When the push comes to a shove, only the most pessimist survives! It is better to hold on to your life's savings(whatever is left of it).
Stock market is not for us all. One should be prepared to take a hit, below the belt even. When the market rises, it gives an euphoria of infallibilty. Many even boast about their smartness. The moment they start losing their pants, they blame everyone else. Looks like many can be naked even soon!
The sub-prime(crime?)is a deep shit hole. It is pure excessesses and greed. US goes around advising all & sundry about free trade & currency, while leaving the door open for the looters. The sub-crime market was highly risky and nobody had a clue about it. As the story unfolds, many are trapped and FED is just dishing out money to keep the rising waters from sinking the system. In a borderless world, we can not only get our feet wet but can drown en masse. If the currency was fully convertible, we could have got a direct hit, between the eyes.
The prudent way will be to get out when the market rises & even cut losses. Of course, those who can wait out and even buy on dips, can have party later. For most, it will be suicidal thoughts only.
No use in blaming anybody. Govt has taken off their pants by writing off 60,000 crores. But to bail out the invsetors (gamblers?) is a bit too much to bare!
Better to watch out as any severe US downturn can put us all in a deep freeze. More so, elections soon for us and them!
