re: Will the Dow go below 5000?

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I thought all you ignorant far right wingers thought the market would fix itself.

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Idiot.

Will the Dow go below 5000? Yes. Businesses are retrenching in the wake of Obama's soak the rich policy during a big time recession. We have already seen a record stock market dive and unemployment in his first 2 months in office. The Dems have included over 9000 earmarks in the spending bill and have set a record deficit of pork. Where will the money come from?

The value of the dollar will continue to decline and we will be looking at double-digit inflation analogous to the Carter years. Things are going to get much worse before they get better. In the end, those who voted for Obama will be wondering what were we thinking? The catch phrase I am hearing on our local radio is "weapon of wealth destruction."

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weapon of wealth destruction

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good one

It is obvious this is his goal - redistribution has always been part of his agenda.

Remember, though, redistribution makes for a whole bunch of people who are 'better off' in comparison to those 'rich people' who where 'holding them down.'

That may make for more hero-worship = at least enough to get re-elected.

It will all collapse however.

There is no such thing as an anti-gravity machine. You can prop up and prop up, but if there is no foundation, it will eventually collapse.

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If it goes below 5000 I'm thinking of buying

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I would suggest if you want to get into the market, look now at great values of good companies -- Dow Chemical at $7, GE at $6, Pfizer at $11, BoA a $4, Oracle at $15, Cisco at $14. If you want to hang onto these stocks for 5 years plus, you will make a killing. These companies are the best in their industries, and if they don't make it, we all will be living in a tent.

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Not referencing the dow, but using the S&P, the rebounds have averaged 46% in a years time from the bottom since the Great D.

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Not gonna happen anytime soon.

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We won't see 14,000 again for 15-20 years minimum. That is, if civilization still exists at that point. Or there may still be people here but the stock market will be a distant memory by then. The survivors will be hunter-gatherers or exist in a barter society.

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I hope you aren't right! I think our best chance to survive as a species is to colonize other planets and set our sights on outer space. It will be a race against time to colonize other planets before we all kill each other here, imho.

The Dow will continue to slump (we are in the slow season, after all) until it hits around 5500 - 5000 in mid-April. There will be a bit of a levelling off as we get into Easter and springtime with the warmer weather bringing some gains.

As usual, gasoline prices will rise but only a little as people will have been staying home more to save money (thus using less gas, meaning more surplus). With the summer months and warmer weather, people will spend time at the rivers/beaches instead of going to amusement parks and/or vacation. Tourism dollars won't be worth a damn, but expect Wal-Mart, Target, McD's, and your local convenience and grocery stores to breathe a sigh of relief as people will be willing to spend $20-$40 for a day at the beach/river/park but not $100+ for a trip to Disney.

I see the market back up around 6k as we close in on "Back to School" and that's when the shite hits the fan. With so many folks still out of work, back-to-school shopping will be pathetic because consumer confidence can only go so far when you aren't getting a paycheck. This will scare the market into crapping themselves like a 3yr old that got into daddy's Ex-lax. Look for middle to middle-high income stores like Dillard's to declare bankruptcy. The saving grace here is that retailers will be prepared and thus have some incredible deals. So while units-sold will be brisk, the actual dollar amounts will be more depressive than anything (but look for the hopefuls to use units sold as an attempt to build consumer confidence).

By late Fall there will be enough stimulus money beginning to hit the market in the form of those "shovel-ready" jobs to keep the extreme bottom end of the job market afloat, but not enhancing much more than that. Christmas will be okay -not as bad as forecasters will be saying it will be but not as good as retailers hope and definitely not as good as last Christmas- and signal the beginning of the end of this fiasco. My guess is the market will be around 4-5k then.

Bolstered by a not-as-bad-as-we-thought Christmas season and DESPARATE for any good news to cling to, consumer confidence will rise again as the numbers pick up after Christmas.

Unless there's a big set of tax cuts coming, this will be about as good as it gets for a while: an economy muddling through at 5-6k, MAYBE 7k.


So as I see it, we will deep significantly into the 4,000's before the year ends and by this time next year will see the Dow rebounding. This is, of course, with the caveat that I am not taking into account any unforseen legislation (like adding a 5% national sales tax or something else similarly moronic) or world events (Israel and Iran go to war, etc).

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Look for middle to middle-high income stores like Dillard's to declare bankruptcy. The saving grace here is that retailers will be prepared and thus have some incredible deals. So while units-sold will be brisk, the actual dollar amounts will be more depressive than anything (but look for the hopefuls to use units sold as an attempt to build consumer confidence).

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Good, most of these companies are worthless, redundant, and need to go away.