Economic Injury
What is up on Black Friday is down on Monday’s market even Cyber Monday
Logic is going to stay short on today’s market report and results as this is no surprise to Logic as you can look within this blog since June 2008 however we have been at this economic anylyzing as our hobby since 1983.
We hope you can see where we predicted the global population is moving into saving their money and not spending it on anything they do not need. We are going to see the US savings rates go from negative savings to +8% over the next 20 to 30 years. Please not we predicted with our friends the end of the housing boom in March 2006 in our opinion.
Unless your head has been buried in the sand
This should be of no surprise that our economy is two years from a correction to the masses. What is still in need of happening is three things off of the top of Logic’s head.
1 Unemployment mostly from sells of most stuff, retail and food services must fall a long ways around 51.5 million or a guess of 40% of actual employable.
2 Commercial retail space vacancies must come down around 50%. Why consumer spending becomes bill paying and saving their money.
3 A time of third world nation rioting then some civil unrest nearing Q-1 of 2010. Cause a taste of money now taken away but these people are hungry for more.
Positive Rewards of a down economy
After all of these events take place call them corrections on steroids, we will slowly move along not up not down for some 20 to 30 years with moderate signs of upswings here and there and finally after paying the price for easy credit for things we truly did not need nor reaslly earn and with a stable household cashflow in the bank of the masses, America and the Global economy will once again see sunshine days and starry nights.