| mrstickball said: FYI, Germany has just stated they will not bail out Italy which is teetering on default. Tonight and tomorrow are going to be hell on earth for markets. The market in Tel-Aviv was suspended for the day due to the selloff. The market collapse is happening tonight and tomorrow. The Euro is pretty much screwed. There is no reason to keep it when only two reasonably large countries with any economic sense (France, Germany) are using it. Likewise, the USD has been collapsing for years now. I fear we'll go to a one-world reserve currency which would be the start of a New World Order... But sadly, given leaders' propensity to increase debts, I do not know what the choice is. |
To be a little selfish, I'm looking forward to the collapse ... The bulk of my portfolio was recently converted into cash because I anticipated the debt ceiling debate to be resolved at the last minute, which I thought would create a down market and a lot of buying opportunities. While my prediction was only half correct, the coincidental timing of the European debt crisis worsening may make my timing perfect (regardless of whether it was just because of luck).
Now, my next prediction will likely be as accurate as my previous one (which isn't saying much) but I would anticipate that we will see a week or two of the market struggling, followed by a rudimentary plan being put in place to ease the debt crisis which will cause a short term rally, the plan will fall through because Germany won’t agree with the terms creating another downturn for a week or two, and then a new plan which Germany will agree to will be put in place and over the next 6 to 12 months the markets will recover almost everything that was lost.
