Monday, March 24, 2008

Market Turmoil May Be Nearing Its End

The next two years certainly will tell, and experts today have called this time the best time to take advantage of the liquidity crisis in the markets. If Turkey is any indicator of how inflation affects the stock markets than we could expect an inflationary surge in the price of commodities as an adjustment to the expansion of (M3)or the massive money supply, money the Federal Reserve injected into the banking system to solve the ongoing saga of the liquidity crisis. (Liquidity crisis is the "Big Word" for "I'm Broke.")

This call for investment appears to be based on sound advice but some caution still exists, economic concern still is omnipresent in the form of Inflation, a stagnant economy and the credit crisis that has been created by an abundance of foreclosures and credit card debt obligations. Americans still have relatively strong employment despite massive job exoduses to Mexico, India and China however, our devalued dollar has been somewhat helpful in aiding America's tourism industry and spurred corporate investment into what foreign corporations have embraced as an opportunity to buy up undervalued U.S.companies.

Donald Trump has called these hard pressed times "Exciting" as they present a tremendous opportunity to make investments in real estate and the stock market. He is counting on the downward volatility, high risk, and fear of a crash as a selling point to acquire assets. Other, experts believe that our fiat currency system will eventually fail, but others have now agreed that this has been put off for the short term making the likely hood of continued market rallies more common in the coming months.

Anyone out there who bought a hybrid, turned down their thermostat, and conserved energy give yourself a "pat on the back" it was millions of people like you all across America that succeeded in driving down the price of oil by a one day record amount; therefore making you partially responsible for this short term recovery.

In conclusion I will say as always, that I am not a financial expert and my advice is based on optimistic opinion and personal observations rather than an expert analysis of true market conditions. Always consult you financial advisor before making any investments.

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