I personally don't see this is an extended lag in the markets, I have enjoyed taking profits right now, and it's been very widely publicized/reported that a lot of people (mostly retail money and some less than stellar big money managers) missed the boat on most of the upside movement of the markets this past year. I don't see any reason not to think that this is the entry opportunity that a lot of this money has been waiting to see. Especially given that most of these problems are fiscal in nature. given the institutions that we've developed, such as the imf, world bank, etc etc it doesn't make much sense to me that we'd ever allow sovereign debt to collapse our financial system....not anytime soon at least...we would have to see a default which would trigger a chain reaction, which is still entirely possible, although unlikely I think.
I did some buying today, which I'll continue to do in increments as this market moves down/levels out. From a valuation perspective, there are some things that are becoming quite attractive right now.
