Black Friday?

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barfo said:
He said money market, not T-bill, though.

You don't have any options other than stocks? That's kind of a lousy setup.

barfo
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I have other options and utilize them. I am in mutual funds, money-market, and some stock through 401k. I am poised to make a farily large purchase of treasury bills later this week if things fall right. I even have a few 6-month CDs right now. I'm talking more about the average person who sees their present 401k as a piggy bank. Also, I was originally talking about T-bills as being the beneficiery of this market meltdown.

Anyhow, let's see a then/now from the President on this matter.

Today, Obama said not to worry about the market


...he is not intently focused on the “day-to-day gyrations of the stock market,” comparing the downward roller-coaster on Wall Street to the fickle nature of political polls.
“You know, it bobs up and down day to day,” Mr. Obama said. “And if you spend all your time worrying about that, then you’re probably going to get the long-term strategy wrong.”..
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October 1st, 2008, he told a different story.


On Monday, over the course of a few hours, the failure to pass the economic rescue plan in the House led to the single-largest decline in the stock market in two decades. Over $1 trillion of wealth was lost by the time the markets closed. It wasn't just the wealth of a few CEOs on Wall Street. The 401(k)s and retirement accounts that millions count on for their family's future are now smaller. The state pension funds of teachers and government employees lost billions upon billions of dollars. Hard-working Americans who invested their nest egg to watch in grow are now watching it shrink. But while the decline of the stock market is devastating, the consequences of the credit crisis that caused it will be even worse if we don't act and act immediately. That's why I'll be flying back to Washington immediately after this rally.
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So, which Obama is to be believed, and why has he changed his tune since he is now in charge? What is going on here?
 
it's_GO_time said:
There are hard working people losing their homes, but your attitude seems to be so what, they got themselves into it.

Shouldn't it be the same attitude with the stock market? No one forced "hardworking people" to invest in the stock market. They (including myself) choose to put money into the stock market, knowing the risks. If the stock market collapses, I will balme no one but myself for losing my saving in an investment vehicle I didn't take the time to fully understand.
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I agree on both counts.
 
blazerboy30 said:
Hey, all I want is things to be equal and "fair". Who cares if that results in less for everybody, and everybody being equally miserable. At least things are equal! It is about a populist principle, not what is best for the country.
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There's an old Russian proverb that demonstrates why Communism was so appealing to them, "The tallest blade of grass is the first to meet the scythe." Previous to this latest voting cycle, our attitude had been to look up at that blade of grass and work to all grow that high. Striving to improve your own life is what made this country great. I fear envy and Schadenfreude has taken over as the drivers of American life.
 
The poor guy has no clue.

Obama, today: "On the other hand, what you're now seeing is profit and earning ratios are starting to get to the point where buying stocks is a potentially good deal if you've got a long-term perspective on it."
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I assume he meant price to earnings (p/e) ratio. That said, it's nice to finally have him at least hint that buying wouldn't be a bad move, although considering he apparently doesn't understand a basic fundamental of the market, I'm not sure it's a vote of confidence in the markets.
 
maxiep said:
There's an old Russian proverb that demonstrates why Communism was so appealing to them, "The tallest blade of grass is the first to meet the scythe."
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A similar thought from the Japanese: "The nail that sticks up gets hammered down".

barfo
 
+136 so far today. Is it finally time for the bulls to take over the market again?
 
-220 for the DJIA after 2.5 hours of trading.

Uh oh...
 
3/9/09

DJIA just dipped below 6500, and down another 100 points for the day.
 
3/13/09

Dow above 7,000 before the day started and another gain today.

Best week since November . . .
 
well, its because companies are coming out and saying they don't need bailout $$$$ or whatever. its a false euphoria, the pain is coming.
 
banks are still insolvent.

obama/the government can only do so much.

real recovery is a year out. 2009 will still be quite volatile.
 
3/23/09: White Monday?

Stock market up 497 points today . . . puts it at 7,775.

Will it go up to 8K by end of month or start heading down again?
 
What cracks me up is that people who were silent for the past 8 years talking about the rich getting richer and everyone else getting screwed. Amazing.
 
hoojacks said:
What cracks me up is that people who were silent for the past 8 years talking about the rich getting richer and everyone else getting screwed. Amazing.
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What the fuck does this post even mean? Don't be a little bitch. Name names.
 
it's_GO_time said:
3/23/09: White Monday?

Stock market up 497 points today . . . puts it at 7,775.

Will it go up to 8K by end of month or start heading down again?
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The remains to be seen, but I think that all of the money that can be used to buy these "toxic" assets was used up yesterday. Which means that the fed won't have any more protections to offer, which means we'll print more money, which means the inflation that I've been talking about will likely hit much faster than even I expected.

