Sage Advice Quarterly Market Review 4Q2008

Fasten your seat belts. The slide in economic activity during the third quarter, as the advance GDP numbers indicate, marks the initial stage of what is shaping up to be a deep and prolonged downturn that may usher in the worst recession since the 1970s. A lot depends on how soon the credit crunch, the effects of which were only partially reflected in the third quarter’s figures, abates and how much effort will be required to end the crisis. Make no mistake. Washington is pulling out all stops to right a listing financial ship, setting a policy course that most of us have not seen in our lifetimes.