Thursday, November 19, 2009

A tale of wolves in markets

Wolves in markets have gobbled up millions of sheeples as we are seeing Tsunami of bankruptcies and unemployment numbers. As previously noted, this economic and financial downside cycle is a very long term cycle K -- I would say -- 2K cycle for Americans. With using Treasury printing as main source of upside market momentum by the Fed Bernanke, we haven't seen a real impact on financial markets for, in reality, SPX 666 level is not a comparable and justifiable low to economic condition even though arguably some could say that it is based on better Asian economic and financial markets -- mainly China.

We, those who recall market events, know who were supporting and buying markets, and know that we have trillions of big funds are parked their money in the markets including the Fed Bernanke purchasing trillions of assets.

At this juncture, all big money funds are in the markets and their expectation of unloading the funds to small retail buyers are unreasonable and impossible even though some, like Buffett, can hold the stocks for longer term. Based on the fact that trillions of funds are going to exit markets, it is absolutely insane and imprudent to fall into the market hype as we have seen the recent buying spree by J. Paulson. He was lucky with the R.E. melt down making billions, and now betting on market upside within 2 years, i.e. 2012. Using Treasury and market momentum, it is very easy to manipulate stock prices, however, there are not many left who can buy trillions of stocks off their hands. Big wolves in the markets will fight among themselves after goggling up millions of sheeples.





The figure of blast looks like "circumcised penis" noting that God knew it, of course.


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