Thursday, January 03, 2008

Money Hacks: 20 Surprises for 2008?

My sister blog, Money Hacks, has a new story on 20 events that could happen in 2008, originally publish on by Doug Kass.

There isn't much good news. There's a lot of emphasis on the two related and current problem areas of the economy, the credit crunch and the mortgage meltdown.

Click the link for some "might happen" events for 2008. Some of them will undoubtedly come true. Some won't. The good news is, there are always investment alternatives that may help you weather the coming storms. Gold and other commodities might be worthwhile places to park your investment dollars and/or cash for a little while.

The Fed, in my opinion, will cut rates quite a bit, until we're around zero or 1 percent. All the while, inflation will run rampant. The yield curve may become as vertical as it will ever get, with short term rates very low (like Japan a few years back) while long term rates will be higher than they are now.

It will be a difficult market. Gold always outperforms in inflationary times. May be a good time to sink money into it. A new gold rush may be in the future.

Money Hacks: 20 Surprises for 2008?