Are We Talking Ourselves Into A Recession?

CNBC:

Talk may be cheap, but the endless chatter about a looming recession may wind up being very costly to the US economy.

As Wall Street and Washington fret over what measures are needed to combat an economic downturn, there's another debate brewing about whether the nation is talking itself into a recession when one neither exists at the moment nor is a foregone conclusion in the future.
AP

"We're over-reacting to the recession word," Dow Chemical Chairman and CEO Andrew Liveris told CNBC. "Lots of people get together and talk to each other and people believe the psychology."

Read the whole story: CNBC

Comments

[mmckinl]

The bankers have screwed the pooch ...

Greenspan must be very proud of himself, his criminal negligence has brought the world to the point of financial chaos.

The Worldwide Private Central Bank scheme is now on display and the picture is of a class of leaders that only exist to engorge in an orgy of profiteering through usury and deceit.

[fourex]

The people who walk to work are only reinforcing their inability to pay the increased transit fare. So yes they are bringing it on themselves.

[truthyguy]

Yes, we are talking ourselves into a recession.

Those for sale signs on every street, the record bank foreclosures, the unemployment numbers, the losses reported by companies on the stock exchanges and the national debt are all just illusions. They are not really there. Ask Bush.

[HamsterFist]

It is hard for the little man to talking themselves into a recession when the coming DEPRESSION is being orchastrated to enslave (further) the middle class. Most recessions take wealth from us (I assume most of you are not in the top 1%) and give it to those at the top. Your dollar invested did not just disappear, it actually went somewhere, where do you think it went?

Do not think the dems are going to save you either. Different mob family, but same scam for the bankers. I suggest that you purchase vegetable seeds and perhaps a gun with your tax refund.

[mrcontinental]

An eye opening article, enjoy:

http://globalresearch.ca/index.php?context=va&aid=7894

[mrcontinental]

Just in case anyway is keeping score:

The world's richest political entity, according to the CIA's "World Factbook," is the European Union. The EU's 2006 GDP (gross domestic product -- all goods and services produced domestically) was estimated to be slightly larger than that of the U.S. However, China's 2006 GDP was only slightly smaller than that of the U.S., and Japan was the world's fourth richest nation.

Keep listening to those idiots that say that the world cannot survive without the USA economy. Leave the GOP in power if you wish.

https://www.cia.gov/library/publications/the-world-factbook/rankorder/2001rank.html

[mrcontinental]

Investors don't buy Bush’s bogus economic bailout.

The fiscal destruction of USA Inc. has arrived. Last week we saw the loss of $7 trillion of equity in U.S. capital marketplaces.

In other words, $7 trillion in total equity value of all publicly traded U.S. capital marketplaces was lost in shareholder, bondholder or other equity stakeholder value.

This is the greatest single weekly loss of equity holders ever. And since U.S. citizens hold about 75% of all domestic securities outstanding, they are the ones who felt the brunt of that diminishment.

Furthermore, we see that a large issuer of money market funds, Legg Mason Woods, has depleted its remaining capital base in an effort to keep its money market funds from collapsing -- and had to turn to KKR for a billion-and-a-quarter-dollar loan in order to stay in business.

Also late week, municipal money market funds came under renewed pressure. We also reached another benchmark last week when, for the first time in history, a bond-rating agency, in this case, Fitch's, downgraded the credit rating of the largest bond insurer on the planet, Ambac, which happened on Friday (January 18, 2008).

[KRANKY]

Check this out: http://blogs.wsj.com/deals/2008/01/21/movie-night-jane-fondas-take-on-financial-crisis/

"Rollover", 1981, starring Jane Fonda, Kris Kristofferson, Hume Cronyn.

Just wait for Tuesday morning, after presidnet george w shitforbrains speaks the night before.
Imagine the meltdown if the markets were open when the jerk was speaking!

[ajax2]

The fact that some people don't eat only reinforces their believe that they have less money for food.

[ajax2]

No.

[DeeLight]

NicoleAnonymous - Thanks for letting me know that you also had confusion over the posting comments thing.

Thought it was just me but now that I know at least one other person has the exact same problem I'm inclined to agree with you that it must be the website and not us.

Thanks!

:)

[pennyfortheguy]

Yes. We are. But not undeservedly so.
Hopefully along the way we'll winnow out some of the shallow excess. Fewer Starbuck's etc...

[loki]

"Over the last year, the average cost of food and beverage in the country has risen by nearly 5 percent — more than in the previous 25 years, by some calculations — forcing shoppers to either fork out more cash or do some creative economizing, or both."

http://www.stltoday.com/stltoday/news/stories.nsf/stlouiscitycounty/story/ACA7A4872803FCFE862573DC001E1E63?OpenDocument

[gappytoofcondi]

The headline should read- "Is the MSM denying the recession is here?" Gee, not too unlike the reporting of whether Iraq is in civil war.
The wreckless spending, unending war, running up record debt by this WH, along with the unethical/cultural depravity of our CEO's have no impact on this economy. We are all chicken shits for not going out and running up more debt on our credit cards to keep the GOP looking good.

[macguyver]

this has got to be the stupidest headline ever. the financial markets are based on fundamentals. there are definite swings in the market whenever news comes out, but as the stock drops on the news, it is bought up to reap profits by those who base their stock purchases on reason, not mood swings.

consumer spending has patterns & are charted year after year. these predictions are part of the basis for the year ahead estimates which have a great degree of accuracy.

talk isn't what is drawing us into a recession. this sounds like the bush administration - "torture isn't the problem, it's people talking about it that's the problem."

our national debt, devaluation of the dollar, subprime lending fiasco, oil switching to euros as its trading basis, politicians using china to prop up our debt, $2 trillion pouring out of the country to pay for iraq. on & on it goes as the people in charge of money deal out bad policies & short term greed based decisions.

we didn't attack iraq because of the oil. there were new fields developing in latin america closer to home & saudi arabia has always covered the shortages for a price. we attacked because iraq made 30% profit by switching to petroeuros instead of petrodollars. hugo chavez has also decided to switch to euros, which is partly why he has been a thorn in bush's side. since nixon dropped the gold standard, the only thing propping up our dollar has been the fact that oil is traded in dollars. but now the shift is growing towards euros, which will make dollars less attractive for other trades by the world.

we could try talking up "happy thought" but that's really not going to make the problem dissappear. we already have the propaganda arm of the administration talking up happy thought to no avail (fox news).

so was it talking about the hole in the side of the titanic that caused it to sink? damn blabbermouths in steerage!