Ummm, is it time to panic?

[Politics_Guy25]

The Dow has fallen 850 or so points in just the past 2 days. It is crashing though all of the technical bottoms, 8500-9,000, 7,800, 7600. The floor is nowhere in sight. The republicans are blocking a desperately needed auto industry package on the hill. Wall Street is not plesaed with that. For the first time in my lifetime, I am actually scared about world events (and yes that includes 9/11 and the war in Iraq-never bought the worst case scenarios about those.) Breathtaking drops on the Dow like this are only supposed to happen once every couple of years. Not every day. Worst crisis since 1929 indeed. Maybe worse. What will it take to end this depression? A third world war?

Signed,
Scared

[knowbody0]

1. it has to die

and be reborn. Buckle up! It's gonna be a bumpy ride.

[Richardo]

2. Pfft. It's WAY past time to panic.

All there is now is to hold on as best you can.

[Politics_Guy25]

3. Congress should be in session 24/7 until this issue is resolved

And the president (the current one) shouldn't wait for the president-elect to fix this mess.

[sarcasmo]

23. I agree, but watch them take the usual to much time off.

[screembloodymurder]

42. We need to remove the bastard now.

We can't wait.

[Democrats_win]

4. The DOW is like skywriting: never vote for the GOP, never vote for a Bush.

[specimenfred1984]

5. Ask yourself WTF "technical bottoms" ever had to do with anything

Than ask yourself why America has torture camps. Finally, try to put some simple things together like propaganda + puritanical xtian psychotics + rigged elections = WHAT.

[Cassius23]

6. Now is not the time to panic..

It was not yesterday, is not today and will not be tomorrow.

Now is the time to act. Get things straight. Get your money taken care of, get your friends taken care of, take steps to take care of your world(do volunteer service).

Take care of yourself. Take a multivitamin, walk more, pet something small and fuzzy(hopefully not with some form of disease), grow something useful to you and/or your friends.

Start an informal co-op with your friends(this works exceptionally well for entertainment, btw).

Via the above idea, try to decommodify as many things as you can.

But whatever you do...

Don't Panic.

[RedLetterRev]

11. Absolutely. This is where we differ from the right

and where we excel. We're creative and know how to turn lemons into sorbet with a twist.

More than anything, we'll need our creativity. Those who aren't creative, who can't adapt, who are doomed to do the same old things the same old ways (we know who they are) will be the ones to suffer the worst. They're also the ones who enabled this mess. We are the ones who will have to lead our way out of it.

Especially pet something small, warm, and fuzzy. The simple pleasures are always the truest.

[Mojorabbit]

17. Exactly

I spent part of the day planting winter veggies in my garden and ordered another cord of wood.
My pantry is stocked and I am just going to go as best I can with the flow.

[Idealism]

7. If you were an economist

you already would've been scared. GM's stock could conceivably be trading at $0 next month, the Dow could get below 5000 by next year. Good thing that the market isn't the meter stick of the economy, even if it is a lagging indicator. All in all, we are headed for a 24+ month recession, in my estimate. Sorry I couldn't bring you any good news

[sarcasmo]

24. Wait until the numbers come out after the first quarter of 2009, it's gonna get uglier.

[Turbineguy]

8. You post contains the answer:

"The republicans are blocking a desperately needed auto industry package on the hill."

When the repubs leave, things will start getting better. Not right away and not quickly, but they will improve.

This is the worst crisis since 1929. Luckily the repubs will not get the chance to do nothing about it like then. Also, the economic situation is quite different than it was then. Although a lot of people do not have economic security now, the percentage that do is much higher than in 1929.

[Ikonoklast]

9. Dr. Doom, Nouriel Roubini.

He's been scaring the crap out of me for a long time.

He called it, but it just took longer than he previously thought.

Now he thinks it will be far worse than predicted.

[SammyWinstonJack]

10. Probably.

[scheming daemons]

12. The biggest reason not to panic: On January 20th, it will START to get better

It will be a long process... but it WILL start then.

[TheWatcher]

36. No, it will NOT.

The only thing that is going to happen on January 20 is a big party in DC and the swearing in of a new President, which will be President Obama.

He is not going to be able to anything to magically start moving things back to normal again on that day, and he may not be able to do anything in the first 100 days. We do not know that yet.

He himself said we will probably not get there in ONE TERM, much less one year or one quarter.

What we WILL hopefully have on January 20th is the legislative infrastructure that will ALLOW for the PROCESS of things to EVENTUALLY get better to BEGIN.

The reality is that things are likely going to be worse on January 20th than they are now, and they will get worse than that in the next year or so.

