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!
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
Time, desperately trying to paper over the rot until after the election...
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.
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.
The
1) The same chain of events occurred last summer - and stocks survived.
2) Oil prices that have contributed to the sell-off can contribute to a rebound.
3) China’s sell-off may have as much to do with policy as the economy.
#4 - after the last round of lay offs caused by the Obama recession, I had to use my retirement fund to stay afloat till I could get back to work .... so I don’t have any stocks to worry about
Index tracks bulk shipping (ore, grain) around the world.
Graphically, it look like this:
