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August 16, 2007

Comments

spiBok

Well said.People will inevitably "talk their position". When your entire strategy is to be long small speccie resource stocks, you willy deny, deny, deny because inherently people dont want to admit they are wrong. Which is the same reason people held Enron all the way to zero. The massive liquidity/debt/credit/wealth bubble we have seen over the past few years has been like an illegal performance enhancing drug is to the sporting arena. A hypothetical example based on recent events. Imagine the AFL allowed EPO, steroids, amphetamines et al. Players who were not really good enough athletes to play at that high level could now compete with a little chemical assistance. What would happen when those drugs where then banned? A lot of players who in reality are not good enough would be found wanting. A lot of people have made a lot of "easy" money over the past few years. Now the hangover has begun.

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