Doh!

Big short covering rally today. I would have thought we had more conviction. If I hadn't been away I might have sold my volatility.
But that GG I bought this morning helped. And that dog SSRI I'm still hanging on to.....

The rallies have been running out of steam fast lately. Let's see what happens here. We may be on to the idea that if the economy is slowing, the Fed won't raise interest rates. Whoopee! Maybe the unemployment rate will go up! Wouldn't that be great!

At some point we have to get over this notion that low interest rates are good for us. Interest rates are low because inflation is low. Inflation is low because the supply side has been subsidized for so long, and labor is weak. As long as labor is weak, the consumers are living on debt. Those that have a job. The rest are living with their parents or under a bridge. But they are alive. And they are citizens. Whether we like it or not. It is certainly an inconvenient truth that they are living in the United States of America, in poverty.

So, the stock market does not reflect the reality of the whole country. Only that part of the country that is captured by the statisticians. Only that part of the country that has a decent credit score.
And it is a world economy now. Particularly the stock market. So beware.

This may be where it gets dicey.

Keep your bets small and control your emotions.

gh