There is a lot of buying coming from the middle east.
Way back when I was both a commodities and stock broker. The standard joke/statement in our office when a client asked why the market was moving was to blame it on some buying or selling coming from the middle east. That was shorthand for, “hell if I know”, but a client wouldn’t be happy to hear their so called investment advisor didn’t have a clue.
A few years later I was with a client (I was acting as their attorney) meeting with their investment advisor, and the guy actually used the line about heavy buying coming from the middle east. I almost fell out of my chair laughing.
I bring this up as I just received an email from a financial planner of a client. I think the financial planner used every 5 syllable word they could possibly find, I’m still shaking my head thinking what a load of B.S. the entire email was.
Meredith Whitney, one of the analysts I actually believe, gave a great interview to Cspan the other day. In the interview, at minute 33:20, she says the biggest ponzi scheme is Wall Street attempt to befuddle the investing public. The theory is the more lingo and weird phrases they use, the more likely middle America is going to think they don’t have a chance to understand investments.
If anyone tries to talk to you about an investment, and you don’t understand it. Walk away the more complicated the more likely you are going to lose.