Sorry that I have been out of pocket for the past week. Chuck has been in Mexico this week getting some much needed vacation time.
Meanwhile, the world financial system is in meltdown. The worldwide housing bubble and deflation is finally being priced into the stock market. It is complete and utter housing panic. There is no safe haven at this time.
Personally, I cannot believe some of the deals out there in the stock market! Armageddon is priced in. Many stocks yielding more than 5%. If yields stay at this level, sheer and utter panic is the only reason. I’ll be getting some sun and water for all of you there. Good luck to everyone.
There may be some help right around the corner!
HELP AROUND THE CORNER!!!!
That’s the help we’re getting from the boondoggle bailout bill the crooks in Washington passed. Our $700,000,000,000 is going to bailout banks and people they loaned to who overpaid for their homes, or refinanced to the hilt, get their loans re-set at 90% of todays appraised value.
Care to share some stock plays in this season of panic? Preferably long term plays.
I like PFE and GE.
I own GE, and will buy PFE on my return.
I like the yields and solid companies. GE has some issues with the financing arm that could make it more volatile.
My limited internet here leaves something to be desired. I think this is the last out of the country trip during a major crash.
Chuck
Correction – $840,000,000,000
Yeah, $840B is a lot but look at how much its helping….oh wait.
Let us not forget to give credit to the industry who single handedly initiated this global mess we are in today. The real-estate industry. If you were one of the home buyers in the past 8-9 years, you probably heard these words over and over again “buy now, buy now, buy now” “prices will go up, and up and up, buy now”. Here in California, they created bidding wars over houses. They had nothing to lose and everything to gain.
I bought my house in 2000, and then sold it because of a divorce in 2007 for more than double the price. My ex and I were flabbergasted that our house was being sold for that much! Why? Salaries didn’t double, cost of living didn’t go down, the economy is not in great shape. The average house hold income in southern California is still way below the mean home value!
The scariest thing is that they are doing it again. “Buy now” “prices won’t go down any more” “now that the government passed the bill, people will have a home-buying frenzy” “buy now”.
Thank God, the banks are not falling for it this time and repeating their mistakes.
So, I beg the real-estate industry. Please don’t put the world in a worse financial situation than it is in right now.
Panic is good, but will people wake up. The crash of CDS (Credit Derivative Swaps) and such has made a hole at AIG insurance already. More at http;//realestatecrash.blogspot.com
Your opinion about the market is right.