Looking at 2 Spiders for tomorrow

XLP and XLF

 

who could have imagined that Apple would ever drop below 90 and Google is back down to the low 300's?

 

Crazy... i was actually thinking about getting into Apple pre-iPhone release, and granted after that they had a good run. I probably would have held it and I'm glad I didn't buy.

I ended up buying some GE, they're in a low and they'e huge and should recover in a few years. Heck Bershire dumped 3 BILLION into them recently. I'm in with GE for the long term.

Losing money on Goldman right now. Talk about tankage. 85 bucks right now. CRAZY.

 

Goldman and Morgan are holding back the market......

 

The other shoe to drop will be resolution of these credit default swaps.
Lehman is coming in at 9 cents on the dollar right now.
The poeple who are holding the cover for these are going to have to come up with huge dollars. i.e. ~90 cents. that will suck a lot of capitol out of the market.

The big unknown will be what will happen as these CDS bets unravel.
Estimate of CDS market is 60 TRILLION dollars

I'm still trying to understand the intrinsic value of these instruments.

 

this is painful

 

Try being 20 years older than you are.....it's even more painful, when you see what this is doing to a retirement account you hope to have available in 10-15 years.

It's going to take a longgggggg time to recoup from this mess.

 

Pain=opportunity

 

At our age, and with limited $ being available for retirement, I no longer have the stomach for opportunity.

Wanna sell a couple of old folks some CD's???

 

i ain't touching the market till there are some signs of stability.