Hyperinflation Worries Laid to Rest, Part II
There is one major difference between Zimbabwe and the U.S.

In Part II of this article, EWI's Jason Farkas explains further why hyperinflation in the U.S. is likely not something we should worry about over the next few years -- and what signs to look for when it does become a real threat.

Hyperinflation Worries Laid to Rest, Part I
There is one major difference between Zimbabwe and the U.S.

The situation in the U.S. situation is different from bouts with hyperinflation in Argentina, Mexico and Brazil. It also seems reasonable to examine hyperinflation in another nation -- Zimbabwe -- in order to answer a few important questions...

10.2% Unemployment Today on the Way to 33% Tomorrow

As bad as that unemployment level is now, the upcoming bear market and accompanying deflationary depression will make it worse, says Bob Prechter. Here's why.

Real Estate’s Latest Chapter
The problems of the commercial real estate market are too large to ignore.

Large commercial buildings are illiquid. This is especially true during an economic contraction and credit crunch. Although roughly half the size of the residential housing market, the commercial real estate market is still twice the size of the total U.S. stock market, so its problems are too large to ignore. They include...

15 Forecasts That Came True -- and More to Come
Conquer the Crash 2nd Edition Available for Pre-Order Now

“Conquer The Crash” Is More Relevant Today Than Ever Before

Dow Below 9000: The Con(fidence) Game is Up

People have lost confidence, and the markets reflect their concern. Without confidence, the financial house of cards falls down. This is exactly what Bob Prechter writes in his best-selling business book, Conquer the Crash.

U.S. Financial Crisis: NOT A "Shock" To Our System

Think the U.S. economy has gone to the dogs? You may be more right than you thought.  A Wednesday, August 27 L.A. Times article explains why consumer confidence is sinking to a 40-year low, via a science experiment involving -- well -- two obedient canines. Here’s the gist:  

Why “Conquer The Crash” Is More Relevant Today Than Ever Before

Bear Stearns Explained: How Financial Values Can Disappear

The big question that still remains about the demise of Bear Stearns is, how did its mortgage-backed securities lose their value so quickly? It's a question that Bob Prechter has pondered in a more general way for his best-selling business book, Conquer the Crash. In this excerpt, Bob carefully explains exactly how financial values can disappear.

Do Stocks Reflect The Economy?

Credit Crisis: Before & After

Stocks, Real Estate, Forecasts: The Long & Short

Several times on this page recently I've talked about housing and stock market forecasts that Bob Prechter (and other Elliott Wave International analysts) made several years ago. We've heard from a great many subscribers who were helped by these forecasts. Yet I've also heard from folks who correctly point out that, from the 2002 to the 2007 high, the Dow Jones Industrials virtually doubled. Their basic question is, didn't we miss a big opportunity to be "long" or make the even bigger mistake of being "short"?...

The Fed Can't Stop Deflation
Five rate cuts and $200 billion later, and the U.S. economy is none the richer.

Whether it's minutes from the most recent Federal Open Market Committee, excerpts from the latest beige book reading, or some suggestive cough or sneeze in between -- the mainstream media answers the call of the Fed’s voice like a cat to an electric can opener. History shows, however, that all the Fed has to say -- and do -- comes AFTER the biggest moves in U.S. economy have already taken place.

The REAL "First Big Book on the Credit Crunch"
After the Fact Acclaim: Irony Speaks for Itself

Yesterday I said that the Economist magazine had just published a favorable review of a book about the housing market crisis. The author is a respected financial journalist, and a thumbs up from a publication like the Economist suggests a book that deserves to be taken seriously. But consider these other quotes, specifically the "who" & "when" behind them...

Super Bowl to Super Tuesday to Super Economic Letdown

The Super Tuesday primaries are history, and we still don't know who will be the Democratic and Republican nominees for the U.S. presidency this year. It's a situation similar to not yet knowing whether the U.S. economy has already slipped into a recession.

Rating Services: Safety In Letters?
Time and again, the top-notch Rating Services of Wall Street do not see the real value of a corporation until it's too late.

According to Wall Street, well-established rating services are to corporations what Roger Ebert is to cinema. Two thumbs up or AAA -- it's all the same. Or is it? Time and again, the hired prognosticators do not "see" the real value of a company until its completely obvious to everyone else. By then, it's too late...

Are Banks Worried About You?
Furrowed brows, maybe, but for who?

Stock markets closed lower today, Monday, August 13, 2007

How to Dodge the Credit Collapse
Once you understand the game, it's easy!

Things are getting wild out there. The S&P 500 had its biggest one-day drop in 6 months on Friday (August 3), the same day Bear Stearns CFO said the "bond turmoil is worse than the Internet bubble." Cramer threw a tantrum on CNBC. Industries, funds, markets and individuals are hemorrhaging money. A million homeowners will enter foreclosure this year. You're probably wondering what will happen next.

Housing Hollowed Out
Never trust a muskrat

The housing market is beginning to resemble a watermelon I once floated in a pond overnight to cool. The next day a small hole was in one end and the red interior was completely gone, hollowed out to the sour green rind, sculpted by little teeth. Some muskrat had a feast.