With interest rates declining, is this a great time to buy short or intermediate term bond funds?
Answers: Conventional wisdom would seem to say yes. Some people are saying that the bond insurers' current woes could drag on bond prices.
Interest rates will rise in the near future.
I would not recommend buying bonds at this time.
Black Tuesday? The stock market are down around the world. Are we surrounded by for a Global Depression?
It is Tuesday morning, January 22, 2008.The stock markets are down around the world on fears of a Global recession or depression (whichever you prefer)
Are we surrounded by for a Global Depression?
Why or why not?
Please give your reasoning for your answer.
Answers: Yes, I contemplate that we are.
The government data mask some serious problems surrounded by the economy.
For example the laying-off figures are artificially low because they solitary show the numbers of people collecting dismissal benefits.
When those unemployment benefits run out they are no longer counted as without a job.
In the manufacturing areas such as Michigan and Ohio where on earth I am originally from and where I hold many relatives, the true laying-off rates of people competent to work and of working age, but unable to find a position is approximately 30%.
That is even higher than it be during the Great Depression of the 1930s.
I am an electrical engineer within Sunnyvale, California, the famous Silicon Valley. Many of us are contrat workers.
At any one time approximately 20 to 30% of the nation that I know in the industry are seeking work.
In fact I see within the newspaper this morning that even Yahoo is lay off relatives because of the downturn in the cutback and the drop in business that Yahoo have suffered.
Foreclosures of homes are at record high. Millions of people adjectives across the nation have lost their homes to foreclosures.
The rule figures are demonstrably misleading to make the cutback look good.
However that is to say like putting lipstick on a pig.
You can put adjectives the lipstick on it that you want, but it is still a pig.
We are in a Recession right in a minute, if not a full blown Depression.
2 words, frenzy and fear
that's adjectives
if we are in recession for genuine, the media contributed 46% by screaming recession when we are not 'officially' surrounded by recession yet
certainly it's probably already too late
I too would close to to know. People are talking of the depression of 30's and to be exact scary.
Personally I don't know much. Is depression a prolonged recession?
Good God, you've be ingesting too much caffeine!
Speaking for India, the economic picture is extremely fitting and encouraging. Growth rate is expected to be over 9% this year. It is nowhere close to recession, forget about depression. In certainty the market here is heavily oversold.
It looks that bearing.
These are scary times.
I imagine you have asked a great cross-question. And contrary to all those who hold posted answers explaining how a depression could NEVER happen again, or give or take a few how GREAT the world economy is doing, I do believe that it is possible, and lacking some SERIOUS changes to the bearing we utilize and allocate resources worldwide, I think it is inevitable. It seem as though those who are in the financial sector, or who operation primarily with credit/stocks/bonds etc., own completely lost touch with the sincerity of what it is that REALLY makes the world move about round - stuff like food, hose down, oil (for now), medication. As the population of our planet continues to grow, the amount of potable water is hastily diminishing. As are oil reserves. And as these NATURAL RESOURCES become more scarce, it is inevitable that the cost of them will spiral upward (as grease is now) and those spiraling costs will flow down into the costs of all commodities.
I am not saying this as a "doom and gloomer." I am proverb it as a realist. Every time I hear the stockbrokers, bankers, traders, and hedge fund manager talk nearly this stuff, they speak as if we live in some unreal "bubble of abundance," where on earth we are all immune from the effects of overpopulation and fluent resource depletion. But it won't matter if you're worth $100 billion printed if there is no drinkable dampen, will it? Of course, "they" all speak that "we" are a bunch of fear mongers, and that in attendance is nothing to verbs about. But I wonder - what are they really worried give or take a few? Funny - I don't think it's the worldwide water situation, overpopulation, over agriculture, depleting oil resources.
I for one, am somewhat concerned. And that is because I go and get my information from scientists - not financial advisors.
If you read your history, you'll find that a depression is nothing resembling what we're experiencing today. Yes, the stock market is down and inhabitants are nervous, but to be exact not the definition of a depression.
During the Great Depression, the unemployment rate be over 20%. Today, it's 5%. The depression was cause in part of the pack by very restrictive trade law. That's not true today. The depression was cause in section by excessive margin trading. There are much greater restrictions on it today. (It's not evil, as someone else claimed.)
Actually, 1987 was far worse later today. On Black Monday, the Dow Jones dropped 22% in ONE DAY. That's even worse than within 1929 and is the equivalent of a fall of 2,660 points on the Dow surrounded by today's terms. Yet, no depression occur in 1987 (even though frequent feared that it would) because the underlying financial conditions for a depression did not exist.
I can understand that society are nervous, but we shouldn't be that scared.
"Blue Chip" stocks or GOLD?
I bought stock in gold ingots, CCE and JNJ last year, but I'm considering bailing out adjectives together. Is the end really close to? Advice?Answers: i don't think it make much sense to talk going on for "the end", but you do have to be contained by the right stocks at the right time, and for my money, there are better stocks than CCE and JNJ to be within that will pay at lowest twice and more the dividend.
if i bought CCE early satisfactory in 07, i'd be tempt to take my profit in a minute, given how paltry the dividend is. JNJ, on the other hand, seem to have a clothed enough dividend that have been going up, so i might hold on to that one. contained by any case you should surrounded by all prospect hold on to your gold shares.
Bail out buy physical gold ingots.
This interest cut today is just another artificial bubble.
We are head towards a depression.
Get gold so you can exchange it on the foreign bazaar while the price remains the same.
GOLD!