Ah, don't you just love it!!??
2 Points of view:
1) Bill Gross......a "realistic" point of view.....IF you
can interpret his Allen Greenspan "money-speak"
!!!! lol....
Quote:
But interest rates near zero are failing to boost the
economy and financial markets as predicted by the old models
based on past cycles. Indeed, Gross says, "they may,
counterintuitively, be hazardous to an economy's health."
My Comments......strong reasons to be CAUTIOUS!!!
AND
2) A Schwab/Investment
Quote:
Charles Schwab's Liz Ann Sonders, 2012 presents a lot more
opportunities for investors. She tells The Daily Ticker's Daniel Gross
that the "rampant volatility" that marked 2011 was "unique"
and predicts the wild swings that shook the S&P and Dow
in 2011 will ease this year, giving spooked investors
more confidence to place their cash in equities, specifically
cyclically-sensitive sectors. Dividend plays may continue to
provide comfort and peace of mind to some investors, but as
the U.S. economy improves (which Sonders believes it will),
the risk on/risk off trading environment will fade and
investors will move money out of fixed income.
MY COMMENTS:
Ah.....Wall Street OPTOMISM.....you gotta love it.
she said 2011 was the year of volatility??
Volatility has been at ALL TIME HIGHS since the Fall of
2008. I find it interesting that the ^VIX (symbol-which
measures US stock market VOLATILITY) goes DOWN when the market
SURGES UP. It only goes UP when the market SURGES DOWN.
Hmmmmm....... isn't volatility
non-discriminatory?? Isn't surging UP still like surging
DOWN? Don't both surges represent
VOLATILITY? Anyway...I digress....
I don't know how to insert a chart.....but VIX for 2 years
shows 2 BIG spikes. In May 2012 and Fall 2011 when Europe was
on the ropes....
VIX for 5 years years shows 3 big spikes....fall, 2008 and
again, May, 2010 and Fall 2011 when Europe was on the ropes.
DOES ANYONE THINK VOLATILITY IS GOING AWAY? OR
THAT 2012 WON'T HOLD THE SAME RISK FOR A VOLATILITY
SPIKE?
HAVE ANY OF THE REAL/BIG ECONOMIC PROBLEMS IN THE US OR
EUROPE BEEN FIXED?????
I DON'T
THINK
SOOOOOOOOOOO......!!! They will rise to a big
level of concern again, I believe.
And....... when the VIX spikes UP....that means what
happens to the stock market? It spikes DOWN.
We shall see......
I still think ALL THE DOMINOES, including a fragile world
economy, ARE ALL LINED UP...
JUST WAITING FOR THE RAPTURE.......TO COLLAPSE.
TICK TOCK,
YFIC,
Randy
