I don't catch much CNBC anymore but in the 5 minutes I saw this morning I saw the clip which featured Rick Santelli and Larry Levin. Always have been a fan of Santelli and I do like Levin for his propensity to tell it how it is. [Jun 29, 2009: Larry Levin - the Visible and Invisible Hand is Everywhere] I did not see the clip preceding this one that they refer to at the beginning of the piece, but I concur that the real economy (not subsidized by Fed/government economy) is so weak I don't expect any Fed rate hikes in 2010. So if you are in the camp that as long as the Fed hands out money in every direction we just are on the path to a new bubble and stocks will benefit; you are in good hands. Obviously this will end badly (again) but since we are fine making money from either the long or short side, we'll let the long only managers enjoy the good times are here again and then someday when this all comes crashing down again, we'll make money on the downside. The long only crowd will be crushed, and then we'll ask the Fed to create even more new free money to get us out of that disaster. And we'll just keep repeating this formula because that is all we know.
Speaking of free money we await the Fed to tell us they see themselves handing out free punch for an 'extended period' - blah blah blah. Then we can rally and start the run to Dow 10,000, S&P 1100.
I do want to bring this clip to the site to show how the traders mindset about all this is - I think Larry reflects the thought process.