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Yet another stock market thread - time line if this is a true crash

How can you create that much money thru printing as opposed to velocity and not create a bubble?
The printing machine has been on for decades. You can do cuts through reduced spending and reduced hiring and getting rid of poor performers. Not the chaos that Musk has created.
 
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The printing machine has been on for decades. You can do cuts through reduced spending and reduced hiring and getting rid of poor performers. Not the chaos that Musk has created.
Covid was a lot

The Great R was a lot but looks small in comparison


 
The printing machine has been on for decades. You can do cuts through reduced spending and reduced hiring and getting rid of poor performers. Not the chaos that Musk has created.
Here is the real problem. We aren't doing anything in the economy to generate real growth and we are way behind. It was used to create asset bubbles in housing and stocks. Not real economic growth. Money velocity has been anemic. Under Obama, the interest rates were artificially low to create consumption. Again went to houses and stocks. The Biden economy was way overrated. There was no where to go but up some.

Trump is still an idiot. My guess is he has vested interest or he truly wants a restart.


 
Covid was a lot

The Great R was a lot but looks small in comparison


Then blame trump too, he did the stimulus and wanted the 1st stimulus in 2021 as well. This isn’t a 1 party issue moron. However the current problems are all falling on Trump. He is handling this poorly. And attacking our trade partners, his actions are killing people in Ukraine. He is firmly letting things burn.
 
Then blame trump too, he did the stimulus and wanted the 1st stimulus in 2021 as well. This isn’t a 1 party issue moron. However the current problems are all falling on Trump. He is handling this poorly. And attacking our trade partners, his actions are killing people in Ukraine. He is firmly letting things burn.
Agree but I thought I mentioned him.
 
Attached is a chart that shows the Fed Funds Rate vs. the S&P 500. Note the percentage drop in the S&P 500 that takes place months after the Fed pivots on interest rates. What happen in late September of 2024? The Fed made a pivot by lowering rates 0.5%. History shows, we should see a substantial drop in the markets. The second chart is similar but includes grey bars that indicate recessions.

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Closing DOGE and forcing some restrictions on the POTUS. Currently the issue with the economy is commander tariff running around with no strategy.

What I’m seeing in this thread is this is the democrats’ covid… there’s a boogeyman, we have authoritarian control, there’s lots of theories being floated about the cause and the cure.

This all feels really familiar.
 
Personal guess is Musk is getting very frustrated. Add in his personal net worth loss, this has not been a good couple months for Musk.

As to the general economy, nothing has really happened, even when taking the tariffs into consideration lots of companies planned ahead by getting their product in now. The issue is if you have a cooling effect in the future if the tariffs are not a a negotion tool, which Trump seems to be changing his philosophy on. It seems they are now thinking they can use tariffs to offset their new tax bill. I am not saying Trump was dealt a good hand. His issue is he took a bad hand, lit it on fire and is trying to pick up the ashes. The government and decrease in government spending will be a hit to the economy. It is hard for me to figure out how many jobs have been lost or how much spending has been cut that will effect the economy. Those are big world numbers beyond my comprehension abilities. I don't see how they don't loosen up the monetary system though, either through lower interest rates and or more money flowing. I think the Nasdaq has a bit more to fall, but those are the major growth areas of the economy as well and they have already taken a significant haircut - nasdaq more than 15%, many of the high fliers more than 50%.
Like yesterday when DOGE was announcing all the waste fraud and abuse they’ve found we were told that it’s a drop in the bucket, Now all of a sudden the government not spending the money will damage the economy?

You guys are all over the map on this thing.
 
Like yesterday when DOGE was announcing all the waste fraud and abuse they’ve found we were told that it’s a drop in the bucket, Now all of a sudden the government not spending the money will damage the economy?

You guys are all over the map on this thing.
I have not seen any significant waste or fraud by Doge. Really only a couple things that republicans disagree with. It is firing a large percentage of the workforce and creating massive fear, rather than a controlled decrease. I have been very clear on this.
 
