SPX DIVIDEND YIELD NEAR 2% !

Link to DIVIDEND YIELD ANALYSIS The TOP in 2000 has yield near 3% ! bottoms made whn yield closer to 6% as in 1980's

In case you missed (can happen when I post a BLIZZARD of comments and charts....)

John Mauldin piece includes commentary from John Hussman thoughts on "liqudty trap"

IN a nutshell, if you observe my most recent chart of Bank Loans, you can clearly see they have been on steady decline, lowering rates or attempting to do so by the FED in an environment of already historic low rates and continued SLACK DEMAND is a FOOLS GAME.

Hussman " The FED has now placed itself in a position where small changes in its announced policy could have disastrous effects on a whole range of financial markets. THIS IS NOT SOUND ECONOMIC THINKING BUT MISGUIDED TINKERING WITH THE STABILITY OF THE ECONOMY."

And as John goes on to explain, REAL MONEY (gold and silver) rally mightily when 3 month treasuries dive below the CPI.......

I ask you, what good is LOW interest rates if demand is not there for the loans, companies do not see investment opportunities and we have much SLACK in manufacturing?

You get a LOPSIDED investment landscape where there is barely any safe YIELD to be found. Now remember MOST avg people are trying to A) SAVE and B) pay down debt........but the FED is saying NO....you will not be paid for savings, and we will fight you and drag you from under your savings rock and FORCE you into RISKY assets.

Excuse me, if me this unknown writer disagrees with all these connected, smart people.....that somethng is horribly wrong and imbalanced AGAIN!

Hiding banking losses with an accounting change (right near the March 2009 lows!) doesn't seem like it's made a real difference in the economy except for those who get great joy of recieving BONUSES based on earnings that may not be there.

Duratek