I didn’t care for the use of the median a few months ago when it was providing a distorted picture and I don’t think it’s any more accurate now. The comparisons of prices during these different time periods is based on an implied assumption that the datasets are similar in composition. This is an assumption that we already know isn’t true.
It’s valid to the extent that it can be interpreted as demonstrating the direction of the trend, but the actual average decline on an apples-apples basis may be less or more than the percentage shown.
It shouldn’t be considered as being that accurate just because it confirms our judgement that the market is in decline.
By the same token, I think DL must have a little shrine in his office honoring Baghdad Bob, and he must be talking to that shrine on a daily basis. 2007 will not be a good year for the bulls and I don’t think 2008 is even going to be as good as 2007.