What I’m seeing in this thread is this is the democrats’ covid… there’s a boogeyman, we have authoritarian control, there’s lots of theories being floated about the cause and the cure.

This all feels really familiar.
Not really. This is simple. Building factories take years. Not weeks or months. Until there’s clarity businesses will respond accordingly.
 
What I’m seeing in this thread is this is the democrats’ covid… there’s a boogeyman, we have authoritarian control, there’s lots of theories being floated about the cause and the cure.

This all feels really familiar.
KF, the markets tell you what they think of Trump and his policy. On a day where you should see a rebound, down at levels in growth stocks where we have bounced before, good report on inflation, other good news, and the market is up, but already in retreat. There is absolutely zero confidence in this market right now. I still think we may take a day or two but will start the next leg down. At that point prices might start to get interesting.
 
KF, the markets tell you what they think of Trump and his policy. On a day where you should see a rebound, down at levels in growth stocks where we have bounced before, good report on inflation, other good news, and the market is up, but already in retreat. There is absolutely zero confidence in this market right now. I still think we may take a day or two but will start the next leg down. At that point prices might start to get interesting.
I don't know a thing about the stock market. I do know about how this board operates. If the stock market was doing AMAZING... but unemployment numbers come in high or there's some other economic marker that the left can focus on, they will. Most presidents have an unofficial 100 days marker where they have to start to own their own stink or celebrate success. That 100 days is rapidly approaching we're around what 60 days in? I'm not overly concerned or completely apathetic at this point. I'm just in wait and see mode.
 
On a day where you should see a rebound, down at levels in growth stocks where we have bounced before, good report on inflation, other good news, and the market is up, but already in retreat.

That's because this is a correction, normal metrics don't apply,.. the market will rebound when a majority of investors feel it is properly valued again...
 
Like yesterday when DOGE was announcing all the waste fraud and abuse they’ve found we were told that it’s a drop in the bucket, Now all of a sudden the government not spending the money will damage the economy?

Losing specific government services will assuredly impact long term growth.

US has been a major engine of drug development; something like 97% or 99% of all drugs sold are the result of fundamental research supported by NIH. Turn that spigot off, and that research no longer points to new places to look for new drugs. And that's merely one example.
 
I have not seen any significant waste or fraud by Doge. Really only a couple things that republicans disagree with. It is firing a large percentage of the workforce and creating massive fear, rather than a controlled decrease. I have been very clear on this.

There isn't any.

ZERO federal charges against the alleged "fraud"

 
Losing specific government services will assuredly impact long term growth.

US has been a major engine of drug development; something like 97% or 99% of all drugs sold are the result of fundamental research supported by NIH. Turn that spigot off, and that research no longer points to new places to look for new drugs. And that's merely one example.
oh that's too bad, we won't be developing new poisons for a while? Maybe we can all get healthy again like we used to be before we jabbed people full of "science" and stuffed them full of processed foods.
 
Trump is a master at getting other people to buy him stuff and using them as scapegoats.

In a way, Elon is his ultimate mark. Elon has given Trump hundreds of millions, does his dirty work for him, and will ultimately take the blame for it. If things get bad enough, he may even lose his freedom or his life.

It's hard to think of anyone who has been so thoroughly hustled as Trump is doing with Elon.
 
A huge wild card right now is how long will Musk hang around doing the DOGE thing. I'd be surprised if he's still involved by the end of this year, and that would be a nice thing for the markets if he moves along.

Obviously current market sentiment has most retail traders wayyyyy out, and other big money/market makers sitting on the sidelines (e.g. Buffett). But, pair the tariff wars ending, along with Musk going back to focus on Tesla's recovery/Mars/having more kids/his favorite flavor of Skittles, and there will be some bigly green candles on the way back up. I think we have another ~15% to go down though in the meantime. Puts are certainly paying (particularly on DJT!).
He has screwed Tesla. It is toxic now. Pissing off the majority of your consumer base is a bad business decision, but the genius apparently disagrees.
 
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