The US stock markets are down almost 2% today as the Wall Street dead-enders sort through the rubble of their world view. After all, Clint Eastwood and other conservative luminaries have been speaking in apocalyptic terms, intoning that the country "cannot survive" another Obama term. So today they have to wallow in their own rhetorical offal for a while. This is a great buying opportunity.
Just as these same people were dragged kicking and screaming into prosperity by Pres. Bill Clinton, despite guaranteeing (Kudlow) that the Clinton "tax-the-rich" budget would explode the deficit and plunge the country into recession, they were the beneficiaries of a prosperous 1990s.
Republicans may make good businesspeople and stock traders on a myopic short-term level, but they have absolutely no idea how to run a modern economy, and their brand of "free market" ideology has proven time and again to be ultimately counterproductive. The economy does better under Democratic leadership.
As such, I was worried about the prospect of a Romney/GOP victory for my retirement accounts & have pretty much been in cash for a couple years. Today, particularly with the Wall Street 2% discount, my inclination is BUY BUY BUY.
Republicans have been selling the "malaise" scenario and the Obama apocalypse for so long that today they are thinking that they have to go Galt, and stock up on dehydrated food and precious metals. The beauty of that is, it gives a lift to a bull run in the market, much as short-sellers do, as they are ultimately forced to capitulate and buy to settle their positions as prices move up against them.
It's said that the markets go up until the last sucker buys and go down until the last sucker sells. The suckers are now selling. FOX News has frequent ads for precious metals, probably now at a bubble peak, surely an audience calculation. Just when the GOP dead-enders and survivalists finally capitulate and cash in their fallout shelter supplies will be the time to sell stocks off, and whipsaw them both ways.