It occurs to me to wonder if the strongly falling stock market this past week is a result of more democrat tinkering just before the election. Yes, things have been on the brink for quite some time now but the timing is interesting.
Very true TT and there are many more stock/market traders(Day Traders) today than say 15 years ago, and back in the 80's it was not glamorous like present day. Some of them bail on their stocks at the slightest hic up and we must not forget we are in the digital age and millions of shares are trading daily/hourly on computer generated programs, buying/selling at preset numbers by computer programs, makes it more volatile IMO.One issue for the stock markets are the rising interest rates. They're still too low to be a concern to long term investors but they'll eventually get to the point where enough investors will transition some of their holdings to bonds or some other thing, and from the stock markets. That's always good for a correction and creates an opportunity for others with cash sitting on the side to buy into their favorite companies at a discount.
The financial markets don't like surprises and we've had a lot of those lately... that could be making investors a bit jumpy. The whole thing with the "trade wars" is causing a lot of short term unknowns and that can't be helping the markets though long term it'll be good for the USA and for USA companies that restructure to favor more manufacturing in the USA, I think.
The large numbers involved in the daily "downs" aren't all that significant when considered as a percentage of the DOW or their respective exchange.
I've been concerned ever since Trump became President that the Fed, whose members tend to be at the very center of globalist ideals, might use their positions to thwart President Trump. If that is the case, then they might have pulled the trigger a year or so early... If they are acting poorly, it'll become obvious over time, at least I would think it would become obvious.TRex2 do you think the rate hikes are intentional, as in an attack on Trump, make him look bad? Or do we really need the rates higher? It will cost companies more $$ if they need operating capital, higher mortgage rates, etc.
I think massive inflation (deflation in the actual purchasing power of the US dollar) that began back when oil prices went crazy high is responsible in large part for the DOW and other market numbers. Relative to true inflation, I wonder what the correlation between a given value in the 1930s and today might be.The economy is still strong, oil is low and Gas is at good price for the working man and if the Fed did not raise rates maybe this slide in the market does not materialize this severely ? When they continue to tighten on rates they are fearing inflation so they raise rates a little to slow the economy a little, at least that is how I understand it. I am curious to see the first week in 2019 and what the market does. Some talking heads on the business channels keep equating this with how bad the market was in 1930, I think that is a little overblown. The market in 1930 was trading between 250 and 390 and our market now is in the 21,790 range down from it high of 26,616 which shows there is still much strength. I'm not worried, my faith is not in the market, the market goes up and it goes down, and it has had a very long run UP it is the end of the year and I suspect people taking $$ profit, all just opinion.
It will be obvious for about 16% of us.I've been concerned ever since Trump became President that the Fed, whose members tend to be at the very center of globalist ideals, might use their positions to thwart President Trump. If that is the case, then they might have pulled the trigger a year or so early... If they are acting poorly, it'll become obvious over time, at least I would think it would become obvious.
That is amazing. I remember my dad telling me a long time ago that back in the early 80s (I think) you could get (through bonds, cds, or whatever) 10-15% secured yearly interest. I'd take that sure thing over any gamble on a stock any day! Of course, interest rates were a lot higher back then, over 20% at one point.Maybe, but the market is very high, after following the market for ions it seems to me just normal ups/downs for a market in the 24600 range and some big companies not hitting their quarterly mark, there will be more companies reporting earnings next week , many are doing very well. And the stock market does not like it when %rates go up. I am not a professional money manager and did not go to school for financial investing, I do not give advice, just a private citizen that has studied and learned about the stock market/financial companies and being an investor in stocks and money markets since the mid 1970's. 40 years ago I had a CD that paid over 14% for 1 year Back then I think the Dow was at 1000 or slightly under, it is 24 times that now. I am not wealthy, just an average joe getting by, by the grace of God and not living above my means and not keeping up with the Joneses , and 0 credit cards . Since we are in the last days(possibly moments) I expect lots of volatility in markets and in everything connected to $ and societies, remember our $ says In God We Trust, trust Him not your $ or what you have/own it could/will all be gone in a blink.
I think Trump got it right (assuming the Fed isn't acting out of Trump Derangement Syndrome), he said "The Fed is like a powerful golfer who can’t score because he has no touch - he can’t putt!"I've been concerned ever since Trump became President that the Fed, whose members tend to be at the very center of globalist ideals, might use their positions to thwart President Trump. If that is the case, then they might have pulled the trigger a year or so early... If they are acting poorly, it'll become obvious over time, at least I would think it would become obvious.