Fed rate's up another 1/4 of a point. Up until the news was released, DOW was up sungle digits (8 or so points). As soon as the news hit the tv screen, I think it took two minutes TOPS for the ticker to read the DOW down 50-something points.

Just looked over at my tv again...DOW down 64 points.

Not surprised at all. So many articles over the weekend said the same thing: Feds will most likely raise, watch DOW suffer.

Where you at Jet???

Stefan

sungle = single

Damn I drank too much last night, heh.

Right Here, Stefan . . .

I saw the DOW up 18 points and then BAM ! ! !

down 58 . . .

All indications have said it should be a fairly flat year . . .

Just hope my diversification plays grab some gains . . .

I think they will . . .

Hell, the DOW is sitting on record highs . . . I can't wait for it to top 11,722 though . . .

The interest hikes don't bother me so much really. Was it only 20 years ago that rates were as high as 11%? Or am I mistaken??

This turn in the market is predictable.

BTW...if you can turn on CNBC. Story coming up involving mutual funds and CEO salaries if you're interested.

Roger That . . .

We jsut applied for a home equity loan. Got the paperwork in today. The Credit Unions board meeting is tonight and they will most likely raise their rates but since I got the papers in before the meeting, we are ok. WooHoo.

Who else thinks we are headed toward a depression the like of which we haven't seen since the 30's?

What makes you ask that justin?

I can attest to the fact Stefan drank too much last night... I talked to him, he slurred back. HA!

Bjaardker

Why do you say that? The Dems must be taking over eh? Oh boy, it's doom and gloom... you're a good Demmy. You must be a kid that's never been in a real recession or depression. We arent even close pal.

I thought my slurring was pretty understandable!

Hey Bjaardker,

I was thinking that back when fuel prices spiked. I do believe that we will see double digit inflation, over the next couple of years, in the most part do to increased fuel costs. As for a depression??? I don't know. I do believe that the stock market, is hugely overvalued, which reflects the low interest rates we have been enjoying. I have liquidated my stock holdings, and am investing in land. They won't be making any more of that.

Another problem, is the outsourcing of jobs, and the layoffs. The only reason that the unemployment numbers aren't through the roof, is because of the way that they collect data. Once a persons unemployment insurance is exhausted, they are dropped from the rolls, and are not counted as unemployed, regardless of their employment status. You may be right. It could go as far as a depression.

Dave (A.K.A. Homebrew)

Bjaardker,

I think it will make the '30's seem like a cake walk.

And if we can't regain control of the country it may be the end of this grand experiment. The cabal in charge thinks perpetual war is the answer. But the other world powers may not sit still for another Germany. I guess we're on the road to find out.

We need to get rid of the Fed, the CIA, and return to the rule of law. Then re-start the country with a multi-party system with run-off elections. Perhaps eliminate welfare and replace it with an infrastructure/jobs program similar to the "new Deal" and I don't see it happening without bloodshed.

TrannyMK.

WTF is with the wise ass comment? You don't know me, and my comment has NOTHING to do with being a Dem or Rep. I didn't blame anyone or even get a chance to explain myself. Have I ever been in a depression? Of course not, but I've spent many hours with various octogenarians recounting tales of hardship. I've also eaten my share of government cheese in my life.

Leave your stereotypes & BS for an ad-hominem flame war with someone else. And next time you want to address me try conversation & questions without the crap.

Now that is out of the way, let me explain why I feel that we are headed in a BAAAAD direction.

1) Our country/government owes more money than ever before.

2) MANY americans have overextended & bought homes they shouldn't have with loans that use fancy accounting & ARMs. They can afford them now, but just a one or 2 percent increase in their intrest rates will put them in a world of hurt.

3) The housing market is artificially inflated & is starting to decompress. Those who were smart enough to get a fixed loan are still going to be hurting when they find out their home is actually worth LESS than they paid for it. Leading to a situation were people are upside down in the value of their real estate.

4) Our country is exporting high paying jobs. One thing people aren't realizing is that the problem is, they aren't even going to mexico anymore. They're going to China & India. At least when they went to Mexico, we could still get secondary income out of them by way of automation & raw materials.

5) Most major corporations have NO interest in keeping America strong. They are multi-nationals with one goal in mind, greed. And if the US falls, as long as their stock went up 2 points, they're OK with that.

6) The US populace is keeping this economy artificially inflated by spending money they literally dont have. This is the key indicator to me that we are in for a world of hurt. The average American spends $1.22 for every dollar they earn. And here's the kicker, we’re in a negative savings rate for the first time since the Great Depression.

Is there time to turn it around? Sure there is. But I think it's going to take some hard lessons & some SERIOUS soul searching by our government & public.

BJ,

Good points....very good points. I need to split, but I hope to return to this thread and talk further....

Bjaardker,

excellent points.

Very interesting points Justin.

I don't know if I see it as pessimistically as you do but everything you said makes sense.

Good thing I'm already poor.

Very well thought out points. For the most part, I agree with your assessment. But, I believe that the real estate crises, is more regional, and doesn't encompass the whole US. For example. I just bought 100 acres for 100k. I don't think I will have a problem with it losing value. I could log it tomorrow and be even, on the cost of the land. But I bought it, so it wouldn't be logged.

My piont, is that while real estate is overvalued, in many places, there are still great deals to be had, in some areas.That said, you are absolutely correct, in the rest of your assessment.

Dave (A.K.A. Homebrew)

1. Do you believe the Federal Reserve is raising interest rates too high?

Yes 56%

No 31%

Have to wait and see 13%

Total: 21808