Chef Jim Posted September 15, 2008 Share Posted September 15, 2008 It's not just one sector of the market, it's what that sector is. Financials like I said before are supposed to be bulletproof. Safe bets that fluctuate a little not go bellyup previously having a value of 170 USD last year now having a value of 10$ (BSC US Equity). At the moment I simply buy stocks of the bank I work for with my employee plan (which is minimal), and invest in Money Market and T-Bills just because I'd rather stay indoors as the storm washes away all the garbage... Well when it's obvious to you that the storm is over, let us all know when it's safe to get back in. Oh, and by that time I'll probably be up 20% by that time. Link to comment Share on other sites More sharing options...
Lurker Posted September 15, 2008 Share Posted September 15, 2008 Just more proof that when the gov't steps in to guarantee bad debt investors will invest without impunity to the detriment of others. People consider this the free-market proving itself to be unreliable when in fact it's proof that subsidizing an industry always brings about mal-investment. Huh. And here I was thinking that all of the bad loans, CDOs and credit default swaps that are coming apart at the seams on Wall Street were made between 2004-06, before the GSE intervention.... Link to comment Share on other sites More sharing options...
meazza Posted September 15, 2008 Share Posted September 15, 2008 Well when it's obvious to you that the storm is over, let us all know when it's safe to get back in. Oh, and by that time I'll probably be up 20% by that time. Well it's drizzling outside... I'm actually just simply trying to preserve capital because I'm trying to buy a condo. I don't have any free money to risk atm and if there is a way to make a risk free 20%, I would do it. But since I don't know, and since I'm not paying you to play with my money, I'll stick to preserving my cash. Link to comment Share on other sites More sharing options...
Lurker Posted September 15, 2008 Share Posted September 15, 2008 This place has always been over-run by right wing lunatics... Like in everyday life, the lefties were too busy having fun and getting laid to post much here... Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted September 15, 2008 Share Posted September 15, 2008 Like in everyday life, the lefties were too busy having fun and getting laid to post much here... No. They are mostly working slobs that don't have access to a computer... My situation is unique... One minute I can be welding or weed eating... Next minute in here. My point is most laborers don't have the daily access. Link to comment Share on other sites More sharing options...
Typical TBD Guy Posted September 15, 2008 Share Posted September 15, 2008 Unnatural? Now economies and government are part of nature? And I have to say some notably laissez-faire economic downturns were pretty damn harsh. Leaving aside whether the 1930's were or were not LF caused or extended, the 1890's were pretty low on government interference and the depression was pretty harsh. It was the "Great Depression" before the 1930's took its place. What downturn have we had since the new deal? Surely all the government interference in the economy must have had some affect one way or the other. Yet I don't remember a depression happening since then. Is this downturn "bad?" And how do we define "bad?" Um, the laws of economics are most certainly natural, so long as there are sentient beings to make use of these laws. Do you think the field of mathematics is natural? Also, FWIW you shouldn't reference Gilded Age economic downturns to prove your point. The federal government's policies of lending credits, imposing tariffs, and handling the money supply are what made those down cycles so awful. We haven't had full-blown economic depressions since the 1930's partly because the Federal Reserve Chairmen since then have been much more knowledgeable about the repercussions of their decisions. Even so, I'm not comfortable with having the entire economy of 325+ million U.S. citizens (plus the rest of the world) precariously subject to the decisions of one unelected person within the executive office. Seems like you are. Fair enough. But you strike me as someone who wouldn't disagree with anything the head of your political party of choice decides to do, though. I.e., you're a partisan idiot. Link to comment Share on other sites More sharing options...
Pine Barrens Mafia Posted September 15, 2008 Share Posted September 15, 2008 EIA's make no money when the market goes down. Exactly. When you're dealing with seniors, ZERO is better than a LOSS. Link to comment Share on other sites More sharing options...
