Ken Heebner just came on CNBC today, and while it did sound a bit like he was licking his wounds, he made some key comments that influence investors. First and foremost, he said "WE HAVE A GLOBAL RECESSION COMING." Interestingly, enough and despite making that statements, he expects the downturn to be short-lived.
Heebner maintains that much of the current market malaise has been froma massive liquidation of hedge funds securities and other funds beingforced to de-leverage. This has also increased the fears ofpeople. He also described the bear market from 1973 to1974. He believes the pressure on the equity market will be relievedafter the liquidations slow or stop, and he believes this sellingpressure can only last for days or weeks.
Heebner was also noting how he is finding stocks at unbelievablevalues. The only individual stock he mentioned was Mosaic (NYSE: MOS),which he noted as trading at 3-times earnings. He bet that margincall departments are probably one reason for the stock’s sell-off..
Heebner noted that in a year the market will be looking to 2010to determine the rate the economy will be growing.
Jon C. Ogg
October 8, 2008
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
