Dow 10,000 a Bubble, Not a Boom

first encounter with your blog. Indeed, I've made four substantial buys in GLD over the past five months as the Fed and Treasury collaborate to monetize national debt.

I believe that America's future will look exactly like Argentina's past (20th century). And congress and the administration are doing this intentionally and with malice aforethought.

I'm happy to hear that it was value added, as we say in our commercial republic.

Yo have a nice blog of your own.

What DrPete said.

I trade for a living, and this is indeed yet another bubble... the non-earnings, jobless-recovery bubble.

It astounds me how many are falling for it, and am aghast at how much more pain and financial loss it is yet to bring.

I would suggest owning the physical stuff itself.

Are you buying shares of GLD, or using options?

I'm familiar with both sides of the argument, and believe that further deflation is still on the table.

Look what happened to the dollar today. It was due for a bounce.

So.... I don't know what's going to happen, of course. But in the short term, lower commodity prices would not surprise me.

Long term, I agree with you. We will resemble Argentina soon enough, AND our fearless leaders are doing this intentionally.

(Our leaders, or course, aren't our elected officials. That's just a facade.)

Hopefully I've given you food for thought, and a different and new perspective.

More...


If you own the stock, you can sell calls against your position.

Or... you can buy puts to protect your position.

Alternatively, you could sell puts.(Although this requires substantial margin.)

If the puts expire out of the money, you keep the premium.

If not, you get assigned the stock you want at the price you want.

Thank you for an excellent article. I regret not having seen your blog before today. I will certainly be back for more. Very informative!

Welcome, Chad. I'm happy to be of service in whatever way I can. Thank you for serving our country in the armed forces.

Nice article. My history is fuzzy, but maybe you can answer this question: Didn't the market bubble and burst like this several times during the Great Depression?

My history is like yours. But I do recall that there was not just a big crash, then flatlining until FDR took charge, followed by a stirring and steady recovery. That's the mythology.