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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Jim McMannis who wrote (155640)	10/9/2008 12:20:29 PM
From: DebtBomb	Read Replies (1) \| Respond to of 306849

Jim, here's what I see....the debt bubble has popped. There's no more credit and expansion of debt....it's over. For the first time since 1998, consumer borrowing has dropped. Since our GDP is made up of 2/3rds consumer spending and there's no cash left, (nothing left but negative mortgages and massive record debt),....corporate profits will implode. Corporate profits implode....stocks implode. The debts have to be paid. I think it will take years to unwind derivatives and debt. We really need to go back to producing something, and exporting something....something other than debt and creative financing toxic paper. Also, the transistion to getting off of burning fossil fuels and into alternative energy is going to be a bitch. This stuff should have been worked on years ago. The Dow and SPX could go down 30 days in a row now, and it wouldn't surprise me. Emergency 1/2 point cut, globally coordinated....and what did it do?....nothing....probably even makes things worse. I know lot's of people are looking for a big counter-trend rally....it might not happen. It didn't happen in 30, 31, and into 32....just small bounces. And look at Japan....if we follow the sushi model....down 14 years straight? Just my opinion.