Despite tight credit markets, will corporate profits, balance sheets and equity prices will remain strong?

Question

Take a look in the future. What will 2008 bring to the economy?

Will we see further consolidation in enterprise software and networking equipment.

Will we see more cross-border deals if the US dollar remains weak, relative to the Euro (and Canada)?

Answer 1

Dow and Nasdaq are not going to dive anytime soon...not in 2008. There'll be a decrease in gas prices...due to the powers that be, finally tapping into some of the monstrous oil reserves...one is happening now in British Columbia!

And look for Bin Laden to take that long awaited plunge into a pair of handcuffs. Three assassinations....

Happy!!!

Elysabeth

Answer 2

2008 will be a year of continuing business slow-down, so say most economists. It all devolves around housing: when new homes don't sell, the domino effect is: lumber sales go down, plumbing sales go down, etc., and employment goes down since these industries will suffer lay-offs. US of A being what it is, will weather the storm and come back strong, but it may take a year or two.

A weak dollar is a two-edged sword, The favorable side of it is that American products will price favorably against foreign products, hopefully increasing gross domestic production, and thereby employment.