Stocks

Take a good look at the man in this picture. One can almost feel the same relief he is feeling at seeing the numbers go up on the board at the NYSE. I hope you bought lots of stock when I advised you to buy a few days ago. I knew the market would go up soon - it simply couldn't go down any further. I will never hesitate to tell you "I told you so." The economic troubles are not solved by any means, but at least the market has been stabilized. The other side of the coin is that the government has gone into debt. That will cause problems, but not for another two or three years. Enjoy the upturn, and don't forget to save as much as you can.

Hemlines and the Economy

They say hemlines are a barometer of the state of the economy - the better the economy, the higher the hemline. Evidently, that is no longer true, or someone forgot to tell this lady. The economy does not seem to be doing well, yet, hemlines are at an all-time high. Perhaps the opposite is now true? Who really knows? Common sense tells me that nobody really knows how the economy works. Predictions are useless - even when they come - I should say especially when they come - from the most knowledgeable economists. The other day, I was guessing that the Chinese and other countries had pressured the U.S. government to take over Fannie Mae and Freddie Mac and I was right. They were behind it. They sort of pulled the plug. I even heard someone say that if these two giant lenders had collapsed, the entire world economy would have come to a standstill. Maybe we're hanging by a thread (on a short hem) and don't know it?