This was the shakeout that the world and the auto makers had to have.
It is a turning point in the worlds use of energy and how we get around the place.
Electric cars will be everywhere within 10 years and will outsell fossel fuel cars 10 to 1 and fossell fuel cars will be phased out altogether.
As for the market.
We have a lot further to go. A long long way to go.
The first signal that things will get better, is when the US housing market stops going down. {see asx general forum for latest US housing decline}
At this time that has not occured. In fact the US housing market is continuing to slide.
After the decline, you will see a leveling off on prices and then, and only then will the worm turn. It will be very slow and take a full 12 months before anyone claims that the recession/depression is over.
So my tip is as follows.
6 - 12 months before US housing stops it decline in value.
12- 18 months before first signs of any recovery in the economy.
18 - 24 months before the share market reverses and recovers.
5 - 6 years before we get back to the same level on the All Ords prior to January 2008.
Retailers will be the last to recover.
First will be miners as commodities recover in late 2011.
