stock market thread

[WrongWay 0]

From what I understand basically imagine not being able to borrow for anything, no car sales, no home sales, very few going to college, ect. That's probably a worst case scenario but possible if nothing happens.

It won't get that bad. There will be money availabe to loan.It will just have to be a SAFE loan. That means you won't be able to get a loan for over 80% of 2001 price. No one wants to lend with 3% down in a market that still averages 20% overpriced, and in some places is still 80% overpriced. You'll need low debt/income ratio, solid work history, great credit score....To get a car loan, you'll need 20+% down, solid credit, and stable job.Business loans will require clear track record of profitability, substantial equity, and solid business plan.The problem is, there is not nearly enough qualified buyers/businesses in today's market for there not to be a mega recession with these lending standards. What the $700 billion is designed to do is delay when we have the recession. Keep the $24 billion in debt on consumers and business growing, because without growing debt, we can't afford our standard of living, and without living beyond our means, our economy is toast.Meaining, eventually, our economy is toast.

[Sal Paradise 57]

well all I know is, I'm 27 years old, and I'm gonna invest the living shit outta my money for the next five years, and in ten, I'LL BE RICH, BITCHES!

[El Guapo 8]

well all I know is, I'm 27 years old, and I'm gonna invest the living shit outta my money for the next five years, and in ten, I'LL BE RICH, BITCHES!

Honk, Honk!

[dms26 3]

well all I know is, I'm 27 years old, and I'm gonna invest the living shit outta my money for the next five years, and in ten, I'LL BE RICH, BITCHES!

Some of these stocks look like they're already priced for a worldwide depression.

[brvheart 1,752]

I just wanted everyone to know that you need to be buying Merrill Lynch.... like tomorrow. BAC is going to give you something like .86 shares of BAC for every share of Merrill that you own when the merger goes through. That means you will get a HELL of a deal since Merrill is at 27.36. Hopefully the stock market will go down tomorrow, and make it an even better deal. Cliff Notes: Buy MER.Note: I haven't been able to find anything on this, but "my guy" told me this day. "My guy" doesn't ever lead me astray. I'll post a link as soon as I find one.

[donk4life 34]

Lets watch the market crash now..

[Sam Donaldson 0]

oh shit

[El Guapo 8]

3 User(s) are reading this topic (0 Guests and 1 Anonymous Users)2 Members: El Guapo, WrongWay

Fancy seeing you here.

[WrongWay 0]

How does my $2.8 trillion debt nationalization, consumer bailout look now?The problem is too much debt, and it can't be fixed by trying to get the credit markets flowing again... for what? More debt?It is time to disassemble the debt machine, nationalize a huge chunk of the existing consumer debt, and take our medicine of falling standard of living to bring consumer spending back in line with wages, then massive spending cuts and tax increases. We CAN'T replace wages with debt, and have it be okay, long-term.

[Dratj 0]

El Guapo and other pros in this thread, also Yoda (you seem smart too) I have RRSPs that's very diversified. it's one of those Bank of Nova Scotia things where every 2 weeks I put an x amount of dollars into it and I've been doing this for the past several years. Should I liquidate it all now and put it into GIC's then wait for the market to bottom before putting everything back in? or should I just keep it the way it is and keep what I've been doing? I'm thinking I should just keep doing what I'm doing. Play it for the long term, dollar cost averaging style.

[Yoda 1]

El Guapo and other pros in this thread, also Yoda (you seem smart too) I have RRSPs that's very diversified. it's one of those Bank of Nova Scotia things where every 2 weeks I put an x amount of dollars into it and I've been doing this for the past several years. Should I liquidate it all now and put it into GIC's then wait for the market to bottom before putting everything back in? or should I just keep it the way it is and keep what I've been doing? I'm thinking I should just keep doing what I'm doing. Play it for the long term, dollar cost averaging style.

Don't bother trying to time the market, just keep doing what you are doing (assuming you have plenty of time to wait it out). Days/Weeks like this I'd do a double or a triple investment though :)Oh and, "Fucking Republicans".

[El Guapo 8]

Are you limited to using only fixed or indexed investments? I am not familiar with your RRSP system.

