I seem to have touched on some hot spots in yesterday's market interview on BNN's The Street at 9:20 am. We received more than the usual response from viewers. Most of it was positive, things like “keep up the good work,” “your voice of reason is a breath of fresh air,” etc. Two were very angry at me for continuing to caution about the levered risks of present world markets. Really, really, name-calling angry. I always find it interesting when some are so viscerally and emotionally subscribed to the bull case that they cannot tolerate hearing anything at all about caution.
I am reminded of stories Robert Shiller tells of his 1999 tour for his excellent book Irrational Exuberance. When the book came out the markets were moving to the zenith of their frenzied froth. He relays how he was sometimes accosted after a keynote by red-faced angry, upset audience members who accused him of being alarmist, un-American, doomsday. It was a sign of a market peak then. And now…we shall have to wait and see….
Let me just state for the record, I have no demonic interest in seeing present-day bulls lose money in the coming correction. Or in trying to annoy bullish viewers. I only seek to serve as a voice of reason. The bulls have more than enough cheerleaders right now anyway. What does it hurt if a handful of us keep an eye out for “the unexpected”?