(5.00 out of 5) (5.00 out of 5) (5.00 out of 5) (5.00 out of 5) (5.00 out of 5) (5.00 out of 5) (5.00 out of 5)
(4.80 out of 5) (4.67 out of 5) (4.50 out of 5)Credit card and finance computations can make your head spin, we have developed common calculators to assist you.
Random Word:
"Credit card brand" refers to the logo on the credit card, such as Visa... ...more
While we would all like to believe that the recent rises in stocks indicate the end of the worst recession in more than seventy years, we need to be cautious. The optimists will tell you that we’re heading in the right direction. The pessimists will tell you that we haven’t seen the worst of it yet, and the realists will tell you that nobody knows what’s going to happen next.
It appears that the stock market bottomed out in March. Or so we think. Even the experts won’t give us a straight answer on this one. This is the wildest financial ride since the Great Depression, and no one seems to know what to predict for the immediate future. The financial wizards are still scratching their heads over the gains we’ve seen in the past three months.
The three months of stock increases could very well be just a surge in the recent bear market. It is possibly a sudden spike in stock prices before the market falls even further than it did in March. And it could also be the beginning of the end of the recession. It’s too soon to tell. Financial experts are hesitant to put their reputations on the line by committing to forecasts for the next three months.
Whether we are experiencing a fluke increase in stocks or the onset of a much-awaited bull market remains to be seen. We shouldn’t start celebrating just yet. But one thing to keep in mind is that when the market swings downward, the swing back up will match the intensity of the fall. This means that when the market climbs out of the dismal hole it has been in, we can expect extraordinary gains. This is something to look forward to but not something to expect immediately.
While it is evident the stock market has improved in the past ninety days, there is speculation that unemployment will continue to take its toll on Australians. Our economy is still weak, and unemployment is expected to rise even more during the second half of 2009. Along with the growing unemployment numbers, we can expect to see lower housing prices, decreased revenues for service and product businesses, and retailers struggling as a result of decreased consumer spending.
What does all this mean for the average Australian? It’s difficult to tell. There are signs of financial hope, but this may not be a long-lasting improvement. It takes anywhere from two to seven years to recover from a recession. Considering the magnitude of the current recession, it is probably frivolous to think we could actually be climbing out of it.
On the other hand, is there any harm in having high hopes and optimism to see us through these difficult financial times? It’s always a good idea to look at the bright side of a situation and to look forward to better times as long as we’re not fooling ourselves into denying the less pleasant aspects of our circumstances.
Those that lived through the Great Depression know that it’s possible to endure dire financial situations. They know that difficult times can make people stronger, more resourceful, and less apt to take their daily comforts for granted. We need to keep in mind that eventually this frightening financial fiasco will end. We will learn some valuable lessons and perhaps be more cautious with our money for the rest of our lives because of it.
Australia hasn’t seen a financial situation like this for quite some time. Not even the experts who are paid to analyse the economy can give a definitive prediction for the coming months. For now, we just need to continue to prepare for the worst and hope for the best, which is what the experts seem to be doing.
Related Posts:
(5 Votes, Average: 3.80 out of 5)
Loading ...
Printer Friendly Version
Next Post: The Demise of Executive Bonuses
A Cheaper Holiday (previous post)
No comments yet.
RSS feed for comments on this post.
Leave a comment