The collision of global markets and social mood

Friday, April 20, 2012

Was Wired, Now Tired

Was very wired last night after getting into town, started writing and couldn't turn it off.  Stayed up way too late and I'm tired now.  Kind of a market metaphor as well.  It's been pumped up for so long that a long crash will probably be the result.

It's option expiration Friday and the S&P is in the middle of the page.  It can slap around around all it wants and I doubt it will get to 1400 or 1358.59 which is all I'm interested in for the time being.  It feels like a great day to take it easy, so I will.          

Europe seems fairly quiet thus far, the dollar is down, and oil is higher.  Probably the best contrarian news of the day is that a Qatari wealth fund recently added a 5% Tiffany stake.   It is a myth that luxury goods are immune from business cycles.  They feed on business cycles.

Also, hedge fund AUM has hit a new record.

WSJ said "The hedge-fund industry is bigger than ever before, after a market rally helped lift assets under management to a record."  Notice the key words after a market rally helped.  Rallies make people bullish.  Declines make people bearish.  The trick is to disengage from the crowd and act independently.
                                                

2 comments:

  1. Monday will be here soon enough! I doubt today will be much more than an inside day.. A lot of oddness that no one is interested in trading but the bots.. Enjoy your week in Austin! I liked walking to the capital building at night! k

    ReplyDelete
  2. Nap City today. Feel great now. Happy Friday :)

    ReplyDelete