Chef Jim Posted September 15, 2008 Share Posted September 15, 2008 Exactly. When you're dealing with seniors, ZERO is better than a LOSS. But a positive every year regardless of what the market does is better than a ZERO and a LOSS. Especially for seniors. Oh and liquidity is important too. Link to comment Share on other sites More sharing options...
blzrul Posted September 15, 2008 Share Posted September 15, 2008 Like in everyday life, the lefties were too busy having fun and getting laid to post much here... Which is why the wingnuts are so hung up on sex. They don't get it. Link to comment Share on other sites More sharing options...
StupidNation Posted September 15, 2008 Share Posted September 15, 2008 Historically speculation and "mal-investment" have occured with or without government subsidies. Ending government loan guarantees will not end financial crises. Regulation is necessary to temper the inherent riskiness of finance which is built on leverage. Regulation will never end crises either, but it can help reduce their severity--as opposed to the black hole we now face... I agree with you, but the market corrects itself faster and better without regulation and bail-outs. History proves this as well. The longer this is bailed-out the worse it gets for the little guy, and the more it protects the lobby groups funded by the groups that are being protected. The market will have bursts and bubbles with or without gov't intervention, they just get worse on both ends from worse decision making based on gov't protection, to dragging it out longer on the back-end trying to "fix" it (i.e. bailing out their buddies that we pay for in inflation). Link to comment Share on other sites More sharing options...
StupidNation Posted September 15, 2008 Share Posted September 15, 2008 Just because people are too dumb to realize that investing your long term retirement money in the stock market is the best thing to do is no reason to continue to press for it. It's not the best investment. Actually it's real-estate. Link to comment Share on other sites More sharing options...
DC Tom Posted September 15, 2008 Share Posted September 15, 2008 It's not the best investment. Actually it's real-estate. Used to work for Lehman, did you? Link to comment Share on other sites More sharing options...
Pine Barrens Mafia Posted September 15, 2008 Share Posted September 15, 2008 But a positive every year regardless of what the market does is better than a ZERO and a LOSS. Especially for seniors. Oh and liquidity is important too. Just made another $1700 today! Go Wall Street Go!! Link to comment Share on other sites More sharing options...
East Brady Posted September 15, 2008 Share Posted September 15, 2008 I would chime in, but I'm too busy causing panic by overdramatising the situation and hyperventilating into a paper bag. Thanks I needed that!! We fired the idiot from merrill last may and the new guys have saved me a ton, sitting in 95% cash since july 25th., As for the rest of the gang, just keep voting for those D and R's, I guess you guys enjoy getting ripped off!! By the way DD I for one would like to hear what 's happening down on the street?? My guys have been saying dow 10,000 for 4 weeks?? Link to comment Share on other sites More sharing options...
Chef Jim Posted September 15, 2008 Share Posted September 15, 2008 Just made another $1700 today! Go Wall Street Go!! Watch that. I heard a Merrill guy say once "I made money today, the firm made money today. Two out of three ain't bad." Link to comment Share on other sites More sharing options...
East Brady Posted September 15, 2008 Share Posted September 15, 2008 Over the last 20 years you have been repeatedly lied to, bamboozled and scammed by those "in power", including the members of both political parties, The Fed, and Treasury. Who has eaten the harm to your standard of living as your cost of food and fuel has doubled over the last couple of years? You have. Who has taken the hit as our job base has gone overseas, so China can buy a trillion dollars worth of our debt to artificially suppress their currency, thereby making it uneconomic to manufacture DVD players and Cell Phones here, and costing us millions of high-paying jobs? You have. Who took the damage when you were conned into buying houses with Option ARMs, with Alan Greenspan himself telling people that Adjustable Rate mortgages were the "best option" for many people - with rates at the bottom? You did. For the rest of that story, Karl has a few words for you big gubmint boys: http://market-ticker.denninger.net/2008/04...sions-just.html Rock solid video at bottom of page. Link to comment Share on other sites More sharing options...
