I will say that so far all of the economic catastrophes predicted by this administration aren't anywhere to be seen. That's why they're threatening to create them. Kind of reminds me of a protection racket.
(03-05-2013 09:24 AM)EverRespect Wrote: Wall Street parties while Main Street rots.
So Main Street is better off if the stock market tanks?
No, but Main Street is lying stagnant regardless of what Wall Street is currently doing. Sometimes, it almost seems like Wall Street is little more than a Casino.......
(03-05-2013 09:24 AM)EverRespect Wrote: Wall Street parties while Main Street rots.
So Main Street is better off if the stock market tanks?
No, but Main Street is lying stagnant regardless of what Wall Street is currently doing. Sometimes, it almost seems like Wall Street is little more than a Casino.......
That pretty much sums it up. A few people hit the jackpot, but most lose their shirt in the long run. Those controlling the market are the big winners. The little investors are betting against the house...
The market is going higher because the fed keeps printing money and the money has to go somewhere. But enough of the crying about the market being rigged. If you bought stocks five years ago and held on, chances sre good you've made a nice profit. If you try to day trade and go in and out each day, yeah you've probably lost, not because it's rigged, but because you're trying to beat a more sophisticated, knowledgeable, group of investors than you are.
(03-05-2013 10:35 AM)hoops22 Wrote: The market is going higher because the fed keeps printing money and the money has to go somewhere. But enough of the crying about the market being rigged. If you bought stocks five years ago and held on, chances sre good you've made a nice profit. If you try to day trade and go in and out each day, yeah you've probably lost, not because it's rigged, but because you're trying to beat a more sophisticated, knowledgeable, group of investors than you are.
Asset allocation is key. That way, when something crashes something else doesn't crash. Most folks I know have retirement plans, so, yeah, it's a good thing when the market does well.
Bernanke is printing money lowering the return on government bonds. That money moves to the markets driving them upward. Bernanke says he won't stop until unemployment is under six percent. Right now its at eight. Expect this to continue for a while. When the money stops being printed the markets will crash to normal levels and if you're not careful you'll loose your shirt. Hopefully they will reduce the supply of money gradually and the impact won't be immediate but I wouldn't bet on it. If they can create a crisis from this in the long run they will and blame whatever party doesn't have the white house. This cripples the poor as they don't invest. Poor stay poor and rich get richer. Currency devalues as the supply increases, investors have more money but essentially the same value, poor people have the same money that's now worth less and the consumables they purchase raise in price and they likely won't return to pre-bernake levels ever. This is likely a wash for middle to high income investors in the long run but makes Obama look good to people who don't know better. My two cents.
BY READING THIS POST YOU RECOGNIZE THAT IMATY IS THE LAST GREAT CRUSADER FOR TRUTH AND JUSTICE SO HELP YOU GOD.
(03-05-2013 10:45 AM)ImMoreAwesomeThanYou Wrote: Bernanke is printing money lowering the return on government bonds. That money moves to the markets driving them upward. Bernanke says he won't stop until unemployment is under six percent. Right now its at eight. Expect this to continue for a while. When the money stops being printed the markets will crash to normal levels and if you're not careful you'll loose your shirt. Hopefully they will reduce the supply of money gradually and the impact won't be immediate but I wouldn't bet on it. If they can create a crisis from this in the long run they will and blame whatever party doesn't have the white house. This cripples the poor as they don't invest. Poor stay poor and rich get richer. Currency devalues as the supply increases, investors have more money but essentially the same value, poor people have the same money that's now worth less and the consumables they purchase raise in price and they likely won't return to pre-bernake levels ever. This is likely a wash for middle to high income investors in the long run but makes Obama look good to people who don't know better. My two cents.
BY READING THIS POST YOU RECOGNIZE THAT IMATY IS THE LAST GREAT CRUSADER FOR TRUTH AND JUSTICE SO HELP YOU GOD.
My bet is they gradually slow the bond/MBS purchases. The market will decrease, but I don't think it will crash.
(03-05-2013 10:45 AM)ImMoreAwesomeThanYou Wrote: Bernanke is printing money lowering the return on government bonds. That money moves to the markets driving them upward. Bernanke says he won't stop until unemployment is under six percent. Right now its at eight. Expect this to continue for a while. When the money stops being printed the markets will crash to normal levels and if you're not careful you'll loose your shirt. Hopefully they will reduce the supply of money gradually and the impact won't be immediate but I wouldn't bet on it. If they can create a crisis from this in the long run they will and blame whatever party doesn't have the white house. This cripples the poor as they don't invest. Poor stay poor and rich get richer. Currency devalues as the supply increases, investors have more money but essentially the same value, poor people have the same money that's now worth less and the consumables they purchase raise in price and they likely won't return to pre-bernake levels ever. This is likely a wash for middle to high income investors in the long run but makes Obama look good to people who don't know better. My two cents.
BY READING THIS POST YOU RECOGNIZE THAT IMATY IS THE LAST GREAT CRUSADER FOR TRUTH AND JUSTICE SO HELP YOU GOD.
My bet is they gradually slow the bond/MBS purchases. The market will decrease, but I don't think it will crash.
I hope you're right but I wouldn't put it past our big government elected officials on both sides to link this to some "sequesterish" crisis and quietly pull back our printing, lowering the stock market, to scare people into believing any decrease in government will crash our economy.
BY READING THIS POST YOU RECOGNIZE THAT IMATY IS THE LAST GREAT CRUSADER FOR TRUTH AND JUSTICE SO HELP YOU GOD.
03-05-2013 11:17 AM
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Machiavelli
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(03-05-2013 09:24 AM)EverRespect Wrote: Wall Street parties while Main Street rots.
So Main Street is better off if the stock market tanks?
Main Street's performance has no correlation to Wall Street or the stock market either way. Big Business does well with burdomsome regulation and high barriers to entry. The same chokes out small business.
(03-05-2013 12:07 PM)Machiavelli Wrote: The insider selling to buying ratio recently topped 50:1. I have a hard time believing that "Main Street" is going to come out on top of this one.
Do you have any link to this. is this for the overall DOW?
TrimTabs' Charles Biderman. It didn't mention specific methodology, so I'm assuming it's overall. For perspective, his historical average is close to 7:1.
S&P insider sales just hit a two year high, too.
Quote:Corporate executives are taking advantage of near-record U.S. stock prices by selling shares in their companies at the fastest pace in two years.
There were about 12 stock-sale announcements over the past three months for every purchase by insiders at Standard & Poor’s 500 Index (SPX) companies, the highest ratio since January 2011, according to data compiled by Bloomberg and Pavilion Global Markets. Whenever the ratio exceeded 11 in the past, the benchmark index declined 5.9 percent on average in the next six months, according to Pavilion, a Montreal-based trading firm.
(03-05-2013 09:24 AM)DrTorch Wrote: Is this in response to sequestration?
I will say that so far all of the economic catastrophes predicted by this administration aren't anywhere to be seen. That's why they're threatening to create them. Kind of reminds me of a protection racket.
No one said there would be catastrophes and most know that outside a few things, most won't things due to the aursterity won't hit for about a month.
/
Dow Jones might break a record today
![[Image: house-of-cards.jpg]](http://archialternative.files.wordpress.com/2011/02/house-of-cards.jpg)
No one said there would be catastrophes and most know that outside a few things, most won't things due to the aursterity won't hit for about a month.