The markets today is a crazy one, that's all I know. After years and years of an uptrending stock sector it was just a matter of time before there was some instability. To be truthful things wouldn't have been so great for this past decade or two had it not been for the over anxiousnes by the banks to give away money to people with no business having it. Things could be worse really. I know the market is essentialy all theoretical (by that I mean numbers that dont amount to a whole pile of brincks), but what was hit was the most speculative secor of them all.
Also, really you know the people majorly affected by the credit crunch were the people who had no business getting credit and the people who lied on their applications. What is too bad is that fact that people who followed all the rules and did everything right will pay more for their mortgages in the end. People who did what they should have (like gotten reasonable mortgages) are the ones who the US goverment should concern themselves with. I suppose those people are being saved in a way, because of the liquidity being introduced into the markets that wll keep mortgage rates lower then they would be if the full brunt was felt. Things have probally placed themselves where they should be.
All people really want to know is where the markets are going? There is no real way to know for sure. From the investing books I have read, and the info I'm getting from my stock software they are goign to be going down for a while. I was reading the paper the other day and the guy was talking about how the economy will be very near recession for at least the next two years but after that the economy should make a fair recovery. It really does seem like a lot of time to wait. I guess for the next little while we need to keep money in safe places like bonds. Avoid volitility at all costs in my opinion.
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