According to the news and general opinion out there, the market fall is to continue in the months ahead. Recent bull run was characterized as a Dead-Cat Bounce and the general graph should continue downwards.
The foreclosures are to spread into the prime mortgage area in the US and no one knows when or how it would end. As a result, investors are afraid to put their money into the market and the companies reduce their earnings forecasts drastically. It is a pretty bleach outlook. In terms of time frame, some mention that this situation should go on for about the next year or so. Looking back, the average market downturn lasted about 8 months and the average recovery took about 15 months. This current one is in the midst of it and still within the average. Not really comforting, though.
The foreclosures are to spread into the prime mortgage area in the US and no one knows when or how it would end. As a result, investors are afraid to put their money into the market and the companies reduce their earnings forecasts drastically. It is a pretty bleach outlook. In terms of time frame, some mention that this situation should go on for about the next year or so. Looking back, the average market downturn lasted about 8 months and the average recovery took about 15 months. This current one is in the midst of it and still within the average. Not really comforting, though.
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