Conventional Foolishness
I never thought I'd see the day - but media elites have waged such a war against this country and this government inside their heads that they no longer can tell up from down - that the words "5% unemployment" and "recession" would be used in the same sentence. And not just once, but in nearly every story you read regarding the economy.
Unemployment was actaully sub-5% at 4.975%. Highest in two years? Yup, highest level over a two year period of extraordinary economic prosperity. Kinda like saying this year was Derek Jeter's worst batting average since 2005. Employment growth is slowing? Yup, at 5% unemployment, employers are scraping the bottom of the barrel to find new workers. If business prospects dim slightly they aren't going to invest in the 5% of us who haven't been able to work these past few years. So this slow down in employment is natural, inevitable even.
The panic in the markets is palpable. That's when you make money folks. Small caps in particular are being given away. Pick your spots. Average in over Q1. Happy investing.
UPDATE: Fred Thompson hit this theme in last night's debate when he pointed out that we used to think that 5% unemployment was great. We will again I imagine, just so long as Bush is not in the White House.
Unemployment was actaully sub-5% at 4.975%. Highest in two years? Yup, highest level over a two year period of extraordinary economic prosperity. Kinda like saying this year was Derek Jeter's worst batting average since 2005. Employment growth is slowing? Yup, at 5% unemployment, employers are scraping the bottom of the barrel to find new workers. If business prospects dim slightly they aren't going to invest in the 5% of us who haven't been able to work these past few years. So this slow down in employment is natural, inevitable even.
The panic in the markets is palpable. That's when you make money folks. Small caps in particular are being given away. Pick your spots. Average in over Q1. Happy investing.
UPDATE: Fred Thompson hit this theme in last night's debate when he pointed out that we used to think that 5% unemployment was great. We will again I imagine, just so long as Bush is not in the White House.
posted by Donny Baseball at 3:19 PM
1 Comments:
I don't understand the pessimism either. On the other hand, perhaps the media has been making the wrong connection. It tries to explain market action using reported economic data. But what if the market has been reacting to something completely different? Something few people can see now, but will become apparent later? If that were the case, it would be very scary.
Post a Comment
<< Home