What really happened today? Did stocks just roar higher, or did the US dollar just collapse lower? I guess it’s “risk on”?

FED action today was no surprise, America is stuck between the realities of a economy that will not grow and a debt burden that will not shrink. This is something I’m sure you’ve all heard, “We’ve entered the zero bound, blah blah”. The zero bound being the realization by central planners that all roads lead to either currency destruction or depression. The options are shitty, hence we’ll get a shitty policy. The easy road is the one traveled by politicians and the Japanese experience should serve as a warning.

Bad things are on the horizon for Japan, but I can’t say they look any better for the global economy. The EU is stuck, the US can’t grow, Japan is in trouble and China is just waiting for any of the preceding to jump off a cliff, only to follow. Maybe I’m just being a pessimist, maybe I’ve been reading zero hedge too much, or maybe I’m down right wrong. One thing is for certain, uncertainly is the new normal.

Amazingly in the face of it all, Equities are breaking higher as if this were 1999. I’m not quite sure what memo I missed, but I’ve happily tagged along for the ride. Although, I liquidated my positions last week, I have been playing short term break outs in all types of nonsensical names. From short side plays on the NFLX failed break higher, to long side plays on stupid JPM type stocks. This is crazy and I want off this ride. I would love to just sit back with some Warren Buffett type of long term investments, but cannot help thinking we are completely doomed come tomorrow.

While equities are all over the map, gold continues to act accordingly. I’ve had constant thought of selling all possessions and buying truck loads gold bars. However, I ditched the plan, as I may have trouble hiding a large amount of gold bars from the resistance when civil war breaks out. In reality, all “risk off” assets currently look good, with gold looking the best. I currently hold no positions, as I’m waiting for the sky to fall, but I will continue playing short term positions in a number of different names.

Apologies for the hiatus, but my life is all sorts of crazy right now.

http://www.youtube.com/watch?v=EQwrB1vu74c

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