Why this crisis will play out in slow-motion

The current crisis of confidence is likely to last longer than any of the financial shocks of the last two decade, says Martin Spring. However, there is one place that should still be safe to invest.

So far the crisis in global investment markets has developed much as I expected the credit markets are crippled, but stock markets remain buoyant.

It's going to be a slow-motion, creeping crisis that stretches ahead of us for the next two or three years. I said that when the crisis broke a month ago. US Treasury chief Hank Paulson now says more or less the same thing the crisis of confidence is likely to last longer than any of the financial shocks of the past two decades.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
MoneyWeek

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.