Forgive Me, scheming daemons. I know I sound harsh, but it is not my intention to be rude to you, or piss on your hope. I mean no harm with these words, and offer apology if they offend. Understand that, please.

You are correct that it will be a long process. I only hope that we can stay together as a country and see each other through it.

This is going to be a lot worse than people think.

But Panic is not an option. It leads to Poor Judgment, Poor Decisions, and serves no purpose other than self-destruction.

We must come together and work together. We must survive, adapt, and work toward a better future.

[deaniac21]

49. The planet will begin to heal.

[NightWatcher]

13. no time to panic, I'm getting fired this weekend.

Is there a difference betwen being fired and getting let go or laid off with no hopes of returning?

Stocks, schmocks, I've got to go gather groceries.

Dont worry, I will survive, I always do.

[nadinbrzezinski]

14. I did my panicking a whileago

it is time to figure how to survive and how to explain to those coming after us WHY they have to keep Republicans out of ALL political offices

That said... republicans are doing the same they did after FDR took over... we came THIS CLOSE to revolution back then

Those who prevent peaceful change ensure a violent one

[CrispyQ]

15. Watch "The 11th Hour"

It discusses how all we have focused on is the economy & that we have completely forgotten that by turning our ecosystem into a resource center to fuel the economy, we are devouring the very thing that sustains us.

Oh wait, maybe that's not a good perscription for you. :(

This article is very long, but well worth the time to read.

EXTRAORDINARY: CAPITALISM AT THE EXPENSE OF ALL LIFE, By Juan Santos
http://carolynbaker.net/site/content/view/851/1/

snip...

All it takes is one stroll down Wall Street to get that Wall Street is "America's" temple district - the sense of being on "holy" ground is palpable - and all it takes is one glance to get that none of the financial wizards really knows what's going on... they know not what they have wrought, they know not whom they have robbed; they have invented a house of lies so complex that they themselves can no longer follow the plot or the floor plan. What we know - and what they know, and what Bush knows and Obama and McCain - what they all know- is that the $700 billion the US government has earmarked for the swindlers and deniers is going to cover the lie, is going to keep their asses out of prison, is going to prevent revolt against their system, which profits at the expense of all of us.

[GrizzlyMan]

16. I love the "rationale" for today's drop

Apparently it's being triggered by the delay in the auto bailout, at least according to AP. Yet never mind the fact that most people in a position to buy and in this case sell a large number of stocks are anti worker and don't want the bailout.

[mnhtnbb]

20. The market reacted positively to a leaked 'bailout' agreement just after noon EST.

It turned 200+ points from -100some to +100some--I was watching it while eating lunch.

The market wants certainty. It doesn't like uncertainty, which is what it got with a delay
in a bailout for the autos.

This market is WAY oversold. Look at the price of oil! It is below $50/barrel. I'm not saying
things couldn't be tough for 6 months or more--but I don't believe we're in for a decade or more
of recession.

There is a lot of money sitting on the sidelines.

[TheWatcher]

30. The mythical "money on the sidelines" meme.

Turn Off CNBC, my friend.

The answer is not in there.

You also seem to be forgetting that the next financial domino to fall, Citi, has fallen 50% in two days, and that JPM and BAC are probably going to be drawing the short straw to see who absorbs it. It;s currently trading below $5.00

Wake Up to what you are facing, please, for your sake. For your families sake. While Panic is certainly going to serve no purpose here, having an open mind to how big the problem really is will be critical going forward for people as they try to adapt and surivie to the environment developing around them.

This isn't going to be over in 6 Months.

This isn't going to be over in a Year.

If it weren't for artificial propping via manipulation from The Fed, Trading Desks, Hedge Funds, Major Brokerages and Program Trading (Which can account for 60-70% of trading on a given day), Loose Monetary Policy, and Bubble Economics, the game would have been over in 2002.

Hoping the foxes who guard the hen house are going to reflate the precious Bubble with another scheme like they did in 2002 is not the recipe for a real recovery.

This foolishness has to stop.

It will be painful, but I'm sorry, I'd rather not be another Japan.

We don't even have the capacity to BE Japan at his point, with our Net Negative Savings Rate.

I know you aren't going to listen, and that I am wasting my breath.

Maybe when the Market drops to the 5000's by early next year you will.

[mnhtnbb]

44. See post #22. Anecdotal, yes, but I am a believer in the fundamental

nature of human beings to want more. I don't see the population declining--not even slowing down.

Energy independence is going to be the next big driver of jobs and technology change. An administration
that is attuned to that does take office in January.

Care to take a position? (See, I do that, I already lost to hubby) I say the DJIA will be closer
to 9000 by Nov 2009 than 5000. If it's 7000 we both lose.

