Fasten your seat belts...

Discussion in 'The Watercooler' started by witzend, Sep 15, 2008.

  1. witzend

    witzend Well-Known Member

    Is anyone else paying attention to Wall Street and the Lehman Brothers collapse? This has been a long time coming, I'm afraid. I'm really angry that we have been told that "everything is fine, don't worry" for so long. It hasn't been fine, and ignoring it didn't help.:mad:
     
  2. gcvmom

    gcvmom Here we go again!

    Yeah, I heard it on the news last night that it was official. The market closed 400pts down or so. I don't know what's next. The gov't is already bailing out Fannie Mae and Freddie Mac...

    How does a company that size get so deep into trouble? I hope the look long and hard at executive compensations among other things.
     
  3. flutterbee

    flutterbee Guest

    Witz, I'm right there with you. And Bank of America is buying Merill Lynch. Merill Lynch always seemed like one of the 'safe' companies.

    It's gotten to the point where I just can't read anymore. I get too angry, too frustrated and overwhelmed.

    I remember the politicians - from both parties - saying 3 years ago that the economy was strong and wondering what planet they were living on.

    It boils down to greed and knowing that the government will bail them out.
     
  4. Hound dog

    Hound dog Nana's are Beautiful

    Personally.........I'm waiting for another Black Tuesday. My money never sits in the bank at any given time longer than 24 hours.

    Sure, it's insured. Great. But they don't tell you how long it will take you to get it if a panic starts.

    Can you tell I'm a pessimist? lol
     
  5. klmno

    klmno Active Member

    Yep, I'm aaffraid it's going to get worse before it gets better. I hate to think how many years it will take to get the country back on a good track, if it ever happens.
     
  6. witzend

    witzend Well-Known Member

    Having been a bank teller for years and needing to know the laws regarding FDIC deposits, I have to say that not all bank deposits are insured. Only savings are insured. Money checking accounts is not FDIC insured.
     
  7. muttmeister

    muttmeister Well-Known Member

    I think it's pretty scary. I heard them say today this is the biggest financial crisis since the Great Depression. I know we have a lot of safeguards in place now that weren't there then but I really think it's scary out there. What with low wages, lost jobs, mortgage foreclosures, high and rising prices for oil and everything else, and now the collapse of these super-big financial institutions, I think we are in for some real hard times. I just hope that the FDIC and the other safeguards are able to handle it. I can imagine coming out of this and finding that the country is owned by China and the Arabs. Pretty scary.
     
  8. klmno

    klmno Active Member

    Yeah- that reminds me- I saw a clip of them interviewing someone in Washington about the economy and he said if things keep going like this, he's afraid we're going to end up in a recession. Personally, I thought we already were in a recession and I'm worried about a depression.
     
  9. Marcie Mac

    Marcie Mac Just Plain Ole Tired

    I am TRYING not to look at my 401K although I cannot help but notice the big stock report on the MSN page...

    AIG is frantically using a pail to empty the water in the boat that is filling faster than they can empty it. If I worked there I would have to definately be sedated because part of the compensation package is their stock - down from a high of 67.00 or so to 12.00 or so.... And I think they are trying to do a loan on the policy holder surplus (reserves to pay claims) to help shore them up for their day to day operation. And this is BEFORE they know what kind of claims they have for the recent weather disasters..

    So I guess BofA is going to be increasing their fees even more to help pay for this acquisiton??

    Its just crazy..

    Marcie
     
  10. Star*

    Star* call 911........call 911

    This whole country needs a do-over.

    Yes I have been watching this "takeover" by Bank of America who owns so much now they are a mega-conglomerate. I am not sure HOW that can happen to buy Merril Lynch for 50 billion (wasn't it) and yet Bill Gates is told he can not be what he worked for?

    Our gas went down today from $5.99 to 3.99 - and I laughed when I saw that thinking - Well THAT'S better.

    We're on CRISIS mode in our home. We've cut back on food, lights, air, going places, and even mowing the lawn (due to gas cost) I am not Henny Penny - but I just don't see this getting any better for the common man.

    And as far as the election? WOW - Irregardless which candidate you are behind - this country is in the worst mess it's ever been in, in MY lifetime.

    Someone really has a job cut out for them - and then you think that every election and get disappointed almost every 4 years. This hoovers.
     
