A sustainable bull market?

Stocks have been shooting up for 8 weeks in a row so far, and quite a lot. I am asking myself if I am one of the few dulls that staid on the sidelines looking at the beginning of a secular bull market, missing out on bargain prices that we won’t see for decades, or maybe never again. Have I been too risk-adverse? Have I missed something that was so crystal clear to the many smart enough to be long all the way...

S&P starts with an 8

839.80 S&P touched 839 today, time to cash in the second pizza. Time to go long the market? I doubt… It’s better and safer to let the dust clear, even if this means potentially missing a 20% or plus upside. The situation is so dire, that you don’t really know what’s next. Also, from an economic standpoint, the worst is still to come. We might see lower levels in the months to come. 750...

S&P below 1,000

Just a quick update on the bet I made with a friend of mine I hinted to a few blogs ago. I was giving the S&P 12 months to touch 1,000 (at the time I made the bet, the S&P was trading around 1,300), and it just touched it yesterday, closing at 996. I’ll collect my pizza when my friend comes back from the red sea. He works in finance, but every time there is something interesting going on, he is missing...

The 1.8 trillion dollars bailout

CNBC has made an interesting analysis on the US government bailout of the financial crisis. It’s not just 700bn$, more like 1.8trn$. Quick laundry list: 700bn$ recently announced plan to buy assets from bank 150bn$ MBS purchase by Fannie and Freddie 85bn$ for AIG 90bn$ in repayment to JPM for Lehman 200bn$ for Freddie and Fannie 300bn$ for FHA 200bn$ of currently outstanding loans Fed’s issued to...