Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

DOUG KASS: Four Reasons The Stock Market Is Ready To Surge
Business Insider ^ | April 25, 2012 | Joe Wisenthal

Posted on 04/25/2012 5:17:16 AM PDT by lbryce

Doug KassEarlier we mentioned a tweet from Doug Kass where he said that "frankly" the bears might be screwed.

The reason? It was all looking bad for the market a few days ago, but suddenly the bearish momentum has stopped. And if the bearish momentum can't continue in this environment, then there's really no hope for those on the short-side.

In a post up at RealMoney, Kass identifies 4 things that have changed.

Overall earnings and forward guidance were far better than many of the pessimists expected. Apple remains a pivotal stock and an important contributor to aggregate corporate profits, and its blowout results cannot be overstated in consequence and on investor sentiment. The general concerns regarding domestic economic weakness might have been overstated -- my baseline expectation of a muddle-through 2% real GDP trajectory still seems likely. Lower market prices began to discount the known economic and market headwinds and threats

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; Extended News; News/Current Events
KEYWORDS: economy; psychic; stockmarket
1. I want Obama to win in 2012
2. I've been long in the stock market for so many years and frankly need to somehow break even some day.
3. Otherwise Doug Kass, my bother-in-law is out of a job
4. The monkeys in my research department threw darts against the wall and they all landed on the red
1 posted on 04/25/2012 5:17:20 AM PDT by lbryce
[ Post Reply | Private Reply | View Replies]

To: lbryce

Impossible! We all know the world will end any day now, dogs and cats will get along, Jews will finally recognize Jesus, and Obama will resign!


2 posted on 04/25/2012 5:20:02 AM PDT by Peter from Rutland
[ Post Reply | Private Reply | To 1 | View Replies]

To: lbryce

“Apple remains a pivotal stock and an important contributor to aggregate corporate profits, and its blowout results cannot be overstated in consequence and on investor sentiment. “

-

Apples factories are in communist China, so Apple success will be good for America’s stock market ... how?


3 posted on 04/25/2012 5:20:23 AM PDT by Cringing Negativism Network (Obama ate his own dog as a child in Indonesia??)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Cringing Negativism Network

more jobs for American managers willing to learn Chinese and move to China?

More jobs for American coal miners to dig our coal to ship to China? and for union contracts to build highways and railroads to ship our coal to Chinese ships waiting in our ports?

More jobs for Americans to work on agro-cooperatives to grow food to ship to China?

maybe all of the above


4 posted on 04/25/2012 5:28:32 AM PDT by silverleaf (Funny how all the people who are for abortion are already born)
[ Post Reply | Private Reply | To 3 | View Replies]

To: silverleaf

With all due respect to your own, genuinely held beliefs no doubt...

“Free trade” is to otherwise sensible conservatives, what “Tolerance” is for liberals:

Groupthink. Indoctrination even.

“Free trade” (as practiced - disregarding that nearly all other nations practice protectionism in return) is destructive to America.

Profoundly so.


5 posted on 04/25/2012 5:38:44 AM PDT by Cringing Negativism Network (Obama ate his own dog as a child in Indonesia??)
[ Post Reply | Private Reply | To 4 | View Replies]

To: lbryce
This guy is on some good weed ... dude.
6 posted on 04/25/2012 5:38:54 AM PDT by Zakeet (Obama loves to wok dogs)
[ Post Reply | Private Reply | To 1 | View Replies]

To: silverleaf

1. China is moving into a recession right now. This has multiple effects.

2. Manufacturing is slowly making a come back in the U.S. despite Obama’s best intentions.

China this, China that. That dog is already long beaten to death. The tide is turning much as it did with Japan.


7 posted on 04/25/2012 5:40:31 AM PDT by Peter from Rutland
[ Post Reply | Private Reply | To 4 | View Replies]

To: lbryce
IF the stock market produces decent returns this year it is despite, not because of Obama. Companies that have weathered the storm are sitting on tons of cash, which will go to increased dividends or stock buybacks or M&A. All 3 of those are good for the general market. You don't have to be bearish to be patriotic.
8 posted on 04/25/2012 5:44:52 AM PDT by jdsteel (Give me freedom, not more government.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Peter from Rutland

China is not Japan.

Japan is a relatively tiny, population-small nation relative to the USA. Lacking natural resources. Yet recall, the challenge Imperial Japan presented last century.

China is equal to America in area, with nearly 5 times our population!

This is a whole new, much more formidable challenge America faces. Never before have we faced an opponent, “bigger” than us.

We’re not in the little leagues. The sooner everyone wakes up and realizes it’s important for us to prepare for a real contest, the better our chances to do well.

