Hi Munch,Just where did the fed say the following?:"...but when...

Hi Munch,

Just where did the fed say the following?:

"...but when your getting comments from the Fed saying stocks are still over valued by 100% why can't we see a major crash?"

If something is priced at 100 units of value and is 100% over valued, that would make for a minimal price of zero.

Yesterday, I listened to sevral webcasts, by Lehman Brothers, Goldman Sachs, and 1 or 2 others. To these, you could also add the comments of the CIBC Oppenheimer's Chief Economist, Dr Metz, warning of a short squeeze in the Nasdaq from early August onwards which could spark a sharp rally in most Nasdaq stocks (a HC2 search of my previous postings should produce a copy of what Dr Metz recently said as part of a Barron's roundtable).

Most of the commentators that I listened to erred caution going forward, but also suggesting that the US market was 10 -20% under-valued on immediate earnings' profiles.

Either way, we live in interesting times.

Itis also at times like these that extremists from all sides tend to come to the fore thereby suggesting that a sustainable bottom is either within reach, or will quickly be reached.