All Is Well!

We can officially stop sounding the alarms and relax.  The near demise of the world economy is over.  All is well my friends.

The DOW was up a whopping 320 points, Draghi is telegraphing more QE and lower rates in December in the EU and - drumroll please - after hours shares of Amazon, Google, AT&T and Microsoft are all up on better than expected earnings!!  Oh, happy days are here again!

Heck, Amazon has now even shown a profit for a whole two quarters in a row!  A whopping $79 million this past quarter for a company with a mere 677 million shares outstanding.  Why if they can repeat this feat quarterly, they could show in the future profits of $320 million a year, which is over 50 cents a share!!  More than enough to justify a stock price of  over $600 after hours making Mr. Bezos the third richest man in the U.S. and fifth richest in the world!!

http://www.bloomberg.com/news/articles/2015-10-22/bezos-leaps-to-third-richest-in-u-s-as-amazon-sales-beat-target

He is now worth a nice $55B.  And at its current pace, his company will only take a little over 171 years to make that much profit.  Indeed, through the wonders of math, we can determine that at a pace of $79 million a quarter in profit, if every single penny of profit were to be distributed to shareholders they would receive an amount equal to the stock price in a mere 1200 years, give or take a decade or two.  Wow, that is most impressive!  Makes me reminisce about the good ole days.  You know, 2000.  Ah, now those were P/Es back then.  Mostly negative but outstanding to say the least.

Yes, put away those silly worries of a downturn and break out the champagne! 

10.23.15 update:  With the S&P up again today, you savvy investors once again have bragging rights.  Yes, at this point year-to-date you have not lost any money on average in the S&P!  Yeah team, we're breaking even!