Hi guys, Happy New Year.

 

Been, I never thought I would recommend that people avoid government bonds and treasuries, but I think further bailout spending and other fiscal policies will have serious consequences with regards to watering down government treasuries and bonds. They may look worse, short term, but I think I'd rather hold good stocks for the long haul. I also have a lot in gold, silver, and short term cash only in government money market funds. ONLY the short term cash waiting for a home.

 

I'm worried about everything - even gold - at present. Even gold isn't acting "right" anymore. Consider Hamas and Israel in Gaza, Iran closer to nukes, etc. One would expect gold to be soaring, but it has not been doing so, as bullion AND mining stocks are off their highs. I still think the metals will rise again though, because scared people are not going to spend, so the money has to go somewhere, and I don't think they will park it in stocks because they are afraid. Stocks are the home of the brave or foolish at present.  I am not afraid to buy some good, beaten down stocks at these levels, but I want P/Es below their growth rates from here on out.