Cut expenses. Go broke. Be happy.
Everybody is convinced the market is going up. So what does the market do? It goes down – 72 points yesterday.
What do you call it when the market goes down 72 points? A beginning!
Well, we don’t know if it’s really the beginning of the end or not. We’ve seen more beginnings than we can count. Still, no sign of the end. But there must be an end out there somewhere. Always is.
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The Overvalued Part of a Market Cycle
I had just gotten home from arguing with the in-laws about how they were idiots for not buying gold instead of those stupid stocks and mutual funds, and their laughter was still ringing distastefully in my ears when Eric Fry here at The Daily Reckoning put up a chart of the P/E ratio of the S&P500 over the last 30 years since 1981.
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