Breaking through support, if we can get a bit of a sell of looking for 656.25 as major resistance.
We have lower highs and lower lows coming on.
News is not the best.
Universal Health care is a benefit bestowed upon a nations citizens when the economic environment is good.
The first two nails in the economic coffin of Real Estate and Banking (including financials) have already been driven in firmly. If we add to that Universal Health Care, Bonds, Insurance and Financial Derivatives, this year looks like it could drive our recession further.
How long will the Dollar hold and Deflation work to our benefit? This is the point of accelerated declines in the market.
Nationalization, funny how the communists, socialists and the rest of the worlds capitalistic bad guys are critisized for controlling their markets and exploiting their citizens. Shame on them.
It is intresting to take a look at this bear market compred to the previous. Not that past performance is indicitave of future performance….especially when there is social unrest and an inability to have good safe borders. We all know the Canadian side is fine.
Pretty good idea which of the three it looks like. 1929 all over again. Lets look at some contributing factors.
Freddie Mac and Fannie Mae, now controlled by the Treasury and lets see when they got in.
Well not to let housing top the agenda, the next wave of spoiled assets to join the parade is finance. Now seeing that a few US citizens have concerns about a government that completely runs the finance and banking of the whole country, especially after the SEC’s legitimizing Madoff for so long, the Treasury has decided not to Nationalize the banks but to grab 75% of the assets and controlling Citi bank. Step 2 in the grand plan of socialization.
Now Step three, which in a Surplus society is the goal of all nations, is to supply everyone with free or reduced cost medical care. It is no longer an issue of access. Everyone has access, but to very expensive medical treatment which is the center of all good insurance companies profit center. It is not clear how this economic wolf in sheeps clothing will dress up for us, but probably not in a jeans and T-shirt. Looking forward to the fashion show coming up in the new campy economic stimulus plan.
The third wave of Systematic capital destruction isn’t normally felt in the Market makers pocket, it is in all the investors that have been holding on in companies they “believe in”, the ones that are too big to fail, the ones that are American Tradition.