August 11, 2014

Sell the rallies says Kass

The road to investment hell is paved with good intentions

After the largest weekly decline in nearly two years, the markets are now near-term oversold and a (weak) rally is possible in the next few days.

Similar to Pavlov's dog, market participants will be inculcated with the notion of buying the dips. You will hear this mantra from the business media, from investment strategists and even from your financial planners.

It is my view, however, that a more meaningful correction seems likely in the weeks and months ahead.