Message from my Stockbroker...

[readmylips]

Today's Stock Market Looks A Lot Like Dow
Back In The Early '30s
Investors trying to make sense of the market's confusing signals need only crack open a history book for the answer. It's 1921-1934 all over again.

The thought may send shivers down the spines of many. That period included one of the worst one-day collapses in market history in October 1929. That was followed by insolvent banks, a government in over its head, a drought that devastated food supply and, ultimately, the Great Depression.

A look at the accompanying chart below shows the clear parallel between the Dow of '21 to '34 and the Nasdaq of 1992 to today. Where the market is concerned, history constantly repeats itself.

Included was reading reference:
www.investors.com/editorial/feature.asp?v=8/17

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We've lost half of our retirement on the stockmarket. Maybe we need to close shop and put our money between our mattress.

[prolesunited]

1. Well, my 401K is barely holding it's own

I'm not thinking profit, just not losing the value of my contributions and with the interest I'm earning on my money market account, it might as well be under my mattress.

[BlueEyedSon]

3. My 401K is now a 201K

:)

ok, not really funny, especially since I'm unemployed.

[kikiek]

2. Too late for gold I suppose. Not sure how high that is again.

[Tandalayo_Scheisskopf]

4. Some very smart person...

Wrote a paper, with accompanying graphs, that shows that the market has been, for quite a while, in a tight oscillatory range that just about mirrors in effect the Great Depression. Take that with all we see right now, in the country, and a really good case can be made for this being The Depression of The New Millenium.

Is it exactly like the other one?

No. This is not 1929. It is not supposed to be just like the other one.

[zeemike]

5. Why would a stock broker say that?

There can only be one answer in my cynical mind, to drive the market down. Get a bunch of people selling and prices go down , he makes money, then the buy back at lowers prices makes him some more money not to mention the money he makes on stocks he sells short and roles over when the price is low.
It is the yo-yo game and he knows the ups and downs.

[readmylips]

6. Last month stockbroker questions...Voting for Bush?

They e-mailed us a questioner asking how we felt about the economy and the war...is bush doing a good job? I answered back: Voting for John Kerry, a real Patriot and speaks in full adult sentences.