The Briefing Room
General Category => Economy/Business => Topic started by: ABX on February 05, 2018, 08:27:50 pm
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Ouch.. there had to be some corrections going on. A slow correction is always better though.
This is an astonishing selloff. Shares are going through the floor on Wall Street.
The Dow just extended its losses to 1,500 points - a fall of over 6% today......
https://www.theguardian.com/business/live/2018/feb/05/stock-markets-slide-global-sell-off-service-sector-bitcoin-business-live (https://www.theguardian.com/business/live/2018/feb/05/stock-markets-slide-global-sell-off-service-sector-bitcoin-business-live)
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Anyone jumping out of widows?
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I have everything in stable value options. We’ll see what happens.
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Anyone jumping out of widows?
Nope, but may be a good buy opportunity..
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I have everything in stable value options. We’ll see what happens.
I still have a quarter in large caps. I had a lot more in there last year, but I shifted half into stables late last year. Getting too close to retirement.
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Nope, but may be a good buy opportunity..
I'm hoping it lasts a few days, until next paycheck's contribution on Friday.
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Nope, but may be a good buy opportunity..
Wouldn't that be messy? All the blood and guts to get off the certificates?
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Wouldn't that be messy? All the blood and guts to get off the certificates?
Naaa, extra protein.
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Right now, about 3 pm, it is down over 1,000 points. Since Trump took credit for it going up, it must be his fault it is tanking big time.
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Can anybody explain and give us a rational explanation for this Sudden sell-off ( A HUGE ONE )?[
Is the market simply indicating that it went up too high too fast?
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Oct. 1987 as a 22% drop in one day.
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Right now, about 3 pm, it is down over 1,000 points. Since Trump took credit for it going up, it must be his fault it is tanking big time.
You have got such a narrow mind, when you walk fast do your earrings bang together?
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Is the market simply indicating that it went up too high too fast?
Yes, that's it. The stock market is showing something similar to a bitcoin selloff. Too high, too fast. Once the market reaches a sustainable level, and normalizes, it could be a big buying opportunity. In history, the NYSE has acted similar to a virgin girl. Once a level is hit once, it is much easier to get there again.
Those levels have been reached. Everyone knows that it is possible and has adjusted to it. We will see those levels again, most likely before the end of the year. IMHO
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Can anybody explain and give us a rational explanation for this Sudden sell-off ( A HUGE ONE )?[
Is the market simply indicating that it went up too high too fast?
It is a normal correction that is being fouled up with HFT bullshit. This is what happens when half the market is being traded with computers using algos the decide buying and selling.
BTW, this loss today in percentages is barely .25%. This is not a big deal or a massive sell off.
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Can anybody explain and give us a rational explanation for this Sudden sell-off ( A HUGE ONE )?[
Is the market simply indicating that it went up too high too fast?
I suspect it's just another attempt to make Trump look bad.... and a lashing back over the recent release of the Nunes memo. But....yeah. I am probably just being a CT re: that...lol.
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Can anybody explain and give us a rational explanation for this Sudden sell-off ( A HUGE ONE )?[
Is the market simply indicating that it went up too high too fast?
That would be a "correction," normally defined as a 10% pullback. That would be over 2,600, counting last week. This drop looks ugly, but I'm not getting ready to jump off any buildings soon.
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It is a normal correction that is being fouled up with HFT bullshit. This is what happens when half the market is being traded with computers using algos the decide buying and selling.
BTW, this loss today in percentages is barely .25%. This is not a big deal or a massive sell off.
Your decimal point is off, it's about 2.5%. Still not that big a deal.
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Your decimal point is off, it's about 2.5%. Still not that big a deal.
Only 2.5% drop? The left is making it sound like the end of the world!
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That would be a "correction," normally defined as a 10% pullback. That would be over 2,600, counting last week. This drop looks ugly, but I'm not getting ready to jump off any buildings soon.
So your Bungee Cord platform jump last week was just for the rush...not practice? :smokin:
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In the 90s, an 8000 point DOW was considered an explosion.
Now that we are in the 25000 levels, the swings are necessarily going to be larger.
That's why the number 1100 point sell off, doesn't really matter.
The only number that matters is the percentage of the whole. And at 1100/25000 the number is tiny.
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It might have something to do with this:
https://www.cnbc.com/2018/02/05/yellen-hard-to-tell-if-market-is-in-a-bubble-but-valuations-high.html (https://www.cnbc.com/2018/02/05/yellen-hard-to-tell-if-market-is-in-a-bubble-but-valuations-high.html)
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Only 2.5% drop? The left is making it sound like the end of the world!
Of course. it's like a Geico commercial: "It's what they do."
We're still a ways from "correction" status.
