y2k denial/DJA denial

greenspun.com : LUSENET : TimeBomb 2000 (Y2000) : One Thread

Its true the market may tank today, but it may not too. The knowledgeble invester is pulling out of the market. However, the bulk of the money in the market is not from the knowledgeble investor. Most of the money is in 401Ks and other retirement funds. Even those who are just buying on a monthy basis through their broker, don't have a clue. Their money is going into the market instead of their savings account. They don't listen to Greenspan, they don't understand what 1% inflation means, they just have a warm fuzzy feeling because they are "investing". They are the same people who give the same amount of thought to Y2k. They DON'T THINK ABOUT IT AT ALL !! And none of them have lived through a crash of any kind. Its just been up and up for them. And they have picked up the mantra of their broker, "we are in for the long haul". So, the money is going to continue to come in for awhile after all indicators are that the market should have flown south long before. It will take a week or so of hammering from the news media before these people wake up and start cashing in their 401K, etc. THEN is when they will find out the true meaning of "we are in for the long haul" as its going to be a hell of a long haul to get back up to where they were. The prudent investor has already removed their money and is sitting by the side lines waiting to see what shakes out after roll over. We figure we will be able to buy stocks of the 'survivor companys' for ten cents on the dollar in about 3rd qtr 2000.

Taz...who believes its just reaching the edge of the down hill slope.

-- Taz (Taz@aol.com), October 15, 1999

Answers

I don't think most people will remove their money per se, just move into 'safe' investments, like T-bills, gold stocks, etc., at least in the beginning. Curtesy of those whacky tax laws.

If it ever gets to the 'remove your money' stage, then most anything will be worthless if you only have a piece of paper.

Kookster

-- Y2Kook (Y2Kook@usa.net), October 15, 1999.


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