Still Disappointing

After looking at today's market action, my response is, come on, you can do better! We need to break into the 6000's, sooner the better. What people don't realize is that we need for the worst to be over sooner rather than later. Let's sell off really hard right now, then we can all get back in with the confidence that our investment will grow, and all will be well.

Only AMGN and XOM are doing anything worthwhile. Does MSFT have the potential to dip below $100b market cap? Hmm...

One Depression Per Century

A house divided against itself cannot stand. Neither can one that spends more than it earns. I've heard the sentence "this is the day that the Lord hath made" long ago. Today is a sacred day, probably the dawn of a new realization that, perhaps, we are going to enter another depression era. Maybe there will be a new rabble-rouser who will find a class of scapegoats, and maybe in the nation with the world's most powerful military. Perhaps this dictator will reason that his nation needs vast open spaces for new inhabitation - lebensraum. Maybe there will be a coalition of other nations that will arise to defeat him. And then, another economic miracle. Who knows for sure? Maybe the most important thing is to establish a population on Mars so that, in the event of a nuclear holocaust on earth, we're not all wiped out. A new space race, that's what we need for a new economic miracle. Ja?

100% Cash

Not entirely 100% because I have literally a couple here and there, but I'm pretty much out, ready to sit this one out. Now, a smarter risk taker would short the right ones. But that's not me. Unfortunately. Finally, after a big down day, IBD says move to cash. What's the use of being a pro outfit if you can't tell your customers ahead of time?

I admire RBS who told their customers to move to cash last year. Sure, they're worthless now, but atleast they put their customers' interests first.

When BRK-A Doesn't Work

Did you watch the CNN Money interview with the author of Dr. Mr. B? You see Buffet flanked by huge burly minders whispering into their comm gadgets. So much for the image of a grandfatherly old sort who only invests in stuff he understands. And, people pay $100k and upto 2m to have lunch with him, bidding on Ebay.

Can BRK-A get to 74k again? You bet. Where will it settle? Considering nothing is immune to a depression, I think it should shed 80% of its peak value just like everything else. We know that BRK is a laggard, not a leader. So it'll be slower to decline than other tickers, but it'll get to about 30k eventually before people will buy again at the start of the next uptrend. Is it worth more? That's a pointless question. What something is worth is based on which way its value is going to move. And value is based on what people are going to pay for it in the future.