[dna4ever 2]

(CBS/ AP) The House on Monday defeated a $700 billion emergency rescue for the nation's financial system, ignoring urgent warnings from President Bush and congressional leaders of both parties that the economy could nosedive into recession without it. Stocks plummeted on Wall Street even before the 228-205 vote to reject the bill was announced on the House floor. The markets were highly volatile, with the Dow regaining ground then falling backing again, trading down 557.30, or 5.00 percent, to 10,585.83. At its low, it was down 705.06, not far from its previous record for an intraday drop, 721.56, set during the first trading day after the Sept. 11, 2001, terror attacks.

[dms26 3]

Oh and, "Fucking Republicans".

I always thought I was close to the middle but a little towards Rep. But with everything over the last couple years I don't see how I could possibly vote for one right now. Especially one that is 72 years old.

[WrongWay 0]

Should I liquidate it all now and put it into GIC's then wait for the market to bottom before putting everything back in? or should I just keep it the way it is and keep what I've been doing? I'm thinking I should just keep doing what I'm doing. Play it for the long term, dollar cost averaging style.

My suggestion would be to pull it all out of the markets in July 2007, like I did. I can't believe I let the idiots and liars (those you call professionals) talk me back into the markets for a week in August. What the hell was I thinking.Listen up people. This is a solvancy problem, not a liquidity problem. The American consumer is insolvant.On a national basis, we're only half-way through the residential real estate correction, and the commercial bubble is just beginning to crack. Many, many trillions in losses coming. Minimum of $2 trillion from residential and probably at least that much from residential. The scale is on par with all government deficits since Reagan took office.The economy, as we have known it for the last decade, is over.

[serge 904]

Wow what a disaster.I believe Obama just clinced the presidency in a landslide today..Wow..this is bad.

[WrongWay 0]

Wow..this is bad.

Welcome to acceptance. We've been insolvant as a people and a nation for atleast 4 years. Nice to see so many walking up and smelling the coffee.http://www.cnbc.com/id/26945336"The Mad Money host has said before that the FDIC’s $100,000 deposit insurance might have been suitable for the Great Depression era, but not the 21st century."What a tool.....The premiums collected over the decades were not even enough to provide $100K. Where does he think the money is going to come from to cover $1 million per account?The Last year the FDIC had $50 billion to cover $3 trillion in insured deposits. Now it is down to $40 billion, and that is only due to some creative banking of arranging Fed backed purchases of banks.Where does Cramer think the money is going to come from????? The problem is too much debt. It can only be fixed by cutting off the supply of new debt, nationalizing much of the existing debt, and swallowing the tough pill of falling standard of living that wages not keeping up with inflation ultimately leads to.

[Whalers2005 0]

gg

[donk4life 34]

Sometimes I think I picked the wrong time to major in economics..

[El Guapo 8]

Good god people stop watching the news so much.LOL on all your faces (as Sal would say) to those of you who think because you picked some financial background as a job that somehow there are not going to be any financial jobs any more. If anything, this may open up more.This is wall streets way of saying, Hey A**Holes fix it. To the House and Congress. Apple was down 25% today. Did apple suddenly lose 25% market share. No. It is an over reaction. Will it bounce up tomorrow? I have no idea. 2 weeks ago everyone freaked and we ended up .03% for the week. If this bill gets passed, we could see 1500 pts up. It WILL be passed, in one form or another.EDIT: I actually agree with WW on something. I have been saying for years that the FDIC needed to be at least 250-500K.

[donk4life 34]

Good god people stop watching the news so much.LOL on all your faces (as Sal would say) to those of you who think because you picked some financial background as a job that somehow there are not going to be any financial jobs any more. If anything, this may open up more.This is wall streets way of saying, Hey A**Holes fix it. To the House and Congress. Apple was down 25% today. Did apple suddenly lose 25% market share. No. It is an over reaction. Will it bounce up tomorrow? I have no idea. 2 weeks ago everyone freaked and we ended up .03% for the week. If this bill gets passed, we could see 1500 pts up. It WILL be passed, in one form or another.EDIT: I actually agree with WW on something. I have been saying for years that the FDIC needed to be at least 250-500K.

THERE IS NO GOD DAMN REASON TO YELL AT ME, I CAN'T HELP IT IF I'M NOT AS KNOWLEDGEABLE AS YOU IN THE FINANCIAL WORLD. I MADE A SIMPLE OBSERVATION, AND NOW YOU JUST HURT MY FEELINGS FOR YELLING AT ME.

