http://www.jasonkelly.com/2009_10_01_blogarchive.html
Article wrote:Since the March low, Apple's stock has risen nearly 150% and the easy explanation is its phenomenal business execution. Was it that bad before, though? No. Here's how Apple CEO Peter Oppenheimer began the earnings report conference call a year ago, on Oct. 21, 2008: "We are very pleased to report our September quarter results, which were record-breaking on a number of fronts. First, we sold more Macs than we have in any other quarter in Apple's history. Second, we sold more iPhones in the September quarter than in all previous quarters combined. Third, we sold more iPods than in any prior non-holiday quarter and finally, we generated more revenue and earnings than in any previous September quarter in Apple's history." Remember, that was a year ago. During that record-breaking quarter, Apple's stock declined 40%.
Article wrote:Nope, it's a fraud in which you can spend all of your free time (or work time, as the case may be) analyzing product plans, marketing plans, management history, and so on just to be laid low by a bank that levers up too far or a single pen stroke from the Federal Reserve chairman. It finally became plain as day that individual investors are up against the Goldmans of the world, and the Goldmans own the casino via their connections to government and government's connections to the Fed. When the investment banks control the Treasury and the Federal Reserve, observing their actions alone is all that matters to the performance of a stock portfolio. Enough individual investors have seen that and realized that they stand little chance against such collusion that a crowd of former market participants would rather take their chances against inflation than the casino owners.
Sadly, those are the alternatives. Deciding to walk away from the stock market is barely an option for Americans because the money supply has been constantly inflating since the Fed's creation in 1913. Americans face two crummy choices: risk another cliff dive in stocks when the powers that be speculate the whole sham into another crisis, or try outpacing inflation in non-stock investments that are less vulnerable to Washington's whimsy. Lovely.