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So your Bungee Cord platform jump last week was just for the rush...not practice? :smokin:
It was that or take some high-power laxatives. The bungee was cheaper. Besides, I was over @Frank Cannon's slums at the time and I wanted to kill two birds with one stone.
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Your decimal point is off, it's about 2.5%. Still not that big a deal.
-4.7% at closing (1175 drop from 25000)...
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It was that or take some high-power laxatives. The bungee was cheaper. Besides, I was over @Frank Cannon's slums at the time and I wanted to kill two birds with one stone.
LOL. That would do it.
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4.6% now about 7% over two days I believe.
If you are buying(i.e. putting money into your 401k), it's actually a good thing.
My broker moved me to a largely dividend return stock portfolio so my stocks are doing pretty well. If you are tired of getting .5% for your savings, AT&T(T) is paying over 5% and T is down almost 4% today.
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Oh good grief... I just saw a certain website blaming the crash on a 'deep state conspiracy' and Soros.
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4.6% now about 7% over two days I believe.
If you are buying(i.e. putting money into your 401k), it's actually a good thing.
My broker moved me to a largely dividend return stock portfolio so my stocks are doing pretty well. If you are tired of getting .5% for your savings, AT&T(T) is paying over 5% and T is down almost 4% today.
When people panic- buy
When people get greedy- sell
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-4.7% at closing (1175 drop from 25000)...
Yeah, I was guestimating off the of the headline and comments. :shrug: What really matters is, how far is the drop from last week? That will determine if it's defined as a "correction." with the growth we've seen over the past year or so, I think it would be rational to expect a correction or 2,600 points.
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I'm glad I didn't resist the advice (again) to sell quite a bit last Tuesday and shelter significant gains. Financial minds greater than mine saw this coming.
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Can anybody explain and give us a rational explanation for this Sudden sell-off ( A HUGE ONE )?[
Is the market simply indicating that it went up too high too fast?
We're in the largest market bubble in history. The people who are in know the fundamentals don't support the price levels, but they don't want to miss out while everyone else like them are driving prices even higher. Anything that causes a few people to panic could (and I suspect will) cause the herd to panic. It's entirely possible that a few people are seeing something like that and simply wanted to get the heck out first.
BTDCB?
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4.6% now about 7% over two days I believe.
If you are buying(i.e. putting money into your 401k), it's actually a good thing.
My broker moved me to a largely dividend return stock portfolio so my stocks are doing pretty well. If you are tired of getting .5% for your savings, AT&T(T) is paying over 5% and T is down almost 4% today.
Yes, close enough (6.8% from the start of the selloff). Not anywhere near panicking, I moved off most of my large caps last year. Getting too close to retirement to keep the risk that high.
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Yeah, I was guestimating off the of the headline and comments. :shrug: What really matters is, how far is the drop from last week? That will determine if it's defined as a "correction." with the growth we've seen over the past year or so, I think it would be rational to expect a correction or 2,600 points.
Post close trading still shows a possible 4-5% drop tomorrow.
http://money.cnn.com/data/afterhours/ (http://money.cnn.com/data/afterhours/)
However, this may be too soon to judge based on this is still closing out orders from today.
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(https://ei.marketwatch.com/Multimedia/2017/03/23/Photos/NS/MW-FI823_DowCor_20170323160402_NS.png)
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(https://ei.marketwatch.com/Multimedia/2017/03/23/Photos/NS/MW-FI823_DowCor_20170323160402_NS.png)
It would be interesting to plot the borrowed/printed money on that plot.
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We have to understand that citing “largest point drop†is false reporting because market declines are more correctly measured in terms of PERCENTAGE DROPS.
Granted, the absolute number drop is psychological, but if you think a second time, it does not rank among the worst drop ever.
Remember dives of 500 - 600 when the Dow was at 12,000? well, it makes sense that at 26,000 we would see 1500 point swings.
This Seeking Alpha article said last Friday’s decline of 666 points on the DOW only ranked 538th in the list of historical PERCENTAGE DECLINES:
https://seekingalpha.com/article/4142967-dows-6th-largest-drop-ever
I am actually Looking forward to a measure of the percentage ranking of today’s loss.
Here are the 20 largest declines:
https://en.wikipedia.org/wiki/List_of_largest_daily_changes_in_the_Dow_Jones_Industrial_Average
Today doesn’t even rank in the top 20.
BTW, I am was very uncomfortable with Trump and some pundits using the ramp up in the stock market as "proof" of how great Trump's economic policies are.
Trump should distance himself from bragging about the market. When we had 20 of 22 days of market ups, I knew this was going to happen.
He should have qualified his boasts about the markets by saying that “declines will happen, but the market has been rallying.â€
But then, that's not his style, so there....
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Right now, about 3 pm, it is down over 1,000 points. Since Trump took credit for it going up, it must be his fault it is tanking big time.
what world do you live in? It is still way, way up since Trump was elected.
