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Politics : GOPwinger Lies/Distortions/Omissions/Perversions of Truth -- Ignore unavailable to you. Want to Upgrade?

To: SeachRE who wrote (143109)	10/24/2008 10:16:15 PM
From: PartyTime	Read Replies (1) \| Respond to of 173976

This is interesting: Message 25104244

To: SeachRE who wrote (143109)	10/25/2008 3:06:25 AM
From: geode00	Respond to of 173976

I heard that 40% or thereabouts of profits in the US have been from financial companies. If those profits go down, go away, turn into losses then it stands to reason that the stock market deflates along with that bubbliciousness....just like the dot com bubbliciousness. Add into that the stock market's forward outlook and a recession perhaps 'baked in the cake' through 2009 (or longer, say, 10 years --- eek!) and it makes sense that it is down. IMO capital has been amply rewarded over labor to the point that capital became (and maybe still is) divorced from risk. That is never a good thing. We're up to our eyeballs in debt of all kinds and the global economy is slowing right along with ours. It makes sense that the market is down to levels from 10 years ago. Once we repair what is broken (not seeing much yet) and the economy stops heading down the market will recover. There are trillions sitting on the sidelines or going into safe places like treasuries because apparently the risk (lack of transparency) is still too high and not worth the rewards. I dunno, seems like stocks are doing the rational thing. Besides, it isn't true that there are no buyers because we haven't gotten a 1000 point down day yet. Hope we bounce off 7800 or thereabouts. :)