Most central banks are worried more about growth than inflation. Interest rates will be kept artificially low for a long time. The consequence is bubble economy. Easy money will chase assets, whether it is capital assets (stock and bonds), hard assets (gold, oil and other commodities), real estate or consumer goods. Since the money can flow freely globally, bubble can pop anywhere.
Greece debt problem did not go away. It is politically difficult for Germany to bailout Greece.
The market is in a see-saw range as expected. Canadian market is probably at the high end of its trading range. I am going to short the market a little bit. I will put order in for purchasing 300 HXD (ETF for shorting TSX) @ 12.96C$. This is a short term hedge.
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