Courtesy of CIGA Werner.
Sarah was in the fertilized egg business. She had several hundred young pullets and ten roosters to fertilize the eggs. She kept records and any rooster not performing went into the soup pot and was replaced. This took a lot of time, so she bought some tiny bells and attached them to her roosters. Each bell had a different tone, so she could tell from a distance which rooster was performing. Now, she could sit on the porch and fill out an efficiency report just by listening to the bells.
Sarah’s favorite rooster, old Butch, was a fine specimen but, this morning, she noticed old Butch’s bell hadn’t rung at all! When she went to investigate, she saw the other roosters were busy chasing pullets, bells-a-ringing, but the pullets hearing the roosters coming, would run for cover.
To Sarah’s amazement, old Butch had his bell in his beak, so it couldn’t ring. He’d sneak up on a pullet, do his job, and walk on to the next one. Sarah was so proud of old Butch, she entered him in a show and he became an overnight sensation among the judges.
The result was the judges not only awarded old Butch the “No Bell Piece Prize”, they also awarded him the “Pulletsurprise” as well. Clearly old Butch was a politician in the making.. Who else but a politician could figure out how to win two of the most coveted awards on the planet by being the best at sneaking up on the unsuspecting populace and screwing them when they weren’t paying attention? Vote carefully in the next election: You can’t always hear the bells.
We can argue the point until we’re blue in the face; the ins and outs of hyperinflation vs debt collapse. Is the Nasdaq overvalued and ready for another tumble (IMHO- absolutely)? As my friend Mike Belkin recently said: gold won’t do what it’s supposed to until the stock market tanks. In the long run, your prophecy of QE to infinity is going to prove to be the most far-sighted prognostication in the last 25 years. THAT’S where we’re going and the fact that the market accepts that as a positive is the biggest mystery I can imagine. One day soon, it will not.