Stevie

Was Friday's Rally Just a Hedge Fund Short Squeeze?

Rationality has been elbowed out by raw emotion and unbridled fear. Mix in an almost universal distrust of the current capital markets regulatory architecture and you have a perfect storm. Just wait until Americans get their 401K statements, and we'll will see how enthusiastic they are to 'dollar cost average' and 'buy the lows' as the CNBC cheerleaders encourage. Not so long ago only a small percentage of Americans invested in the stock market, it would not be surprising if a large numbers of investors elect to invest elsewhere. Notice the brisk sales of SAFES. Ah, the subtle manipulation of the masses. As ever, bad money chases out good.