re: Dow Jones At 6763 .. Obama Time Is Gaining Momentum

Posted by Cash

Vail

Member since Feb 2005

37248 posts

Posted on 3/2/09 at 3:39 pm to MileHigh

It's getting close to time to put some money back in equities, IMO.

eta: selectively, not the entire market

This post was edited on 3/2/09 at 3:40 pm

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Posted by Pierre

Baton Rouge

Member since Nov 2005

5289 posts

Posted on 3/2/09 at 3:43 pm to Lil Br Tiga

quote:
The market didn't drop down this low on W's watch.

Seriously?

It didn't drop to 6700, but the percentage drop was greater.

I didn't blame W for that and I don't blame Obama for this.

The market needs to wash out the fact that individuals lied about incomes, mortgage brokers knew it and accepted it and sold it to institutions that knew it was garbage and still packaged it and sold it to brokers who knew they could sell it to investors who wanted great returns with little risk.

Presidents have no control over that kind of reckless behavior and the market will continue to burn until all this shite washes out period.

Posted by Sleven

Baton Rouge

Member since Nov 2008

1061 posts

Posted on 3/2/09 at 4:10 pm to Pierre

quote:
I didn't blame W for that and I don't blame Obama for this.

how do you not?

its not a coincidence that after Obama passed his stimulus bill and gave his state of the union speech that the market has been tanking. all these things are factored into the market. It seems like the market is telling us that this shite is not going to work.

Posted by Colonel Hapablap

Mostly Harmless

Member since Nov 2003

28791 posts

Posted on 3/2/09 at 4:12 pm to Sleven

Seriously? The market has been shitnapping since early January of 2008.

Posted by Pierre

Baton Rouge

Member since Nov 2005

5289 posts

Posted on 3/2/09 at 4:13 pm to Sleven

quote:
how do you not?

quote:
The market needs to wash out the fact that individuals lied about incomes, mortgage brokers knew it and accepted it and sold it to institutions that knew it was garbage and still packaged it and sold it to brokers who knew they could sell it to investors who wanted great returns with little risk.

Presidents typically have little control over market dynamics.

This post was edited on 3/2/09 at 4:15 pm

Posted by Cold Cous Cous

Bucktown, La.

Member since Oct 2003

15048 posts

Posted on 3/2/09 at 4:15 pm to Colonel Hapablap

It's always fun to watch the OT'ers drop some real world knowledge on you Money Board geeks

Posted by kfizzle85

Member since Dec 2005

22022 posts

Posted on 3/2/09 at 4:22 pm to Cold Cous Cous

Forward P/E on the S&P is still way too high for there to be a bunch of "cheap" stocks out there.

ETA: Holy frick @ the volume today. Damn.

This post was edited on 3/2/09 at 5:05 pm

Posted by Gtiger9757

Baton Rouge

Member since Sep 2008

8730 posts

Posted on 3/2/09 at 5:07 pm to kfizzle85

quote:
I'll will start investing for the first time in my life and hopefully reap the benefits

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Posted by TigahRag

Sorting Out OT BS Since 2005

Member since May 2005

132775 posts

Posted on 3/2/09 at 5:22 pm to MileHigh

quote:
dow and s&p are up in after hours.

that's because there's an assload of low hanging fruit out there right now ..

Posted by mikeytig

NE of Tiger Stadium

Member since Nov 2007

7092 posts

Posted on 3/2/09 at 5:22 pm to Pierre

quote:
Presidents typically have little control over market dynamics.

Not this one, everytime the TV shows Obama's face the market drops 150 points.

This post was edited on 3/2/09 at 5:23 pm

Posted by TigahRag

Sorting Out OT BS Since 2005

Member since May 2005

132775 posts

Posted on 3/2/09 at 5:27 pm to mikeytig

i think the dow jones is just as much an indicator of opinions as it is an overall snap shot of the condition of our economy ... the street is trying to talk to obama right now ..

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Posted by Colonel Hapablap

Mostly Harmless

Member since Nov 2003

28791 posts

Posted on 3/2/09 at 5:30 pm to TigahRag

there was a minor short covering rally right after the bell, probably for position squaring. I wouldn't read too much into it. It's less than a 1% move.

Posted by kfizzle85

Member since Dec 2005

22022 posts

Posted on 3/2/09 at 5:35 pm to Colonel Hapablap

I said it in the other thread but I'll say it here too. People are going into freak-out mode again, so they're (gov) bound to do something drastic to try and stem the tide. I'm betting on 157 suspension, which will accomplish pretty much nothing at this point.

This post was edited on 3/2/09 at 5:36 pm

Posted by MileHigh

Most likely a mile high

Member since Jan 2004

7920 posts

Posted on 3/2/09 at 5:39 pm to kfizzle85

quote:
I said it in the other thread but I'll say it here too. People are going into freak-out mode again, so they're (gov) bound to do something drastic to try and stem the tide. I'm betting on 157 suspension, which will accomplish pretty much nothing at this point.

I think the stick save will have to be epic to change the mood. Only thing I can think of is some sort of tax holiday, or possibly volckler replacing turbotaxtimmy as sec of treasury (don't think that will happen).

Short of that, this shite is going to go down. We have already thrown a ton on money at it.

Posted by kfizzle85

Member since Dec 2005

22022 posts

Posted on 3/2/09 at 5:53 pm to MileHigh

I more or less agree. I'm saying that my feeling is that the general tension has built back up to November-type levels (see: this thread) among the general populous, which will trigger the politician's version of a collateral call, which is, of course, to "do something." But yeah, I really can't think of anything they can do to stop the downward momentum (close the markets?). Like I said this morning, I feel pretty positive we'll get a bounce by the end of this week when we get out of this news cycle with the NFP, but it's not over.

Posted by MileHigh

Most likely a mile high

Member since Jan 2004

7920 posts

Posted on 3/2/09 at 6:01 pm to kfizzle85

quote:
(close the markets?

instant tankage.

quote:
Like I said this morning, I feel pretty positive we'll get a bounce by the end of this week when we get out of this news cycle with the NFP, but it's not over.

I don't really know. I am not going to play the upside, just the downside. While I made some decent coin in Oct playing both sides, playing the upside is much trickier in this type of market.

Posted by Rivers

Florida

Member since Nov 2008

3256 posts

Posted on 3/2/09 at 6:07 pm to kfizzle85

'But yeah, I really can't think of anything they can do to stop the downward momentum (close the markets?).'

What we have here is a socioeconomic problem. People are scared shitless, iow. Closing the markets or a bank holiday will do nothing to relieve fear, only make it worse.

To get back on the road to restoring calm and creating confidence in markets will take a long, long time. A good start would be to let the insolvent institutions collapse and send some bad guys to jail. The people are watching while the financial sector, with help from their elected officials, grabs what is left of value in America. Their retirement accts, pensions, stocks, savings, etc, have been shredded...How are they going to have confidence in the system?

Posted by kfizzle85

Member since Dec 2005

22022 posts

Posted on 3/2/09 at 6:08 pm to MileHigh

quote:
instant tankage.

Cant tank if you cant trade!

But you know what I'm saying (And I know what you're saying). And since that makes absolutely no sense, and might literally be the worst possible thing to do...let's just hope they're not that retarded.

I'm not playing it either way, or suggesting to, for that matter. I got my UBS put and have watched it rally back from the depths. If the stock goes to >7, I'll probably get out and set my sights on an insurer or one of my reit/property managers, but those are much longer-term ideas anyway.