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Re: Poet post# 11382

Monday, 02/25/2002 9:38:42 PM

Monday, February 25, 2002 9:38:42 PM

Post# of 222613
Why would you short the market?

The short interest on all three exchanges is close to the highest it's ever been.
Interest rates are almost as low as they can go, almost negative in real money terms, which means that the stock market is heavily favored to be the investment of choice.
The government is going to be spending enormous amounts of money over the next few years for defense, and defense related items. Every bomb dropped has to be replaced. Think of all the homeland security ideas being tossed around, biometrics for drivers licenses, passports, immigration, maybe even increasing the military numbers people wise.

While individual stocks may be a way to make money shorting, there's always going to be some company that's overvalued, the market is not something to short at this time, IMO. The market was something to short last year, but not now.

If the funds and institutions start putting the 2 trillion dollars they have in cash (I think that's the number) back in the market, there will be a real bloodbath for people who are short the market.


Each day the economy is going to get stronger now, (barring an outside event) the excesses have just about all been washed out. The dot coms were fluff, but that's not the American economy. The American economy is cars, homes, tangible things. Those things are not doing that badly.

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