Warning: Crash dead ahead. Sell. Get liquid. Now.

Warning: Crash dead ahead. Sell. Get liquid. Now.

www.marketwatch.com

More proof: Earlier economist Gary Shilling said price-to-earnings ratios are at a "nosebleed 22.5 level." The Dow was around 11,000. Money manager Jeremy Grantham recently said the market's overvalued 40%. That could mean a collapse to 6,600. Last week in Reuters' "Markets Could Be Derailed Again," George Soros echoed a "game over" warning with a "stark warning ... that the financial world is on the wrong track and that we may be hurtling towards an even bigger boom and bust than in the credit crisis."

Now Dow Theory's Richard Russell is warning the public of an imminent crash:

(visit the link for the full news article)

wow.... this is gonna be nuts....


so where are you buying land or have bought land to survive the next dip in our double dip recession?

this other guy is recommending you buy a farm... another poster says farms on e gulf coast are going cheap right now.... is that a fools bid?


Looks like im taking a trip to costco today to stock up on a few items in my cellar

www.marketwatch.com
(visit the link for the full news article)

Look the markets are based on consumer fears.

If you tell everything is going to hell and sell sell sell, then yes, the Market is going to crash.

People don't realize that the value of a company has nothing to do with it's share prices.

It's all based on consumer confidence.

This sort of fear mongering is what will lead to a collapse.

~Keeper

Now Dow Theory's Richard Russell is warning the public of an imminent crash: "Sell ... get liquid ... by the end of this year they won't recognize the country."

Wow... just wow. How many times have we heard this exact same phrase this year? Gerald Celente has been saying it for a couple years now.

I am really at a loss for words.

heck, i'm the consumate contrarian...
back in 2000 i move my Global Growth into Gold & PM

i fortunately sold 98% of my salty-snack foods stocks @ $25, now is 19 & falling

i am presently on a 6-8 month 'dollar-cost-averaging' mode of increasing my exposures to energy producing stocks...
especially those with wind tower production affiliations (looking for soon-to-be-spin offs) also the electric utilities with ownership in alternative energy production units like hydrogen-fuel cells, plug-power, etc


i love the herd out there

tothetenthpower:

This sort of fear mongering is what will lead to a collapse.

why do you treat current market prices as a 'good' thing?

Why are people/society so 'geared' to supporting or biased to rising market prices? Do we want wealth seemingly created out of nothing? Probably.

Are we programmed to have this emotional attachment to it? By evolution? Society? Advertising or propaganda?

I suppose it is the notion that there is a big pile of liquid/liquidatible wealth somewhere.
but it can be incredibly vapid, capricious & transitory.

Maybe it is our nature for wishful thinking & we project it on whatever seems acceptable to us. Religious magic, economic magic, political-social magic.

We want to believe.
It makes us vulnerable to our own wishes.
Think of all those people who have fallen prey to all the Ponzi schemes.

Of course if you are a bank & can borrow at 0-0.5% interest & get 3.5% from the treasury or bilk credit card holders for 20-30% interest, then you really do have Federal Reserve Black Magic to fall back on.

[edit on 29-5-2010 by slank]

reply to post by HunkaHunka


The truth is that is the cash infusions and bailouts what is keeping the Markets going.

That week that the markets went down almost 1000 points were not a mistake or a fat finger US immediately pushed a big bailout for the European nations one trillion dollars, many people have not clue that after that market fall US did that pushing nations like Canada, UK and Germany to come aboard.

It seems that every week a bailout is needed to keep the markets going.

Just this week another bailout this time to benefit the union workers in the US was approved.

Originally posted by tothetenthpower


This sort of fear mongering is what will lead to a collapse.

~Keeper

Or the "financial weapons of mass destruction" maybe ?

reply to post by tothetenthpower


This article is not just talking about share price, but about p/e market wide.


though this *may* be fear mongering, other less enthusiastic economists are calling for a second dip...



[edit on 29-5-2010 by HunkaHunka]

The markets have been on borrowed time for the last two years. It's all paper pushing based on faith not real wealth. Scaremongering won't cause the crash although it may contribute, businesses laying off each others customers at hundreds of thousands a month will. Real estate deflation will, and inflation of essentials like food and gas etc. will. It hasn't reached a critical mass yet but we get closer every day. It's only a matter of time till the economy bleeds out, there is no going back it is a mathematical certainty!

