.S. or otherwise.
So, where did it come from? And when it enters the market, won't an equal amount exit? Buyer Mort's cash now becomes seller Mert's cash. Again, no net change.
How Much Lower Will Equities Go? [View article]
They certainly aren't helping the situation with their rhetoric and grandstanding.
Assessing the Market's Current Valuation [View article]
On Feb 18 09:02 AM Mike Carr wrote:
> A lot of stocks are trdaing below their their average P/S ratio.
> And more than 1200 stocks reported zero sales in the past 12 months
> - seems interesting to me that so many stocks exist given all the
> emphasis on fraud in teh current market. Could be indicating that
> investors still seek risk?
Assessing the Market's Current Valuation [View article]
I ask: Would you please read that again, and again, and even again if necessary.
Then tell us what you really meant to say.
Stop Trying to Jump-Start the Consumer - Barron's Interview [View article]
I ask: And what is your savings rate if you spend all your income this year, but lose $50K in the stock market?
On Feb 16 06:01 PM Stone Fox Capital wrote:
> The US savings rate is one of the most inaccurately used figures
> around. To economists it seems that savings is the portion of income
> but under the mattresss, but it never factors in investment/capital
> gains. If I spend all my income this year, but make $50K in the stock
> market, the govt says that my savings rate is 0. The savings rate
> in the US is alot higher then the govts continues to mislead with.
> I know very few people that have 'zero' savings as the govt suggests.
> .
Barron's Plan to Save the Economy - For Just $200B? [View article]
Not a single one is subprime!
All are due to overleveraged investors.
Apple Will Survive Jobs' Departure [View article]
First Call of a Double-Dip Recession: Setting Up a Market Bottom? [View article]
Yet when it is up, so few try to call the top?
One of life's mysteries, I guess.
2009 Outlook and Beyond: Let Truth Be Your Guide [View article]
Unless you are employed in one of those industries that depend on those expenditures.
John Hussman: Buying Near the Bottom [View article]
You said: "While we do expect fourth-quarter GDP to come in at a loss of -4% to -6%, it is important to recognize that this is a quarterly change at an annual rate."
I have no idea what that means. Surely not the quarterly change multiplied by four?
What is wrong with using the year over year number?
Long Term Fundamental Value of Stocks Smoother Than Prices [View article]
moneycentral.msn.com/i...
Long Term Fundamental Value of Stocks Smoother Than Prices [View article]
Oops!
You said "Right now Exxon pays more taxes than all US citizens combined. That can't continue."
For the record, Exxon paid $29.864,000 in taxes for 2007.
Individual taxpayers paid $1,335,441,437.
In fact the total for all corporations was only $395,535,825.
www.irs.gov/pub/irs-so...
Too much talk radio, I suppose.
Last Thursday Was the Bottom - It's Time to Get Back in [View article]
Yet in a bull market, so few try to call the top?
One of life's mysteries, I guess.
Consumer Inflation Falls More than Expected [View article]
Also, no mention is made of how the annualized percentages are calculated and somehow those numbers seem suspect. Some clarification is in order.
3 Signs of a Near-Term Market Advance [View article]
Not from investors selling their stocks since for every seller who now has cash, there was a buyer who now doesn't have an equal amount of cash. No net change.
Not from new money generated from savings. $3 trillion represents more than 20 per cent of U.S. GDP of something less than $14 trillion. The U.S. is not a nation of savers.
Not from foreign government reserves. That money is already committed to treasuries or other investments, U.S. or otherwise.
So, where did it come from? And when it enters the market, won't an equal amount exit? Buyer Mort's cash now becomes seller Mert's cash. Again, no net change.
Why the Price Dividend Ratio Is Better Than the P/E Ratio [View article]