Looks like my original call 12 days ago was correct, the 18th was the turn date. The market peaked at DOW 11,800 range and is now at 11,348. The market is buzz is we are going down. I agree that we are, but I still suspect a spike higher then the final collapse. Every time there is consensus for a downturn, there is a government intervention surprise move/rally.In any event, if your a long term investor, the time to get out was a week ago, and today is still a good day. We are not going over DOW 12,000 significantly, and we have over 1,400 DOW points to fall still.
Various Financial related news
The economic news that was released this morning revealed that inflation is starting to surge, currently at an annualized rate of 10, heading to 12%;
My Spin: Unless you have a 12% raise this year, you took a paycut!
http://www.nasdaq.com/econoday/reports/US/EN/New_York/producer_price_index/year/2008/yearly/08/index.html
US money supply largest contraction since 1959. Money supply reduction is NOT good for the health of the nation in the near term, its deflationary.
http://globaleconomicanalysis.blogspot.com/2008/08/m3-contraction-future-is-now.html
My Spin: There are two Goliath forces at work, a deflationary and an inflationary one. Short term inflation has the upper hand, but eventually deflation should win, unless the government goes bananna republic and covers all bank losses and prints money.
Large US bank to collapse soon, former IMF Chief states
http://www.reuters.com/article/newsOne/idUSSP21695020080819
Goodyear to close 92 stores
http://www.reuters.com/article/ousiv/idUSN1932824420080819?sp=true
Unemployment spiking sharply
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