More Market Landmarks

More Market Landmarks
But what do they mean? The euro costs $1.5767 at this moment. Bear Stearns has sold for $2 per share. What does this mean for you and your clients? Does the cheap dollar indicate time for a feeding frenzy? Does it indicate a time to wait and see if it drops some more?
For those of us who are holding our money in dollars the situation is even more dire. If we hold our money looking for opportunities, the money may lose even more value. If we buy local assets, they may lose value. If we buy foreign assets and the dollar comes back strong we lose again. In times like these, I have always told my clients either to hold their cash or to buy property depending on the situation. I don’t know what to tell them now.
I do not see the USA economy recovering as long as George Bush is in office. I think it is a safe bet that the Yen and the Euro will continue to rise at least until after the elections. I also think it is a safe bet that interest rates will fall. The problem is nobody wants to make loans. If one can find loans, this fall should be a good time to refinance. I don’t know where to put money though. The American economies are too closely tied to the dollar. China is too dependent on oil. Europe is overpriced. Sorry, no answers today. Only questions.
David Segrest is a REALTOR in Charlotte NC. His website is http://www.segrestrealty.com His email is david@segrestrealty.com