[Soylent Brice]

18. panic leads to bad decisions

that's how the (un)patriot(ic) act was passed. the dumbasses supposedly in charge panicked and gave up their reason for a warm fuzzy blanket of pretend safety.

this DOW shit sucks, and it's destined to get worse. people should be railing against bush and republicans for doing nothing, and/or blocking any efforts.

i make an effort to never panic. i know if i do nothing will get done.

[lumberjack_jeff]

38. The person least prone to panic is the one eaten by the tiger. n/t

[Soylent Brice]

47. being tiger bait...

it's GRRRRRREAT!!

lol

i see your point, i just don't operate well while panicking.

[MannyGoldstein]

19. What's A "Technical Bottom"? n/t

[AntiFascist]

35. A Bottom that won't admit that it has a Fundamental preference...

like that poor fellow who "fell" onto that potato. oops, wrong thread...

[MilesColtrane]

48. Is that like a "technical virgin"?

[desktop]

21. The real job layoffs and firings have yet to start

This is when it is going to get really bad. All these companies and there lost shareholder value are going to open the flood gates on dumping their employees, and then it will all feed on itself. Bread lines are just around the corner. I am personally screwed, I hope the rest of you make it.

[Bonhomme Richard]

22. Wierd thing is, now I have a lot of money to put somewhere and..

I haven't a clue where to put it.
I never had much in the way of cash before and my business has done very well this year (actually feel a little guilty) but right now I have a crazy amount sitting in a checking account. I'm not making any money but I'm not losing any either.
Confused.

[sarcasmo]

25. Pay off your house and your bills, owe no one.

[Nay]

43. Pay off all your bills, including mortgage. Then sit on your cash--very, very soon

we will see the ultimate buyers' market.

[tonycinla]

46. what to do

Do not pay off your house right now you can always do that later,pay down any credit card debt you have.Stay as liquid as possible put at least 66% of your money in fdic insured cds or bank accounts.If you feel a little frisky put the rest in gold.

[Bonhomme Richard]

51. There really isn't any point to paying off the mortgage right away.

It isn't all that much. I do need to keep it liquid so I can't tie it up in anything long term. If I put it in a savings account, such as ING, I will get between 3 and 4% for it and that's probably what I will do in the short term.
Long term, I will watch the commercial real estate market and maybe just buy my own facility when I feel that the bottom is near.

[Dawgs]

26. Why would I be scared. The Democrats are in charge of everything.

We will be fine.

[SammyWinstonJack]

28. ..

:silly:

[TheWatcher]

40. Delete. Wrong Spot.

[TheWatcher]

41. .....

Drink Up. Bar's Open.

[greguganus]

27. I would panic, but I would probably get sick, and I can't afford to go to the doctor. n/t

[Edweird]

29. Every day is 'the end of the world' here at DU. At least you guys are consistent.

Don't forget the 'it all has to die to be reborn' nutcases cheering on the imagined 'end of the world'. The RW is oft ridiculed for their 'end timers', but we have more than a few of our own.....

[Deja Q]

32. Quite!

It's a sickness.

[TheWatcher]

39. We likewise have a pretty established Polyanna, Rose-Colored Brigade of Magical Thinkers

And Keepers Of The False Paradigm, pouring their Kool-Aid and chastisement over every thread they seek out that threatens their Feel-Good Bubble World of False Comfort and False Hope.

So it all pretty much balances it out.

[Edweird]

45. eh, I'll take that over "WAR WITH IRAN!!!" "$10.00/gal gas!!!" "MEGADEPRESSION!!!!!"

"MARTIAL LAW!!!" any day of the week and twice on Sunday. It's against the law to yell "Fire!" in a crowded theater for a reason. Here we have, at best, uninformed know-it-alls spreading alarmist rumors and, at worst, assholes playing on the destruction in peoples lives to push their own unpopular agenda.

[slackmaster]

31. Panic won't help

The real question is whether or not it's time to buy into the market yet.

[Lumpsum]

33. It's not just the republicans blocking the bailout package for the autos.

A lot of democrats are against it too.

Piss-poor management, corporate greed and incompetence does not deserve a reward nor a bailout. If these companies want saving, they should have thought about that years ago when they were sending out lobbyists to block laws against seatbelt regulation, or regulation on green technology.

UAW should be revolting right now. Not against the fed, but against their inept, corrupt bosses. It's their fault and no one else that they are suffering now.

[spoony]

34. Not a war, a leader. One is coming in January!

[lumberjack_jeff]

37. I can haz panic now? n/t

[MilesColtrane]

50. I recommend stripping down, setting your hair on fire, and running around your backyard screaming.