Rosenberg Debunks The Stupidity Of The Masses

While we spend a lot of our time pointing out critical factors driving the reality of our markets and economies, today’s note from David Rosenberg, of Gluskin Sheff, provides a spot-on and unarguable description of what every one of your favorite long-only strategist, sell-side economist, and hope-heavy CNBC anchor told you would happen – and hasn’t!

  1. Hedge funds have not piled into the equity market to play catch-up.
  2. The Super Committee did not come to a compromise (and remember Moody’s has the U.S. debt rating on “credit watch” and Standard & Poor’s still with a “negative outlook”.., shades of August).
  3. The Europeans have not managed to resolve let alone contain their credit crisis.
  4. Germany has not acquiesced and agreed to having poor sovereign credits ride off its AAA rating via a “Eurobond”.
  5. The ECB has not moved towards QE. Nor will it — have a look at today’s WSJ editorial on the matter. Brilliant.
  6. Mr. Market saw through the Q3 earnings season and recognized the lack of visibility in the guidance provided.
  7. China did not start to ease policy just because inflation rolled off the 6%-plus peak.
  8. U.S. recession risks, as per the San Francisco Fed, did not recede and actually stayed above 50% even with the better statistical tone to Q3 and Q4 GDP.

Hardly reassuring and perhaps once and for all, we will see the average talking-head for what they are – a self-aggrandizing marketing toy with the only goal of raising AUM at investor expense – as opposed to providing balanced research, investment advice, and occasionally contrarian perspectives.

via Rosenberg Debunks The Stupidity Of The Masses | ZeroHedge.


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