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Dow ends day with 553 point jump. Ends 4-day slump.

Though nervous about the recession and nearly $1 trillion in stock value that was lost the past four trading days on the market, many traders took action and purchased huge quantities of stock when the S&P's 500 looked like it was recovering from its own trading lows.

Investors on Thursday were positioning themselves aggressively, partly due to hopeful good news most are expecting to come from a meeting in Washington next week where world leaders are expected to attempt to mend the world financial troubles through bailout agreements.

Anticipation was the catch word on the trading floor.

Thursday's rally was proof that many traders are hoping the world economies will be able to put together stimulus plans and multi-billion dollar bailouts that will help to end the world recession quickly.

While many still forecast a rocky future for the stock markets around the world, the fact that the market aggressively jumped into positive territory on Thursday is a great sign to many analysts.

Don't expect the worst to be over though.

Most analysts and insiders believe the worst is still to come, but Thursday's jump is leading many to believe that there is light at the end of the tunnel.

Dow off nearly 200 points, continuing on multi-day slump

News of a government plan to renegotiate the bail out plan didn't help to level off the decline in stock value. All 30 stocks in the Dow-Jones ended lower; however futures trading late on Tuesday signaled a possible turnaround for Wednesday.

Tuesday's slump marked a continued concern that GM may collapse and weak retail sales in addition to Starbucks faltering and falling oil prices.

Oil Prices Continue to Fall as Demand Subsides

Now at the lowest barrel price since March of 2007, oil closed late last week at $60.76. That's roughly a 59 percent fall since last July.

A recently unveiled $586 billion bailout plan for China could do little to stop the falling price of crude oil. Things here in the U.S. continue to get worse. Since, the oil industry is heavily dependent on the U.S. for oil consumption, it would seem that little can be done to stave the fall of crude oil until signs of an easing recession show.

Not helping matters is the auto industry's continued free fall. U.S. car sales are at a near 25-year low, which only encourages falling oil prices.

With no immediate end in sight, crude oil will continue to fall.

Tickets Go For Thousands to Next Year's Big Event

Ticket brokers are asking for upwards of $20,000 for President-elect Barack Obama's inauguration next January. Some 250,000 tickets for the event are the most sought after in recent memory.

How are these brokers getting the inaugural tickets that are usually handed out for free? Many will purchase them from Capitol Hill employees and people who get them from Congress members. The government will release the tickets just before the inauguration and many orders will obviously not be filled as brokers will have no certainty of getting the quantity they want.

Inauguration organizers are doing their part to put a stop to the ticket scalping, but some believe many tickets will be available for purchase but the cost for the tickets might sky rocket upwards of $40,000 a piece.

New President Elected: Nation Gets Ready For Change, But Will the Markets?

To the victor go the spoils ... and the economic mess. President Elect Obama and the now Democrat-controlled Senate and House will have one of the toughest tasks in recent history in store for them when the new administration takes office in mid-January.

Plans will be finalized on Wednesday for the borrowing of a record $550 billion that is to be spent in the next three months before the end of the Bush administration. In addition to that amount, the Treasury Department stated that an additional $368 billion will be needed in the first quarter of 2009.

Stocks were up in Asia as the events of the election unfolded Tuesday night. Investors seem to be looking forward to the end of the political uncertainty. This week should see some pleasantly received positive gains for the market.

How much of a change to the market is to be expected? Only time will tell. But whatever the increase is, it is not expected to change the projected amount needed to bring the economy out of recession.

Global recession fears hit Wall Street

Flucuating wildly again on Friday, the Dow ended down more than 300 points on fears the rest of the world's markets are headed into recession territory. While not as grim a decline in stock value as many analyists had predicted today, the Dow is still down for the week and at its lowest level in 5 years.

Stocks all over the world tumbled as third-quarter earnings came in. It's becoming increasingly obvious to many investors that the world economy is headed for a severe downturn. Government interaction is doing little to quell concerns that the market won't be stablizing anytime soon.

Now at just over 8,300 points, the Dow is at its worst since April of 2003. It fell nearly 5.4% for the week. Next week is not likely to bring any relief and most believe things will get even uglier. With the holiday season right around the corner, recession fears and rising unemployment rates might make it a very unhappy holidays.

Top economic advisor lists states in recession

Recently, President Bush's economic advisor used the word "recession" when describing the economic situation in several states. Many others are said to be on the borderline of falling into recession. Here's the breakdown:

In recession

Oregon, California, Nevada, Arizona, Idaho, Wisconsin, Iowa, Illinois, Missouri, Arkansas,Tennessee, Mississippi, Alabama, Georgia, Florida, South Carolina, North Carolina, Kentucky, Indiana, Michigan, Ohio, West Virginia, Pennsylvania, New Jersey, Maine, Delaware.

Near recession

Louisiana, Oklahoma, Kansas, Nebraska, South Dakota, North Dakota, Washington, Utah, Wyoming,
Virginia, New York, Vermont, Maryland, Connecticut.

What's to blame? A weak job market and industrial production are being blamed as well as retail sales. Will other states follow? Many experts feel several others can, but the next couple of months will decide whether the states teetering on the edge fall and if others follow.

Is the worst of the financial crisis over?

Late selling couldn't put a damper on the best week financial markets had seen since 2003. Varying widely through the week, the stock market was a virtual roller coaster ride of positives and negatives. Up nearly 5 percent last week, the Dow managed to cut into the hefty deficit it had seen the week before, but the big gain seen last week begs the obvious question: is the worst of the crisis over?

Despite the market's biggest one day gain ever, a whopping 936 points, many speculate that the worst is yet to come. Down nearly 38 percent from around this time in October 2007, many speculate the market could lose another 30 percent before it finds its way back on track. So far, the Dow has seen a low of 7,882.51 and while some feel this number was the bottom, others believe it will prove to be just a sampling of how low the market will go in coming weeks and months.

Is there a silver lining? As Warren Buffet, mega-billionaire said last week, "A simple rule dictates my buying: Be fearful when others are greedy and greedy when others are fearful." Buffet believes this is the perfect time to buy stocks, and he might not be alone. The shear number of trades this past week left many believing millions are waiting for the opportune time to strike by buying stock in companies they feel have the best chance to rebound.

Maybe we should just sit tight a bit longer to see what happens in the coming days. This next week will definitely be a good indication on where the market is headed and whether potential investors will continue to wait it out.

Federal budget deficit at all time high

September 30 brought about the close of the 2008 fiscal year and no surprise, the largest federal deficit ever. The housing collapse and economic slowdown are mostly to blame for the deficit, which doubled from 2007.

It's not going to get any better.

Next year will most likely bring an even higher deficit. Many experts believe that number could top $700 billion. The government bailout of the financial system and general economic hard times that all Americans will see most likely will push the record even higher next year.

On top of that likely $700 billion increase in the federal deficit next year, you can add the nearly $250 billion in government bailout money. With nearly $1 trillion in projected deficit for next year, can anything be done to keep 2009 from becoming another record year?

Iceland sends chill down the spines of world nations

With its currency losing almost half its value due to debts incurred during the lending boom, Iceland is on the verge of becoming the first "national bankruptcy." A collapse of Iceland's financial system would be devastating to western European countries that are heavily invested in the Icelandic banking system. Trading was suspended last week in hopes of curtailing the huge sell-offs during trading.

Iceland's top four banks now hold foreign liabilities in excess of $100 billion, debts that dwarf Iceland's gross domestic product of $14 billion. Once noted as the most developed country in Europe, Iceland is now the most exposed to the financial collapse felt around the world. Bank debts equaling several factors larger than its economy, Iceland is struggling to privatize its largest banking institutions in hopes of keeping the country with the highest average yearly income from becoming virtually the poorest.

Dow closes down ... again ... despite loan bailout

Giving up good gains, the Dow Jones fell sharply again for the sixth consecutive day, and it is looking like a trend likely to continue without further government action. That action, came today in the form of a lowering of interest rates in the hope of freeing up credit. Wall Street was celebrating the fifth anniversary of a bull market last year around this time. It had accumulated nearly $10 trillion profit to shareholders since 2002. Now, most of that $10 trillion is gone and there is no clear indication in sight as to when the markets will stabilize.

Many experts feel the worst isn't over yet and little will change the downturn until next year. Clearly, the $700 billion federal bailout has done little to quell fears or the free fall. Talks of the government stepping in with further monetary assistance are continuing to grow. The next few days should be critical in answering how soon or if the market will slow its downward spiral anytime soon. So, what's really needed? Is it more money from the government? Patience? Another key interest rate cut? Or something more?

Even after bailout, are tough times ahead?

With "recession" now openly talked about and no longer a whispered word, many believe rough economic times are ahead for everyone in America.

How can you prepare for what appears to be certain tough times ahead?

Most people can take a common sense approach and prepare. Here are a few things you can do now:

1. Shop smarter — Ask yourself before every purchase "Do I really need this?"

2. Get out of debt — With interest rates surely to fluctuate, there really hasn't been a better time to eliminate debt.

3. Save, save, save — Now is not the time to invest in volatile securities or stocks.

4. Got a house? A car? A good job? Keep them! — This may not be the opportune time to start car shopping or looking for a new job.

5. If you feel you must make investments, do your research! — Be careful and cautious if you are plan to invest or continue to manage your current stock portfolio

This is the time to be frugal with your money. Got more ways to save for the immediate future? Leave a comment, and let us know.

Senate to the rescue with billions in relief

Thursday, the Senate passed a multi-billion dollar financial bailout. Just how much was it and where does the money go?

Loaded with tax breaks, the Senate bill passed by a 3 to 1 margin on Thursday with $700 billion in financial relief. The bill is expected to be pushed through by Friday. Thirty-nine Democrats and 34 Republicans and one Independent gave enough support for the measure to pass by the wide margin. Following the surprising rejection of an earlier version of the bailout proposal, this bill is ear marked for such things as the buyout of bad mortgage-related securities.

Many opponents of the proposal say the bill will only bail out Wall Street and do little or nothing for the average American taxpayer. Others feel the effects of financial turmoil have trickled down to working Americans in the form of unaffordable credit and job losses.

The bailout bill that passed is the size of a novel — with hundreds of pages of tax incentives, breaks, cuts and extensions — and will undoubtedly go a long way to staving off a more severe economic downturn. What does the bill mean, however, to the average American? Will any of us really see any difference?

Out with the old ... in with the new

What was at one point on Thursday a "sure thing" to be passed, the proposed $700 billion bailout proposed by President Bush ultimately was shot down leaving the quagmire the U.S. economy is in without resolution. Democrats announced a new measure, a bailout to the tune of a mere $56 billion. The proposal includes an extension of unemployment benefits and state assistance to pay for Medicaid.

Many believe, however, the proposed plan will stall in Congress leaving the economy with no "quick fix" solution. One thing is for certain, Republicans and Democrats are working on coming to an agreement on a stimulus plan and it shouldn't be too long before we have one signed, sealed and delivered to the economy.

There has been ongoing talks of a second tax rebate plan as part of a separate stimulus plan not exactly related to the one being proposed now. Neither Republicans nor Democrats have been eager to push the second one through to the President's desk, but one wonders if that plan's status shouldn't be elevated in importance. Would another rebate check sent out to American's help with the financial stress this country is in? Did the first one help, hinder or do nothing to fix or aid the economy?

Have tough financial times affected you? You're not alone!

News comes today that jobless claims are up this month and have reached a seven year high due to the recent hurricanes and the recent slowdown of the economy. The news of the increase in Americans without jobs didn't go a long way to affecting Wall Street, however. Much of the nation's attention is turned to the bailout set to bolster the economy once it is approved by Congress.

Recent hurricanes Ike and Gustav did their part in the increasing of joblessness, with nearly 50,000 new claims being blamed on them. Even without factoring in the loses due to the hurricanes, however, the jobless claim numbers are staggeringly high. Falling home prices and the slowing consumer spending have definitely had an impact on the American workforce, pushing unemployment nationwide to just over 6 percent.

Is it going to get better or worse? Time will tell. The financial bailout should help stimulate the economy and possibly avoid a recession. Yet many experts believe that several tens of thousands more Americans will become jobless in the upcoming weeks as banks close. The pressure on the economy is definitely being felt by everyone.

Do you know someone who has recently lost their jobs due to the recent events? Chime in and tell us your stories.