Obama and the Stock Market

[auditor0007]

I expect an Obama victory will be very good for the stock market initially. After Obama wins, the country will be feeling better about itself as a whole. The markets will gain steadily in anticipation of Obama's inauguration. By January 20th, the Dow will probably hit 11500 to 12000.

That will be the time to sell, sell, sell. Because once Obama is in and investors begin to understand what is on Obama's agenda, the market is going to crash. By July, expect the Dow to be around 7000.

The one area that will be a good buy is in real estate. By midyear, we will have hit bottom. If you have money, and you want to invest, buy rental properties. Right now, where I live, you can easily make a return of between 5% to 10%, not counting any appreciation in value. Assuming we're close to the bottom, that rate will jump dramatically over the next few years. The only thing is, owning rental properties does involve some work.

 

[editec]

I used to run a youth hostel in Boston. Interesting business.

The ROI on that was amazing. It was a cash business, too.

I think the owner skimmed about half the take, to be honest.

He was rich as Croesus. Nice guy, too.

Given the state of the economy, running a SRO apartment in an urban area sounds pretty profitable. Rents by the week, sort of thing

That's a lot of work though because your clientel can be pretty edgy

 

[Chris]

The economy and the stock market always do better under Democratic presidents.

It's a fact.

 

[del]

The economy and the stock market always do better under Democratic presidents.

It's a fact.

yeah, it really rocked under carter.