"They were shocked and outraged to learn that printing money is not the secret to effortless wealth, and you can't borrow your way out of a debt crisis. Because no one told them."
There are EconoDunces, and then there's Gene Epstein. He's hardcore...
"Financial indicators, from the bear market in stocks to widening credit spreads, are signaling the likelihood of recession"
But what do they know? We can look to the White House fake unemployment rate for indicator of recession. The one that takes the unemployed out of the equation, so Obama can pretend to be a good President. Someone wants to get monkey hammered, real good.
This is real Employment:
The Yen has strengthened 12% versus the dollar and 15% versus Yuan...
The myth of Central Bank invincibility was shattered this week as risk assets defied the Bank of Japan's direct orders. Kuroda was confronted with the fact that the billions he controls today are microscopic compared to the trillions lent out over seven years. Nevertheless, it's all still a secret to the Kardashian-set. As one would expect, stoned gamblers believe they are impervious to losses, because Central Banks will always bail them out...
"It's only a loss if you sell"
Buy and hold zombies have been brainwashed to believe that their past losses are all THEIR fault. If they had never sold, there would be no loss. So this time, they will hold to zero, and avoid the angst of knowing "when to get back in".
% Bears, 4 week moving average:
I circled in blue the heaviest selling in Lehman i.e. the straight line drop you see on the chart aka. Third wave at all degrees of trend...
http://www.aaii.com/sentimentsurvey
Bears with Wilshire Total U.S. Market Index:
% Bears follows the market up and down, it's not predictive. It's only indicative of the current level of pessimism relative to the past.
Here is the Inverse bearish ratio, which as we see, tracks the market. The 2009 low is very clear on this one:
Now this could come as a bit of a shock aka. "Aw Fuck, not this again!!!"
All World Index