[dms26 3]

EDIT: I actually agree with WW on something. I have been saying for years that the FDIC needed to be at least 250-500K.

I don't think that is the point WW was trying to make, he's saying the FDIC couldn't even cover a small portion of 100K

THERE IS NO GOD DAMN REASON TO YELL AT ME, I CAN'T HELP IT IF I'M NOT AS KNOWLEDGEABLE AS YOU IN THE FINANCIAL WORLD. I MADE A SIMPLE OBSERVATION, AND NOW YOU JUST HURT MY FEELINGS FOR YELLING AT ME.

Paging the feelings jar.

[SuitedAces21 2,722]

THERE IS NO GOD DAMN REASON TO YELL AT ME, I CAN'T HELP IT IF I'M NOT AS KNOWLEDGEABLE AS YOU IN THE FINANCIAL WORLD. I MADE A SIMPLE OBSERVATION, AND NOW YOU JUST HURT MY FEELINGS FOR YELLING AT ME.

You drink cranberry juice, dont you? I keed I keed.That was kind of mean Guapy, but I'll let it slide.

[grocery_mony 8]

Good god people stop watching the news so much.LOL on all your faces (as Sal would say) to those of you who think because you picked some financial background as a job that somehow there are not going to be any financial jobs any more. If anything, this may open up more.This is wall streets way of saying, Hey A**Holes fix it. To the House and Congress. Apple was down 25% today. Did apple suddenly lose 25% market share. No. It is an over reaction. Will it bounce up tomorrow? I have no idea. 2 weeks ago everyone freaked and we ended up .03% for the week. If this bill gets passed, we could see 1500 pts up. It WILL be passed, in one form or another.EDIT: I actually agree with WW on something. I have been saying for years that the FDIC needed to be at least 250-500K.

I like your optimism but I am starting to think this is just the tip of the iceberg. Its safe to say that the construction industry will be toast for at least the next 5 years. The next shoe to drop imo will be big retailers. The margins in retail are already razor thin. Take grocery store chains for example, 10 years ago or so double digit profit margins were not uncommon now 2% is really good. In my hometown of approximately 80k within a 3 minute drive of each othr we have a 20k sqf Office Depot and 30k+sqf Staples, both selling the exact same shit with unbelievable overheads. Any slow down can send these over leveraged companies into oblivian which in turn will devastate the commercial real estate market. A year ago for shits and giggles I picked up a commercial real estate sales book for Western Canada. The rates of returns on commercial real estate was in the 5-6% range throughout. Now if you have some strip malls losing big anchor tenants and your only making 5-6% off the purchase price your toast. I think GM will be gone soon either swallowed up orgone all together. Its time like these I wish I was a bum.

[El Guapo 8]

I like your optimism but I am starting to think (1) this is just the tip of the iceberg. Its safe to say that the construction industry will be toast for at least the next 5 years. The next shoe to drop imo will be big retailers. The margins in retail are already razor thin. Take grocery store chains for example, (2) 10 years ago or so double digit profit margins were not uncommon now 2% is really good. In my hometown of approximately 80k within a 3 minute drive of each othr we have a 20k sqf Office Depot and 30k+sqf Staples, both selling the exact same shit with unbelievable overheads. Any slow down can send these over leveraged companies into oblivian which in turn will (3) devastate the commercial real estate market. A year ago for shits and giggles I picked up a commercial real estate sales book for Western Canada. The rates of returns on commercial real estate was in the 5-6% range throughout. Now if you have some strip malls losing big anchor tenants and your only making 5-6% off the purchase price your toast. I think GM will be gone soon either swallowed up orgone all together. Its time like these I wish I was a bum.

1. Most times people say its the tip of the iceberg, is when things start turning around. Warren Buffett is buying stuff, its cliche', but he is not wrong very often.2. I don't know what grocery stores you worked for, but I worked for Safeway 15 years ago, and 2-3% was SOP. If they got better than that they were jumping for joy.3. Expect a slow down in commercial real estate, but their will still be companies paying the rent, you just won't see the appreciation, and possibly some devlauation, but rents will still return 4-7% depending on how risky the building is.DONK - IT WASN'T TOTALLY DIRECTED AT YOU, YOU WERE LIKE THE FOURTH PERSON I HAVE SEEN SAY THAT TODAY!