The "rally" in the market over the last week was strickly for THE SUCKERS AND MONEY MANAGERS......everyone else should be nowhere near Wall Street at this time.
Oil has been driven down by speculators taking profits...and that is really the whole story.
The bond market seems to be in LaLa Land.....with the Fed due to give it another dose of reality soon. But there are forces in the world that do not want a US Bond crash....MAINLY ASIAN CENTRAL BANKS who are trying to figure out how to unwind their huge US bond holdings without becoming unwound in the process.
CLEARLY THE 10 YEAR BOND IN THE US SHOULD BE SELLING AT 6% TO 7% RIGHT NOW....WITHOUT FURTHER CRISIS....and almost everyone, including Greenspan, is surprised that it isn't. The macroeconomic fundamentals in the US simply do not jusitify current low bond yields.
THE BOND BUBBLE IN THE US IS MASSIVE....AND STOCKS HAVE RISEN TO THEIR CURRENT CEILING YET AGAIN....
EVERYONE KNOWS THAT THE CONSUMER SIDE OF THE US ECONOMY IS WEAKENING BY THE DAY.
EVEN IF, THE CORPORATE FRAUDSTERS HAVE A FEW MORE PROFORMA ACCOUNTING SURPRISES TO GO, AND THE BROKERS "DO UPGRADES" AND CEO HYPE SPRINGS ETERNAL....
....BUT THEY ARE ALL HITTING THE POINT WHERE IT MAY BE TIME TO START DOING THE "PERP WALK" AGAIN.......THIS IS A MARKET STRICKLY FOR SUCKERS AND MONEY MANAGERS.
WE KNOW THAT MARKETS CAN LEVITATE ON SELF-GENERATED HYPE, AS HAPPEN DURING THE BUBBLE.....
BUT, SOONER OR LATER, REALITY STARTS TO CREEP IN...AS WE SHALL SOON SEE YET AGAIN.
