The Occasional Observer

We're about to hit some nasty turbulence. The crappy plunge in the stock market that is January 2008 is about to get even uglier today, if US markets follow the international lead.

Housing market will continue to decline in '08; sub-prime mess is spreading to defaults on auto and credit loans; unemployment is up and credit market is tight. By the way, another nice feature of the sub-prime debacle is that now our leading banking institutions (due to their own overplayed hands) are being purchased on the cheap by sovereign wealth funds, particularly from Arab and Chinese countries. No downside there, I'm sure. I'm not usually a big fan of regulation, but it seems like some minimal oversight might be required here???