CHESSNOID

It’s really strange that I can read some articles in Bloomberg about housing starts picking up and claims that the housing bottom has occured in the first quarter and the recession will end before the end of the year.  While I read the main headlines at CBS news  that the unemployment rate is over 10% in over 15 states and DC which is the worse in 25 years and that the recession will continue to get worse.

Both articles are correct when they state the facts of their stories.  One puts a positive spin on what might be happening while the other puts a negative spin on what they think may possibly  be happening.  The question is which one do we believe and what actions should we take?  Clearly no one really knows what will happen,  but we can always ask how they draw their conclusions from those facts.

Personally, I am a positive person and like to focus on the “pollyana” of every situation.  Yes, things are bad but I am lucky because it could be worse.  However,  I still believe in the “hope for the best but prepare for the worse” slogan.  Let’s hope everyone starts working soon again and that housing prices stabilize. Just don’t ignore the facts that 4 more majors banks closed, unemployment is still rising to double digits, and that the Obama’s administration to stop foreclosures and improve the economy is failing.

So is the recession over or is it going to get worse?  I don’t know but I lean towards the latter, so I would suggest be frugal, save, and stock up.  And if I am wrong, you will be that much better off when the economy picks up.