About 18 months ago there were hundreds of articles about the “horrible” housing numbers and this was proof a recession was imminent. I wrote a post about it: “Bears Grasping and Faulty Analysis”.
One of us was dead wrong. As these same numbers are now approaching a decade high, these people are no where to be found.
Two months ago, the bears were talking about the dislocation in the repo market. They latched onto this as proof a stock market crash was going to happen this fall. I posted about it here. My conclusion was the following:
This seems to be a temporary dislocation in the overnight interbank lending market and not a sign of stress.
My point is that there is a lot of noise and hysteria. I suspect a lot of these people do not have skin in the game. After all, if you were a bear for the past decade you would have been flat broke ten times over. The perma-bears have learned it is more profitable to start a subscription website and tell people what they want to hear.