Europe is becoming a JOKE!
This entire situation in Europe is ludicrous, investors and markets are waiting how the Slovaks will vote on Europe’s bailout program. 5 years ago people didn’t know what Slovakia was, now the entire worlds faith depends on how a country like Slovakia is going to vote. A country that GDPs is smaller than that of the city of Boston. This just shows me how pathetic the situation in Europe is and how noone has any idea how to solve this. The only thing this politicians know, its how to run their PR machine and keep people focused on something insignificant like Slovakia.
Europe’s socialism is under threat, for years people in Europe have been able to enjoy free Healthcare fat welfare cheques for the unemployed and other social benefits. On the other hand Europe’s economies couldn’t be more of a mess. The practice of protectionism, the failure of integrating its immigrants to their societies (remember Paris burning 2 years ago), discrimination and state taxes of 50% in some countries are few of the factors why Europe is suffering.
All of a sudden the life of Europe’s citizens who are known for sitting in coffee stores and Bistros is under threat, no more can the state finance this laissez faire lifestyle. The countries that are experiencing economical hardship like Ireland and Greece will never recover from its current dire situations the force of deleveraging is hitting this countries really hard and if that wasn’t enough, countries like Greece are coming under threat of losing its population. The Greeks especially the young people are fleeing Greece for a better future which is worsening the current economical situation and speeding the deleveraging problem.
What Europe needs is a change in reforms to spur growth, change from the old ways of socialism of reforming their immigration policies, lowering their taxes, loosen the bureaucracy that makes it so hard to even start a business in Europe, change the labour laws that makes it hard for everyone to hire anyone but knowing Europe none of this will happen. Instead what we will see in Europe will be a repeat of 1930, the economies will get worse the debt crisis will become worse and everyone will blame the immigrants, nationalism and fascism is around the corner you just need to look at the statistics of rising rightwing extreme parties all over Europe. Norway was just the beginning.
Lets hope Slovakia makes the right decision and we can postpone Europe’s dark days that are about to come. I think Slovaks should postpone the decision for the ESFS program for another week to capitalize on this great PR stunt for tourism purpose.
What do you think of this rally …. is it short covering? The Fed? Legitimate buying from hedge funds? money coming from overseas? or …????
How high do we go till a pullback to the 900′s S&P?
The market will trade at this current range until end of October, which is 1225 to 1175 on the SP500. November will bring this market back 1120 1090 range, we can actually experience a black christmas. Hedge Funds are under water, they are not buying the volume is too low to detect any real buying. Of course it was short covering, people made good quick returns shorting this market. If people would have followed my call on buying puts on LULU they could have made 300% in 3 days.
Its a traders market
Great call on LULU … I didn’t play that one but I did CSCO … I’m still holding a large position in that since the mid 15′s …. do you recommend holding it till the end of October or run it all the way thru till earnings? They surprised last time.
You were correct about no one talking about CSCO … now, everyone is starting to chirp about it!
Yes I think you will be more than fine till end of october, if you have mid 15s than i would perhaps sell 40% of the holdings at 17.90 and another 40% at 18.80, keep 20% for the earnings surprise.