Buyers Cabal?

[gnome]

Quote from Landis82:

If that is the case, you are arguing for S&P earnings to go to roughly $32.00

I've considered the possibility. Trailing earnings have recently dropped from $94 to $56. Gary Shilling a couple of weeks ago said, "I could see $40 next year".

In a long severe downturn, earnings could drop to $32.. perhaps lower. Then with a P/E of perhaps 10x....

I've got an argument for Dow 500 (or whatever the '74 low was), too... which has not been triggered for reasonable consideration as of yet.

 

[AAA30]

Quote from Debaser82:

Dow 4000 Gold 4000

Dow 4000 Gold 40

Not a call just where Gold will be if the dow goes to 4000.

 

[circadian]

Quote from jprad:

Who funds the war if the world's financial systems collapse?

We do, that is if we keep purchasing debts from those that start wars. If you don't support the war, but you buy US bonds, then you support the war. Isn't it ironic? It will probably be some billionaire Russian who finances the wars of the future.

 

[Debaser82]

Quote from AAA30:

Dow 4000 Gold 40

Not a call just where Gold will be if the dow goes to 4000.

How is that?

 

[joeski]

These very long-term charts have been popping up a lot lately, but how can they possibly be valid without adjusting for inflation? Market caps inflate right along with the dollar, so it seems like the gradient would be nowhere near as steep as if you show the chart in nominal dollars. Am I missing something?

Quote from Debaser82: