After a Horrible October, What’s Next for the Stock Market?
Nov 3, 2008
Posted by Jody Eisenman | Filed under Uncategorized
Even after a rally Friday, the stock market ended October with one of its’ worst months in history. The Dow Jones lost about 14%, and the NASDAQ lost about 17%. Of course, this comes after a month which was down substantially as well. Therefore, if you are looking at your portfolio and seeing losses, you are not alone. All told, total US stock market losses came to approximately $2.5 trillion according to the Dow Jones Wilshire 5000 Composite Index. Even large institutional investors like Warren Buffet, Carl Icahn, Kirk Kerkorian, as well as most hedge funds have taken substantial losses this year, at least on paper. Have we bottomed yet?
According to Jim Stack, who writes for Investech Research, we have. Here is an article from Blogging Stocks:
http://www.bloggingstocks.com/2008/10/29/jim-stack-market-historian-calls-imminent-bottom/
However, according to Nouriel Roubini, who writes for RGE Monitor, we still have about a 20-30% downside risk from here:
http://www.rgemonitor.com/blog/roubini/254168/bloomberg_october_27_2008__roubini_sees_significant_downside_risk_for_equities
Election day is tomorrow. Polls still show a substantial lead for Obama. Experts believe that McCain will need to win almost every close state in order to become President. Please remember to vote. If you don’t vote, you don’t count!
