>But "by my logic" we ought to see a bear market if a) there's a
>huge upward change in the supply of stock
The story for most of the last 20 years has been equity retirements, through takeovers & buybacks. Vast gobs of surplus value have been transferred to shareholders, who've done god knows what with it.
> and b) there's a great
>disincentive to give heaping gobs of cash to mutual fund managers
>whose job it is to buy stocks.
Yeah, people change their minds though.
> > Is it different now?
>
>I think we're in a supply/demand situation that we've never
>seen before, yes.
Why? Has the fundamental dynamic of capitalism been altered? Why should valuation and sentiment readings and all those traditional measures now be invalid? What's changed?
Doug