Ordinary folks losing faith in stocks

ap.org  via Free Republic

Excerpts:

• "You have to trust your government. You have to trust other governments. You have to trust Wall Street," says Neitlich, 47. "And I don't trust any of these."
• "People don't trust the market anymore," says financial historian Charles Geisst of Manhattan College. He says a "crisis of confidence" similar to one after the Crash of 1929 will keep people away from stocks for a generation or more.
• Instead of stocks, they're putting money into bonds because those are widely perceived as safer investments. [ comment:  !!!]
• On Wall Street, the investor revolt has largely been dismissed as temporary. But doubts are creeping in.
• it's a measure of the psychological blow from the Great Recession that, more than three years since it ended, big institutions, not just amateur investors, are still trimming stocks.[ comment:  It may not be mere psychology, you know]
• Three years after that BusinessWeek story on the "death of equities" ran, in 1982, one of the greatest multi-year stock climbs in history began as the little guys shed their fear and started buying. And so they will surely do again, the bulls argue, and stock prices will really rocket. [ comment:  Guess who was in the White House back then, and who ( or more precisely what )  is in the White House now.]

No mention of Jon Corzine and his MF Global shenanigans.  Corruption may have something to do with all this and the corruption is systemic.  That's why buying bonds isn't necessarily safe.  Holding cash isn't necessarily safe.  The point is that NOTHING IS SAFE.

Corruption wasn't an issue in the recent political campaign.  It should have been.