<<<I have the same feeling. This is how these things start and they get out of hand very quickly. This one however
could be a little worse than anyone is currently willing to predict due in part to the false economy component which
was driven by tremendous stock market gains.>>>
I't doesn't look good. On the way up, with Nas going
2590, then 2800, then 3000 I was in a daze. It just did not seem possible and this must be the top, then 3500, 4000 came and still no top.
Now we have the same thing in reverse, how could things go lower than 4000,3500,3000,?.
Seems to be a cycle here, Florida land boom of 1922,
California land boom of 1926, Texas land boom of 1980.
Whenever major money goes into a cycle it is stolen away. CD's going to 19% then back down to 4%, Savings and loans out the gazoo, then they go bankrupt and are sold for a song, gas stations on 4 corners of an intersection, then they are gone. Bowling alleys came and left. Silver went to $55 and back down to $5. Same with oils.
I have been worried in recent years about the huge pile of money invested in tech stocks.
I hear the Detroit auto makers are in trouble, kill the sales of those $25k and up vehicles and we are in deep trouble.
Fine tuning with 1/4 point changes in Fed interest rates are worthless.
Greenspan could not predict oil going from $11 to $35
He must act now with a 1/2 point cut.
I feel the techs have been taken down by Greenspan's actions because the backbone of US finance lies in
providing inflows of money to the huge bond debts of
of utilities and old guard companies.
And here goes California, paying $1mm per hour for peaking power. They will need to sell more bonds somehow, as will many other States.
I have 1/10 as much invested as back in January. Lucky as h$$l, but still getting killed. Might end up with just pretty wallpaper and next years tax returns.
Am not sure the boys in Washington know what they are doing-predicting a budget surplus after purposely destroying Msft and most of the tech stocks.
Now I'm gittin really irked, considering the mess they have created in many areas and are leaving to Mr Bush to try to straighten out. No offshore drilling, no new dams, no
new nuclear plants, no added Alaskan oil, might as well hand the Kingdom keys to the Arabs and the oil companies.
Sheeeeeeeeeeeeeeeeeeeeeeeesh.
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