The economy today is a crazy one, that’s all I know. When the markets go in an uptrend for that many years it doesn’t take a degree in finance to predict that there may be some financial troubles on the horizon. To be truthful things wouldn’t have been so great for this past decade or two had it not been for the over anxiousness by the banks to give away money to people with no business having it. Things could be worse really. Everyone knows the markets are built on theory (as in there are a lot of numbers not necassaryily backed by a lot of real stuff) and the stuff that took the worst beating in recent times was the shakiest of all.
Also, really you know the people major affected by the credit crunch were the people who had no business getting credit and the people who lied on their applications. The thing that sucks is that people who did follow the rules will probally end up paying a significant amount more on their mortgages. People who did what they should have (like gotten reasonable mortgages) are the ones who the US government should concern themselves with. I guess they are sort of the ones being saved, since the government introducing liquidity into the markets should keep mortgage rates lower, even if they aren’t low. Things have probably placed themselves where they should be.
All people really want to know is where the markets are going? There is no real way to know for sure. From the business books I have read, and the info I’m getting from my stock trading software they are going to be going down for a while. I was reading the paper the other day and the guy was talking about how the economy will be very near recession for at least the next two years but after that the economy should make a fair recovery. I know that seems a long time away right now. For the next period, until the economy flattens out, I would suggest looking to safe places like government bonds. Try to stay away from shaky investments.













