FOR THIS MARKET TO DROP ON BAD NEWS FOR ONCE/???? we have now had a month straight of mostly horrible data...yet we set 52 week highs on the sp today....totallly
I agree that we need to adapt to the changing world economy BUT with this change there needs to not only be change in our thinking but a fiscal change as well. Everyone talks about how we need to focus on education and move away from a manufacturing society and move towards an idea society but with the rising cost of educaton how is it possible to do this? How is it possible to become a more advanced society when healthcare costs $600 a month for a family of four who are self employed? These are teh fundamental issues that need to be addressed. Not just a change in the way we think but a change in how we handle these problems.
>>The startup business opportunities are endless.<<
I agree. Our economy is about to make a change that will destroy the old models. In the long run (meaning 10 to 20 years) the wealth that will be created can't even be imagined right now. In the short run, everyone is still imprisoned by old thinking - trying to envision the old structures moving into the future with all these changes superimposed on them. It ain't gonna work that way.
Thank You, finally someone who can think past the 1990's and knows we have to change. When we can make that change(global economy,global work force,global business)we will have to rethink our education,our workplace,and our way of doing business. The startup business opportunities are endless, and this time, unlike the 90's there will be products and services to sell about the world.
From my reading, excess capacity is the main issue, and lower interest rates are being used to deal with that. This recovery doesn't feel like a normal one to many people because of it. This is a result of the internet buildout - it allows companies to be truly global, creating a much larger available workforce than existed before. It will take years for all this excess capacity to be worked through. In the meantime, all sorts of things that we haven't confronted before (or not since pre WWII) have to be worked out.
The other thing that confounds the bears here is the fact that the market is being driven by demographics. Boomers are at a point in their lives when they have the most money to spend and invest. Whenever they move money into an asset class, like stocks or real estate, a 'bubble' can be observed. The bubble is in the population. The movement into various asset classes is going to continue producing 'bubbles' for at least another 10 years.
i still think you are missing my main point that there is HUGE downside risk to this market from these levels...even if what you say is true...interest rates will then have to rise and prices have to drop...the only thinkg that keeps these bubbles floating is low interest rates due to a