Eventually, the Demand will overwhelm the Supplies and prices will have to work much Higher. I see tremendous economic expansion in certain 3rd World countries. China is Taking over Hong Kong in July, and every body knows China will try to get along. Taiwan s Central Bank just let the world know that Honk Kong s Currency may not be convertible on the island after the Colony reverts back to China rule in July. It said Taiwan won t honor Hong Kong money, now put out by private banks, if it is issued by China and printed with the name People Republic of China.
Most Economists are happy to stick with the Crowd and be Wrong than take a chance and be Right.
They rationalize that it is better to be wrong and not stick your neck out than take a chance of being Right. 1998 could be a very bad year for Stocks, in my opinion. Joe Granville was bearish at 3800 and he just turned Bullish a last year. That's worries me. When the Bears throw in the Towel, can a Bear market be far behind.