10.08.2008

Strange days indeed

Whoa, thought it was a nightmare,
Lo, it's all so true,
They told me, don't go walkin' slow
'cause devil's on the loose.

Better run through the jungle,
Better run through the jungle,
Better run through the jungle,
Whoa, don't look back to see.
Who can know what to expect from the markets when the Fed, Treasury, and SEC come out with radical, unprecedented policy changes on a daily basis? Strange days, indeed.

Well, I've told you once and I've told you twice: never listen to my advice. Nevertheless, following is my strategy.

Keep your head low. This is no time for heroes. Stay diversified, across equities, cash, and gold. Long bonds are for suckers at 4% when the government is promising to go all Zimbabwe on your ass. Even real estate looks good, if you can find a place where the fixed 30-year monthly payment is roughly equal to the rental income.

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Happy Super Tuesday!