Perspective

by bitznbitez

The economic world is very negative right now.  The decline in market prices isn’t particularly worrisome coming at the end of a fairly long run up, neither is the decline in oil prices, due to a global price war and supply excess.   What is particularly troubling is the negative interest rates.   Zero is less bothersome than negative.   Negative is entering a world we have little familiarity with.   Japan has had negative rates for a while but always within a larger world of normal.

Its important though to keep perspective during times like these.  In my life we’ve lived through the rampant inflation of the early 80’s, the energy shortages created by OPEC.  We’ve survived the banking crisis which was the Savings and Loan crisis ( fun since about 1/3 of S&L institutions failed ).   We’ve lived through the Dot Com collapse.  We’ve survived the outright closure of Wall Street for a week or so.   We’ve survived and returned from the 2008 crisis.

This is yet another crisis, we will emerge on the other side.  There are lots of very smart people, representing wealthy interests, who are doing everything possible to return to “normal”.   A return to normal always happens.   Be patient.

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