sort of. Looks like we finally found a use for this:
Posted on 05/10/2010 9:02:57 AM PDT by Deo volente
NEW YORK (AP) -- Stocks are rocketing higher and bond prices are sliding after investors were reassured by a nearly $1 trillion plan to avoid a European debt crisis.
Major U.S. stock indexes are up more than 4 percent Monday after the 16 countries that use the euro and the International Monetary Fund have agreed to create a nearly $1 trillion rescue fund to support European nations burdened by heavy debt.
(Excerpt) Read more at finance.yahoo.com ...
I don’t understand high finance, but is it correct that other countries doing into further debt to rescue Greece is good for the American stock market?
Is there going to be an investigation of the SEC as to the quick rise in the indexes?
All it took to fix it was the countries that have money (meaning debt is 80% of GDP) ‘lending’ a trillion euros to the countries that don’t have money (meaning debt at 100%+ of GDP).
The Euro is totally saved. I mean it’s up what about 1.5 cents today on the news of this?
Whew! That was a close one!
Nothing to see here folks...
Amazing, isn’t it ?? Where did responsibility and accountability go ??
Oh, that’s right — out the window with capitalism.
I think it you just substitute the word "bailouts" for "crops" you'll get the gist.
The only reason a trillion dollar government bailout of nations is bullish is because the stock market doesn't discount for inflation. The currency will do that for you.
As IF Europe's in a position to "bail out" a freaking bathtub. Ah, well, of course, an IMF bailout is more US than Europe anyway.
This is like the builider of a skyscraper admitting he used styrofoam instead of concrete.
>>I don’t understand high finance, but is it correct that other countries doing into further debt to rescue Greece is good for the American stock market?<<
I think what it means is that since we just created the rescue dollars out of thin air the market today is just reflecting the new value of the dollar. It ain’t worth $hit.
Everything is going to crash.
Properly reinforced, styrofoam can be very strong... until it gets too hot.
LOL - that’s what I thought.
WTF? did Obama find some golden eggs or something?
Sure feels that way.
Don’t the people who invest in Wall Street realize $200 billion of the European bailout will be paid by the U.S. taxpayer?
This 400 point increase is stupefyingly dumb. Obama has dedicated himself to destroying Wall Street and the business community.
What is there to invest in on Wall Street, that is safe?
Until someone gets in the Oval Office who wants to see the U.S. be economically successful, investing in the market is like lighting a match to your future.
It’s simple...you signal your intention to bailout Europe after last week. That manipulation of the stock markets worldwide allows your friends to cash in on the next trading day.
And the longer they stave it off with smoke and mirrors, the worse it will be.
On the one hand, the Euro has been losing value vs the USD for 7-8 months now (2 years if you go back to the Euro’s peak in 2008), so the worries about Greece and other debt-laden Euro countries has been priced into the devaluation of the Euro itself. The question is...which is the least of the two evils? Letting Greece & Co. default, or saving their butts in the short-run while ensuring the debasement of the Euro?
The Euro’s jump today would indicate that the market considers the $1 TRILLION rescue plan to be a better deal than letting Greece (and others) default. We’ll see how that plays out.
IMO, the jump in US stocks today is due to (1) the value of the dollar dropping vs the Euro (today) and (2) the billions in writedowns that the US companies who are creditors to Greece WON’T have to take now.
sort of. Looks like we finally found a use for this:
It doesn’t feel right.
So US companies can expect to be paid back from the bailout money?
The insiders are rescuing the euro.
They need the euro to attack the dollar.
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