whocouldshebe

Sometimes a Blip Is Just a Blip

It is impossible to fathom the stupidity and evil in both the government and investors today. We are NOT in a recession. It is much worse. We are in a GREAT DEPRESSION! It is sad to see people returning to the market so early. Here’s the important reason why: right now the TRUE state of the US is similar to that of most 3rd world countries and getting much worse. The figures shy away from the truth because investors are very intent to force out a false hope with unreasonable inflation in market values while they trying to quickly recover their losses quickly. But the figures obscure reality, one is with unemployment. The initial claims drop this month is HORRENDOUS NEWS. People aren’t beginning to claim unemployment this month because THEY WERE ALREADY LAID OFF and have been for over a year now. The government has already stated the recession began in 2007 but failed to label it as a depression. Instead, they should have looked at continued claims clearly up 200% and climbing, but even those figures lie since unemployment can only be claimed for up to 6 months, after that the government lies and removes you from the counts. The truth is, nearly everyone that lost there jobs last year are still without work, and those people that have kept their jobs are either working less hours or being laid off this month and won’t be included in the unemployment counts because they are ineligible to file for payment. Also not included in the counts are those that have lost their second job, since they too are ineligible for money. A realistic way to see those without work would be to compare job positions currently filled now vs those that were filled this time back in 2006 with corrections for population growth and credit for shorter work weeks and pay drops. THE TRUTH IS AT LEAST 15% OF THE NATION IS CURRENTLY UNEMPLOYED AND RISING! I would even expect it to reach some 25% by February with poverty reaching well above 40% very some also adding a steady increase in the cost of living when including energy price increases and food costs with the soon to return rises in oil. People have to take loans and use credit cards just to put food on the table on clothes on their backs. Why am I the only one realizes the system has broken when I have to flash my American Express business card to everyone else in line behind me at Wal-Mart?

The only reason the market ever rises is because we treat it like a casino game, play until you win a little then cash out and go home or throw more money on the table until you have to pull out and take a loss, either way the casino still makes a killing but someone somewhere goes home happy with your hard earned cash. If only people would see through the blanket of lies then we would have a free fall of true value corrections where stocks actually reflect what they are worth instead of what they might be worth if they actually win the lotto, but even if they succeed for a time, every expanding business will bust the bubble at some point.

People have forgotten stocks are just virtual items that carry no real worth, like coupons worth 1/1000th of a cent. Futures trailing on estimated earnings are a joke. Any company can only post more profit with a price increase or a cost drop, even if they were to make money at some point, then even a dumb manager would spend that gain on some expansion, then give himself a raise to offset any excess profit and keep the ball rolling. Such expansion is the only true way a business can succeed and overcome competitors in the long term. So price vs. value should always equal 1 to 1 otherwise it is overvalued. The free market is such a farce these days it makes me sick! Prices a 5 to 15 times trailing earnings, maybe you'll live long enough to see it, but at a realistic 5% gain per year?! Will you live to be 100?! Honestly! Wall Street must admit when stocks explode, it is just a bunch of lucky investors puffing hot air about hitting the triple 7 but don't be the one left behind when all the hype dies and prices make their corrections back to zero.

In short, I agree with you completely.