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Old 11-25-2008, 01:10 PM   #615
Slava
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Join Date: Dec 2006
Location: Calgary, Alberta
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Quote:
Originally Posted by Potty View Post
Bear with me here, as I am fairly young and new to economics/investing debates, but what I don't understand is that so many "MoneyGuy"s are predicting the stock market rebound based on its history when US economic fundamentals are very different than they were during the times you are using as comparisons.

Massive trade deficits, a service-based economy, massive consumer debt, low savings rates, budget deficits about to reach new heights with the increasing amount of corporate bailouts don't make historic stock market rebounds a very good comparable IMO.

Betting on the market to bounce back because it always has when the underlying numbers are horrible is pretty risky, no?

If that were the only reason than yes, it would be pretty risky. But there are a lot of different factors that make investments pretty attractive right now and over the coming weeks/months.
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