Zeev's Turnips Patch-No Politics (ZEEV)

[chainik]

Zeev, what do you think about coming mutual fund redemptions?

To me today's situation looks very similar to the end of June/beginning of July. Some smart people who were expecting a strong rally at that time were wrong; in retrospect big redemptions probably was a major factor in frustrating decline. Shouldn't redemptions in October be even more dramatic?

If the market plays according to July scenario, we may get a significant rally at the end of the month (as many expect) but from lower levels.