Just cannot stand to not take another swing at him, eh?
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Politics aside, here is how this article looked at it:
http://www.bbc.com/news/business-42942921 (http://www.bbc.com/news/business-42942921)
Equity traders were enjoying a bullish run recently, and the jolt from the major decline in the US last Friday has triggered a worldwide round of profit taking
When the market gets overheated, like it has this last year, the slightest hint that the market is about to turnaround or drop in equity prices, the big players come out and sell to take their profits while they can.
The drop in stocks at the end of last week, was a signal for many investors to sell.
This is not unanticipated at some point. Realistically, the stock market can't keep going up and up and up, without cooling down occasionally.
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Anyone jumping out of widows?
When Black Friday comes
I'm gonna stand outside the door.
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I suspect it's just another attempt to make Trump look bad.... and a lashing back over the recent release of the Nunes memo. But....yeah. I am probably just being a CT re: that...lol.
What does releasing a memo possibly have to do with anything?
Much more likely a new Fed chief coming in, and it flexing its muscles at Wells Fargo is the reason.
Anybody as yet been able to figure out whether the Fed actually has the authority to hit WF with a limiting growth dictate and firing its directors?
I doubt it has that authority. That will certainly change the behavior of the businesses in this country, and something tells me it assumed the authority to do what it did.
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When Black Friday comes
I'm gonna stand outside the door.
I would recommend standing across the street, out of jumping distance.
I was in the Enron building the day the stock fell below $1. They had kept a stock ticker display in the lobby for years; it was gone that afternoon. If the windows on that building had opened, I am sure people would have jumped.
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When Black Friday comes
I'm gonna stand outside the door.
I'll be in the doorway. I don't want any of those fat cats using me to break their fall.
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What does releasing a memo possibly have to do with anything?
Much more likely a new Fed chief coming in, and it flexing its muscles at Wells Fargo is the reason.
Anybody as yet been able to figure out whether the Fed actually has the authority to hit WF with a limiting growth dictate and firing its directors?
I doubt it has that authority. That will certainly change the behavior of the businesses in this country, and something tells me it assumed the authority to do what it did.
I've done business with WF, and they are as crooked as they come. They deserve everything they have coming to them, as long as it's within the Fed's legal charter. I don't know if they can restrict growth, though. I'd be happy if they simply revoked WF's ability to loan money. They'd be dead inside of a year.
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@thackney
@Wingnut
I am quoting a Steely Dan song.
"When Black Friday comes
I stand down by the door
And catch the grey men when they
Dive from the fourteenth floor."
So I guess it is "stand down" by the door, and not "outside" the door.
That makes more sense.
Just having a little fun.
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We're in the largest market bubble in history. The people who are in know the fundamentals don't support the price levels, but they don't want to miss out while everyone else like them are driving prices even higher. Anything that causes a few people to panic could (and I suspect will) cause the herd to panic. It's entirely possible that a few people are seeing something like that and simply wanted to get the heck out first.
BTDCB?
Aren't most trades actually system ones? Big funds that trade millions at a time. Not individual investors
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@thackney
@Wingnut
I am quoting a Steely Dan song.
"When Black Friday comes
I stand down by the door
And catch the grey men when they
Dive from the fourteenth floor."
So I guess it is "stand down" by the door, and not "outside" the door.
That makes more sense.
Just having a little fun.
Missed the Steely Dan Ref. Even if you quoted it correctly. I would have missed it.
888high58888
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BTDCB?
I'll bite. What's BTDCB?
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Aren't most trades actually system ones? Big funds that trade millions at a time. Not individual investors
Probably. I've learned enough about HFT to know that there is a very, very strange world behind the curtain, but not enough to know if it's providing increased market efficiency or if it's time to break out the tar and feathers. But I do know there's enough money out there just in 401k land that individuals should be able to start a panic (or a boom). And the big funds know better than the rest of us what is really going on.
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Probably. I've learned enough about HFT to know that there is a very, very strange world behind the curtain, but not enough to know if it's providing increased market efficiency or if it's time to break out the tar and feathers. But I do know there's enough money out there just in 401k land that individuals should be able to start a panic (or a boom). And the big funds know better than the rest of us what is really going on.
The big funds do the best when the little guys get crushed. I think HFT actually aggravates that.
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It might have something to do with this:
https://www.cnbc.com/2018/02/05/yellen-hard-to-tell-if-market-is-in-a-bubble-but-valuations-high.html (https://www.cnbc.com/2018/02/05/yellen-hard-to-tell-if-market-is-in-a-bubble-but-valuations-high.html)
Greenspan also came out with more talk down bullshit of the markets. Add in impending interest rate hikes and you got people in a panic.