Recession – Tickets Anyone?

Patrick Lalande on WordPress

Headlines don’t lie.   I just know what I see. 

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In Interest rates drop – Recession dead ahead I wrote about the short to intermediate term of the stock market and the economy.  I wrote about the stock market and the economy and how perceptions might make us, the investors and consumers, act.  Below is a small excerpt: 

“…Suddenly, the Feds cut interest rates.  By casual observance, everything calms down.  The wind stops its howling.  The waves smooth off.  The silence gets loud!  We are saved!  We want to start making reservations for the return trip (buy stocks) while the price of the room (stock price) is low…”

In Recession dead ahead – FULL REVERSE ENGINES! I wrote;

“…what is happening today, 1-24-08, I’d say that the captain just realized that we were still heading towards the rocks and ordered “FULL-REVERSE ENGINES!”…  Continue reading

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Just read the future in the headlines: Recession mounts an attack

If you want to see the future, read the headlines today.

It seems I am no longer a lone voice talking about a recession that I was a year and a half ago.  Out of 10 headlines from the very first RSS feed I perused today there were 5 that dealt with a falling economy and the prospects that we are already in a recession. 

All the major news outlets are running stories that deal with the bad news in the economy.  As it was announced that inflation hit a 17 year high and I believe it is heading higher. 

Rising inflation puts downward pressure on stock prices, downward stock prices  creates downward pressure on production, lower production puts upward pressure on inventory costs, which in turn puts upward pressure on consumer prices, and then we start the circle over again. 

Although I brushed aside a few steps in there, the headlines just don’t lie. 

Just read the headlines if you want to see the future today. 

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