But the real story is that commodities are falling like a stone. Even Gold is less attractive these days.
I turned more Bearish on May 2, when the price of oil dropped, I was expecting some stocks to sell off
but I was not expecting oil to sell off. So I began to nibble on HDGE, SH & HIX -- Inverse ETFs.
Notice how commodities did not rebound in 2012 like the market did. You could think people were just moving from commodities into equities
but now the market is in retreat commodities are falling further.
Of course the cause is demand, not from Europe but from China.
I began to think of this when a realtor from Vancouver said they have not seen a buyer from China for months
Here are some talking heads talking about China,
The Chinese inflate their numbers. Chinese GDP is about as reliable as US inflation figures.
Here is a great video I beg you please watch it -- well worth the 14min it runs and probably the most important vidoe about your future you will see this year:
so even the 6% growth they talk of is mostly based on bad projects and political needs
If growth is so good in China why are their banks treading water?
and this just in . . .
Even worse . . .