Introducing the Greed/Fear Ratio…

 

Van Bryan

Jun. 9, 2019

 

A tide is turning…

That was the central theme of Bill’s Diary essays this week.

The prevailing tide of greed… of phony booms… “unicorn” IPOs… and record-high stock prices is going out. In its place, a tide of fear.

On Monday, Bill showed the evidence. Our editor unveiled the “Greed/Fear Ratio.” The ratio goes up when greed’s in charge. It falls when fear takes hold.

And if our editor is right, the most important ratio in all of investing is going down… down…down.


image The Most Important Ratio in All of Investing
On Monday, Bill unveils the “most important ratio in all of investing.” It measures the exuberance of greed… and compares it to the sinking feeling of fear. As Bill puts it, the Greed/Fear ratio can tell you when to buy stocks, when to sell, and when to take cover…

image Stocks Have a Rendezvous With Destiny
Stocks are jittery on Tuesday. “Trade war fears,” declares the mainstream financial press. But rather than worry about the day-to-day, Bill takes the long view. According to his “Greed/Fear ratio,” the market has a rendezvous with destiny, somewhere near the bottom right of a stock chart…

image What Comes From Disrespecting Mr. Market
On Wednesday, “good news” from the Fed. America’s central bank is still “data dependent.” The Powell Put lives on, in other words. But as Bill sees it, Fed Chair Jerome Powell is pushing his luck with Mr. Market. And Mr. Market doesn’t like being disrespected…

image How $30 Trillion Disappears…
$30 trillion… That’s Bill’s rough estimate of how much phony wealth has been created thanks to the Fed’s EZ money policies. But that which was apparated can also be vanished. One day, all that ill-gotten wealth will… poof.

image The Real Source of Wealth Inequality…
Politicians like Elizabeth Warren and Alexandria Ocasio-Cortez rail against “wealth inequality.” Why should so many have so little, while the few have so much? “Soak the rich!” is their plan. But this is the wrong way to look at it, Bill says. The One Percent were the recipients of all that wealth. But here’s how they got it…

image The Technology of Chaos
This will be one of the biggest challenges humanity will ever face. That’s the message from Saturday’s guest editor, tech expert Jeff Brown. Bleeding-edge technologies like artificial intelligence and genetic editing are on the rise. And like any tool, they can be used to build things up… or knock them down.

Regards,

Signature

Van Bryan
Managing Editor, Bill Bonner’s Diary