Tuesday, April 19, 2016

Richard Russell* Warned People To Prepare 
For Something Worse Than 1929 – 1932 
"My thinking is that the market is preparing for one of the worst bear markets in history, one that will out do the 1929-32 affair. My old friend, Robert Prechter, of Elliot Wave fame, believes the Dow will go below 400. If this happens I think there will be doubts about whether the U.S. can survive. It suddenly occurred to me that my job will be to insist that no matter where the Dow ends, the U.S. will survive, just as it did during the Great Depression. In reading the newspapers, I note that almost every article is negative. And at the same time, the state of the country is bearish. Even such stalwarts such as McDonalds and Wal-Mart are having a hard time. An article in the NY Times warns that Apple is fated to go the way of IBM. As for the U.S. economy, I think it will follow FDR’s recipe of make-work programs sponsored by the government. In the 1930s, men working on government programs."
- Richard Russell* (just before his passing away last year)
link here to the article

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