Anorak News | The Worst Financial Predictions Of 2008: Bush Was Right

The Worst Financial Predictions Of 2008: Bush Was Right

by | 29th, December 2008

PETER Coy “some of the worst predictions” – financial – that were made about 2008.

Of course, everyone who lost money made a bad prediction. But still, the three picks are herunder.

But one of these 10 is plain wrong:

4. “The market is in the process of correcting itself.” — President George W. Bush, in a Mar. 14, 2008 speech

For the rest of the year, the market kept correcting and correcting and correcting.

And Bush was wrong? No, he was right. You’ll miss him when he’s gone.

The rest:

1. “A very powerful and durable rally is in the works. But it may need another couple of days to lift off. Hold the fort and keep the faith!” — Richard Band, editor, Profitable Investing Letter, Mar. 27, 2008

At the time of the prediction, the Dow Jones industrial average was at 12,300. By late December it was at 8,500.

5. “No! No! No! Bear Stearns is not in trouble.” — Jim Cramer, CNBC commentator, Mar. 11, 2008

Five days later, JPMorgan Chase (NYSE:JPM – News) took over Bear Stearns with government help, nearly wiping out shareholders.

9. “In today’s regulatory environment, it’s virtually impossible to violate rules.” — Bernard Madoff, money manager, Oct. 20, 2007

About a year later, Madoff — who once headed the Nasdaq Stock Market — told investigators he had cost his investors $50 billion in an alleged Ponzi scheme.

Ponzi. Madoff. The clues were there…


Posted: 29th, December 2008 | In: Money Comment (1) | TrackBack | Permalink