I posted a bunch, trying very hard to avoid anything from political-party-leaning sources.
The last 2 are Warren Buffet, and while he does tend to have political leanings, he is also the most successful investor ever, If anyone can predict the economy, its him. Thers also an Alan Greenspan article in one of those, where he does predict good things for the economy, but from reading the article, its obvious hes only saying good things to avoid hurrying along existing problems. pretty scary.
I still say invest in European/Asian markets, avoid investing in the US at this point. Most major international investors have slowly been getting out of the US stock market.
Basically, the US housing market is currently keeping the economy afloat, and this can only last as long as interest rates remain low. High oil prices are causing inflation, and the only way to deal with inflation is tob raise interest rates… It doesn’t take much to realize this can only end badly. When interest rates get a little higher, which they will, Greenspan pretty much guaranteed that, all those fun 1% Variable Rate home loans will climb… it wont take long before it climbs high enough that many people can no longer afford their mortgage payments. this means a lot of people will either default, or sell their house. However, since they spent so much on thier house, in a flooded market, it only takes a small dip in housing price to mean that when they sell their house, it won’t even be for enough to pay off their mortgage… Oil prices are/will continue to rise, inflation will continue to rise, this means interest rates have to rise. Oh wait, we’re 8trillion in debt, and now we have to pay more interest on it? Looks like taxes will have to go up to pay the interest. too bad they’re trying to cut taxes again…
Higher mortgage costs + inflation + higher taxes = ???