Value Microcaps Motherboard

[ari5000]

'RECESSION'

cover of Newsweek story...


I remember when there was a story about the Housing Market gone nuts 2 years ago -- they hit the top of that market to the month.

If the markets did indeed bottom out this January -- I think most people here wouldn't believe it -- nor would the majority of investors... which makes a lot of sense when you think about it.

I've read several comparisons to 1929 and the bottomline is -- the global story is totally different. The U.S. may be the engine but everyone else -- Russia, China, Canada, Arab oil states... etc. They got money to burn and huge domestic growth stories. They'll not only support businesses abroad but continued to shove their money into our falling financials.

There's a lot of compelling reasons to be short but I think the Armaggedon stories rely on too much rhetoric. Not really expecting a great year for the markets but I think after about 12 months of churn which is what pretty much happened last year -- risk appetite for small caps will return with a vengeance.