Stock market.... What are you doing?

[maxwelhse]

Our country is actually in a good spot in that situation, all other things being equal. Our nearest neighbors are much smaller (canada has only 37.59 million people to our 327 million) and we have a rather large abundance of natural resources. The immediate fallout would be extreme compared to our current cushy standard of living, of course, but the long run would hopefully be to our benefit.

I'm thinking a few European countries would be needing to learn how to read Cyrillic, though...

It wouldn't be good at all in the short term, but in the long term it would become business as usual disturbingly fast... especially if it resulted in any sort of ground war anywhere in the world. They'd be wanting our military to take care of that in a hurry.

 

[AtTheMurph]

https://www.msn.com/en-us/finance/m...e-crash-something-else-would-have/ar-BB11Zf8i

I couldn't agree more with this article.

 

[AtTheMurph]

TIPS Treasuries.

I have mentioned them for over a month. No worry about your bank,markets....and unless the US government fails you will earn a % and the inflation rate.
No broker needed you can buy them directly from the treasury.
Information on them.
https://www.treasurydirect.gov/indiv/products/prod_tips_glance.htm

Direct purchase for yourself.
https://www.treasurydirect.gov/indiv/myaccount/myaccount_treasurydirect.htm

The problem with TIPS is that the Federal government controls one of the levers, and that is they get to calculate the inflation rate.

They will do what every other gov has always done. They will TIP the scales in their favor (pun intended).

 

[jd4320t]

I put $1500 into the stock market two weeks ago thanks to you guys. BA, CCL, RCL and UAL mostly. I’m currently up almost 70% and my original $1500 is back out. I wish I’d done more.

I made a few mistakes but learned a lot. It is definitely fun. I’m not hoping for terrible times but if it drops again like it did a month ago I’m definitely gambling again.

 

[smokingman]

The problem with TIPS is that the Federal government controls one of the levers, and that is they get to calculate the inflation rate.

They will do what every other gov has always done. They will TIP the scales in their favor (pun intended).

It is now by law linked to the consumer price index. So no more cherry picking inflation rates as has been done in the past. It is a good thing. Granted they can play with that data,but it is better than it ever has been. It even mentions this in the first link I posted.

 

[nonobaddog]

https://www.msn.com/en-us/finance/m...e-crash-something-else-would-have/ar-BB11Zf8i

I couldn't agree more with this article.

But that is a bloomberg opinion, they have been consistently negative on the market no matter what the circumstances.
On the stock app on the iphone/ipad those little news items that show up would sometimes include bloomberg - they consistently use charged words to describe things. Like even before all this volatility market up 200 would be "slight gains" and market down 50 would be "drops into losses", etc.

 

[AtTheMurph]

It is now by law linked to the consumer price index. So no more cherry picking inflation rates as has been done in the past. It is a good thing. Granted they can play with that data,but it is better than it ever has been. It even mentions this in the first link I posted.

The CPI is a government derived number. It is not a static basket of goods used to calculate the index. The gov controls the levers and can make the number whatever they want by adjusting the inputs.

That's the problem with TIPS long run. Short run I'm not worried but when and if the SHTF they will do what is good for them and not for you.

 

[AtTheMurph]

But that is a bloomberg opinion, they have been consistently negative on the market no matter what the circumstances.
On the stock app on the iphone/ipad those little news items that show up would sometimes include bloomberg - they consistently use charged words to describe things. Like even before all this volatility market up 200 would be "slight gains" and market down 50 would be "drops into losses", etc.

It is not a Bloomberg opinion. It is the opinion of the writer and was only published on Bloomberg.

 

[nonobaddog]

It is not a Bloomberg opinion. It is the opinion of the writer and was only published on Bloomberg.

Yeah. The first five words in the article are "(Bloomberg Opinion) -- The novel coronavirus". I didn't mean it is mini-mike's personal opinion but it is a "Bloomberg Opinion" piece of writing.

 

[AtTheMurph]

Yeah. The first five words in the article are "(Bloomberg Opinion) -- The novel coronavirus". I didn't mean it is mini-mike's personal opinion but it is a "Bloomberg Opinion" piece of writing.

