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Stock market may collapse again, TCW's Gundlach says
marketwatch.com ^ | 9/9/09 | Alistair Barr

Posted on 09/14/2009 6:09:21 PM PDT by Kartographer

The stock market's recent rally is likely to run out of steam soon and equity prices may collapse again, Jeffrey Gundlach, chief investment officer at Los Angeles-based mutual-fund giant TCW Group Inc., said Wednesday.

The benchmark Standard & Poor's 500 index is "extremely unlikely" to climb above 1,100, before collapsing again, he said during a conference call.

"You've made 90% of the money you're gonna make in this rally," Gundlach said, advising investors to sell on strength when the S&P 500 is above 1,000.

(Excerpt) Read more at marketwatch.com ...


TOPICS: Business/Economy; Culture/Society
KEYWORDS: bho44; bhoeconomy; stockmarket; wallstreet
Like to know your thoughts.
1 posted on 09/14/2009 6:09:22 PM PDT by Kartographer
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To: Kartographer

the 9500-11,000 is the zone before the next sell off. There’s a lot of cash on the sidelines.


2 posted on 09/14/2009 6:14:07 PM PDT by Eric in the Ozarks
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To: Kartographer

I say bring it on as fast as possible. The crash will cause the ‘green shoots’ nonsense that is driving up oil prices to falter, making heating oil cheaper just in time to top off the tanks for winter.


3 posted on 09/14/2009 6:14:46 PM PDT by perfect_rovian_storm (The worst is behind us. Unfortunately it is really well endowed.)
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To: Kartographer

No brainer. We are screwed, unless the market is the dumping ground for newly printed fiat money. Ben may have found his “helicopter” mechanism after all.


4 posted on 09/14/2009 6:14:56 PM PDT by central_va ( http://www.15thvirginia.org/)
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To: Kartographer

I am guessing this guy makes money when the stock market goes down.


5 posted on 09/14/2009 6:14:58 PM PDT by microgood
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To: microgood

Disagree with this guy. I am no pro but it doesn’t feel that way,,it is going to inch up and down. And if health care and cap and trade get defeated, market wil rally,,an anemic ralliy but okay by me.


6 posted on 09/14/2009 6:17:46 PM PDT by cajungirl (no)
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To: microgood
I am guessing this guy makes money when the stock market goes down.

Exactly right. I'd say odds are very good this fellow is trying to see if he can drive the market down because he's got lots of short positions.

7 posted on 09/14/2009 6:19:46 PM PDT by JustaCowgirl (I can support a person I don't always agree with. What I can never support is a person I don't trust)
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To: JustaCowgirl

Spend a week reading Karl Denninger and Mish Shedlock....

It will all make sense to you


8 posted on 09/14/2009 6:22:47 PM PDT by misterrob (A society that burdens future generations with debt can not be considered moral or just)
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To: Kartographer

May?


9 posted on 09/14/2009 6:27:23 PM PDT by snowrip (Liberal? YOU ARE A SOCIALIST WITH NO RATIONAL ARGUMENT.)
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To: Kartographer

I think he’s right and already made a move to safe harbor.
9800 would have been my top.


10 posted on 09/14/2009 6:27:37 PM PDT by silverleaf (If we are astroturf, why are the democrats trying to mow us?)
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To: microgood

Nope. TCW or Trust Company of the West is a big money manager for institutions and has their own mutual funds.

He is warning people that the market is probably going down.


11 posted on 09/14/2009 6:30:00 PM PDT by Frantzie (Lou Dobbs & Glenn Beck- American Heroes! Bill O'Reilly = Liar)
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To: JustaCowgirl

TCW is not a short outfit. It is a big institutional money manager.

Many people are saying the same thing. Look at the economy.


12 posted on 09/14/2009 6:32:01 PM PDT by Frantzie (Lou Dobbs & Glenn Beck- American Heroes! Bill O'Reilly = Liar)
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To: perfect_rovian_storm

To paraphrase another FReeper, the “green shoots” is money being shot out of cannons by the printing press


13 posted on 09/14/2009 6:36:38 PM PDT by Repeat Offender (While the wicked stand confounded, call me with Thy Saints surrounded)
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To: snowrip
May?

My thought exactly. I look for rational solid reasons that it won't, and I can't find them.

14 posted on 09/14/2009 6:41:57 PM PDT by ChildOfThe60s (If you can remember the 60s........you weren't really there)
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To: Kartographer

Yes - the market will crash again — and it will also rally again — because it goes up and it goes down. We also are all destined to die sooner or later.

Those who think they can time the market are fools. 75% of the pro traders can’t even beat the indexes. It is extremely difficult for non-pro’s to time the market.

Best strategy is to dollar cost average into the market over 30+ years with a balanced portfolio allocated into index funds across the major asset classes and sit tight.


15 posted on 09/14/2009 7:42:13 PM PDT by plain talk
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To: plain talk

I am up 400 percent in some stocks since March. Lost money in some others when I bought and sold at the wrong time.

Time to take some profits and build cash for the next downturn.

GLTA


16 posted on 09/14/2009 8:21:48 PM PDT by Katoolie
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To: cajungirl

The ‘good’ loans are resetting and millions of them are ARMS. This resetting of the ARMS will weigh heavy on the Wall Street Banks. Bernanke will inflate to infinity to prop up the banks. Super inflations comes.


17 posted on 09/14/2009 9:41:01 PM PDT by Texas Songwriter
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To: cajungirl

The ‘good’ loans are resetting and millions of them are ARMS. This resetting of the ARMS will weigh heavy on the Wall Street Banks. Bernanke will inflate to infinity to prop up the banks. Super inflations comes.


18 posted on 09/14/2009 9:41:13 PM PDT by Texas Songwriter
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