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Re: Re: [RT] The Markets



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Remember when you went to the movie on a Saturday afternoon and found that the price had gone up to 11 cents.  That kept me from getting my 5 cent candy bar and I had to settle for four pieces of penny candy.  Now that was inflation as far as I was concerned.
----- Original Message -----
From: BobsKC
Sent: Saturday, October 13, 2007 8:41 PM
Subject: Re: Re: [RT] The Markets

At 10:41 PM 10/13/2007, you wrote:

When I was 9, I received .25 in allowance.  With that, I could see 3 westerns and 5 cartoons, get a huge popcorn and a giant coke at the theater.  (Only on Saturday afternoons).  The movie cost was .09 of that and I walked the 3 miles to and from the show.  Gas was .23 per gallon.  Most had no tv and we listened to the radio for entertainment when at home but mostly, we interacted with friends and played games outside, summer or winter. 

In the early 80's, under Carter, we had not only 20+% interest, we had about that in unemployment.  Real estate was dead.  Not down .. dead!  The Federal Government put a hold on pay raises by private firms.  On October the 19th 1987 the stock market dropped from 2500 to an interday low of under 1000.  It ended the day off 25% which today, would be a drop of 3500 points.  It was the largest loss in the history of the DOW, percentage wise. 

They say what doesn't kill you, makes you stronger.  Black Monday was a test of that theory.

Bob


Everyone that uses technical analysis looks at past action to see what the future might hold.  That is all that I am doing.  I don't know how old you are, but unless you are over 50 you have no idea what can happen.  You haven't seen a 1987 type crash, You haven't seen 20% plus interest rates.  If things with the balance of payments and national debt are not brought under control the interest on the debt will take more and more money to pay it off.  Especially since the government has seen fit to move most of that debt to short term instruments.  You could see the dollar like the Lira before it went to the Euro.  15,000 Lira for a cup of coffee if you sit down to drink it.  Less if  you stand.  I come from a generation where hotdogs were a dime and hamburgers were 15 cents.  I just paid $12 for a hamburger.  Granted it wasn't Burger King, but still. 
 
We are curently spending $2 billion a week in Iraq and there are no funds for anything domestic that should be taken care of.  True a billion isn't what it used to be, but it is still a lot of money.
Ira
www.delta100.com

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