‘We haven’t left the bubble’
“This elation has lulled Wall Street into a false sense of security, according to the investing world’s elite who I’ve spoken with over the past few weeks. Privately, these market masters warn that this complacency will make the coming reversal more excruciating.”
USAGOLD note: Stocks are down about 6.5% over the past twelve months, yet, as this article suggests, bubble-complacency dominates investor thinking. A large chunk of the investment community believes fervently that the other shoe is not going to drop anytime soon, and if it does they will be able to get out with a few keystrokes. “Wall Street,” says Lopez, “will eventually have to open its eyes, take its fingers out of its ears, and watch this bear-market rally fall apart.” At that point, it is likely a crowd will gather at the door, frustrating assumptions of a quick exit.