Posted on 03/05/2012 6:28:26 AM PST by blam
HUSSMAN: It Is Now One Of The Worst Times To Invest In History
Joe Weisenthal
March 3,2012
In his latest note, John Hussman argues that it's one of the worst times to invest. Period.
Based on his proprietary soup of risk indicators for the market, the current exuberant situation puts it on par with some of the great peaks, including 1998-2000.
Importantly, the market is again characterized by an extreme set of conditions that we've previously associated with a "Who's Who of Awful Times to Invest." The rare instances we've seen this syndrome historically are reviewed in that previous weekly comment. They include the 1972-73 and 1987 market peaks, and several instances since 1998. The more recent instances of this syndrome are shown by the blue bands on the chart below. Note that each of the separate instances in the 1999-2000 period were followed in short order by intermediate market declines of between 10-18%, and of course, ultimately by a plunge of more than 50% in 2000-2002.
Likewise, the 2007 instance was followed in short order by a correction of nearly 10%, and a few months later by a plunge of more than 50% in 2007-2009. The more recent instances in 2010 and 2011 have also been followed by substantial market selloffs in each case, though with a longer lag in 2011 (due to ongoing QE2 operations). Aggressive monetary policy did not prevent the ultimate declines, though massive central bank interventions have undoubtedly helped to short-circuit the more violent follow-through that occurred in 1973-1974, 1987, 2000-2002, and 2007-2009, at least to-date.
Hussman Funds
A word of caution. While a few of the highlighted instances were followed by immediate
(snip)
(Excerpt) Read more at businessinsider.com ...
Invest in metals and farmland.
I don’t think much of Little Joe either, but John Hussman’s opinions are worth reading.
Precisely. And here is an image taken from my bedroom window at our new farm (that we bought in central KY two weeks before Obama was electe)
And can you see our metrosexual dog in this picture?
We gave up a high standard of living in Seattle (45 years worth) for a high quality of life. And total self sufficiency, if necessary.
—I don’t think much of Little Joe either, but John Hussman’s opinions are worth reading.—
And here is the hussman article to which Joe links: http://www.hussmanfunds.com/wmc/wmc101213.htm
It depends on what you invest in. I plan to continue investing in lead, food, and medicines.
I’m storing heavenly treasures. Those last forever.
That’s a cute dog. And a yummy looking deer.
—That’s a cute dog. And a yummy looking deer.—
I suspect that is what the dog was thinking...
If you’re in central Kentucky I hope you’re doing well given the tornado activity. I know people in West Liberty and Salyersville and they’re OK., physically. BTW, I was raised in Floyd Co.
Those turkeys in your picture...they have domesticated turkey genes (from Mexico).
The Spanish brought the domesticated turkey they found in Mexico (when they first went there) back to Europe and the Pilgrims brought them back to northern North America when they landed at Plymouth Rock. The Pilgrims turkeys mixed with the wild turkeys there and all wild turkeys in North America today contain some of those genes.
On two occasions, while on our driveway (1/4 mile long) I’ve had to stop for 8 or more turkeys. My little 18 lb Maltipoo had a real rush chasing a couple of them last week. He was catching up until they took to flight. They made him look very small. Dang, I wish I had recorded it.
Gold fish can live to be 25 years old.
Information compliments of my 10 year old daughter following my latest upgraded tank puchase (and complaint about it) for a “fair won” fish that is now 6 years old.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.