Owen B

Shanghai Index Declines 4.7%: Bubblevision Permabulls vs. Web Permabears

JF, I agree with you that there were a few individuals that called end of Armageddon in early March, but I was thinking more of market sentiment as a whole.

Have you seen this? www.reuters.com/articl...

Shanghai Index Declines 4.7%: Bubblevision Permabulls vs. Web Permabears

Good article.

Reading this passage i found myself out of step with your description, but then figured being out of step is what makes a market.

"The sky is falling-financial Armageddon" phase ended Mar 6-9 at SPX 666 low; then "the recession will soon be over phase," whose end can be dated no later than Apr 29-30 when ECRI made that call, though the market had it figured out much earlier than that; followed by a May-June market consolidation; then "the better-than-expected 2Q earnings" phase, starting July 13 with Meredith Whitney’s pre-opening Goldman call on CNBC; followed quickly by "the better-than-expected 3Q GDP phase," which just ended as at least six major banks raised their estimates to around 3%."

My sense is similar, but with slightly different timing:

=The sky is falling/Armageddon phase lasted well into May.

=Sometime in May, following ECRI "end of recession this summer" call, I think Armageddon did come off the table for most.

=Then in June as the market fell, bears gained some control, with variations on an "Armageddon light" story.

=Armageddon light then passed away with the GDP and report on July jobs, and people need to decide if they want to finally buy in when the markets up 45% from its lows.