Bull Moves in Bear Markets

Finished reading Peter Schiff's The Little Book of Bull Moves in Bear Markets. Another book thats paints a very gloomy picture of the US economy. The book says that the next 10 to 20 years are going to be really tough for US. Also it is important for the US to break it's credit habit and get into producing and exporting things rather than just borrowing and consuming them. Makes much sense to me. I hope the new US government has the balls to tell the citizens that we need to take some bitter medicine to get rid of the credit disease. Also I am very hopeful for the US since Americans are quite practical and have a very tough fighting spirit. However it is always wise to hope for the best and be prepared for the worst.

2008 - 2009 ???

Finished reading George Soros's The New Paradigm for Financial Markets: The Credit Crisis of 2008 and What It Means . Hate to say that he has painted a very (convincingly) pessimistic picture of the US economy for the coming years. The book argues that the current crisis has not been caused by the mortgage mess. In fact the subprime mortgage mess has been a trigger for bursting of the credit bubble which had started inflating from the Reagan area. The book explains how difficult and costly will it be to get credit henceforth and this will be really painful for the consumers thereby slowing everything. We basically now need to say good bye to the good old days.

I am hoping for a "change" with the "elected" new administration. However I still can't believe that we have landed in such a situation. It is so much worse for people who are about to retire and who have seen much of their savings being washed away in the past few weeks. I feel really bad since it is no fault of people who had being saving diligently.

I had written in my blog in July about being hit by depression 2.0, I strongly hope I am wrong.