Who exactly is buying?

Quote from brokerboy:

i think it does matter but again its the data you want to look at. margin is at all time highs again. i can give you a lot different studies of data that show this where a top is
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Anyway, I don't understand why you and many others keep on questioning about stock market prices "correctness": most of the financial world agrees that it doesn't like stocks.
Apart from Buffet (who gave motivations I didn't understand), the ONE AND ONLY reason why many big investors are bullish (Tepper, Gross and all others I heard) is: THERE IS NO ALTERNATIVE.
Most of funds managers are underinvested in stocks: why did they all lose this magnificent 4 years rally? Are they all incompetent? Tepper calculates that there is a lot of money that MUST go somewhere,and central banks made stocks the only possibility: that's why he's bullish.
Central banks are trying to corner the financial world by every possible mean, that's the point.
If there were no problem and stocks were actually attractive, there would be no need to do that as investors would buy stocks by themselves.
 
the fed can't call it manipulation because there action is why your forced to move into equities so we have to legally call it a bubble haha i totally understand your point though.
 
sometimes I wonder what the hell market or economy you are looking at?

It's certainly not the same one I am looking at

some people just like to bitch and moan

and that is fine, I am the same way

but sometimes you have to take some time off and make some money
 
Last Sunday I was listening to Bob Brinker's MarketTimer radio show and one of the callers asked if he should take out a loan on his free and clear house to invest in the stock market, that's who is buying...
 
Quote from dealmaker:

Last Sunday I was listening to Bob Brinker's MarketTimer radio show and one of the callers asked if he should take out a loan on his free and clear house to invest in the stock market, that's who is buying...
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??? and how would that be a bad deal? The house probably isn't going to go down much in value. Hopefully it has hit the bottom. But the stock market may have a ways up to go.

What's the worse that can happen to him?

Go back to 1990 and listen to some of those old Bob Brinker broadcasts

he was not advising any of his listeners to pay off their mortgage
 
Probably technical traders are buying the breakout above the trendline connecting the 2000 and 2007 tops - seems like it's not just a headfake and is a true breakout. Triple tops are supposed to be rare too.
 
I like Bob Brinker, mostly I have everybody invested in low cost index funds. But he was the one to turn me on to the Doubleline Bond Fund. And that has been a good one to fill in some gaps.
 
Quote from pfranz:

Anyway, I don't understand why you and many others keep on questioning about stock market prices "correctness": most of the financial world agrees that it doesn't like stocks.
Apart from Buffet (who gave motivations I didn't understand), the ONE AND ONLY reason why many big investors are bullish (Tepper, Gross and all others I heard) is: THERE IS NO ALTERNATIVE.
Most of funds managers are underinvested in stocks: why did they all lose this magnificent 4 years rally? Are they all incompetent? Tepper calculates that there is a lot of money that MUST go somewhere,and central banks made stocks the only possibility: that's why he's bullish.
Central banks are trying to corner the financial world by every possible mean, that's the point.
If there were no problem and stocks were actually attractive, there would be no need to do that as investors would buy stocks by themselves.
More...

what do you mean there is no alternative?
are stocks sure thing now? so this time is different?
after 2 busted bubbles in 10 years you still think Fed is in charge long term?
and you shouldn't be careful at all and blindly trust the guy who said 'sub prime is contained'?

arrogant Fed will be shown its place again, give it another year or two

but first Japan, of course
Let's see JGB and Nikkei collapse this year maybe even this summer
 
Quote from kashirin:

what do you mean there is no alternative?
are stocks sure thing now? so this time is different?
after 2 busted bubbles in 10 years you still think Fed is in charge long term?
and you shouldn't be careful at all and blindly trust the guy who said 'sub prime is contained'?
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I mean exactly the opposite.
1) if the reason why managers buy stocks is because "there is no alternative", then it seems they don't see any good reason to do that, and they'd avoid it if they could
2) so stocks are really UNSURE and sooner or later they'll fall (problem is:when?)
3) the two crisis we had in 10 years suggest that "the feast has ended" in economy
4) of course you should be careful: doesn't matter if subprime is contained, some other problem might come out.
 
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