taxed2much

Why This Rally Is Unsustainable

Something everyone is forgetting. When the markets came down to their lows in March from back in August of 08, all the wealth that was just disappeared into the void of nothing. This means the money some here are talking about waiting on the sidelines for the right moment is not even there. Except for limited amounts as compared to what was available back in mid 2008. At least to the non-financial side of the markets it is. Now the inflation that is now being talked about and how all the money being printed day and night will cause such inflation in supply that we are sure to see soaring interest rates and commodity prices. This won't happen because the money being printed and given to the banks is replacing money that disappeared into the void I spoke of above. The reason why we won't see much inflation if any is because the amount of money that disappeared is a lot more than the Fed can print up anytime soon. The real people who will be losing in this time of our lives are the ones with nothing but savings type investments like savings accounts, T-bills, and CD's or nothing at all. The suspension of the mark to market rules gave these already manipulative money pits the complete ability to show what is in their left hand while pulling the rug out from underneath whoever is looking. It is slight of hand without the slight really. They are showing us a turd and calling it a gold mine.
As for the doofus Smackdown, you're way off on your assertion that Republicans manipulated the markets to fall. Not one politician wanted the markets to fall, it only causes the politicians to lose their jobs. And to even think that a Democratically controlled Congress over the last two years of Bush's term had nothing to do with the markets downfall is just plain stupid talk. Or rather it is just you being led by the nose by the media. You only get told what they want you to hear. That is bad and will cause you to end up making a bad investment decision eventually if not already. Remember it is Frank, Dodd, Pelosi, and Reid along with Rangle, Waters, Hillary and many more Dems who took all those dig handouts from the Mae and Mac belly ups.
Author- stick to your analysis. Add in the empty hole being filled by the Fed and it might change your outlook to something of a more conservative nature. If only because the things or manipulations that the Fed and the President are able to implement are not only huge and unprecedented, but also no one knows what will be done next. If you were short before this rally began, you were hurting before it even started. Everything got revalued on the puts and short sides big time. Then the rally came and for all the signs that said shorting was right( and it was) all were negated by the decisions made up high. So good luck to shorts. If they begin to win, the ones in charge will just make the change to turn it to the long side. Manipulation at its finest.