Loading ...These AU AG price drops and dollar bounce don’t make any sense. One of these days, the wrong thing will hit the news, and the Dow and the SnP will crash like we have never seen before. I think David Stockman is right. The market is running on hopeium. Some people will become millionaires when it crashes, like the guy that knew real estate would crash, and shorted something in a big way.
Here are a few thoughts re Dow SnP:
1. Buy backs are declining similar to “07
2. Insider selling is 11 to ! over buying
3. Margin debt is at record highs
4. S&P trailing PE is 25
6. DOW trailing PE is 29
7. Bullish sentiment is over 60%
All of these are characteristics of highs in ’87, 2000, 2008.