Economic Deterioration

Plow Horse Enters Quicksand – America’s Abysmal June Economic Report Card: 7 Positive Surprises; 23 Negative | ZeroHedge.

Today the market is down on the usual fears from Europe. More importantly, the economic news is getting worse every day. Eventually, the market responds to fundamentals. The only question is when.

The world is afloat in cheap cash, and as long as that is so some of that cash will find its way to the relatively stronger American markets.

A permabull was just yammering about how the European stock markets are 40% undervalued to the American ones. He thought that this was a buy opportunity for Europe. Another way to look at this is that the American market needs to catch up to the European markets.


Leave a Reply

Please log in using one of these methods to post your comment: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s