Pot Shots

Posted by Ray on July 2, 2009 under Main | Be the First to Comment

Are we taking pot shots at the pundits, sure we are. However let’s get one thing straight, we never said there was a recovery and predicted lower market averages and worse economic data. That is the difference and for God’s sake if you make a crazy claim, like the good times are back, then back it up with more than 2 or 3 data points.

Plus, rising equity prices, and this may be a shock to some, are not indicative of the improving economic condition like some say it is. It could be:

1. Technical, like we see now;
2. Weaker dollar;
3. Mild increase in data; or
4. Drastically oversold conditions that is correcting itself over the short-term.

Among other reasons of course, but those are some of the majors. Hey, we invest and love America and want a recovery, we just do not see it, kind of like many other forecasters and economists.

Are you going to call Bill Gross a digital dickweek or other nasty things because he is peeing on your parade? Here is what he said on CNBC.com:

Bill Gross from PIMCO

Economy to Stay Weak ‘For a Number of Years’: Gross

“Much like we saw with the Depression, attitudes change, and so consumers and investors will now become conservative savers as opposed to spenders,” Gross said in a live interview. “Spending as driven by asset appreciation in terms of houses … that game stops, that game has stopped and we must now move in another direction.”