Your Stock Market Nightmare Isn't Over:
7 Reasons Why the Market is Not Going up Anytime Soon
PLUS, 3 Trades to Make Money From the Market Now

• «
• »

Reason #7: The Government is Grasping at Air

Yes, Uncle Sam is going to continue buying stuff and stimulizing (a new word for the new economy) with money it prints, including the Fed. And -- getting back to pure Yogisms -- it ain't gonna work.

The net decline in wealth -- including the stock market and housing and private equity and such -- plus the withdrawal of credit is $415 trillion or more. You think $700 billion for concrete and a fat guy holding "Go Slow" sign is going to help?

Roosevelt calmed people by wasting a fortune in and on the Works Progress Administration -- great buildings, better murals, not a lot of long-term economic impact. We are a bit too advanced for that kind of naïve reaction. Not to mention the government is going to need many more trillions to fix the financial system. And that's the rub -- even Uncle Sam cannot help too much, long term, as the world kicks its addiction to excess credit and with that goes a big drop in fundamental demand, from the U.S. to China.

So What is An Investor to Do?