The World Blog by humble servant.

Already we have people called this the major Bear Market and there will be a counter-trend bounce and this is a bear Market and the stock market will simply implode. The problem with all this analysis is the typical emotional analysis. Nobody Compares the MARKETS to everything surrounding it and simply look at the charts of the past and Proclaim that this is a bear Market. The peak in the PE Ratio actually takes place in a crisis where there is concern involving governments the peak came in 1895 following the Panic of 1893 because that is when the treasury was virtually bankrupt and JP Morgan arranged a gold loan to bail out the government in 1896.There was the peak in 1921 when once again there was serious concern over the rising debt crisis in Europe, we see the next rise in 1934 when Roosevelt confiscated gold and devalue the dollar. We see the rise again in the early 1960s when the first crack came in Bretton woods and the removal of silver from the coinage. Thereafter  the nex...