THERE’S A NEW VAMPIRE SQUID IN TOWN…

And its sucking up all the spending and investment dollars everywhere. Can you guess who it is?

So much attention has been on the banks and all things finance, so we are blind to how Apple is sucking the lifeblood and dollars from everywhere. Remember when being an Apple supplier meant untold riches? Now it is like being a partner with Microsoft, facing increased volumes but significant margin contraction and poor earnings. Remember when a carrier would up revenue and earnings guidance when getting the iPhone? Today, Sprint said they sold millions of iPhones and took a huge loss. That’s right, record new clients and record losses.

As far as investment dollars are concerned, adding 3 or 4 billion each and every market day is normal. It is its own POMO but just to one stock. And the analysts tell us that a a trillion dollar market value would be normal. Apple TV with hand gestures replacing a remote control? Is that worth $70 billion in three months? It is clearly an Apple world.

Is this sour grapes? Maybe just a teeny, weeny bit. Rather, I see a real problem of an ever-expanding market based on an endless closed loop of liquidity and one stock sucking in all the free cash.