When will the Missionary arrive to the the Island of the Green Eyed Tribe ?
There's been a lot of questions asked about this latest unloved cyclic bull market cycle..Its over 5 years old, some say its overvalued ( +150%) and is defying gravity. Its above its historic average PE ratio range.. Its trading on borrowed money at record levels.. and.. its forward fundamentals are based on the past "unsustainable" (so some say) earning margins, therefore if this is all true the bull in theory should be near death and the investors in an exuberance no worry behavioural state, but presently there is no investor euphoria and it looks like the Bull could last another 5 years with company earnings forecast to continue the rise with the expected USA economic recovery...so...what's happening here..are we missing something???.....No we aren't missing anything..In reality we know all the answers , we have all the
common knowledge available...or so says W.Ben Hunt...(see below)
One part of that
Common Knowledge is Uncle Ben and now Aunty Yellen from the FED are here to support Wall St and the US economy and they will continue to apply QE until the economy has recovered..and by then the company earnings will be increasingly higher and sustainable thanks to a recovered healthy economy...
OK...so the Market is screwed up, but the FED is doing its part to fix that . ...Ok that's
Common Knowledge and us investors know this and supposedly being responsibly cautious and quiet about it all...so, if that is the case.. why is everyone still "in" and freting, not feeling that confident, we sense distrust...There's that feeling we are all playing the game of hush hush wink wink "lets ignore this current problem as the FED will eventually take this problem away" game.
Some of this
Common Knowledge stuff has been here for a long time now..especially the FED QE factor situation...
Behavioural-wise, long lasting
Common Knowledge can become a part of culture which then gets embedded into the behavioural system ..When this situation happens it becomes a powerful factor entity, which takes an even
more powerful entity to question its validity
Ahh HAhh ...maybe this is all just a game then?.....If that is the fact, what happens if we apply W.Ben Hunt's Epsilon Theory (Gaming Theory) to the test...Well in actual fact
Salient has already done that with Ben Hunt's Epsilon Theory on its website with a disclaimer at the end saying that they disavow all content of Hunt's post...nice one Salient!!!.. ;).
Question: So...when will the Wall St Market crash??? ..or.... for the less dramatic orientated investor..when will this Cyclic Bull Market Cycle end?????
Answer: According to Ben Hunt ..When the Missionary arrives to question the market's validity