The Stock Market is a mirror of our national psyche. The debt ceiling debacle triggered this current Stock Market skid, but the economic problems in the Euro Zone also contributed. For the past five or six years, I’ve told my students in my INVESTMENTS class to buy gold and buy oil. Gold is at historic highs. Oil is down, but only because demand is low. Once the world economy starts to recover–and it will–demand for oil will go up and prices will rise. What should we do now? Do NOT panic. Don’t make any hasty financial decisions. The Markets are turbulent because there’s too much uncertainty in the economic system. Depending on your tolerance for risk, buying stocks at these depressed levels makes sense. Gold is expensive, but it’s going to continue to go up so that’s an option. I don’t think we’ll have a “double-dip” recession unless we get some more, major economic setbacks. This isn’t 2008 when the financial system almost melted down. But in crises, there’s opportunity. I’m buying General Electric (GE), Intel (INTC), and Qualcomm (QCOM).
At least there is one benefit of being old: I wouldn’t want to be starting out now, looking for a job with hundreds of thousands in college loans to repay. Some of these kids will be living in their parents’ basement for years.
We’ll see you this afternoon, George. Pizza Junction, here we come!
Sad, but true, Jeff. Patrick and Katie will be graduating in 2012. I’m hoping the job situation improves by then. If not, my basement has a little room that’s not full of books. Have a safe trip. Call us and we’ll pick you up at the Marriott!
Thanks for your calming comments, George! At this rate I’ll never be able to retire. And, given the way the bookstore crisis/e-book boom we’re having, I might have to find a different second job.
Would you like fries with that?
As long as corporations are sitting on trillions in cash and they’re raking in profits, investors will make money, Beth. I think small bookstores will survive, but the Big Box stores like BORDERS and Barnes & Noble are toast. Overhead is a killer.
I’m too old to worry, but when they take up pitchforks and firebrands I’ll be happy to join.
If the economy continues to worsen, Bob, those riots in England will find their way over here. The politicians better start creating some jobs…fast!
Come on people, when you’re old, there’s no time to recover from crap like this. I say THANKS BOEHNER AND THE (expletive-expletive-expletive-expletive) GOP & TEA PARTY POLITICAL IDIOTS.
Nice rants, Rick! Part of our current economic problem is political, but much of it is a hang-over from 2008. The real estate market is still damaged. The economy isn’t creating enough jobs to pull us out of the mess we’re in. And Europe continues to try to have one currency but 16 different monetary policies. We need problem solving Big Time!
And they keep talking on the news and in the newspaper, about falling into a second recession. Yeah. The first one never ended!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Guns and vodka, George. Guns and vodka.
I’m not a big vodka fan, Drongo. But I agree on the guns and ammo if the economy implodes.
I go by the Crider credo: Canned Goods and Ammunition
A sound philosophy to live by, Jeff.