It seems the only thing on the minds of American's today is the economy. Are we in a recession? Is this going to be the start of a second great depression?
The media has come up with a name that seems to be sticking... it's now dubbed 'Economic Panic 2008'. So we can all stop wondering what to call it now! Whew! So far it's the best one I've heard! And really it's exactly what it is... panic.
I'll agree that times are tough for many and there's some reason for concern. The question is how much of this 'Panic 2008' really concerns you?
Before we get into that, we should review the definition of Panic - (noun) a sudden overwhelming fear, with or without cause, that produces hysterical or irrational behavior, and that often spreads quickly through a group of persons or animals.
Economic panic causes people to use poor judgment. So, before you fall into a financial schizophrenic episode, get your personal facts straight. Especially in times of wide spread panic you need to know the facts about your business and not just your Cash Machine. You have to think like the CFO of your personal finances. It's the only way to keep clear and not get swept up in the hype. Know your bottom line and take guessing out of the equation. If you're saying things like, "well I'm pretty sure about (blank)..." you need to have a sit down with your financial filing cabinet. If you don't have one, do it now!
Read the full article here
1and1
Friday, October 17, 2008
Thursday, October 16, 2008
The Coming Economic Crash
Good Morning,
I was doing some research on the events in the U.S. Stock Market and just
happen to stumble up on the Stock Market Crash of 1987. On October 19, 1987 the Stock Market crashed to S&P 500 fell about 20% leading to the fall of the market. The problems in the trading systems interacted with the price declines to make the crisis worse. One notable problem was the difficulty gathering information in the rapidly changing and chaotic environment. The systems in place simply were not capable of processing so many transactions at once. Uncertainty about
information likely contributed to a pull back by investors from the market. Another factor was the record margin calls that accompanied the large price changes. While necessary to protect the solvency of the clearinghouse processing the trades, the size of the margin calls and the timing of payments served to reduce market liquidity. Finally, some have argued that “program trades,”
which led to notable volumes of large securities sales contributed to overwhelming the system.
History Always repeats its full so its time you protect yourself and your assets
peace coolwater
Read full article here
I was doing some research on the events in the U.S. Stock Market and just
happen to stumble up on the Stock Market Crash of 1987. On October 19, 1987 the Stock Market crashed to S&P 500 fell about 20% leading to the fall of the market. The problems in the trading systems interacted with the price declines to make the crisis worse. One notable problem was the difficulty gathering information in the rapidly changing and chaotic environment. The systems in place simply were not capable of processing so many transactions at once. Uncertainty about
information likely contributed to a pull back by investors from the market. Another factor was the record margin calls that accompanied the large price changes. While necessary to protect the solvency of the clearinghouse processing the trades, the size of the margin calls and the timing of payments served to reduce market liquidity. Finally, some have argued that “program trades,”
which led to notable volumes of large securities sales contributed to overwhelming the system.
History Always repeats its full so its time you protect yourself and your assets
peace coolwater
Read full article here
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