RickRussellTX

The Not-So-Smart Smart Money

My reading exactly. I got back into the market again, after being out since Dec. 2001, precisely because I think the downward spiral of the markets and the credit crisis are related. Tighter lending restrictions means that funds and corporations with short-term holdings need to convert them to cash for operations and debt payments, which results in several rounds of panic selling.

I suspect we'll hunt around these lows for another 9-18 months before returning to the usual uptrend. In the meantime, I'm going to be scouting for bargains.