Tuesday, October 14, 2008

would creating money 'out of thin air' work in Space?

these are the things your publisher ponders at 3 am.

a few days ago I wrote a little post entitled Theriaca Maxima.

our geldpolitikers aren't wasting any time:

The Fed will boost its swap lines with the central banks "to accommodate whatever quantity of U.S. dollar funding is demanded," the statement said. The Bank of Japan is considering similar measures to aid access to dollars, the central banks said.

told you we should have Confidence.

but the current geldpolitik has been simple to forecast. espying the market ramifications of it however is the challenge. the bounce in equities comes as no surprise here. I hope you were all able to get some of those closed end funds I mentioned before they all closed up 20 odd percent.

obviously I don't have much experience with Stock Markt crashes, but this one just doesn't seem 'real' yet. most of the press revolves around the awe and wonderment of it all. and how the authorities are putting out the fires. it seems doubtful to me that sentiment has bottomed. plus, too many people 'called the bottom' late last week and this weekend. kinda reminds me of this May when 'Everyone' called the bottom in gold when it hit 850. but, like gold rallied after hitting 850, the Stock Markt now may be in for a vigorous upswing. and some stocks may never come back down to last week's levels. so play the bounce if you want, but some week or month down the line there will come a morning when the stocks you bought this week suddenly gap down 15 or 20%. surprise!

I have no interest in being overly bearish on the Stock Markt. I'm just trying to be realistic.