Pretending otherwise helps only those who would sell out America.


9 posted on 04/25/2012 5:47:15 AM PDT by Cringing Negativism Network (Obama ate his own dog as a child in Indonesia??)
[ Post Reply | Private Reply | To 7 | View Replies]

To: jdsteel; Peter from Rutland

And what about the mess in Europe?

How leveraged is America’s financials to that looming disaster?

Or, conversely, does that make us, for all our debt, and pending bankrupt entitlements and Obama stupidity, still “the prettiest girl at the dance”?


10 posted on 04/25/2012 5:52:13 AM PDT by txrangerette ("HOLD TO THE TRUTH...SPEAK WITHOUT FEAR" - Glenn Beck)
[ Post Reply | Private Reply | To 8 | View Replies]

To: lbryce
Volume in the stock market is way down, because everybody with any sense knows it is being manipulated.

It's easy for the PRT to pump up the prices on low volume.

11 posted on 04/25/2012 5:58:26 AM PDT by E. Pluribus Unum (Government is the religion of the sociopath.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: lbryce

Ready to surge...downward (aka dive).


12 posted on 04/25/2012 6:07:14 AM PDT by Jack Hydrazine (It's the end of the world as we know it and I feel fine!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: lbryce

The stock market is like playing solitaire. It’s only a matter of timing and quickness of trade. Everything is punched in and out in random fashion using dubious algorithms and software helping the trader track and punch in the trades. It is garbage in and garbage out computation gallore.

What is real, however, is that the banks are going to KNOW that the money they get back from their loans and the government agent being paid in cash, is going to be bogus.

THe government agent (Obama having a UBS convict account for governments exploiting people in Africa) is going to hoard in Switzerland metals, technologies and what not, while the rest will be starving. Then they will blame the hoarding on your next door neighbor trying to make a survival buck on the “black market”, hanging him for being a capitalist.

It is no accident that Stalin was a failed law student and lawyer in Switzerland... and that the monster story of the Elders of Zion meeting in Switzerland was concocted by communists in France and elsewhere for Hitler to drink like milk. Interesting also that Napoleon wanted to take Russia and that Hitler went to the Caucasus to see his Aryan friends, trying to take the place/world from both ends.

Now that America is being Zimbabwe-ed as I had predicted years ago, the Euro commies all too happy to put a damper on accademic and technologic and moral achievement in America, the game is on, with the GOP-E covering up the tracks and the bad things liberals and crooks do, TARP and stimulus style.

As a result, US banks will fail, along with the FED, while the IMF and other Swiss banks and crooked eastern alternatives intimidating them all over the world will do fine... at least for a time, in that monster campus of school students who don’t have to pay consequences for immorality in front of a boss...

Little pedophile daddy’s little boy like these do not last long, however, at the Gulag this is going to turn into.


13 posted on 04/25/2012 6:12:34 AM PDT by JudgemAll (Democrats Fed. job-security Whorocracy & hate:hypocrites must be gay like us or be tested/crucified)
[ Post Reply | Private Reply | To 1 | View Replies]

To: txrangerette
Apples and oranges, really. I mentioned the cash horde of private business and you brought up the massive debt nations. Can Europe cause market problems? Heck yeah. Enough to derail the U.S. stock market this year? IMHO no.

And regarding the relative health of the U.S. sovereign problems I like to describe us as “the tallest midget in the room”.

14 posted on 04/25/2012 6:19:30 AM PDT by jdsteel (Give me freedom, not more government.)
[ Post Reply | Private Reply | To 10 | View Replies]

To: silverleaf

yes.......

Not only America but Japan and Korea and Indonesia and Malaysia and Thailand and maybe the Philippines. and of course Taiwan must be included.

Then there is the GCC with the freshly minted vibrant Dubai and Abu Dhabi portals.

Sitting on top is Singapore where the real enrichment will continue

All the above will eat Europe alive.


15 posted on 04/25/2012 6:20:02 AM PDT by bert (K.E. N.P. +12 ..... Crucifixion is coming)
[ Post Reply | Private Reply | To 4 | View Replies]

To: jdsteel

Debt OF nations. Oops.


16 posted on 04/25/2012 6:20:41 AM PDT by jdsteel (Give me freedom, not more government.)
[ Post Reply | Private Reply | To 14 | View Replies]

To: Cringing Negativism Network
“Free trade” (as practiced - disregarding that nearly all other nations practice protectionism in return) is destructive to America. Profoundly so.

This is not an intuitive conservative idea but one has to follow use logic and money trailing to see the veracity of it.

