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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED

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To: Jim Willie CB who wrote (40738)8/30/2001 12:22:34 AM
From: Mannie  Read Replies (3) of 65232
 
This recessionary downturn will drag out for years.

The bubble is still with us, PE ratios are nearly at the highs of 2000. Share prices and earnings have declined in lock step.....we are still at record levels. I fear that equities have a lot farther to fall.

Bonds are looking very good.

How long do you think real estate can hold out? It seems inevitable that the real estate market will break down, opening the floodgates........Consumer spending accounts for 2/3 of our economy. When and if the real estate market folds, things will get very nasty.

There are a lot of opportunities in that scenario, should it play out.

Scott
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