Saturday, February 06, 2016

Economy Update

As I've mentioned in the recent past, I think the business media has taken an active role is advising consumers rather than just reporting the financial news.  I saw this in the dot-com bubble and fell for some of the 'it is just a correction' BS.  I think this bubble is far larger, and I feel sorry for those who are making investment decisions based on Internet headlines like the one above.

Years ago an asshole called me "Chicken Little," so the headline above triggered a more emotional response from me than it probably intended.  It was a cheap shot then, as it is today.  MarketWatch's intention was to trigger a decision among the non-professional stock trader: don't sell, or we'll call you names. 

And the second headline, above, about the current employment numbers is laughable.  I could not have taken these screenshots mid-day if I were employed.  (I'm one of the 94 million currently unemployed and not represented in the official employment statistics.)

Here is the DOW chart for the past month showing the most recent 'correction.'  One might ask "Who is selling?"

I don't claim to know what is going on or where it will go.  I mainly read the pros who generally lean to the pessimistic side, like Jim Rickards, Ann Barnhardt, and Karl Denninger.  They predicted many of the financial events that are happening today.  (They have also missed some as well.)  I have stopped paying attention to the fake professionals like Peter Schiff, as I explained in a video from last year.

MarketWatch has been consistent in their financial advice: Stay In!  Karl Denninger has been consistent in the other direction and posted two day's ago: Get Out!  Ann Barnhardt has a great video series that requires your critical thought and attention, which she links to in her latest blog post, Personal Update and Negative Interest Rates: Highway to a Cashless, Statist Hell.

The screenshots above are from yesterday, Friday February 5, 2016, at MarketWatch.

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