The Market Rally

There has been much talk lately about the market rally that has occurred since early March. I of course missed out on the rally but just about every day I ask myself whether I should jump back onboard. I refuse because I'm a stubborn asshole and the underlying fundamentals suck but it sure is tempting. I mean who really cares what the underying economics are when the stock market is going up. The only thing that matters is what everyone else believes. This thought of course makes my head spin because I start asking myself whether reality actually matters or if the only thing that matters is other people's erroneous perceptions of reality (I call them erroneous perceptions because I have a big ego and can't be wrong). Anways said more concretely if everyone thinks things are getting better does that mean things will get better? Afer all if you think things are getting better you might go out and buy some more stuff. If you buy some more stuff things do actually get better. Therefore if the majority of people think things are getting better they will get better even if their thought was foolish in the first place. Although I like going through this mental masturbation I don’t personally buy it (yes that’s a pun). People have no jobs, no money, and no credit. Certain laws can’t be defeated by erroneous perceptions of reality. Despite the cartoon depiction Wiley Coyote started falling due to gravity the second he ran off the edge of the cliff not when he finally realized he had fallen off the cliff.

Going back to bubbles how can you not love them? I mean as long as you get out before the whole thing crumbles you’re golden. It is precisely this train of thought that leads to the formation of bubbles. Nobody else will tell you this but bubbles are completely rational things and you can make a shit ton of money from them. Just like Ponzi schemes as long as you get out at the right time you’re golden (please ignore the fact you never get out at the right time). Anyway if I was a VC and someone came to me with a legal and effective Ponzi scheme I would give them money in a heartbeat. There is nothing sweeter than being on the bottom of one of those money making machines. Of course I might never see the money again because Ponzi schemes inevitably fail but hey no risk no reward right?

It's pretty amusing to hear everyone and their mother lambaste the formation of bubbles when quite clearly it is these same people that caused the bubble to form in the first place. I can’t remember anyone ever acknowledging that they caused the bubble formation but I’m sure they are out there and the problem is really my faulty memory. As far as I can see people create the bubbles and then people whine about how they get screwed when these bubbles burst. I don’t know why Mr. Bubbles stands for this shit. If you ask me he needs to hire a better P.R. agent because he is taking it in the ass in the mainstream media. That's all for now. Always remember the enemy is dangerous. The enemy is powerful. The enemy is ourselves. We’re going to need much bigger guns.