17 posted on 04/25/2012 6:20:56 AM PDT by BipolarBob ("Oh no, I'm not sick, well I'm not physically sick anyway. Mentally I'm sick beyond any doctor's abi)
[ Post Reply | Private Reply | To 5 | View Replies]

To: Peter from Rutland

I am watching the coup/murder/purge story from China. Communist rule is so inefficient and corrupt. Even as we try to beat ourselves I think they will implode first.


18 posted on 04/25/2012 6:24:19 AM PDT by jdsteel (Give me freedom, not more government.)
[ Post Reply | Private Reply | To 7 | View Replies]

To: jdsteel

For being so corrupt and inefficient, they’re doing a darn good job eating our lunch.

Don’t rely on the Chinese citizenry to demand freedom. It’s not how their culture is built. Chinese do not yearn for individual rights, it’s just not that high on their scale of what’s important. Certainly not enough, to risk opposing their government.

The Chinese people have always had top-down government.

Before the communist party - it was the Emperor.

Not much difference, really.

America needs to operate on the assumption China will (not) implode, and will (not) spontaneously turn into a democracy.

We need to plan for how America deals with a non-stop, relentless, uninterrupted long-term Chinese strategy to take away American power, and replace it with Chinese power.

Anything less by conservatives and our so-called “leadership” is malpractice.


19 posted on 04/25/2012 6:32:39 AM PDT by Cringing Negativism Network (Obama ate his own dog as a child in Indonesia??)
[ Post Reply | Private Reply | To 18 | View Replies]

To: E. Pluribus Unum

One reason for low volume is the absence of so much 401k and IRA money.


20 posted on 04/25/2012 6:40:10 AM PDT by csmusaret (I have kleptomania, but when it gets too bad I take something.)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Jack Hydrazine
Full Speed Downward

21 posted on 04/25/2012 6:44:57 AM PDT by lbryce
[ Post Reply | Private Reply | To 12 | View Replies]

To: lbryce

5. George Soros has greenlighted Operation Kenyan Glockenspiel to swing into action.


22 posted on 04/25/2012 6:52:30 AM PDT by Buckeye McFrog
[ Post Reply | Private Reply | To 1 | View Replies]

To: jdsteel

That’s what I was asking...could it be enough to derail the stock market.

I know it wouldn’t change cash on hand for investing, but it could affect financials depending on how leveraged our institutions are to that debacle.

And you know how the market tends to “worry” itself out of rallies.

The prettiest girl at the dance could be ugly, but not as ugly as the others.

So, different imagery to your “tallest midget in the room”, same idea.


23 posted on 04/25/2012 6:53:27 AM PDT by txrangerette ("HOLD TO THE TRUTH...SPEAK WITHOUT FEAR" - Glenn Beck)
[ Post Reply | Private Reply | To 14 | View Replies]

To: lbryce

Any discussion of our nation’s financial health without any mention of “debt” can be safely ignored. If stocks surge again (and yes, they might do so), it will not be due to corporate earnings or projected GDP growth - it will happen when the Fed announces the next round of quantitative easing (CTRL+P; rinse, later, and repeat).


24 posted on 04/25/2012 6:56:52 AM PDT by andy58-in-nh (America does not need to be organized: it needs to be liberated.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: lbryce

Interesting! 20 some odd responses and almost uniform bearishness. Sounds like Mr. Kass might well be right . . . after all, contrarian investing is usually the best approach! The market will continue to rise if Obama’s re-election continues to look unlikely, which I believe it is.


25 posted on 04/25/2012 8:14:45 AM PDT by LRoggy (Peter's Son's Business)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Cringing Negativism Network

I agree with almost everything you said. There are only 2 things where I do NOT agree with you.

#1: “Eating our lunch”: IMHO this is a vast exaggeration. They are barely the #2 economy in the world, just edging out Japan. Yes, Japan. 10 years in the toilet Japan. They are growing leaps and bounds economically but have a long way to go before they out-produce our GDP, which by all rights they SHOULD with about 4 times our population and about the same land mass.

#2: “Chinese do not yearn for individual rights”: There have been many, many documented “events” (riots) in China. Yes, the military comes in and basically kills them all. But they keep happening. There was a sea-side town last year that kicked the party leaders out and barricaded the roads; they wanted to be left alone. No word from that place for some time now; I’m sure they are all dead. But the “events” keep happening. IMHO it is a matter of time before the old leaders either die or there is some sort of change. This change might not be pretty, and it might not be Democracy or a Republic, but I don’t think the status quo lasts forever. Of course, I could be wrong, but that’s my opinion.


26 posted on 04/25/2012 5:55:15 PM PDT by jdsteel (Give me freedom, not more government.)
[ Post Reply | Private Reply | To 19 | View Replies]

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.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson