The coming financial crisis

[PoopyfaceMcGee]

This article is saying it will take 16 more months for the mortgage mess to play out:

http://www.msnbc.msn.com/id/20216643/

I am sticking with 24-36 months personally.

Seriously, should I move some retirement money into protected bonds or some shtein?

[Diomedes]

Yeah, if you're 60 and all your retirement is based on the market.  But since you're a youngin', you've got plenty of time to let that shtein ride.  Between this "crisis" and the time you'll need the money it will come back just fine.

Or it won't and the whole U.S. empire will fall.  But if that happens your bonds won't be worth shtein either, so just relax moneylover.

[PoopyfaceMcGee]

Ha.  Well said, and on point.  C-.

[SunMo]

i'm going to cash out my 401K and buy a car, that's a good investment, right?

[PoopyfaceMcGee]

Gas guzzler of some sort - good investment
Economic / Family car - bad investment

[Susquehanna Birder]

I still have my retirement (401k, IRAs) in equity funds...but before I left for vacation, I liquidated all my non-retirement stocks. I figured I'd enjoy vacation more knowing that my position was all cash.

That said, I'm sitting on a short-term loss because of the last few months. Hopefully I can do some wheeling and dealing to mitigate it a bit.

[Butchers Bill]

This article is saying it will take 16 more months for the mortgage mess to play out:

http://www.msnbc.msn.com/id/20216643/

I am sticking with 24-36 months personally.

Seriously, should I move some retirement money into protected bonds or some shtein?

As Dio mentioned it depends on your age.  It also depends on whether or not you make regular contributions.  If you have a 401(k) where "X" amount of dollars are buying the same funds month after month you will be able to buy more shares at a lower price in the event of a "down" market.

My advice is buy commodities...food, water, energy.  Alll are recession proof.

[Zanshin]

I buy food every week.  I'm golden.

[Susquehanna Birder]

Anything is better than equities right now. Well, almost anything.   

(Happy I jumped out after seeing the trend the last couple of days.)

[phattymatty]

i prefer to invest my money in the craps and blackjack tables.

[Rome]

i prefer to invest my money in whores and blow.

[phattymatty]

either way i feel secure in my decisions.

[Susquehanna Birder]

i prefer to invest my money in the craps and blackjack tables.

The irony is that you might be doing better with this decision.

But I understand. Since I also partake in some of that, I know that I can at least get my Borgata room (and food) comped.

[ice grillin you]

.5 rate cut

[Diomedes]

Opinions on Bush's mortgage bail out plan? 

Seems to me, borrowers took loans they couldn't afford, and lendors (who really should know better) gave loans to unworthy borrowers, and in the end, Bush is forced to shore up the whole thing by Federal fiat (how conservative of him, right?) or risk the damage spreading throughout the whole economy.

so a bunch of irresponsible people and companies basically hold the rest of us ransom.

What will happen to new borrowers now?  Will this make credit harder to come by?  What will happen to real estate values?