Posted on 11/09/2009 1:45:37 PM PST by TheDailyChange
Stocks are going though the roof, ever ask yourself why?
With unemployment in LA at almost 15% and getting worse by the day, just what is driving the market higher you ask?
Pure speculation here, but my 2cents are the government and banking system big shots have snuggled up together and are investing our monies that they have stolen from us and are investing and making more money while driving the market higher.
Guess who will be left holding the bag again?
its a bear trap, Down 300 tomorrow.
Ridiculous!
One thing that is not going up much are media stocks. They have spent the last couple of days lagging the rest of the market. When this market goes south they are going to be collapsing. ABB please note.
It’s not that the value of the stock is going up... it’s that your dollars are getting smaller.
Gold price surge, fleeing dollars because of falling exchange value. Flight to equity.
?? Will hold, anyone’s guess.
Fiat currency is being pumped up for the purchasing of Gold, it will drop like a stone soon enough.
Stocks are always short-term investments now. We may bet on funds, but fund managers are chasing the short-term bet. So are large investors. No one is betting long on stocks. There is no connection between the stock market and the economy. It’s all profit returns, regardless of how many they have to lay off to get there.
Don’t be so sure that this is ridiculous. I heard about a week ago that the banks were sitting on the money from the treasury in an effort to keep inflation in check.
Investing in the market rather than inserting that money into the private sector could be setting small investors up.
The dollar is tanking which is driving the market up. Check out the carry trade.
The G20 is promising more cheap money.
As of today, I’m completely out of the market. You are correct. Rather than lend the banks are gambling again with our money. The market is inflated and has to burst soon. Are you ready for more bank bailouts? It’s gonna be soon.
With every major nation knee-deep in stimulus debt for their “too big to fail” banks and state-companies, money is flowing everwhere. Chinese are taking positions in industrial commodities, Indians are buying gold, US Banks are using free money from the Fed to buy Treasuries and stocks. It’s a good old fashioned asset-price bubble, disconnected from economic reality. Just faster this time.
For now, the market is serving as a reverse indicator of the value of the dollar, which is crashing.
Can I request a topic/section for these types of threads? Beyond “Your Opinion/Articles”, perhaps these could be called “Tin Foil Hat/Black Helicopter” articles...vanities with fantastical, whimsical, or just plain stream of conciousness rants....
and keep ‘em out of news. :)
Yes, but assets might be a short term hedge against a drop in U.S. dollar value.
Look at the Gold price the last few days.
I wonder if the commodities prices are reflecting the same?
I am not a player.
They’re trying to get all that money back into the market that left.
(so they can steal some more)
Exactly right ... I'd be a buyer of gold mining stocks through an index or mutual funds and US based companies with foreign income like an IBM ... all others are moving up in dollar terms because of the drop in the dollar ... the dollar lost 1.2% today against the one currency I follow.
It's not that media and the news is dead...but it is shifting into new modes of delivery. But yes, if media companies don't change with the times, they will suffer as a group.
It goes without saying that those media companies that serve as lap dogs for Obama will continue to lose audiences because the are peddling a party line (and there is no demand for crap in the market place).
Additionally, it is important that we all remember that the market is not the economy. What we call the market is a composite of expectations of future returns of equities usually in a particular index or basket (of stocks).
Companies within any given index are often inextricably linked with companies and operations around the world.
Additionally, the markets are, to some degree, factoring in Obama's blunders and looking beyond his "reign". Despite Obama's sheer ignorance of economics, the world is still in a growth mode (encouraged greatly by the economies of India and China as they digest the technological advancements of the western societies).
And Europe isn't looking so bad (particular France under Sarko).
Perhaps investors are looking beyond the point at which there is an ouster of Obama (he is clearly an incompetent BOOB) and to any number of factors that might set fire to the economy.
Ponder the impact on the U.S. economy (for example) from the removal of drilling prohibitions for offshore wells and drilling on Federal lands and the encouragement of the development of oil shale.
Think about the growth of small companies that would result merely from the creation of a stable predictable business environment that has been so sorely missing since Obama's election.
I don't know precisely why the markets are moving in a positive direction, but I am certain it is not because of ANY confidence in Obama.
Business in America and around the world can only be optimistic because they are having a vision in which they watching Obama's backside as he lumbers off to join Carter in the dustbin of historical irrelevance.
Yep!
Unless things have changed since I was in the business, commercial banks can’t buy and sell stocks (with certain very limited exceptions usually pertaining to the securities of acquisition targets).
Sucker rally.
The Banks are simply media tar-babies. Available cash is flowing to stocks as inflation hedge vs lousy dollar. Still wondering what will be happening to capital (USTreasury) markets when TARP dries up. The cash bubble is getting relief. USGovt$Bonds are the big bubble. The little guy is not in this rally as he is badly wounded. Who has the money.. ?? Plenty of it around.. They are in and it’s like gasoline. Sorry bears, this rally is on fire.
Don’t let Obama and Company or anyone else steal your joy in the Lord!
AMEN!
Daily Change: That is the very nicest comment ever replied to me in in Freeperville. God bless you and yours in faith and knowledge that all this will work out according to His plan. As for my plan, stay highly diversified. Humble yourself to the market and it will exault you!
Your welcome. God bless you and yours always also.
These are some very trying times and the enemy is all to ready to hurt us in some way. The tongue is being used as a very lethal weapon that can and is getting many in trouble.
Glory be to God, for without Him, I am nothing.
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