Today was likely another 90% up day. There is no doubt that the internals are beginning to improve:
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.
Perhaps a bit of skepticism is in order when a 90% up day coincides with the largest bankruptcy in US history, one that no doubt included the same strongarm tactics by the Obama administration against holders of secured credit, which will be followed by the same legally questionable court proceedings as in the Chrysler case. And who knows how far those tentacles will reach out into the wider economy — already one supplier (Lear) announced it will not make interest payments on its debt, which most people see as the first step toward bankruptcy. But I guess ‘quantitative easing’ will take care of all that…
One question that keeps suggesting itself: If the US consumer is approx 70% of the economy, where will the jobs come from?
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