Fly Me To The Moon

People are becoming rather reticent on the subject of allocations at these levels. Nobody wants to be caught with their pants down, levered long of the tape, when it makes a decisive move lower. The nature of buying verse selling creates a fear.

The primary fear is being too far from the exit. This puzzles me a bit. Markets are electronic. They’re fast, but so are the execution tools. We’re not talking about picking up a phone and sending a handwritten order down a chute to a smoky room of ingrates who pull rusty levers. Modern financial architecture has come a long way.

Nevertheless, you won’t find a shortage of critics. But think of it this way. Pick a high school sport, say football, and of the three-four hundred spectators there will always be two or three asshole hecklers. Now extrapolate that sub-set to everyone involved in finance. Then give them a Twitter handle.

Said another way, sentiment is in the pipes right now. It feels like a good time to press risk. And if I am wrong, I will stop out and reassess, thus living to fight another day.

But what of the salary Joe’s retirement plan? What of the worker bee whose entire nest egg is predominately market exposed? Do we really think they let that go upside down? Preposterous. The house of cards requires growth.