Monday, May 06, 2013

MONEY FOR NOTHING

"With no recovery in sight, where's all this money going? It is creating bubbles. Bubbles in the housing sector, the stock market, and government debt. The national debt is fast approaching $17 trillion, with the Fed monetizing most of the newly issued debt. The stock market has been hitting record highs for the past two months as investors seek to capitalize on the Fed's easy money. After all, as long as the Fed keeps the spigot open, nominal profits are there for the taking. But this is a house of cards. Eventually, just like in 2008-2009, the market will discipline the bad actions of the Fed and seek to find the real normal."

http://www.safehaven.com/article/29718/federal-reserve-blows-more-bubbles

3 comments:

Unknown said...

Came by to say hi, and see if I'm going to sell some stock from the summer. You remember, the "He's on record" batch of stocks.

Well I can see it is safe to stay long. Thanks Marc R

Marc R said...

No problem jack, hard to knock success, I am NOT waving surrender flag, and I have stated I have NOT been short at anytime, nor do I advocate doing so....but the BULLS are in control, and raking it in.

You play or go home, no options left.
GL, and good call....for now. As you know, all good things come to an end, ADV/DECL at least not signalling any WHIFF of a top.

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