"Wall Street in looking over the wreckage of the week, has come generally to the opinion that high grade investment issues can be bought now, without fear of a drastic decline. There is some difference of opinion as to whether not the correction must go further, but everyone realizes that the worst is over, and that there are bargains."
New York Herald Tribune, Brokers Recommend Buying Real Bargains, October 27, 1929
"Everything was not fine that spring with the American economy. It was showing ominous signs of trouble. Steel production was declining. The construction industry was sluggish. Car sales dropped. Customers were getting harder to find. And because of easy credit, many people were deeply in debt. Large sections of the population were poor and getting poorer.
It was this nature of mass illusion. Prices were going up, people bought. That forced prices up further, that brought in more people. And eventually, the process becomes self-perpetuating. Every increase brings in more people convinced of their God-given right to get rich.
At the end of 1929, as they celebrated New Year's Eve, all that lay in the future. Nobody knew that the Great Depression was coming — unemployment, bread lines, bank failures — this was unimaginable. But the bubble had burst. Gone was that innocent optimism, the confidence, the illusion of wealth without work. One era had ended. They toasted the coming of the 30s, but somewhere, deep down, they knew the party was over."
PBS, The Crash of 1929,
"Since God has accepted you to be among the holy people that He loves, you must clothe yourselves with tender mercy, kindness, humility, gentleness, and patience. Make allowances for each other’s faults, and forgive anyone who offends you.
Remember, the Lord forgave you, so you must also forgive others. Above all, clothe yourselves with love, which brings us all together in harmony. And let the peace of the Lord rule in your hearts. For as members of one body you are called to live in peace. And always be thankful."
Col 3:12-15
There was a lot of selling into the year end today.
We may start getting a clearer picture of the markets next week.
The market will always be there.
The people that you love may not.
Have a happy New Year.
