Stock market crash in 2010?

5 posts / 0 new
Last post
land2341's picture
land2341
Status: Gold Member (Offline)
Joined: Aug 20 2009
Posts: 402
Stock market crash in 2010?

 

Could the Stock Market Crash in 2010?   (May 14, 2010) 

 

This is a bit of the article.  Link here:  http://www.oftwominds.com/blogmay10/market-crash2010-05-10.html

 

But the reality was different: the U.S. economy and stock market were both riddled by fundamental problems which had been masked by the Bull market euphoria.

 

"There seems little question that in 1929, modifying a famous cliche, the economy was fundamentally unsound. This is a circumstance of first-rate importance. Many things were wrong, but five weaknesses seem to have had an especially intimate bearing on the ensuing disaster. They are:

1. The bad distribution of income.
2. The bad corporate structure.
3. The bad banking structure.
4. The dubious state of the foreign balance.
5. The poor state of economic intelligence.

"Had the economy been fundamentally sound in 1929 the effect of the great stock market crash might have been small. Alternatively, the shock to confidence and the lost of spending by those who were caught in the market might soon have worn off. But business in 1929 was not sound; on the contrary it was exceedingly fragile. It was vulnerable to the kind of blow it received from Wall Street."

 

 

This seems off to me for one reason - the classic mistake of believing that the crash of 1929 was “The Crash”  it was not.  It was the crash,  or rather unrelenting slide of 1933 that really told the tale.  We had the crash of 29 in 08.  That means the next slide is in 2012!!  

 

Yes, some things were done differently this time,  but the situation is worse and more global.  Does the world end in 2012?  No,  but  the world as we know it does!

JAG's picture
JAG
Status: Diamond Member (Offline)
Joined: Oct 26 2008
Posts: 2492
Re: Stock market crash in 2010?

If the crash doesn't begin until 2012, I'll lose my mind by the end of 2010!Sealed

Morpheus's picture
Morpheus
Status: Diamond Member (Offline)
Joined: Dec 27 2008
Posts: 1200
Re: Stock market crash in 2010?
JAG wrote:

If the crash doesn't begin until 2012, I'll lose my mind by the end of 2010!Sealed

How are you positioning, or preparing to position yourself for a crash Jeff? 

My battle plan will be, long DXY, short SLV, long QID, DXD, and SDX, some cash, and acquire physical Au after any deleveraging occurs. Can you tell that I've fallen in love with the leveraged inverse ETF's? Wink

JAG's picture
JAG
Status: Diamond Member (Offline)
Joined: Oct 26 2008
Posts: 2492
Re: Stock market crash in 2010?
Morpheus wrote:

How are you positioning, or preparing to position yourself for a crash Jeff? 

Hey Morph,

I'm think that I might find myself in this position during the crash, lol

docmims's picture
docmims
Status: Platinum Member (Offline)
Joined: Jun 17 2009
Posts: 644
Re: Stock market crash in 2010?

Yes and more importantly, before the elections.  The euro will disentigrate and drag us down.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Login or Register to post comments