re: "Talked with some bright people this morning - They also have no clue where we're heading.
Any notions????"
I put half of my 401(k) back into equities last week. It's the first time in at least 6 months that I've gone that direction with that portion of my portfolio.
My thinking is that the economy has peaked and is starting to wither. There's no way the Federal Reserve is going to sit idle and let a market plunge occur. It would end any chance Obummer or Helicopter Ben have of keeping their jobs. Therefore, there will be some intervention. Every time that has happened in the past, the markets have surged. I don't know why it should be different this time.
The Dow is currently at a support point. I think it will hold.
BTW, none of this is inconsistent with my pessimistic outlook. A Dow that is nominally up doesn't mean prosperity if the cause is a deflated dollar. It only means that more wealth was stolen from Americans who saved in order to prop up the things identified as too rickety to stand on their own for much longer.
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