The Problem is Not Fixed...Economy

So everyone held their breath yesterday as the market whipped down and up, same for today. As far as what has happened to cause the markets to get tipsy...all of those factors are still in play, nothing, nothing, has changed the course of events that have caused this weakness. Sooner or later this market will fade down again, California is hitting new levels every month of homes going into foreclosures.

All of the shaky loans to people who probably shouldn't have gotten them are still out there. And it was only last week that it became public what many were talking about....that the bond insurers did not have enough set aside for losses, it was being invested to make more money. Nobody thought the music would stop playing and the piper have to be paid.

All keep hoping we have hit the bottom of the housing market, but it really has only begun. Yikes.

The market had a nice little bounce today, up 300 points, but it is gonna prove to be a dead cat bounce. This is a good opportunity to move that 401k to safer segment if your group/company gives you that option. People are thinking the worse is over... "I'm glad I didn't sell, now it can start back up again"....like all the other times. This isn't like the other times. I have never seen times like this in the finance community.

I have moved my 401k money to the side lines some time ago. I am still looking for a safe place for it. But I don't think being in mutual funds is a safe place right now.