While I am ranting, I have to admit that I can't stand
hearing how "fundamentals" are good even if the macro picture
is weak. My understanding of the definition of fundamentals
must be wrong. I would think that multiple countries at risk
of default, the biggest economies mired in debt, weak banks stuffed
to the gills with bad, unmarked exposures, and clear signs of a
slowdown with GDP weak across the board, ARE FUNDAMENTALS! I
am not sure when "fundamentals" became defined as last quarter's
earnings. In any case, the global macro picture eventually
affects earnings and effectively becomes the "fundamentals", even
as defined by the diehard bulls, so ignoring them is a big
mistake.
Loved This
Posted by johnc on 18th of Aug 2011 at 08:12 am
While I am ranting, I have to admit that I can't stand hearing how "fundamentals" are good even if the macro picture is weak. My understanding of the definition of fundamentals must be wrong. I would think that multiple countries at risk of default, the biggest economies mired in debt, weak banks stuffed to the gills with bad, unmarked exposures, and clear signs of a slowdown with GDP weak across the board, ARE FUNDAMENTALS! I am not sure when "fundamentals" became defined as last quarter's earnings. In any case, the global macro picture eventually affects earnings and effectively becomes the "fundamentals", even as defined by the diehard bulls, so ignoring them is a big mistake.
http://www.zerohedge.com/news/guest-post-its-only-flesh-wound?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29