Replies to post #107145 on Zeev's Turnips Patch-No Politics (ZEEV)

[mike_m]

Re:<<I believe you underestimate the complacency of most investors who are still itching to be burned yet again.>>

kahlua thanks for your comments. I believe you overestimate the "complacency" of investors. An awful lot of the money that has left the sidelines has gone into bonds and bond funds. Much of that has yet to move to equities but may well. If the market continues to find support at critical levels more money will seep into the stock market. Only after the next significant correction will we know more about cyclical and secular bull markets.

I can tell you this. There are some pretty smart folks out there that believe we remain in a secular bull and have yet another up leg left. I wouldn't fall too heavily on a sword regarding valuations. As Zeev and others have noted, PE's will be predicated on the other investment options available. It has been a while since we had .45% money market rates and 1% CD's to compete.