Does This Look Like A Market Recovery To You?

Look at the charts people this thing is not about to get turned around. It can’t at least not now. Bush has just under 50 days left in office and all he has to do is hold this thing together until after the election. Wouldn’t it be amazing to see the market crash just as Obama is elected into office? I’m not saying all this as a negative person. I’m actually quite optimistic that America will rise from the rubble stronger than ever. But in order for that to happen we must start producing. As it sits right now we can’t even make pencils let alone something we could sell to the rest of the world. Forget about the market collapse that is imminent. What are you going to do when the dollar is worthless? Thats the real question.

“Jitters over the fragile state of financial markets increased dramatically after the Federal Reserve’s decision late Tuesday to give troubled insurer AIG a two-year loan of up to $85 billion in exchange for a nearly 80% stake in the company, which lost billions in the risky business of insuring against bond defaults.”

You can read the whole article here.

vizionkc.com

– Justin of Vizionkc

$85 Billion Bailout for AIG

Well to be honest I did not see this coming. Its getting scary out there. I still think that the market will hold until after the election but after the election is done with and Obama is in office. The Market will Crash. I mean Crash. Not sure how to explain that better. Take this quote for instance from Don on Active Rain.

“People are now comparing current events to the last depression so what does the 1929 stock market chart say will happen now. The 1929 chart says that the stock market will NOW crash…We have just read that there is great concern Goldman Sachs may go under caused by a proliferation of failing banks. Henery Paulson, the current Secretary Of The Treasury came from Goldman Sachs.”

On the plus side if you have the money I would recommend buying up rental property. Maybe even apartment complexes. People will not be able to get financed to buy a house soon. Maybe some people in the higher up markets 200k+ but I’m not even sure about them. Vacancies are going to fall through the floor. Its going to get tough to find a place to rent . If you own those properties you will be making steady cash flow each month. That will be a major plus since unemployment will go through the ceiling.

“The Federal Reserve said Tuesday night it would lend up to $85 billion to flailing insurance giant American International Group, saying the move was necessary to protect the financial system.”

You Can Read the whole article here.

You Can Read Don’s blog here.

Vizionkc.com

– Justin of Vizionkc