Seeking Alpha

SafeList.com

SafeList.com
Send Message
View as an RSS Feed
View SafeList.com's Comments BY TICKER:
Latest  |  Highest rated
  • A Turning Point in Gold [View article]
    Correct for the country!

    Jobs are a lagging indicator and as the economy picks up steam and momentum, it will need jobs to sustain and add fuel to the very powerful chugging that it is starting to exhibit...

    Recall, that during the dark days of 2007-2008, the US economy was being compared to the Great Depression...The economy had fallen over and hurtling down the abyss and the only way it could be rescued was through forceful government intervention with the pumping of gobs of liquidity into the system...Heck, Warren Buffett, who has never been accused of being a spendthrift, was advising the government to inject even more liquidity when the economy did not seem to be pulling itself out of the giant hole that it had gotten itself into...

    Here are a few headlines that point to the direction of the US economy which is UP:

    Feb 1, 2011

    Factory activity grows at fastest pace in 7 years

    Factory activity expanded in January at the fastest pace in nearly seven years, as manufacturers reported a sharp jump in new orders.
    news.yahoo.com/s/ap/20...


    Feb 1, 2011

    Study: State tax revenue way up in late 2010

    Some rare good news for states facing enormous budget shortfalls: In the last three months of 2010, state tax revenue rose by more than in any quarter for nearly five years.
    news.yahoo.com/s/yblog...


    January 31st, 2011

    Chicago Purchasing Managers Index Increases to 68.8 in January
    Jan. 31 (Bloomberg) -- Businesses in the U.S. expanded in January at the fastest pace since July 1988, indicating the world’s largest economy has momentum at the start of the year.
    www.businessweek.com/n...

    Look...I am not in favor of large deficits...but in 2008, we had NO choice but to add massive liquidity into the system to immediately arrest the fall into the precipice...had we not injected that shot in the arm, we certainly would have experienced the Great Depression circa 2008...We had no choice but to bite the bullet...and thank God we did...

    Once the economy starts to grow and create jobs, which means additional tax revenues, then we need to turn our attention to putting a brake on wasteful spending...but first things first: We need to continue to give life saving oxygen to our economy...

    I am glad to note that my views continue to draw thumbs down reaction from the readers here...this tells me that my opinions are clashing with those of conventional wisdom...and in the markets, one makes money when one bets against the masses...

    Once the masses turn bullish, I will be looking for the exit signs...

    :-)

    Cheers!
    kp
    Feb 2 08:29 PM | 2 Likes Like |Link to Comment
  • A Turning Point in Gold [View article]
    Bo,

    On June 6th, I posted my very first comment on Seeking Alpha, to one of your posts "Friday's Controlled Descent: A Perfect Storm is Brewing," and for that post, I received 29 Thumbs Down...LOL!

    In disagreeing with your post then, I said the following:

    "The is a market that is awash in liquidity and for someone who has been around the block a few times, high liquidity means high stock prices...PERIOD! All the doom and gloom is just what the doctor ordered so that all the weak hands let go of their stocks...What you are seeing is a consolidation of the 10,000 floor for the inevitable climb up...And mark my words, this market is going up and the ride is going to be a doozy!"

    Today, 6 months later, the DOW has moved up 20% in just 6 months, from 10,000 then to today's 12,000. And just like I predicted, the ride has been a "doozy!"

    Now, 6 months later, unfortunately, I again have to disagree with your fundamental assertion...If the price of gold goes up, it will be because there are 3 billion folks in India and China whose living standards are rising and they are becoming a part of the middle class and they need a way to flaunt their wealth and buying and wearing gold is an age old tradition...nothing more. The US monetary policy has been ABSOLUTELY CORRECT for the last 2 years. Even the gloomiest economist and a perennial Bear, Robert Aliber, has turned into a Bull and is predicting a gangbuster US economy for 2011...

    Even though the Dow is up 20% since my last post, this doozy ride is just getting started...If you are hunkering down and buying gold as a defensive position, with the expectation that this stock market move is a fool's move, then, I am afraid you will find yourself on the sidelines, with this freight train of a Bull market will continue to roar along, without you, for the ride of a lifetime...

    :-)

    kp
    Feb 1 12:23 PM | 1 Like Like |Link to Comment
  • Friday's Controlled Descent in Equities: A Perfect Storm Is Brewing [View article]
    I disagree...

    First comments on this site...The is a market that is awash in liquidity and for someone who has been around the block a few times, high liquidity means high stock prices...PERIOD! All the doom and gloom is just what the doctor ordered so that all the weak hands let go of their stocks...What you are seeing is a consolidation of the 10,000 floor for the inevitable climb up...And mark my words, this market is going up and the ride is going to be a doozy!
    Jun 6 10:37 AM | 15 Likes Like |Link to Comment
COMMENTS STATS
3 Comments
18 Likes