You’ve all seen it…or heard it happen.
And it’s kinda gross seeing a cat cough up a hairball. But have you ever wondered what causes it to happen?
The simple answer is, they swallowed too much hair.
But have you ever wondered why?
We know that cats keep themselves clean by licking and pruning themselves. (It’s likely part of their DNA). And by making themselves look pretty we get the impression that they maintain good hygiene.
However, in their effort to look pretty, they end up eating something that’s dirty or something that’s soiled their coat. Eventually their body rejects their indulgence and they “puke it up.”
Sorry for being gross, and I have nothing against cats.
But this example is similar to how many Wall Street Gurus end up puking all over the markets.
There’s always a lot of dirt flying around on Wall Street. And when the markets are good, the boyz in the “Club” do a great job cleaning the dirt off themselves.
They’ll constantly make themselves look good bragging about their profitability and/or how well their favorite stocks have performed.
However, (and like a cat) their consumption cover-up of dirt forces them to start coughing up hairballs.
When this happens, their pristine image is tarnished and the other Wall Street sharks smell blood in the water.
This was one of the reasons why Bear Stearns and Lehman Brothers were assassinated by Goldman Sachs in the 2008 meltdown.
But now the tables have turned and the boyz from GS are starting to cough up hairballs. (We wrote about it HERE).
The ripple effect of this often sends shockwaves throughout the markets.
Don’t miss our December newsletter where we show you how it all impacts you.