It’s taking me a long time to finish up the Polaris Letter for January, mostly because I have been busy with recent market movements, on both the long and short side. I hope you have been enjoying it.
In the meantime, Jeremy Grantham of GMO, who I think will be right again, has declared: “Let the Wild Rumpus Begin.” Now we are in the deflation phase of what he calls a “superbubble,” one of four in the past century of US history. This term is not just a subjective opinion, but, for Grantham, has a specific meaning — three standard deviations from trend. The interesting thing now is: What is the Fed, Treasury, Congress etc. going to do about it?
Click here for “Let the Wild Rumpus Begin,” by Jeremy Grantham.