Hold on to your wallets, folks.
The stock market has been on a winning streak and Wall Street is starting to feel its oats once again. Yes, you guessed it, those same people who brought us the biggest mess since the Depression because they convinced us that markets could defy gravity are again banging the drum with the message that the seeds of a recovery are starting to bloom.
At this point the level of skepticism about anything Wall Street says should be so high that any positive remark sets off Geiger-counter-like beeping. Wall Streeters made tons of money after all by getting the maximum number of suckers to buy into the deals and bargains and can’t-lose situations they created, many times out of bubble soap.
They’re paid to highlight the seams of gold among the dross, no matter how much dross there is. Need I tell you that dross is everywhere and any gold to be found is fool’s gold?
And when things go bust, well, that’s equities for you. Seems there really was some risk involved after all.
As for the recovery, I know it doesn’t serve their purpose, but I suggest anyway that these financial wizards leave their towers and see what’s happening on the ground. Down here, the recovery isn’t around the corner. It hasn’t even gotten into town.
Agents and insurance companies know it; retailers know it; newspapers and magazines know it; manufacturers of goods and services of every stripe know it. Things are terrible. And if they’re not getting worse, they’re hardly getting better. People all over are scared for their jobs and until that fear is allayed and the job market starts to come back, nothing much is going to change. Here on the ground.
There’s a good reason for the old adage “once bitten, twice shy.” The collective ouch that our finances have experienced as a result of getting bitten should give us pause about getting close to this particular dog again. Even if the dog is wagging its tail.