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A Man of Wealth and Taste
Join Date: Dec 2002
Location: Out there somewhere beyond the doors of perception
Posts: 51,063
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With the RISE in Fed Interest rates...Mortgage Interest rates have risen...deflating the RE Bubble.
In May the Fed caused the Margin Rate on Commodities to be raised..thus increasing the risk to reward ratio for speculating in oil futures and energy stocks...which has brought the unwinding of the price of oil...
The DOW Jones AVG if looked at over the past 5 years from high to high is FLAT....so if it was overpriced 5 years ago EXCELLENT corp profits have caught up with the price and made the stocks cheap by todays price.
After a Midterm Election the Stock market has a habit since WW2 of ogoing up 18% to 25% in the year after regardless of who wins the election, it usually climbs more if Gridllock ensues..since neither party has an advantage.
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"Some Observer"
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