Comments on: Illogical Optimisim http://dailyreckoning.com/illogical-optimisim/ Economic News, Markets Commentary, Gold, Oil and Investing Strategies. Sat, 26 May 2012 18:05:48 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Bloomer http://dailyreckoning.com/illogical-optimisim/#comment-17913 Bloomer Sun, 09 Aug 2009 05:42:25 +0000 http://dailyreckoning.com/?p=17667#comment-17913 They say the stock-market always looks ahead. The current run up in stocks is based on the expectaton of improved earnings in the near future. But for earnings to grow, top line revenues must grow. I can't see that occuring with such high unemployment. Throwing millions out of work has only further eroded potential revenues of many of the firms that trade on the stock exchanges, as there are less people buying goods and services. In my view, the stock exchanges are currently disconnected with the real economy. We need job growth, before we can have another leg up. They say the stock-market always looks ahead. The current run up in stocks is based on the expectaton of improved earnings in the near future.
But for earnings to grow, top line revenues must grow. I can’t see that occuring with such high unemployment. Throwing millions out of work has only further eroded potential revenues of many of the firms that trade on the stock exchanges, as there are less people buying goods and services. In my view, the stock exchanges are currently disconnected with the real economy. We need job growth, before we can have another leg up.

]]> By: Hehee http://dailyreckoning.com/illogical-optimisim/#comment-17670 Hehee Fri, 07 Aug 2009 11:43:20 +0000 http://dailyreckoning.com/?p=17667#comment-17670 While I completely agree with all the negative news, economy going continuously downhill, etc., I am still positive on America and Americans in the long-run. This may sound overly patriotic, but having the experience from other countries (Russia, Middle-Asia, some others) I am expressing my bullishness in comparison to my other experience. It is extremely hard for me to be bullish on Russia no matter how much oil they have or how expensive life gets in Moscow - the average person remains in extreme poverty and is actually quite comfortable being there. He/she has no urges towards anything more than that and therefore nothing will really change. Americans, in comparison, have visions, goals and dreams, and they are not afraid to work towards fulfilling them. Whatever the new paradigm sets out to be to replace the fading consumerism, I strongly believe that America and Americans will be doing well. But all this is very much the "big picture", in the short-run the difficulties outlined in this article remain and determine the daily lives now. Then again, the positive about these current difficulties is that American people do not like this and they are progressive enough to eventually figure out a way to get out of it. I simply *know* this. While I completely agree with all the negative news, economy going continuously downhill, etc., I am still positive on America and Americans in the long-run. This may sound overly patriotic, but having the experience from other countries (Russia, Middle-Asia, some others) I am expressing my bullishness in comparison to my other experience. It is extremely hard for me to be bullish on Russia no matter how much oil they have or how expensive life gets in Moscow – the average person remains in extreme poverty and is actually quite comfortable being there. He/she has no urges towards anything more than that and therefore nothing will really change.

Americans, in comparison, have visions, goals and dreams, and they are not afraid to work towards fulfilling them. Whatever the new paradigm sets out to be to replace the fading consumerism, I strongly believe that America and Americans will be doing well.

But all this is very much the “big picture”, in the short-run the difficulties outlined in this article remain and determine the daily lives now. Then again, the positive about these current difficulties is that American people do not like this and they are progressive enough to eventually figure out a way to get out of it. I simply *know* this.

]]> By: zheng is zen http://dailyreckoning.com/illogical-optimisim/#comment-17623 zheng is zen Fri, 07 Aug 2009 01:46:50 +0000 http://dailyreckoning.com/?p=17667#comment-17623 Wait are you implying finance should be related to the REAL economy ? Weird... Wait are you implying finance should be related to the REAL economy ?

Weird…

]]> By: JMR bayou bobby http://dailyreckoning.com/illogical-optimisim/#comment-17618 JMR bayou bobby Fri, 07 Aug 2009 01:18:49 +0000 http://dailyreckoning.com/?p=17667#comment-17618 Bill, I suggest you load your mouth with marbles and rage at the sea. You are correct, of course, in everything you write. Good luck making yourself heard. The marbles may serve a an interesting diversion while you try. Bill, I suggest you load your mouth with marbles and rage at the sea. You are correct, of course, in everything you write. Good luck making yourself heard.

The marbles may serve a an interesting diversion while you try.

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