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Wednesday, April 7, 2010 as of 11:14 AM ET

The Casone Exchange
  • March 9, 2008 07:12 PM UTC by Cheryl Casone

    Shark or Activist?

    I am watching a 60 Minutes piece on activist/shark investor Carl Icahn right now.  I use both terms, because some people like him, and some do not.  It got me to thinking about tomorrow, Monday, the 10th.  First, let me tell you what I’ve heard over the weekend.  They are calling it “constipation”.  Really!  Banks don’t want to loan money to individuals, because there is no one on the other side (investors) that will buy those investments (mortgages) from them.  We are in financial gridlock.  I know you have heard this before, but I am telling you as I write this, nothing has changed, and no one seems to think it will get better in the next few months.  Some small banks may go, will go, out of business.  Some large banks may have to merge.  Worst case scenario, still in the realm of possibility, is that a major New York bank will file for bankruptcy.  Again, a tough pill to swallow, but nevertheless, a real possibility.

    Also, rumors here in town, and I have friends that confirm this to me, there are layoffs looming.  If you read the business gossip blogs, they allege that Goldman Sachs is laying folks off, and calling it attrition, or whatever.  But, in reality, it is layoffs, and that is just one name.  Look across the news everywhere.  I saw headlines cross about a good friends major firm making cuts.  It was downplayed by AP, but my source at that bank says, it was bad, it was ugly, and there are more, and everyone is nervous.  First they lost bonuses, now it is their jobs.

    So what does that have to do with you or Carl Icahn?  It would be easy to get scared, to worry about your investments, which will suffer like they have been.  Watching Carl Icahn reminds me that even when the news is bad, and it is going to be, that you have to look at times like these as opportunities.  I am not talking about some of our contributors, who cash out.  I mean an opportunity to put money in. If you can, especially tax free, now is a great time to put that money to work.  Weekly if you can, but I’ll accept bi weekly.  I don’t want to get too specific, because I am a journalist, but think about it. 

    One thing, look abroad, look overseas, and like Carl Icahn, look at the bad news, and ask yourself, is it that bad and do I believe that company will make a return.  Is a stock down 20 percent bad?  Not if you are going to buy it, nope.

    How do you guys feel right now? What are you doing about it? I’ll read your answers on the air between 10 and Noon. Maybe you can inspire or comfort someone else.


about this blog

  • Cheryl Casone joined FOX Business Network (FBN) in September 2007 as an anchor. Prior to FBN, Casone served as a correspondent for FOX News Channel’s (FNC) business unit and was a regular guest on FNC’s Your World with Neil Cavuto. Casone brings years of experience covering finance, business, and consumer news to FBN.

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