What good will doubling the market mean when the dollar is similarly inflated?
 
PapaG said:
Wow, Wall Street is taking a huge dive again today. Will panic set in as the major investors start to sell off this afternoon?
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Its too bad that this doesn't apply to discounts to electronics and other stuff sold by Sears or Circuit City. Oh wait Circuit City has already filed chapter 11.
 
Geithner getting absolutely owned in front of Congress right now. Lovin' it, this guy can't run a Wendy's.
 
PapaG said:
The remains to be seen, but I think that all of the money that can be used to buy these "toxic" assets was used up yesterday. Which means that the fed won't have any more protections to offer, which means we'll print more money, which means the inflation that I've been talking about will likely hit much faster than even I expected.

What good will doubling the market mean when the dollar is similarly inflated?
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While I won't act as if economics is my expertise, I do feel as if I understand how people work pretty well. You may very well be right, but I'd assume with our economy, just as life in general there is a tipping point. I'm hopeful that the positive news with market the past few weeks, the sale of existing homes up 5% last month, and some big business passing on bailout money, people (who still have the ability to do so) will make a return to investing and spending the money they've been hoarding. I'm keeping my fingers crossed as I'm sure the majority of you are, that we've seen tipping point to the return of some consumer confidence again.
 
jwhoops11 said:
While I won't act as if economics is my expertise, I do feel as if I understand how people work pretty well. You may very well be right, but I'd assume with our economy, just as life in general there is a tipping point. I'm hopeful that the positive news with market the past few weeks, the sale of existing homes up 5% last month, and some big business passing on bailout money, people (who still have the ability to do so) will make a return to investing and spending the money they've been hoarding. I'm keeping my fingers crossed as I'm sure the majority of you are, that we've seen tipping point to the return of some consumer confidence again.
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I find it ironic that the solution that America is taking to solving this crisis is primarily the same practices that individuals practiced on a small scale, namely borrowing and incurring large amounts of debt and spending with the hopes that a return on investment will be realized.
 
http://news.bbc.co.uk/2/hi/business/7958501.stm

HOW IT WILL WORK IN PRACTICE

Bank seeks to sell pool of mortgages worth $100

Private auction decides that asset is now worth $84

Private investor and government put up $6 each

They then borrow remaining $72 from government

That loan is guaranteed against any losses

If asset is later sold at higher price, government makes profit and private investor pays back loan and pockets profit.

If asset is sold at lower price, government and private investors could lose initial investment.

Source: US Treasury
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To me, seems a bit lucrative for private investors. FDIC insured investments?

if the assets remain toxic however, the govt loses big time, right? and by Govt, I really mean America.
 
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AgentDrazenPetrovic said:
To me, seems a bit lucrative for private investors. FDIC insured investments?

if the assets remain toxic however, the govt loses big time, right? and by Govt, I really mean America.
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I want to know which private investors are receiving these Fed-backed dollars. I also want to know if those who receive the money will be taxed at a 90% federal rate on any money they make by using taxpayer money to buy these assets.

It's ridiculous. I wish I could have seen the Geithner hearing today. Did anybody ask him these questions? Also Petro, by "America" you mean the working schlubs.
 
PapaG said:
I want to know which private investors are receiving these Fed-backed dollars. I also want to know if those who receive the money will be taxed at a 90% federal rate on any money they make by using taxpayer money to buy these assets.

It's ridiculous. I wish I could have seen the Geithner hearing today. Did anybody ask him these questions? Also Petro, by "America" you mean the working schlubs.
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Geithner got reamed really really hard...basically one of the congressmen or senators grilled him about if they were FDIC insured securities, Geithner said no..then he was read the verbatim text of the bill.

I loved Bernanke...he was "talked out of blocking the bonuses". Yeah right, you're the fucking FED Chairman...at the top of the food chain, you can't get talked out of shit.
 
It was with Brad Sherman...great shit, see if you can find the youtube.
Geithner also had a heated exchange with Rep. Brad Sherman, D-Calif. Sherman asked Geithner to commit to posting the number of executives receiving bonuses in excess of $1 million at bailed out institutions.

When Geithner tried to explain how the Obama administration had similar plans, Sherman interrupted him and accused him of wanting to "hide the ball."
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well, at least the dollar is strong because of investor confidence!

As far as confidence in the U.S. economy or the dollar, I would just point out that the dollar is extraordinarily strong right now. And the reason the dollar is strong right now is because investors consider the United States the strongest economy in the world with the most stable political system in the world.

So you don't have to take my word for it. I think that there is a great deal of confidence that, ultimately, although we are going through a rough patch, that the prospects for the world economy are very, very strong.
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