Good point.
I think that the smart money is going to start getting back into the market pretty quick, though. Regardless of what Obama says.
Usually when the weeping and wailing and gnashing of teeth is at its apex, is the best time to buy. Just like when everyone is jumping in with both feet is the time to sell....
I look for the phrase "This time it's different" to show up. I went conservative in summer of 2007 (not enough to shield all losses, I've merely lost my shirt, instead of all my clothes, shoes, house, and farm) when I started hearing "We're going to the moon! This time it's different!" from the financial chattering classes.
Haven't heard "This time it's different" too much - yet. Just a lot of talk about depression, which may be roughly the same.
A lot of smart money pays more attention to the S&P than the DOW. And that money has it pegged at a 600 point S&P before jumping back in because then the risk is considered minimal.
I don't wait to "hear" anything. I just watch what stocks are doing overall. Just like you saw virtually every stock in the western world tank last fall, So to will you see every stock in the western world (that that are still in business that is) begin to improve.
Of course you will "hear" other good indicators, like Obama is no longer president...
Until that happens, it's a safe bet nothing is going to get better.
Normally I would agree with you - but Obama and dems are trying to prop up the price of tulips - and for those who lost their shirts buying $400 bulbs he's coming up with refinancing scams.
In short, the "smart money" is waiting - they know better. Tulips are not viable.
The "not so smart money" has been putting their toes in the water for some time - only to have them frozen off. You're right in the looooooong run - but we're not there yet.