2010 Financial Outlook

Don't think that we're out of the woods yet. If you listen to CNN you might think the US economy is on the upswing but the reality is that unemployment is not signifianctly down in the US or Canada. Almost 1 in 4 borrowers in the U.S. owes more on their mortgage than what thier home is worth. The U.S. contiues to be the larget debtor nation in the world and that's not going to change anytime soon.

Check this out: http://www.nytimes.com/2010/01/02/business/economy/02modify.html?hp=&pagewanted=all

My 2010 prediction is that there will be a serious decline in the stock market in March when it's apparent that the growth we've see isn't organic but because of injected stimulus money. You know, Toronto hired 1500 new city workers last year, how was that going to stimulate the economy?

Continued low interest rates isn't going to do anything except put downward pressure on the US dollar and bond yields so my bet is on gold. And I don't mean the Olympic kind, I'm talking bullion.