Over the preceding months I have documented pretty thoroughly the remarkably pessimistic outlook investors share for the stock market and the economy. The February 9, 2009 issue of Newsweek has a funny column by Daniel Gross recounting his experiences at the World Economic Forum recently held in Davos, Switzerland.
Here are a few choice quotes:
[In Davos] the only bull market was in pessimism.
[The CEO's who attended] were treated to an avalanche of doomsaying.
Voices from hedge-fund manager George Soros to historial Niall Ferguson spun elaborate tales of catastrophe. Ferguson concluded that the U.S was destined for a decade of extremely lame growth. Economists were universally downbeat.
This year, failure and depression were [the chic topics].
[F]ew summiteers had the audacity to hope. The overwhelming consensus was things are really bad and getting worse.
I think this is yet more evidence that the U.S stock market is thoroughly sold out and that the next big move will be upward.