For the first time in two years, American household net worth has increased. This is an interesting — and encouraging — sign of the current times. According to the Federal Reserve, U.S. households saw an increase of $2 trillion from the first quarter of 2009 to the second quarter of 2009. Some of the items that contributed to this increase in net worth include:

Rise in home prices.
Upward trend in the stock market.
Paying down debt.
Debt write-offs.

Most of this is good news. Indeed, the fact that Americans have been reducing their debt and relying less on credit is quite encouraging. The fact …read more

Yes, things are looking serious.
No, the bailout plan isn’t some magic cure-all.
This is stuff we’ve seen coming for weeks now.
So now is not the time to start panicking.
Nor is it time to give in to fear-mongering. (I’m talking to you, CNN! Compare these two photos — thanks markzero — and see that far from being in a panic, the guy is just talking into his microphone: CNN cropped photo vs. Yahoo! full photo.)
Take a look at your investment portfolio and at your personal finances. Do what you can to get things in order.
Investment portfolio
Look at your allocation. Is it weighted …read more