Hi Gersh,
like I wrote to Steve, imo this is not just a delayed softlanding, this could get a real business-crash NOT limited to stock-markets alone.
When I write this I've just lost another 5% of my assets after hours. This Gateway-warning is another sign for what I've worried.
Fact is: "buying-power" is not limited to stock-markets.
Example?
Quite every who uses computers does own techstocks - better, did own and sold taking big losses or still owns (like me) and is still taking losses day by day.
I too planned to by new PC-equipement - like a lot of people - but who still likes buying when money burns?
Gateway's tonight's warning will reduce the "buying-power" of each who's still invested in tech by another 20%.
20% less for a if at all rally, but also 20% less money for christmas-travel, gifts and so on - and of course Gateway-PC's.
Next step: Gateway must take (huge!) charges for own investment-losses: does any think that just Gateway was the only company investing in other companies?
Enough "examples" - you understand the mechanic of destruction that Mr. Greenspan and a bunch of "smart" fundmanager have initiated. (who on earth is strong/intelligent enough NOT to press a red buttom that he/she can reach?)
First it was just a small snowball.
A worst-case-scenery: No sector can stay outside. And this comes while US seems to get hit hardly by (very expensive!) clima-catastrophes, this can stay for years and till the era when US will get gigantic problems by increasing energy-prices - by far beyond today's levels. I don't expand on the next few wars, presidents with econoy-problems like wars. Of course, every war will enhance energy-problems, clima-problems and cause more expenses.
Don't forget REAL inflation and REAL weakness of your currency. No other industry-nation is more vulnerable by energy-prices, wars (I'm talking about cost!) and environment-caused problems - US did more against Mars-attacks than for providing a longerm better infrastructur.
Of course even the gambling funds will lose. OK, it was a nice game: killing each tender rescue by selling this stock, than a thick downgrade causing more selling: But they didn't get in again or they've lost more and more.
Like every selling since April was selling with loss, and that collected cash asides will never generate win without a reversal. But exacly this is what they caused: they missed the last opportunity for a way back before the fire hits the economy. This was not really too low, like Berney wrote just 12%, this was too long.
OK - if this looks like the truth - or at least similar - one must realize all he can and buy a farm far beyond the so called civilisation.
Can you give me some good reasons why I possibly eventually could be right not doing this? PLEASE, tell me that I'm stupid, blind and cueless, whatever, but PLEASE convince me!
I too wish you and all friends (even Bush's friends <g> in Florida, hey Tommy!) holidays in peace and contentment.
Jury |
