Intel Profits drop 90 Percent

The financial crisis appears to have had a lot farther reaching consequences on all market sectors than first though. That the leader in the computer chip market would suffer a 90 percent drop in the fourth quarter of 2008 is not a good indicator of a recovery happening any time soon.

Intel claimed, in a wired news article, that it doesn't know when, or if, demand will pick up in 2009.

The financial crisis that started with the collapse of the housing market in the USA and resulted in the failure of one of the largest investment banking firms in the world (along with the collapse of Bear Stearns) has left consumers holding on to their hard earned money and hoping for better times.

Skittish consumers and a skittish stock market don't make for a near term optimistic outlook or any real ability for businesses to predict revenues. Intel has indicated that it would not be able to give any precise estimates. Intel's Chief Financial Officer Stacy Smith said in an interview that "It's very difficult to precisely call when we'll hit the bottom".

The only real way to know when the market has hit rock bottom is when things start to get better. In the mean time the only option left is to weather the storm and hope for sunnier days.