Ah, don't you just love it!!??2 Points of view:1) Bill Gross......a "realistic" point of view.....IF you can interpret his Allen Greenspan "money-speak" !!!! lol....Quote:But interest rates near zero are failing to boost the economy and financial markets as predicted by the old models based on past cycles. Indeed, Gross says, "they may, counterintuitively, be hazardous to an economy's health."My Comments......strong reasons to be CAUTIOUS!!!AND2) A Schwab/InvestmentQuote:Charles Schwab's Liz Ann Sonders, 2012 presents a lot more opportunities for investors. She tells The Daily Ticker's Daniel Gross that the "rampant volatility" that marked 2011 was "unique" and predicts the wild swings that shook the S&P and Dow in 2011 will ease this year, giving spooked investors more confidence to place their cash in equities, specifically cyclically-sensitive sectors. Dividend plays may continue to provide comfort and peace of mind to some investors, but as the U.S. economy improves (which Sonders believes it will), the risk on/risk off trading environment will fade and investors will move money out of fixed income.
MY COMMENTS:Ah.....Wall Street OPTOMISM.....you gotta love it.she said 2011 was the year of volatility?? Volatility has been at ALL TIME HIGHS since the Fall of 2008. I find it interesting that the ^VIX (symbol-which measures US stock market VOLATILITY) goes DOWN when the market SURGES UP. It only goes UP when the market SURGES DOWN.Hmmmmm....... isn't volatility non-discriminatory?? Isn't surging UP still like surging DOWN? Don't both surges represent VOLATILITY? Anyway...I digress....I don't know how to insert a chart.....but VIX for 2 years shows 2 BIG spikes. In May 2012 and Fall 2011 when Europe was on the ropes....VIX for 5 years years shows 3 big spikes....fall, 2008 and again, May, 2010 and Fall 2011 when Europe was on the ropes.DOES ANYONE THINK VOLATILITY IS GOING AWAY? OR THAT 2012 WON'T HOLD THE SAME RISK FOR A VOLATILITY SPIKE?HAVE ANY OF THE REAL/BIG ECONOMIC PROBLEMS IN THE US OR EUROPE BEEN FIXED????? I DON'T THINK SOOOOOOOOOOO......!!! They will rise to a big level of concern again, I believe.And....... when the VIX spikes UP....that means what happens to the stock market? It spikes DOWN.We shall see......I still think ALL THE DOMINOES, including a fragile world economy, ARE ALL LINED UP...JUST WAITING FOR THE RAPTURE.......TO COLLAPSE.TICK TOCK,YFIC,Randy