Friday, April 17, 2009

Stocks vs Slots

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Well there have been a heck of a lot of people, who had a heck of a lot of money, invested in their retirement accounts. And a heck of a lot of those people lost a heck of a lot of their money. And there are a heck of a lot of people that have been forced from retirement to return to work (if they can find it). And there are a heck of a lot of people that can not retire as they had planned.

But, there are a heck of a lot of people that moved their investments from the stock market to liquid savings accounts, and those people still have a heck of a lot of money that they are itching to re-invest.

Interest rates have dropped very low, but the banks still refuse to make new loans. And because the banks now have too much money on hand, they pay those heck of a lot of people who have a heck of a lot of money in the back, next to nothing in interest.

One can not just sit on their heck of a lot of money and let it lose value to inflation. So, there are a heck of a lot of people lined up to jump back into the stock market. And as they do, the stocks will be driven up rise once again and a heck of a lot of people will make a heck of a lot of money.

But when nothing else but the sheer volume of stocks sales drives the price, the market becomes a bubble, and it will burst again. And that circle will go unbroken.

So, if you have a heck of a lot of money, and you put it into stocks again, be prepared to exit quickly. And exit well before the balloon shows a sign of bursting, or you will lose a heck of a lot of money, again..

So, you might ask, "W what will I do?" I'm going to the local casino to invest my heck of a lot of quarters ($20). For me, it's less stressful than the stock market, has about the same odds, but offers more fun!

So, I should be at The Dock within this hour.
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