What a run!

[wabmester]

It is interesting to me that until today at least, the Dow, S&P and NASDAQ have been increasing, while commodities for the most part have been soft. Ditto gasoline and heating oil.

Kind of makes you wonder if someone wants help going into the election this fall?

Damn those Democrats. They failed to sustain that commodities rally and stock market drop they initiated in May! The election was in their grasp, and they screwed it up again!

 

[TromboneAl]

And the rally is extra big because the republicans are trying to compensate for the Foley sex scandal.

 

[d]

let me go get my tinfoil hat before i respond to the recent twist in the conversation (or is it "twisted conversation"?). (we need a tinfoil hat smiley face! !!)

 

[REWahoo]

And the rally is extra big because the republicans are trying to compensate for the Foley sex scandal.

If that's the case, we need a few more scandals to extend the rally. And you guys who voted for the GOP (Gay Old Pedophile) ticket thought you'd made a mistake...

 

[justin]

If that's the case, we need a few more scandals to extend the rally. And you guys who voted for the GOP (Gay Old Pedophile) ticket thought you'd made a mistake...

Voted for 'em? Heck I'm running on their ticket! Wait... what does GOP stand for again?

 

[riskadverse]

http://www.bullnotbull.com/archive/stocks-5.html

I love conspiracy theories.

 

[Nords]

http://www.bullnotbull.com/archive/stocks-5.html

Sounds like he's been caught shorting the market and his anatomy is beginning to feel the squeeze...

If you love conspiracy theories, try this one:
http://early-retirement.org/forums/index.php?topic=4173.msg71163#msg71163

 

[riskadverse]

Oh I know about the PPT. Watch the close every day and see how it goes over even increments on the upside and under even increments on the downside. Keeps them in practice for the big day.

 

[Nords]

Oh I know about the PPT. Watch the close every day and see how it goes over even increments on the upside and under even increments on the downside. Keeps them in practice for the big day.

They're the same guys who protect the economy by ensuring that 40% of employee weekday workplace absences occur on Monday or Friday...

 

[youbet]

http://www.bullnotbull.com/archive/stocks-5.html

I love conspiracy theories.

Great article!

I liked this line:

When things start to look bad for Bush & Co, you can expect a big run up in the market and a big, distracting, meaningless piece of spectacular news: Dow Hits New High!

If that's true, shouldn't the DOW be at 90,000 or so?

 

[NinjaPigeon]

Hmm, this post was not exactly what I was expecting until I realized the title was not "What a NUN!" I think I've been staring at this screen too long!

 

[Spanky]

Um, why? Chasing performance, or do you have a solid reason behind your thought?

Whenever you make a change to your portfolio, the first thought should be: which of the psychological traps so damaging to investors am I about to fall into?

Rationale: REIT and Small Cap have done very well for the last 3 years. It may be large cap's turn to ourperform.

 

[hogbrain]

+ 7.6%. Happy with that, considering equity allocation is less than 40%

 

[sgeeeee]

Damn those Democrats. They failed to sustain that commodities rally and stock market drop they initiated in May! The election was in their grasp, and they screwed it up again!

It's Clinton's fault.

 

[brewer12345]

Rationale: REIT and Small Cap have done very well for the last 3 years. It may be large cap's turn to ourperform.

Maybe, or maybe not.

 

[astromeria]

Rationale: REIT and Small Cap have done very well for the last 3 years. It may be large cap's turn to ourperform.

They've been saying that for at least 2 years. And the same about foreign in general and emerging market in paticular. Plus, it's not enough just to stay the course--you need a sensible allocation to stick to in the first place.

 

[d]

Jinx!

 

[audreyh1]

Rationale: REIT and Small Cap have done very well for the last 3 years. It may be large cap's turn to ourperform.

They've been saying that for at least 2 years. And the same about foreign in general and emerging market in paticular. Plus, it's not enough just to stay the course--you need a sensible allocation to stick to in the first place.

That's one of the benefits of asset allocation. You never sell an asset class. You trim when it becomes overvalued. But it can still stay overvalued for years, so you keep trimming (like I have been doing on my REITs for years and years). One day this asset class will get hit. And then I'll buy some more!

I know lots of people who sold all their REIT funds two years ago. I bet they wish they hadn't. Also folks who got out of bonds two years ago. It took almost two years before bonds finally took a big hit. And only 3 months of pain, and then another rally!

It's really hard to time each asset class. It's better to keep a little bit of everything and rebalance at prudent intervals.

Audrey

 

[d]

But it can still stay overvalued for years

... and other asset classes can stay undervalued for years

 

[audreyh1]

Yep, they sure can!

Audrey

 

[Spanky]

... and other asset classes can stay undervalued for years

If you are patient and keep buying, you will be rewarded.

 

[Sam]

... and other asset classes can stay undervalued for years

I'm curious. Which are those? I would like to read up on them.

 

[d]

Which are those?

large cap growth; techs

 

[dmpi]

large cap growth; techs

I would agree with large caps, but techs? I'd like to hear a rationale for techs being under priced.

 

[d]

not underpriced ... or undervalued ... but underwater.