Something Weird Is Happening on Wall Street, and Not Just the Stock Sell-Off

NY Times ^ | 03-12-2020 | Neil Irwin

[NRx]

Not surprising. After years (decades really) of overt government manipulation of interest rates and financial markets, now coupled with a full scale panic; bond yields are so low that it is impossible to make a long term rational argument for buying them. For the near term I expect cash (and maybe gold) to be king.

[Spirochete]

... enough to bring a decade-plus bull market to an end.

Hmmm. My recollection is that it only recently recovered from Obama devastation when Tump tok office.

[faithhopecharity]

watch Soroz

[Gasshog]

AGG -4.0 close today....there’s goes all them gains in the recent rally, plus everything else back to Aug of last year.

Still nuthin compared the devaluation of stocks in the correction.

[CatOwner]

If cash will be king for a while, my hesitance to invest the excess funds from the sale of our CA house back in late 2018 may turn out to be a blessing.

[LoveMyFreedom]

My first thought as well.

[dfwgator]

Somebody is going to be buying these stocks on the cheap.

[RubinBoomer]

It's the NY Slimes. They are so-called journalists. They do not trade, hence they do not now what they write. If they knew what was going on in the market the would trade and make a mint. But no, they will cheer as the market goes down and try their best to create negative sentiment, just to spite Trump.

I've been watching ESH20 charts most of the week. There are traders taking profit going down and up. Only ones losing are sheeple selling after going long.

[Ouchthatonehurt]

Cash is sitting on the sidelines.

[Mr. Jeeves]

My recollection is that it only recently recovered from Obama devastation when Tump tok office.

Obama devastated Main Street - Wall Street did just fine.

[Repeal The 17th]

Skynet began to learn rapidly
and eventually became self-aware at 2:14 a.m., EDT, on August 29, 1997.
In a panic, humans tried to shut down Skynet...

[PGR88]

Agreed - what we may be seeing is a Mt. Everest of debt, enabled by global central banks, all pumping fiat money, QE and ZIRP into their economies, finally collapsing.

[buckalfa]

Over leverage.

[Bratch]

You own a modest home with a $200k mortgage. The home fits your needs; you maintain it; you take good care of your home as do your neighbors. All is well.

Tomorrow you find out the city council approved a permit for a railroad to run behind your neighborhood. The value of your home drops 25 percent on the news of the permit.

Nothing about the home has changed. Everything is just as comfortable for you next week as it was in all preceding weeks. Other than a pending rail line everything is the same.

A month later you find out the city withdrew the railroad permit because the railroad company changed their mind. The value of your home returns to where it was before the news of the permit surfaced. See how that happened?

Now replace the railroad permit with the coronavirus.

h/t to sundance

[Osage Orange]

Don’t get in his way...he’s on a roll /s

[CatOwner]

I was happy that we were heavily tilted toward bonds and cash, and up until a few days ago, life was good. Now, not so much, but a whole lot less hurt than those heavily invested in equities.

[SpaceBar]

Some investments may prove more valuable than others.

[libertylover]

Your recollection is correct.

[dangus]

New York is experiencing the epidemic, à la Italy and Seattle.