economic recovery

Perhaps you’ve been hearing this very graphic Wall Street trader term bandied about during these tumultuous times. It’s actually been used for decades as a warning to investors that buying into temporary rallies during bear markets can be wealth-threatening.

The other well-worn phrase is “Don’t catch a falling knife”. That refers to watching your favorite stock taking a plunge, and buying more in the often mistaken belief that the fall is temporary.

Actually I think these terms are perfect warning signs right now. After a brief four day rally some Wall Street pundits are predicting the bottom has been reached, and the markets will soon come roaring back. I am an insufferable optimist, and wish I could share their enthusiasm. It’s just that facts get in the way.  read more »

This is a list of what CNNMONEY.COM says President Obama must tackle in his first 100 days in office.

1. Get recovery package passed and implemented

Topping Obama's economic to-do list will be getting an economic stimulus bill through Congress.

Obama has gone out of his way to tamp down expectations. He's noted in several speeches that the economy will likely get worse before it gets better. And even his top economic advisers say that the best his proposals (most of which are included in the House Democrats' $825 billion stimulus bill) can do is to create or save between 3 million and 4 million jobs. That's enough to keep the unemployment rate from getting worse by 2010, they estimate, but not enough to actually reduce it from where it is today, at 7%.  read more »