Sage Advice Quarterly Market Review 3Q2008

Like the Godfather of film lore, just when the financial markets appear to be out of danger, they are sucked back in by dark forces of gloom. It’s been a year since the subprime debacle first reared its ugly head, but the string of disruptive events it spawned has buffeted investors time and again. While the blows have not yet brought the economy to its knees, they are rapidly wearing down its defenses. Meanwhile, the markets are showing more and more signs of fatigue. Until recently, investors would respond to each event with optimism, believing that the worst was over. In short order, however, some new calamity would hit the headlines.