  11. witzend

    witzend Well-Known Member

    Well, it's the largest one day drop on Wall Street since 9/11/01. At least then we all had something we could look at and rally behind stopping. I'm really upset that all we're getting at this point is mud-slinging. This is not a political opportunity for candidates!
     
  12. ML

    ML Guest

    I'm scared too. This is really bad and out of control and I feel so powerless. My new hobby is couponing and I'm saving here and there but if things get much worse we'll have to take in boarders!
     
  13. Marguerite

    Marguerite Active Member

    Normally a crash like tis flows on badly to Australia (among other countries). But tey were saying today, our banks are actually fairly well shored up this time, we're feeling a bit of pinch but nobody here is going down, thank goodness.

    There are likely to be other, longer-term flow-on effects though, over the next few months.

    My big question - how is this going to impact your upcoming election?

    Marg
     
  14. muttmeister

    muttmeister Well-Known Member

    Marguerite- That's a good question. One candidate has been harping on the economy for awhile. The other has come to it later. They both have very different plans and perspectives. But, honestly, it is such a mess that I doubt if either one of them could do much in the short term. I do definitely have a preference (won't say which one here) and feel his economic plan is far better than the other guy's but who knows how people will vote? I'm disgusted by the whole election here. It seems that we are focusing on lots of silly stuff that means nothing and that those things are taking time away from discussing the real issues facing the country. And the campaign has degenerated to the point that one candidate says black is white and the other says it's blue so we are all left scratching our heads. Very frustrating, to say the least.
     
  15. klmno

    klmno Active Member

    Ditto
     
  16. Hound dog

    Hound dog Nana's are Beautiful

    That's it Witz........fuel my paranoia. :rofl:

    I'm not looking to either candidate to fix the economy. Not gonna happen. Not really within their scope of power, except vetos and such. I think congress needs to be leaned on to really put their fannies into gear and actually do something for a change. Instead of making it worse. They need to start using their brains and conscience instead of worrying about getting re-elected the next time around.
     
  17. Marguerite

    Marguerite Active Member

    The news tonight in Australia had a very different slant - tonight's finance report said yes, Australia IS feeling the impact of the US crash. I'll know more tomorrow.

    And politically - just today, we just had our Opposition party change their leader. The new bloke is much more "out there" and I'm sure he is going to use this to make things very hot indeed in our own government.

    This sort of thing has a knock-on effect in so many areas, right around the world.

    Interesting thing - difficult child 3 has a History assessment task at the moment, on what it was like to live through the Great Depression. Australia got hit hard by it, apparently we copped it harder than just about anywhere else in the world due to where we were at the time, politically and economically. Here's hoping we don't have to experience it again.

    Marg
     
    Last edited: Sep 16, 2008
  18. everywoman

    everywoman Active Member

    Unfortunately, as Americans we live in a paradox that can not be fixed. We want to work for the highest salary for the least amount of work and buy products for the least amount of money. It doesn't work both ways. If we want to make the salaries we want to make, yet are only willing to pay bottom dollar for the goods and services we acquire, we are shooting ourselves in the foot. So, all those former high paying manufacturing jobs are being sent overseas and we are importing all of our products. We have to find a way out, but I'm not sure of what the solution will be. But...I know...we can't have it all---high wage jobs and low prices.....
     
  19. Hound dog

    Hound dog Nana's are Beautiful

    Very good point Everywoman. I don't want a high paying job. I want a job that pays me enough to survive comfortably. And I don't necessarily always look for the bargain if I'm looking for quality. But then.......I'm old fashioned. And I'm not so hard to please. :)
     
  20. everywoman

    everywoman Active Member

    I'm not talking about anyone in particular, but just American's in general. We aren't training for trade careers at all. Have you tried to hire a plumber lately? An electrician? I live in a small town of 8,000. We have a paper mill, a steel mill, a wire plant. No one around here teaches any skills needed---no machinist skills anywhere in SC that I know of.

    We teach all of students that they need a college education. They all think a 4 year education and are aiming for that. Well, it won't happen for many and many don't need that. We don't teach passion and pride in work. We don't teach honor in a hard's day labor. And I find that a disservice to young people.

    And I am always on the look out for a bargain. I think I will try to buy American as much as possible in the next few months. Put my money where my mouth is, so to speak.
     
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