Monday, October 13, 2014

All markets are dangerous in short term

I think most people haven't made that much money in US stocks this year. Some Hedge Funds have made money, and others have lost some money. Its been for many Hedge Funds a difficult environment. And usually when you have US dollar strength, it means its a sign of tightening global liquidity which usually hasn't been particularly good for US Stocks. 

Now if I look around the world, US stocks are very pricey compared to other shares around the world. Maybe they will go up a little bit more like in 1987 or March 2000 and then will drop a lot. 

But in general, if you take a view of the next 7 to 10 years, I think you will make more money in emerging economies, where by near term I think all markets are vulnerable.