Fancy That

It seems the Feds are doing what they can to insure the banks have large amounts of capital so they can withstand another bubble bursting. And it seems many folks are talking of a bubble bursting. Hmm, wish I had thought of that. Of course for the banks to get more capital means they have less to lend, which is not what the government wants. Oh what a wicked web we weave.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aP_4vjiIq7KU&pos=1

And the average investor seems to be catching on to the situation as they are fleeing to safer assets.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aXJtmYH1p85A&pos=2

And outside the U.S., Asia is not so good either. Down this week. Are we to the breaking point yet? I doubt it as I am a pessimist about doom and gloom. I have been calling this rally a bear market rally for eight months and have no confidence it will end soon. I only have confidence it will end and, increasingly, confidence that it will end in spectacular fashion. Fasten you seat belts.

Disclosures: none.