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“The last time the DJIA closed below 8,000 was on March 31, 2003, when it closed at 7992.13”
Remember those days…..the Dot Com bomb had landed and people definitely thought the end was near? How about those rising property values right here in our country? What about the thought that the Chinese were going to take over everything? Remember that Gold was fast approaching $1000 dollars an ounce? Remember how all the Bureaucrats were demanding 3 at 50 Pension, Retirement and Healthcare payouts? How about those spiking retirement payouts for 1st reponders that were going out on Disability along with their retirement, Pensions and Health benefits?
The abuses of Ken Lay, Jeff Skillings, Bernie Ebbers and the coming Bernie Madoff crisis…..were all making the groundwork for mass Real Estate Flipping..for just about everyone. Those Black and Platinum Credit Cards capable of buying two or three houses with literally no money down and then quickly selling them within 60 days of purchase? Making a bundle and repeating the process. Having everyone understand the Glass-Seagall had held back the Global Economy and realizing that when Bill Clinton signed the Law that repealed Glass-Seagall…..it would be “Tally Ho the Fox” for every Real Estate Agent in the world! Liar Loans, no traceability on purchases for banks, letting Investment Banks slip through the cracks of Regulation by the SEC?
Yesterday, it was reported that Real Estate Values had fallen 1/3rd since 2006. Since those Real Estate Values still have to fall an additional 1/3rd to reach the true 1995 benchmark value of artificially uninflated property values……the tough times still lay ahead. For those who are not paying much attention to property values in Europe or Asian…..things are even tougher than they are here in America. There are no sales….no one has money except the rich folks. Sound familiar? The artificial rise in Oil prices Globally by OPEC and greedy Oil Companies is probably not helping much. The desire of Investment Banker to maintain there annual multi-billion dollar bonus structure is also probably not helping much. The so-called Tea Party and Deep Republicans demanding that the rich and big corporations with locations here in the United States in name only not be taxed at a higher rate…probably doesn’t help. The Democrats willingness to turn a blind eye to needed Banking Reform and Regulations…probably doesn’t help much.
So, will the Dow go below 8000 as it did in 2003? It all depends of what companies folks think are being part of the solution rather than being part of the problem. Before you invest in a company, make sure they make things here in America…not Burma, Malaysia or China. Let the folks in those countries support them……and there manufacturing. Hey, we love low cost goods as much as the next guy, but we still advise not to put hard earned America Bucks into companies that preport to be U.S. Entities and then only have a office in New York City to support that notion.
Finally, just remember this: The U.S. Debt is $14.7 Trillion Dollars. That money is out there sitting in Investment Banks around the Globe. Just because we owe it….doesn’t mean it doesn’t exist. Global Investment Banks are going to do something with that cash……so someone is going to profit and no doubt very shortly. Will they sell short or go long, a guessing game to be sure? Let’s just say….let’s dump all the paid off politicians and start with a new group of paid off politicians. We are sick of looking at the ones we see now on television.
Finally, the riots in insurrection in England is unacceptable. It sets a terrible example. Here in the United States those types of behavior should be met with great impunity. Bean Bags, Rubber Bullets and Nets would be the lowest form of response in our opinion for this country. Good Luck David Cameron………no wonder past Chief William Bratton is being pursued to revamp Scotland Yard and the London police! Letting thugs set fires and raped, rob and pillage……is not the correct course during these tough economic times…in any regard!
*Just a quick note: Yes, the Chinese bought the Balboa Bay Club! Finally,
the rich folks will now be able to get some descent Ginger Beef…..
Well if you have been following my comets on your boy Obama for last three years an the prediction I have made……. you would know that everything is going on the schedule.
Together with pro Cuba communist Brown, and your boy, you will get what you prayed for.
Enjoy
BUMPER
http://www.youtube.com/watch?v=NfxVkLhlu5s&feature=related
Sometimes I wonder what you folks think the word “impunity” means.
The decrease in the Dow seems to be in response to the slightly downgraded S & P credit rating from a triple A rating to a plus double A rating. Historically, the credit rating agencies have little credibility as they did not downgrade companies such as Lehman Brothers and the worthless mortgage backed securities just before the 2008 recession. Is S & P likely wrong again?
Are the trillion dollar Investment Bank hoarders going to profit from this temporary downturn?
If your personal wealth and health is held in little pieces of paper in a brokerage account. Good for you.
Those over paid people with perfectly white teeth and great smile playing liars poker with your future, good luck with that.
People are fighting the system and dieing in the streets in the Middle East, and also in Asia ….. And even in Great Britain too. It is getting closer to home, look at Fullerton.
Soylent Green is people
*Billion dollar bonus programs are not going be “a normal process” any longer thankfully! Let’s see how well those lovely folks in Wisconsin will do hanging on to their anti-labor credentials? Hopefully, the recall will be a six for six number. If not…well, maybe next time!
HOW SOON WE FORGET!!!!!!!!!!!!!!!!!!!!;
2008-2009 Recession
On October 9, 2007, the Dow closed at 14,164.43, an all-time high. However, fourth quarter GDP growth was -1%, announcing the start of the recession.(It was later re-estimated at 2.9%) The Dow started declining gradually. After the failure of Bear Stearns in April 2008, and a negative GDP report in Q2 2008, the Dow dropped to 11,000. Many analysts felt that this 20% decline was the market bottom.
However, on Monday, September 15, 2008, Lehman Brothers declared bankruptcy. On Wednesday, panicky bankers withdrew $144 billion from money market funds, nearly causing a collapse. In response, the Dow plummeted 13% in October. By November 20, 2008, it fell to 7,552.29, a new low. This was not yet the true market bottom. The Dow climbed to 9,034.69 on January 2, 2009 before screeching down to 6,594.44 on March 5, 2009. Between its peak and its bottom, the Dow dropped over 50% in just 17 months.
Although I am in the FX market (Foreign Exchange) daily and I do understand your point, it is meaningless.
Try to sometime invest based on your knowledge of numbers and you will see that it is just a brain masturbation.
Nothing more noting less.
If you want or anyone else at this forum, I can help you to set you a demo account so you can apply your knowledge to it and based on that knowledge Gain/Lose demo money.
Maybe you are good and make Trillions.
So let mi know.
I will display results in real time and everyone can see how good everyone else is.
A sample of the Santa Ana 2009 Demo account:
http://merlin4x.com/mt4/santa%20ana/statement.htm
*Finally, a calling for Harry Lime. We knew he had talent someplace. “Fantasy Investing!” We suggest that no one take Michael Vick……he could be going to the
dogs any minute!
We do agree with Harry Lime on this one……watching the numbers of the DOW is an excercise in futility. There will still be winners and losers whatever the numbers are.
Watching the Big Money Investment firms and going where they go….is also a troubling excercise. They have the advantages of Speed and Geometric Progressions that can get them in and out before most have the chance to analyze last nights results.
Just go with Ford and GE and Monsanto…they are going noplace and will undoubtedly be there after the ball is over!