 |
The Dow’s 778-point plunge today was the worst since the Crash of ’87.
But that doesn’t mean today was a selling climax or that the stock market decline is reaching an end.
Quite to the contrary, the overwhelming majority of investors are still holding on to their shares.
They’re hoping that Congress will still pass some kind of legislation to bail out sinking banks.
They’re hoping that the Fed will continue to inject massive sums into the credit markets to prevent a money panic.
And they’re assuming that these efforts will somehow turn the market around.
Today’s Market Plunge Is
Telling You That They’re
Stubbornly Wrong.
As we have been warning for many months … and as we documented in our white paper submitted to Congress just last week (“Proposed $700 Billion Bailout Is Too Little, Too Late to End the Debt Crisis; Too Much, Too Soon for the U.S. Bond Market,”) …
Whether the Congress passes the bailout legislation or not, the outcome will be similar: The debt crisis will continue to deepen and spread. Many more banks will fail. The economy will sink into a severe recession. And those who stubbornly hold onto vulnerable investments will suffer some of the greatest losses in modern times.
Bottom line: The Black October we’ve been warning about has barely begun. The worst is yet to come.
But never forget: No matter how bad things may get, it is not the end of the world. We have been through worse before, and we survived. We will survive this one too, and we will do it together.
For more specific instructions, be sure to check your email tomorrow before 12 noon Eastern Time.
Good luck and God bless!
Martin
About Money and Markets
For more information and archived issues, visit http://legacy.weissinc.com
Money and Markets (MaM) is published by Weiss Research, Inc. and written by Martin D. Weiss along with Tony Sagami, Nilus Mattive, Sean Brodrick, Larry Edelson, Michael Larson and Jack Crooks. To avoid conflicts of interest, Weiss Research and its staff do not hold positions in companies recommended in MaM, nor do we accept any compensation for such recommendations. The comments, graphs, forecasts, and indices published in MaM are based upon data whose accuracy is deemed reliable but not guaranteed. Performance returns cited are derived from our best estimates but must be considered hypothetical in as much as we do not track the actual prices investors pay or receive. Regular contributors and staff include Kristen Adams, Andrea Baumwald, John Burke, Amber Dakar, Dinesh Kalera, Christina Kern, Red Morgan, Maryellen Murphy, Jennifer Newman-Amos, Adam Shafer, Julie Trudeau and Leslie Underwood.
Attention editors and publishers! Money and Markets issues can be republished. Republished issues MUST include attribution of the author(s) and the following short paragraph:
This investment news is brought to you by Money and Markets. Money and Markets is a free daily investment newsletter from Martin D. Weiss and Weiss Research analysts offering the latest investing news and financial insights for the stock market, including tips and advice on investing in gold, energy and oil. Dr. Weiss is a leader in the fields of investing, interest rates, financial safety and economic forecasting. To view archives or subscribe, visit http://legacy.weissinc.com.
From time to time, Money and Markets may have information from select third-party advertisers known as “external sponsorships.” We cannot guarantee the accuracy of these ads. In addition, these ads do not necessarily express the viewpoints of Money and Markets or its editors. For more information, see our terms and conditions.
|
© 2008 by Weiss Research, Inc. All rights reserved. |
15430 Endeavour Drive, Jupiter, FL 33478 |
