[e-mail]

Another Bloodbath?

Don't forget there is trillions on the sidelines and most of the nations want this realignment to occur fast so they can carry on. Look for even the labor party (Dem)victory to make motions for reasonableness in it's first few days - because it needs to jobs to protect with tariffs and small business to tax.

Once some clarity ( most likely gov proposals for the ST) is restored the flight of capital and confidence will slowly be restored there is no other choice - For me the stock market has been leading the way into the recession but no one knows the severity - sounds like an opportunity. Some stocks are at 15 year lows even with a cheaper dollar. In the end you don't have much of a choice when you are ignoring 5%-6% div yields on good companies. When you see the first M and A - watch the rush.

No one mentions that if the structure of the US business environ was changed with no cap gain, no div tax, reduction in bus spending, slashing gov payrolls, the dow would shoot to 13000 overnight and help gov revenue.But I am only reciting what we insist emerging markets do with our IMF parameters and bailouts all with a great history of success. The US gov and it's many minions in Congress do not take the medicine it doles out.

Public work projects like the bloated 18 billion BIG DIG does not get the 7 trillion in private money off the sidelines. With the exception of some canteen trucks private money does not invest alongside one-time boon doggle construction projects. They only buy votes -again history in Brazil, Arg, Korea bear this out.