Just keeping up with the world

Unrest has now spread to Iraq and the Ivory Coast as a woman was gunned down in a peaceful protest, now there are calls on the Ivory Coast for the President to step down. Also today we saw more unrest in Saudi Arabia. This has gone viral, 2011 is going to be the year the face of the world changed and I suspect it will be a decade before stability is found in some of these countries.

Which all dovetails pretty well for my macro-economic view, that we as traders and investors will see for the first time in our lives, a secular bear market in equities. Adapting as traders will be the key to success in years to come as no equity trader has eve traded a secular bear market. Don't lose any sleep though, change and being able to change quickly and adapt is where the big money is to be found.

We have some time yet before I believe that will come into play, but the macro economic trends, our debt spiraling out of control (Obama has added nearly 30% to our total national debt during his time thus far as president), the changing face of the world, reserve currencies, etc. will all play a part. We've been kicking the can too long, too far and we're running out of road. Bernanke's own flawed assumptions about economics, especially the recent faux pas on the Taylor rule, thrusting us into trillions of dollars of QE and bail out money was a huge misunderstanding of the fundamentals of economics by the world's most powerful economic entity. The very fact that the average American has nothing to show for all this stimulus spending after two years shows clearly that their economic assumptions WERE WRONG and now they've created a feedback loop, a self-fulfilling fate, a Chinese finger trap; only solidifies the fact that the hole they've dug is simply too deep to be addressed by conventional, historical means.

I grieve for our country and the world, but as a trader, I embrace the change.