Posted on 01/07/2016 2:16:29 PM PST by Citizen Zed
Here we go again.
For the second time this week, concerns about the world's second largest economy sent Chinese stocks plummeting more than 7%. And for the second time this week, Chinese regulators were forced to halt trading to stem the bleeding.
"These market reactions seemed to confirm that China's economy is in serious trouble," said Ed Yardeni, president and chief investment strategist at Yardeni Research. They also reverberated around the world.
European shares sank more than 3% on those global economic fears, and early this morning, the Dow Jones industrial average fell more than 220 points at the open - after slipping more than 252 points on Wednesday and 276 points on Monday.
Less than a week into the new year, the Dow is already down more than 3.5%, marking the worst start to a year for stocks since the global financial panic of 2008. And since last February, the benchmark index of U.S. stocks has fallen 11%, raising questions about whether this bull market will survive to see its seventh birthday on March 9.
(Excerpt) Read more at time.com ...
It’s a better bet that China will radically devalue their Yuan, of which, I am Short in anticipation.
A cheaper Yuan means cheaper exports for their foreign customers. This also dovetails with the Fed slightly raising interest rates for a stronger Dollar.
A weaker Yuan goes hand in glove with a stronger Dollar.
A stronger Dollar tends to lower oil prices typically. We’ll see.
Lower oil tends to mean cheaper jet fuel for airlines, often improving their USA profits.
Such is the theory, at least...
Main reason not to panic over stock market fall.
No skin in da game!
Cheap oil has basically turned off the oilfield hiring and technology investment. Overall it has hurt the economy.
Just like Obama intended. Punish US oil producers.
Does that explain Walmart as being the only green on the Dow today? ; )
All is well, nothing to look at here, move along . . . .
I’m not because I don’t invest in the stock market. I invest in ammo.
TRANSLATION:
This isn’t the market collapse you were looking for.
This can in NO WAY be blamed on Obama, or Hillary, or you are racist that hates women, and likely an EVIL, HATING Christian, as well
“I blame Al-Jazeera - they are marketing for the Americans!” —Baghdad Bob
“No I am not scared and neither should you be!” —Baghdad Bob
“These cowards have no morals. They have no shame about lying” —Baghdad Bob
“They do not even have control over themselves! Do not believe them!” —Baghdad Bob
“We’re giving them a real lesson today. Heavy doesn’t accurately describe the level of casualties we have inflicted.” —Baghdad Bob
“Please, please! The Americans are relying on what I called yesterday a desperate and stupid method.” —Baghdad Bob
“Their casualties and bodies are many.” —Baghdad Bob
When things are bad Walmart thrives. Plus they buy a lot of stuff from China - so that would be very cheap for them meaning more margin when sold.
Time, desperately trying to paper over the rot until after the election...
Right on.
“Dont panic - give the oligarchs a bit more time to cash out.”
We are still above the August lows, so no need to panic. But this time it feels...different. I would certainly be cautious and think about what you are willing to lose.
Now if it were a Republicam President, CNN/time:
3 Reasons to Panic Over the Stock Market Plunge - Chaos, mass starvation in the streets inevitable, woman children and minorities left helpless.
The following Chinese stock brokers are distressed:
Ho Re Shi
Sum Ting Wong
We Too Lo
This young day trader kid has something to say about it:
https://m.youtube.com/watch?v=qqF83-FmVpM
We’ve got a soviet-style, central-planning, politicized Federal Reserve whose mission is to keep Wall Street and the US Gov’t afloat, and they can create $Trillions in bailouts in seconds.
Its all fake, but it will keep the system running a bit longer.
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