Next Question

Tuesday, February 05, 2008 | 03:30 PM

The cartoon below reminded me of something.

About 15 months ago, I penned a post called "Its Still the Economy, Stupid."

Now, we see this:


Gee, who could have ever seen this coming?

Tuesday, February 05, 2008 | 03:30 PM | Permalink | Comments (62) | TrackBack (0) add to | digg digg this! | technorati add to technorati | email email this post



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I had a study done in the early 1970' comparing market and political cycles. It was called 'Political Economics, Phase One'.

The data went back to the creation of the Fed through 1971. It showed what we all now take for granted that in the first 2 years of any administration, the market makes a low. Obviously then the market tends to peak during the second 2 years.

It does not appear to be working this cycle probably because the Fed and Federable Gummit are out of control. However, I would not rule out the possibility that the low in the markets come in 2009. The next Pres might even be hailed as the new FDR, mores the pity.

The bursting financial bubble will have some serious sociological consequences that we have not thought about yet.

Any bets on the level of margin calls in the morning?

Posted by: Ross | Feb 5, 2008 3:45:33 PM

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