So I’m watching Bloomberg TV interview Ken Fisher, a northern California money manager and Forbes columnist whom Forbes magazine ranks as about the 750th wealthiest person in the world. Fisher apparently manages $30 billion in private capital. He says U.S. stocks are undervalued 39-pct simply because the Earnings Yield is so much greater than long-term cost of capital.

Gee, I guess a year ago the U.S. equity market was 139-pct undervalued, when costs were lower and earnings yields higher. And with a cost of capital at virtually zero, Japanese stocks must be 339-pct undervalued.

When Ken Fisher looked the TV audience in the eye and said authoritatively that this market would keep on moving higher and higher, based on earnings yield, I wondered if we could take that to the bank.

In any event, there were a lot of people who bought his story. At the time of the interview, the Dow was flat and a hal

The Silver Crazies are ecstatic that the SEC has approved the listing of the Barclay’s Silver ETF on the AMEX. So SLV will soon be listed for trading and, like GLD and IAU, ought to be in your portfolio if you care at all about hard money.

This article by MarketWatch tells the story. Consequently Silver is up about 17 cents today to $10.48 – on its way to $15.00.

The Silver stocks have all done well. But at higher silver prices, the earnings potential plus the enthus

I receive a lot of mail that I intend to follow up, and then run into time pressures. This is one of those – from a month ago.

From: milesdiz
Sent: February 22, 2006 11:58 PM
To: [email protected]
Subject: Timber Thesis
“Bill, Just read your latest ADVFN.com column. I'm intrigued by your comment:

the global economy starts to pick up, or gives me an indication it will not go into recession, I'll add some shares of the chemical and paper and forestry companies, which along with some of the golds is the place to be looking for values today."

My thesis is similar to yours, but I have already pulled the trigger on forestry by starting to build positions in high dividend paying timber companies that own gobs of land, like PCL and RYN. Thesis is that when inflation kicks in, the increase in value of their real estate holdings will exceed (or at least balance) their drop in timber sales. And with dividends I get p

Just before 11:30am ET, investment guru Ken Fisher was interviewed on Bloomberg TV. At that time the market was quiet and flat. He told the audience that equities are 39-pct undervalued, and given that he is a Forbes billionaire as well as Forbes columnist plus manager of some $30 billion of OPM, people listened. (see Arrow #1)

The market rocketed up +50 Dow points in minutes. I couldn’t believe the pile of hooey this guy – as impressive as he is – was laying at the feet of traders all over the world who watch Bloomberg TV as, let’s say, the credible alternative to CNBC.

So a couple minutes later, I wrote my own article to poke a little fun at Mr. Fisher. (see Arrow #2)

And let’s just say that Mr. Fisher had a tough day at the office. Here is the follow

I received news of a “NewBank” from a Fed Watcher. I’d like others to comment on the attached file because I do not know what this Fed initiative is all about. I'm always trying to learn.

”Bill, I don't know if you had seen this announcement (initiated by the Federal Reserve) to create a "standby bank".

http://www.bondmarkets.com/story.asp?id=2306

What crisis? Why would the Federal Reserve go through all the trouble and expense to prepare for such an event, and clearly spell out the reason? Is it connected to the elimination of M3 reporting?

clearly worried about one of two things.

Could it be derivatives related?
(Latest Annual Volume Survey- 9,899,780,283 contracts traded)-

Or the