Tuesday, January 18, 2011

I Have a Dream

Of course that's Martin Luther King's famous speech line. I'm borrowing it today to post my "dream" about where Ms. Market will take us this year. Will she dance on that tables & party, or dump us?

Stocks (S&P 500): high - 1500, low 1200, close 1500.

Bonds: (US 10 year yield): high 4.5%, low 3.3%, close 4.5%

TIPs (the ETF): high 108, low 104, close 104

Gold: high 1500, low 1200, close 1500

Muni bonds: solid A-AA yields rise to 5.5%

From where we are now in these asset classes, the "buy low, sell high" and "sell high, buy low" tactics will pay off well.

Timing: Ms. Market will dance and party a bit, then take a break, then hit the dance floors again.

Hedge funds will have a poor year as the commodity trades will sour, providing little upside and much pain from drops and sideways action. Favorites like AAPL will be sideways. Winnings will be boring stocks like those in the DJIA - big cap blue chips. Big banks will sputter as regulations grind profits away.

Krypto anticipates a fine year and is drooling over those dog biscuits.

Bman will keep riding this bull elephant, but pick fruit off the trees as he passes good trades. The ending waterhole is not yet in sight.

Word of the Day

"Progenerate" - verb [$1000] Obsolete, rare; a T. S. Eliot word
Progenerate means to beget, propagate, procreate.
Sentence: After due exercise of my little grey cells towards the likely path for the various major asset classes for 2011, Bunkerman today progenerated the outcomes that he now believes the near future will bring. Will be a hero or a goat? Time will tell. The future is not determined, but is (mostly) controlled by men riding along the waves of our world in time and space.

25 comments:

Bud said...

SPX i have 2k high and close.............why ?? easy.......QE2-3-4-5........makes me sick


let's dip this gravy in the hot biscuit my ass

Bunkerman said...

I predict no QE3.

Bunkerman said...

Ben will be taking a victory lap this Spring.

Bud said...

Bman while i was at a bill boyd's gun and tackle shop on Saturday i struck up a conversation with another customer..............i was askin him about guns since he seemed quite knowledgable...........after a few minutes i asked him ' are you a police officer?'

he answered 'no......i used to be a jarhead.....served in iraq'

i had never even heard that word before........had to google later .........Bman do you know what a jarhead is?

Bud said...

btw.............gun owners are extremely friendly and helpful...........as soon as anyone knew i was a beginner..........answering all my questions and very eager to give me tips

Bud said...

i shot my friends Ruger mini14 on saturday...........prolly 30-40 rounds...........have you ever shot it Bman ??

unfortunately i could not hit the bulls-eye form 100 yards

Bud said...

victory lap for what ?? for demolishing my global purchasing power ??


dollar tankaroooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooooo

Bud said...

well well well......China lowers holdings of US debt in november


http://globaleconomicanalysis.blogspot.com/2011/01/ecb-allows-irish-central-bank-to.html



nice job Ben...............US debt considered garbage now

Spin-em said...

gun owners are extremely friendly and helpful...........as soon as anyone knew i was a beginner..........answering all my questions and very eager to give me tips


most people will be friendly if they see fuses on your shoes....

Bunkerman said...

of course I know what a jarhead is.

sheesh.

Bunkerman said...

re mini 14 yes, I have one -- it's fun.

Bunkerman said...

without know what the "zero" of the rifle was or whether it had a scope or iron sights or what the shooting position was or how big the bullseye was, I can't evaluate your inability to hit a bullseye.

A mini 14 can hit a 4" bullseye at 100 yds. with regularity with most ammo, firing prone or off a bench.

It's not a target rifle - it's for fun plinking or shooting varmints on the farm/ranch

Bunkerman said...

many gun owners are very knowledgeable, but there are many blowhards, too. Go by your instinct.

mfl59 said...

never heard the term jarhead before? lmaoooooo doesnt surprise me-not many at the Blue Oyster Bar

Bud said...

food riots in Tunisia.........yup.....QE2 is workin alright


1.99/lb chicken my ass

Spin-em said...

whyyy thank yeeww kindly for the vittles maam..I reckon I'll mosey over tu the golf corral and work on my stone legs....

Spin-em said...

(tips his fez and jumps on his ol faithful ride) Giddyapp Passatti!!....

Bud said...

Bman do you own TSON ? LEE ? EEE? SSN ?

do you own any stocks trading below 3dollars ?

Bunkerman said...

I own no stocks trading below $20, except VVUS, to my best recollection.

Don't do much "trading" any more. None, really.

Krypto makes me plenty - why work harder? I let my doggie do the work, she likes to work.

:)

Bunkerman said...

btw, Mrs. B sold the rest of AAPL; I think it's going to be a market performer now, for the most part.

All the good news is in.

Hmmm .. I think that was a triple on a good size investment. Not bad .. I guess buy & hold can work.

Bunkerman said...

but trading a stock like that pays big, too. The calls and trades added up to more that the long term hold made.

Spin-em said...

mountains of cayyyysh

Bud said...

Bman how many stocks do you own right now?

and are you trying to tell me you don't check your portfolio at least 3 times a day...........come on


" sell crazy someplace else. we're all stocked up here "

Bunkerman said...

don't know, Bud. I check holdings about once a week or after a big move.

Bunkerman said...

Yup, mountains of cash seeking cheap assets.

Hmmm sounds a bit like a personal ad

:))