Stock Market Tremors Continue as Investors Struggle to Find a Safe Place By: Curtis Ophoven 2/5/2010 - 2 Comments Here we go again.  2010 could see another global meltdown like we saw in 2008.  Your Ad Here Global stock market tremors continue as the Dow dropped 130 points before recovering after many of the major markets dropped overnight. Investors are worried about just about everything.  Several EU nations appear to bankrupt and threatening the strength of the Euro.  At the same time, the U.S. is planning to spend $3.8T to fund its bloated government entitlement programs, which threaten the value of the dollar.  Japan is a mess and China is very upset about resent U.S. arm sales and increased tariffs that they are threatening the dollar by reducing or stopping their purchasing of Treasury bonds.  The global economy is beginning to show cracks in the wall of debt that is holding back trillions in printed money from flooding the U.S. and sinking the dollar.  Yet, global investors are buying up Treasury Bonds because they have no other alternative to safety. When the safest investment in the world is into the currency of the largest debtor nation in the world, we are in big trouble.  Yesterday global investors were fretting about the debt ratio of Greece because it is 30% higher than their GDP - but what about California?  California’s deficit spending are about 60% higher than their income.  The dollar is not any safer than the Euro.  I think we are on the edge of a steep cliff and the global economic crisis that was delayed in 2008 by massive government printing of money is beginning to come unglued. Related Articles What is the Likelihood of Hyperinflation in 2010, 2011 or 2012? Part 2: How Inflation Gives the Illusion of Creating Wealth The Economic Collapse will Resume as our Vendor Financing Relationship with Foreign Creditors Comes to an End The Job Market is Not Really Improving and Neither is the Economy Which Nation Will Default Next? The Laws of Economics Are Like Gravity, They Cannot Be Avoided   Subscribe via RSS Copyright © 2010 PennyJobs.com. All rights reserved. << FREE >> Weekly Newsletter... Signup today and start receiving our free weekly newsletter! Reader Comments Comment 1 Tim Says: on Monday, February 08, 2010 7:01:47 AM Pimco Prefers German Bonds to U.S. Treasuries http://moneynews.com/StreetTalk/Pimco-German-Bonds-US/2010/02/08/id/349244 Write a Comment Please keep comments civil and on-topic. Abusive or inappropriate comments will be removed without warning.  Name (required)     Email Address (required)     Website URL  Comment

Related Articles What is the Likelihood of Hyperinflation in 2010, 2011 or 2012? Part 2: How Inflation Gives the Illusion of Creating Wealth Inflation gives the illusion of creating wealth because the new money injected into the economy creates a short-term spending spree that makes people feel rich again. Read More... The Economic Collapse will Resume as our Vendor Financing Relationship with Foreign Creditors Comes to an End Over the holidays between family parties, I had a chance to catch up on some reading. Read More... The Job Market is Not Really Improving and Neither is the Economy Today the unemployment rate fell from 10.2 to 10 percent, but a closer look gives little to celebrate. Read More... Which Nation Will Default Next? Contrary to the media cheerleaders that the recession is over, a deeper look at the world economic picture reveals that much darker clouds are on the horizon. Read More... The Laws of Economics Are Like Gravity, They Cannot Be Avoided The basics laws of economics are part of the fabric of every form a money throughout the world. Read More... The Case Against the Fed This book, written by Murray Rothbard, an economist and historian of fairly well known repute, is a scathing attack on not only the Federal Reserve, but the interests that created this institution. Rothbard explains how the Federal Reserve is the true source in the destruction of wealth, which has led to the destruction of the middle class and continues to sift money into the hands of the wealthiest. Meltdown: A Free-Market Look at Why the Stock Market Collapsed, the Economy Tanked, and Government Bailouts Will Make Things Worse In discussions of today's economic meltdown and what to do about it, the Federal Reserve is a stealth helicopter: it never shows up on the radar. With the exception of a few esoteric specialists and those Ron Paul Revolutionaries who burst into chants of "Abolish the Fed!" Historian Thomas Woods notes in this important book, the Federal Reserve bears a large part of the blame for the mess we're in. In the first part of "Meltdown," Woods shows how both in theory and in practice, Fed policy fueled an artificial boom and is now leading us to a much larger meltdown. Gold: The Once and Future Money Governments and central bankers around the world today unanimously agree on the desirability of stable money, ever more so after some monetary disaster has reduced yet another economy to smoking ruins. Lewis shows how gold provides the stability needed to foster greater prosperity and productivity throughout the world. He offers an insightful look at money in all its forms, from the seventh century B.C. to the present day, explaining in straightforward layman’s terms the effects of inflation, deflation, and floating currencies along with their effect on prices, wages, taxes, and debt. Crash Proof Peter Schiff has predicted the economic hardship more accurately then any other economist in the world in this book. Everything from the housing crash to the credit crunch to the stock market. Peter has a plan to help you servive the crash. Peter explains why the Wall Street investment firms are still trying to sell you stocks, and was the house prices are likely to continue to decline for years to come.