This morning I saw this cartoon n Investment News, and thought to myself Hmmm, have we completely missed how a true economic recovery should look like. Every Macro-ecnomic indicator is suggests the so-called recovery we are currently experiencing is running out of steam. All one has to do is look at the current employment picture, and the fact that Europe just reported GDP growth of 0.01% for the latest quarter. The Shiller Price Earning Ratio index is currently at 25, which is nearly 20% above the long-term moving average, and the Fed is still leaving its 0 interest policy in tack. If we were truly in a "real' economic expansion the Fed would have already begun to raise rates. Investors do not be fooled, the global economic recovery still has some heavy lifting to do.
