Thursday, January 17, 2013

Economic Conditions that Effect the Market


  •  “For everyone examining the root of the tree, there are a thousand hacking at the branches.”  Henry David Thoreau

  • The threat of Euro Collapses.  – While the US Economic conditions have little effect on Europe – Europe’s economic conditions affect our economy greatly.

  • Over 15 Trillion in US Debt.

  • Banking scandal.

  • While the ignorant compete the wise cooperate.  Our elected leaders continue to be void of compromise.

  • Threat of war looms with North Korea and Iran.

  • Uneven distribution of wealth.

  • Worldwide rising up of people to take back their government.

  • Occupy protests not limited to “Arab Spring.”

  • Corruption of Wall Street – the backbone of capitalism.

  • Foreign Trade Deficit.

  • Ongoing threat of terrorism.

  • The ongoing “Hate of Americans by those whose political affiliation or religious differences.”

  • Congressional corruption (7% approval rating).

  • S&P lower US Bond rating.

  • Removal of most of the above and the market can progress in a prudent and realistic manner.  Without the above being addressed, the investment arena resembles a roller coaster in which large investors play the market as skillfully as a concert violinist.