Banks are getting more desperate and are finding ways to dig hole for themselves. Bank of America plans to charge $5 month for debit cards that are used for purchases. If you use the card just at ATMs, you will not be charged.

Relevant details are here.

Banks are not just giving away the debit card for purchase. Every bank charges the transaction fee from merchants. That alone is not enough, now they need to get the money from consumers too. Well, it’s just a matter of time before they realize the blunder corporate move.

Update: Just like we said, Bank of America realized their blunder and backed off. Read New York Times article for more information about Bank of America cancelling the debit card fee.

Although there is no net change in U.S. unemployment rate, many cities reported drop in unemployment rates. Unemployment rate in Mansfield, Ohio fell from 11.4% to 10.1%. Bismarck, N.D. reported the nation’s lowest unemployment rate, at 3%. Yuba City, CA and Modesto, CA also reported the drop of 1.6%.

Although the drop is not very significant, it’s a good start. News like this always come with a caveat — in this case, lots of people stopped looking for a job, they are not counted as unemployed.

Stock market is bleeding. Even the gold price is going down. I would stay away from the stock market until there is a strong evidence of job growth and improvement in overall U.S. job market.

Markets tanked…miserably. There is a fear, uncertainty and what not. The prices have come down a lot. Is it a good time to buy?

To answer this question, ask yourself another question “would you buy anything just because the price is cheaper compared to historical prices?”. Most sensible people would say no!

Price is just one part of the equation. If the fundamentals are good and you like the stock, it’s ok to buy the stock during dip. It may be even a better idea to sell puts for the stock you like.

Buying on the dip may make you feel better. But, would it grow your investments? Proper research is essential before you start buying on the dip.