General
10 Oct 08
10 Oct 08
Originally posted by huckleberryhoundA correction would be more in line with price to earnings ratios etc.
I hear the oil price has hit a year low ($79)......What's the big problem ?
You say crash, i say correction.
Declining stock values this time are due to the fact that companies are not able to roll over their debt obligations due to the credit market collapse. If they can't roll over their debt, then they go BANKRUPT and their stock is worthless. This is why people are selling stocks because they are worried the companies will go bankrupt.
Plus, they are betting a recession is coming and the companies that do survive will suffer sales losses from all the people being out of work, thus reducing demand for their products.
10 Oct 08
Originally posted by leisurelyslothTake your money that you want to invest and divide it into 10 parts. Invest 10% now, 10% next week, 10% the week after etc. At some point we will reach fair value and then the market will uptick. By spreading your risk, you will stand to make a decent profit when the turnaround comes.
Sitting on the sidelines eating a bucket of popcorn and watching the carnage.
*crunch, crunch, crunch....*
I wonder how low this thing can go? And when do you get back in?
Considering how low the market is already, it should be safe to invest a bit at a time now.