Pine Barrens Mafia Posted September 15, 2008 Share Posted September 15, 2008 Watch that. I heard a Merrill guy say once "I made money today, the firm made money today. Two out of three ain't bad." That's a good one! Fortunately, we have a securities guy doing compliance checking. Link to comment Share on other sites More sharing options...
DC Tom Posted September 16, 2008 Share Posted September 16, 2008 Over the last 20 years you have been repeatedly lied to, bamboozled and scammed by those "in power", including the members of both political parties, The Fed, and Treasury. Who has eaten the harm to your standard of living as your cost of food and fuel has doubled over the last couple of years? You have. Who has taken the hit as our job base has gone overseas, so China can buy a trillion dollars worth of our debt to artificially suppress their currency, thereby making it uneconomic to manufacture DVD players and Cell Phones here, and costing us millions of high-paying jobs? You have. Who took the damage when you were conned into buying houses with Option ARMs, with Alan Greenspan himself telling people that Adjustable Rate mortgages were the "best option" for many people - with rates at the bottom? You did. For the rest of that story, Karl has a few words for you big gubmint boys: http://market-ticker.denninger.net/2008/04...sions-just.html Rock solid video at bottom of page. Your dedication to your lunacy is truly impressive, and I respect you highly for your commitment to it. But it's still lunacy. Link to comment Share on other sites More sharing options...
Dwight Drane Posted September 16, 2008 Share Posted September 16, 2008 Thanks I needed that!! We fired the idiot from merrill last may and the new guys have saved me a ton, sitting in 95% cash since july 25th., As for the rest of the gang, just keep voting for those D and R's, I guess you guys enjoy getting ripped off!! By the way DD I for one would like to hear what 's happening down on the street?? My guys have been saying dow 10,000 for 4 weeks?? I ended up leaving where I was. The good news is that a friend just told me that the FDIC is in such a panic that they gave his firm a huge contract so he needs as many good people as possible to come aboard. There is still so much junk out there that hasn't been exposed. The sad thing is that the feds have been lending against anything and everything and these places are still going down. I look at this as the hurricane coming ashore. I am bunkered down and just worrying about my family the next few months as this unwinds. We still have war to break out on a dime, and this country is not ready for the sh!tstorm that is going to take place. Even those just now paying attention think it has to do with Wall ST., or housing. It's the whole shabang everyone. The worst thing I have done is to over-anticipate the move to Gold/Silver. We are in a deflationary spiral now, but eventually there is nowhere to go but to inflate. This is too big not to. There is also a disconnect between actual holdings available, and paper prices. Don't be surprised if we see a "Banking Holiday" over the next 6 weeks. We are all in the same boat to a certain extent, so it doesn't really matter. Enjoy those 13% Erie Co./ NYS sales tax coming up in a few years!! Link to comment Share on other sites More sharing options...
Lurker Posted September 16, 2008 Share Posted September 16, 2008 I ended up leaving where I was. The good news is that a friend just told me that the FDIC is in such a panic that they gave his firm a huge contract so he needs as many good people as possible to come aboard. There is still so much junk out there that hasn't been exposed. The sad thing is that the feds have been lending against anything and everything and these places are still going down. I look at this as the hurricane coming ashore. I am bunkered down and just worrying about my family the next few months as this unwinds. We still have war to break out on a dime, and this country is not ready for the sh!tstorm that is going to take place. Even those just now paying attention think it has to do with Wall ST., or housing. It's the whole shabang everyone. The worst thing I have done is to over-anticipate the move to Gold/Silver. We are in a deflationary spiral now, but eventually there is nowhere to go but to inflate. This is too big not to. There is also a disconnect between actual holdings available, and paper prices. Don't be surprised if we see a "Banking Holiday" over the next 6 weeks. We are all in the same boat to a certain extent, so it doesn't really matter. Enjoy those 13% Erie Co./ NYS sales tax coming up in a few years!! How about that James Hardy... Link to comment Share on other sites More sharing options...
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