'worst is yet to come' investment strategist warns

[Mari3333]

"Jeffrey Gundlach, chief investment officer at Los Angeles-based mutual-fund company TCW Group Inc., told clients on a conference call late Wednesday that the crisis in credit and housing may not abate for several years and is actually getting worse....."

'This is no market for old men," said Gundlach, who also manages TCW's flagship Total Return Bond Fund ' . "This is no market for old-school thinking."






http://www.marketwatch.com/news/story/worst-yet-come-investment-strategist/story.aspx?guid={55B21789-3A26-495A-B0D3-5AF3F6ABDA18}&dist=TNMostRead


he says that the housing market wont start turning around til 2022...lets see...the baby boomers will start retiring any day now, and their equity in their homes is zero...seems to be the perfect storm..
someone please counter this guy to make me feel better...

[liberalmuse]

1. What the US government did this week...

was put a band aid on a gaping arterial wound. Like the Fannie/Freddie bailout, this is just a temporary fix.

[MercutioATC]

2. Agreed, we need an amputation, not a band-aid.

It'll be painful either way. At least allowing a self-correction would accomplish something.

[Mari3333]

3. boy are the holidays going to SUCK n/t

[lonestarnot]

4. Instead of a bleed out from a ruptured duck.

[Jim__]

9. They're hoping it will hold 'til Nov 4.

And if it does, watch the "reagan democrats" rush out and vote for their "saviors".

[Mari3333]

12. is that what this is all about..containing the carnage til the election

then all hell breaks loose..? if i cut back my expenditures anymore i will be back to hitchhiking.

[indepat]

14. 'puke governance: the gift that just keeps on giving

:P

[NashVegas]

5. A Lot Of 30 Year Olds Will Be Moving Back In With Mom & Dad

And bringing their families with them.

[Mari3333]

7. delete double post

[Mari3333]

8. true true

my sons and their families can always live with me, however, i sold my large home a while back and downsized into a teeny house..what monies i made out of that transaction are a large part of my retirement funds which are now at risk .
sooo, if they move back in with me it will be like fitting 100 clowns into a small car..but what the heck, i would do it in a heartbeat if they needed a place to live..

[glowing]

6. The only way this is going to get any better is to immediately help the

middle class.. Every time another foreclosure goes thru or someone looses equity in their home, the wealth of the nation decreases.. AND everyone here knew that the housing bubble that was created, while simultaneously off shoring good paying jobs would land us in this mess.. Its not rocket science to figure out if you give a loan to someone who cannot pay it back, that its going to cause major problems.... If a person loses their job and another is hard to come by.. or hard to come by with the former pay salary, then the lifestyle and the home and the entire house of cards is going to collapse.. The bubble began ending in 2007... the economic people knew this was coming. AND it was made worse by hedge funds bundling loans and selling these as "good" debt, when in reality it was no good... When the country amasses its wealth only at the top, its only so long before you no longer have a country that is democratic in principle.. you have a merge of corporations and govt which is fascism.

[TahitiNut]

10. Don't look behind that curtain! (There'll be blood on the Street next week.)

Count on it.

[Mari3333]

11. blood on the street , meaning?

what do you foresee happening?

[TahitiNut]

13. The stock market is going to bleed red ink next week, imho.

I think the Friday 'bounce' was a dead cat bounce and, after some folks figure out how bad it's gonna be, the market's gonna bleed.

[wanpete]

15. very much agree.