Originally posted by HunkaHunka
reply to post by tothetenthpower

 

This article is talking simply about share price, but about p/e market wide.


though this *may* be fear mongering, other less enthusiastic economists are calling for a second dip...

I apologize, I should have added:

I do think there is a problem in the markets for usre, and that another crash is coming.

I just don't agree with economists coming on TV or in Journalism screaming for worst possible scenarios and encouraging behaviour that by itself would lead to a more unstable market.

We have to be VERY careful about the markets if we want to sustain them, although IMO that's pretty much impossible at this point.

~Keeper

Originally posted by marg6043
It seems that every week a bailout is needed to keep the markets going.

herein lies the problem

that bailout is the American People's money
and shouldn't be used to prop up a failing
system made up of imaginary dollars. In
that system you have wealthy bankers who
makes millions of dollars in salaries while
the avg American cant find a job and eats
on food stamps. The Wall Street system is broke
and dysfunctional and no longer serves
society as a whole (if it ever did). The difference
between then and now is Americans are
waking up to the atrocities committed against
them and they are pissed.

I say let it crash and burn.

The only way to fix this problem
is a re-boot (start over).

A financial Garden of Eden
this time without the f****ng snake.

reply to post by tothetenthpower


You're so right.... Depleting 401ks to buy farms in and of itself would cause a turbulence...


Something which may cause a more serious tipping point to occur.

Originally posted by HunkaHunka
reply to post by tothetenthpower

 

You're so right.... Depleting 401ks to buy farms in and of itself would cause a turbulence...


Something which may cause a more serious tipping point to occur.

Which to me is just another conspiracy.

They are openly inviting a crash.

They aren't worried about it not happening, they are trying to MAKE it happen by disrupting consumer confidence in certain areas.

This is your corporate owned and operated media for you.

~Keeper

[edit on 5/29/2010 by tothetenthpower]

reply to post by tothetenthpower


Case in point the fact the author of the article states clearly the difference between those with lots of money who can make more money off of a crash vs those on main street who could not.

[edit on 29-5-2010 by HunkaHunka]

Originally posted by tothetenthpower
They are openly inviting a crash.

don't you get it??
that's EXACTLY what we need to fix
the dysfunctional system.

A fresh start

u can't start fresh
without tearing down
the old system.

Oh and to add:
the 'this time its different' logic is very true, it does not matter the previous 800 years of finance history. its what's behind the curtain right Now that counts!

here's why,
the end of the article points out that debt is killing the budget, the economy, the individual--- but there seems to be gigantic dis-connect
when it comes to the present systems' financier-of-last-resort', da FED


well the insurmountable debt has already happened to the Federal~Reserve itself...only its well hidden, the US Treasury cannot use that magical trickery...
What will befall the USA economy in 10 years of $Trillion dollar anual debt has already happened to the Frederal~Reserve...the secret is they are more than $10Trillion in bankruptcy & holding all that toxic bank paper issued by the US banks ---but the circumstance remains hidden.

Also a $Trillion+ of bad USA bank paper held by many EU and Asian banks, has settled into the FEDs balance book...
so, just how can the FED keep buying up to 80% of the weekly Treasury auctions? how indeed.


sure the markets will rebound (temporarily) as Dodd rigs the legislature, as the Lincoln amendment gets axed, as the reenactment of the glass-steagal act gets axed, as derivatives/naked-short selling/exotic paper goes unregulated in this 'Financial Reform Bill' (which is really a financial masquerade ploy)


by oct-nov my 8 months accumulation strategy will have run into 9 months
overall, much to my advantage, the stocks will still exist, the dividends will keep buying more shares for the expected 10 yr duration of the downturn,
my grandson should have a college or business startup grubstake by then.
i'm still really glad for all the herd members out there, that make my decisions easier to concoct



[edit on 29-5-2010 by St Udio]

reply to post by boondock-saint


Ohh I agree...

I just think you don't need to crash it to dismantle it.

You don't necesarilly have the ruin or destroy the world to scrap and revampt your economic system. It just has to be done in a smart way, over time.

Much like anything that is difficult.

~Keeper

reply to post by St Udio



The stock market will not exist in ten years my friend all those investments you think will retain value in the so called ten year downturn will return to from whence they came; NOTHING!

Ahh look MORE fear mongering........