Wall Street's Last Party
The Kool-Aid Has Been Imbibed With Gusto
This was supposed to be the wake up call, but since 2008 was ignored, it has now turned into a burial service.
The past six years gave people a chance to dig their hole deeper, so they did...
I just read this lamestream media review of ZeroHedge, basically saying that it's a one-sided (ultra-bearish) view of markets. It was founded by an Eastern European hedge fund analyst who was barred from Wall Street. I have no idea if that's true or not. The article goes on to say that the bearish "view" has cost followers 200% from the bottom in 2009.
A Roller Coaster Ride to Oblivion
The truth of course is that the stock market has peaked three times in the past fourteen years. The years 2003 and 2008 - a mere five years apart - featured two gut wrenching collapses of -55% both of which required more than a doubling in stocks just to get back to the prior peak. Each time stocks fell, more and more Americans lost their jobs, lost their homes, and lost their inflation-adjusted incomes. Corporate America took each collapse as an opportunity to offshore more jobs and industries and levitate profits to ever-greater record highs. It was shock doctrine on a massive scale.
Despite the siren song of CNN Money, CNBS, and Wall Street, more and more people are leaving the casino for good. This is the same as what occurred during the 1930s when an entire generation stopped gambling. Currently 80% of stocks are owned by 10% of Americans.
In other words, Zerohedge does not represent the "bearish" view, Zerohedge represents the typical view of the typical household. It's CNN Money that holds the ludicrously optimistic view.
I don't equivocate about the impossible
When I started this blog in 2006 during the height of the housing bubble, I wanted it to be like a ZeroHedge (which didn't exist then), however a little less subtle. I see no point in leaving open-ended conclusions to the reader as to how or when ludicrous behaviours, leveraged 10x since the last time they imploded, will end cataclysmically. I also decided to skip all of the bullshit blaming American "socialism" as the root of all evil, when the wealth gap was hitting new and obscene daily highs. Quite honestly, those Americans who think that foodstamps or even Obamacare are socialist, are fucking morons who deserve their fate.
2008 was the wake up call, and the six years since has merely been the self-burial service for those who didn't heed the warning.
On Trolls and the Hotel Californication
Which gets us to the last point: granted, any one troll can day trade in and out of the markets at leisure and question us skeptics who firmly believe that the impossible is not possible on an indefinite basis. Regardless, it's mathematically and physically impossible for all long term investors to get out at the same time to protect capital. So when the next -55% or -90% 1930s style drop occurs, then those who are still gambling in the same casino that robbed them the last two times, will be decimated. That's all. Except this time there will be literally no warning ahead of time, because the skeptics outside of blogger-land were all silenced a long long time ago. And the skeptical bloggers were all written off as "perma-bears", when in fact they represented the opinions of the 90%.
NO BAILOUT. NO WALL STREET. NO CNBS. NO PROBLEMS.
