Recession Roundup

Reuters and other news agencies are reporting that central banks around the world are coming together to ease the credit crunch for overtaxed banks that are having trouble borrowing money.

WWAGD?*

This news report reminded me of another event in U.S. history--Black Thursday. You might not remember October 24, 1929, but that was the day that people started dumping their stock holdings, leading J.P. Morgan and other bankers to band together to buy up stocks and shore up the stock market. And we know how well that turned out. Just five days later, October 29, 1929, was the more famous Black Tuesday, the beginning of the Great Crash and the single most devastating financial day in the history of the New York Stock Exchange.**

What am I trying to tell you? Buy gold. I recommend Barclay's Bank Gold Shares, traded on the American Stock Exchange as "IAU."

Financial advice aside, I think it's time to get comfortable with that "r" word. Just say it.... Recession. Recession. Recession. Keep hoping it doesn't turn into that "d" word. Don't say it. Although Bush tried to claim that we're not headed for recession when he announced the mortgage freeze last week, the writing is on the wall.

What is it about Bushes that when we elect one, we end up in recession? Oh right.... Iraq.... Iraq... Iraq... Cronies... I can barely believe that, once upon a time, during the Bill Clinton years, we had, what, the smallest deficit in the history of time? And now?

A handy U.S. National Debt Clock is keeping track. As of this posting:



I'm not great with math, but is that nearly 9.2 TRILLION dollars?

Hold on to your hats, kids, 'cause things aren't going to get better any time soon.

*What would Alan Greenspan Do?
**I believe that October 19, 1987 or Black Monday might actually now be the largest stock market crash in terms of numbers, but Black Tuesday had more devastating results/fallout.