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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Rarebird who wrote (4874)6/12/2001 3:34:28 PM
From: pater tenebrarum  Read Replies (1) of 74559
 
i agree...the stock market is pricing in a so-called V-shaped recovery, but it seems very unlikely that we will get one. on the contrary, i believe the recession is in many ways just in its beginning stages. i expect the service sector to be hit badly in coming months, and the unemployment situation should worsen accordingly. consumers are very likely to cut back on discretionary spending. the stock market is of course also held afloat by the Fed's ministrations...which will continue until the market stops them (either via a falling dollar, rising inflationary pressures, bond market sell-off, or simply no more takers for the money, a la Japan...or a combination of all those).
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