I think it was a song reference or some kind of reference from the Titanic. Either way you get the drift. Though the DOW and the value of gold fell yesterday(Feb 29th 2012) today things bounced back. Just like the band I stuck it in there and went down with the ship. That was yesterday. Today things rebounded somewhat. This just proves my thoery of riding the wave in the bad time. Fortunately people ignored Ben Bernanke’s rantings and acknowledged him as the groundhog he is. soon enough he will go back to whatever he does during the day, like play golf or meticulously trim his Freud-style beard, who knows.
If tends continue PSTR, WRES and LOAN will regain the glory of last week. I originally intended to hold them for 4 days but I wasnt paying enough attention to the news. I didn’t see Ben coming, didn’t hear any announcements that a hearing was scheduled. He doesn’t deserve all the blame, PSTR and WRES were wobbling a little before he spoke. Too many celebrities and public figures passed away this week, overshadowing the cost of gas. So the panic diminished and there is a collective mourning going on now, which is understandable. It makes you consider your own mortality and that of your loved ones. Soon spending will resume, and record companies will be profiting form the royalties and licensing of artists they had severed ties with years ago. I went off on a tangent.
The Fed chairman in my opinion had good news. Though he did not announce another QE, I didn’t hear of an expected raise in interest rates. So now money is still cheap. Considering the idiom that money makes money its still prime time to make money using cheap money. What more do you want? Low interest rates should be good enough for everyone.
The only thing that may cause some short term disturbance are the depressed Wall Street peoples whose bonuses were diminished this year. They might not be so risky now that they don’t have that bonus to rely on for that planned trip or home improvement. I don’t want sad investors out there. The happier they are the more risks they take and the more responsive they are to the butterfly effect of the consumer flapping its wings. I want to tell them “dont worry about a thing…every little things gonna be alright,” just ride the wave.