(Bloomberg Opinion) means it is not a reporting piece but in the opinion section. Basically, what is stated at the end of the article "[FONT=&quot]This column does not necessarily reflect the opinion of Bloomberg LP and its owners."[/FONT]

 

[AtTheMurph]

[h=2]“In Goethe’s 1831 drama Faust, the devil persuades a bankrupt emperor to print and spend vast quantities of paper money as a short-term fix for his country’s fiscal problems. As a consequence, the empire ultimately unravels and descends into chaos. Today, governments that have relied upon quantitative easing (QE) instead of undertaking necessary structural reforms have arguably entered into the grandest Faustian bargain in financial history."*[/h]
https://www.guggenheiminvestments.c...ustian bargain&utm_content=global cio outlook

 

[Alpo]

Think of it this way: A virus has improved the concentration of wealth problem. Perhaps we should give it a Nobel Prize in economics.

 

[nonobaddog]

(Bloomberg Opinion) means it is not a reporting piece but in the opinion section. Basically, what is stated at the end of the article "[FONT=&amp]This column does not necessarily reflect the opinion of Bloomberg LP and its owners."[/FONT]

Yes. And they have Opinion Editors, Managing Editors and Editors in Chief that put together stuff that comes out of there and it all has the same flavor.

 

[maxwelhse]

I put $1500 into the stock market two weeks ago thanks to you guys. BA, CCL, RCL and UAL mostly. I’m currently up almost 70% and my original $1500 is back out. I wish I’d done more.

I made a few mistakes but learned a lot. It is definitely fun. I’m not hoping for terrible times but if it drops again like it did a month ago I’m definitely gambling again.

You got in at a good time and made some lucky gambles, my man! I'm genuinely happy it worked out for you, but, don't expect that magic every time. I'm crying again today.

 

[AtTheMurph]

Think of it this way: A virus has improved the concentration of wealth problem. Perhaps we should give it a Nobel Prize in economics.

The prescription to the virus problem (really the debt problem) is going to make the wealth concentration problem far far worse. The poor will still be poor, the rich will still be rich, but the middle class if going to be destroyed. There will only be two classes and if you ain't rich now the odds are you will never be rich after.

 

[melensdad]

I'm looking for MORE FALLING PRICES in the stock market.

China is locking down another area of the country. Production will crash again. We are just now seeing the shortages of Chinese goods in our stores. The shortages are going to continue for the foreseeable future. People betting on this being a 2-3 month event followed by a sharp recovery are going to be disappointed with the news coming out of China, but not widely reported (yet) that they are now on lockdown in some areas again.

 

[Alpo]

The prescription to the virus problem (really the debt problem) is going to make the wealth concentration problem far far worse. The poor will still be poor, the rich will still be rich, but the middle class if going to be destroyed. There will only be two classes and if you ain't rich now the odds are you will never be rich after.

While I was being slightly cynical....the answer to your question is either: 1) yes and no, or 2) it depends.

We agree that the poor will always be poor. The rich will be squeezed. The middle class is in process of evaluating what is truly important in life. Chasing the almighty dollar doesn't seem to have as high a priority as family protection, keeping warm and keeping fed. The poor can't do that. The middle class can.

Free marketeers have a tough time in the crisis. Gouging is either looked down on or illegal. Community becomes more important. The social fabric is mended by most. Burn the rest.

 

[WebSnyper]

I'm looking for MORE FALLING PRICES in the stock market.

China is locking down another area of the country. Production will crash again. We are just now seeing the shortages of Chinese goods in our stores. The shortages are going to continue for the foreseeable future. People betting on this being a 2-3 month event followed by a sharp recovery are going to be disappointed with the news coming out of China, but not widely reported (yet) that they are now on lockdown in some areas again.

Boomerang effect.

 

[smokingman]

Oil up 10% this morning WTI 22.26
Futures are pretty much flat.

Unemployment doubles last weeks record,and most states are still trying to catch up on claims filed(remember this report is one week behind).
6.65 million.
https://www.investing.com/news/econ...ess-claims-leap-to-record-665-million-2128930

 

[maxwelhse]

Bitcoin (GBTC) is on a 20% rally today... I'm up around 7% at present. Will hold it and see if this continues.