Steve Romick Quarterly Shareholder Letter: We feel our lack of faith, although depressing, is justified

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May 24, 2010
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The Fed is doing its best to reflate — or is it ignite? There continues to be excellent economic data being reported both here and abroad, and the stock market has reacted favorably. The question remains: What is sustainable growth? The U.S. government's omnipresence has revealed itself in its transfer of private liabilities to the public sector, and becoming a giant liquidity machine, the lender of last resort, a guarantor of mortgages and more, a provider of jobs, a purchaser of MBS and ABS, grantor of transfer payments, tax credits, and tax cuts....3 What next? A utopian view suggests that the private sector picks up the slack as the government retrenches. A utopian Aldous Huxley we are not. It is not merely difficult for us to determine where the U.S. economy stands — it is impossible (at least for us).

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