If you don't think the stock market is over levereged...

Discussion in 'Economy' started by iamwhatiseem, Jul 21, 2011.

  1. iamwhatiseem
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    iamwhatiseem Gold Member

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    ...your outta your mind.
    It is official, not only has the DOW now fully recovered from the recession - but is at levels in it's best of times.
    After the massive government infusion of taxpayer money...the markets had the two best years in recorded history. Two best years in recorded history.
    (as far as growth) Can you say bubble?
    This same people who brought our economy to it's knees are about to do it again. And there is nothing you or I can do about it.
     
  2. Mr Clean
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    Mr Clean Gold Member

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    Except get out now and get back in after it crashes.
     
  3. Oddball
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    Oddball BANNED Supporting Member

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    The numbers re only pumped up because the USD is worth much less than it was four years ago.
     
  4. iamwhatiseem
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    iamwhatiseem Gold Member

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    Precisley. Bubble mentality. That's the problem.
    Prior to 1990 - the stock market for 18 straight years had constant and consistent growth that was based on tangible, measurable vehicles. After 1990 - the markets switched to being based on projections, futures, and of course mostly - debt servicing. Anyone with a 3rd grade education would know that if your income is based on selling into an investment that is based on what you say about it - your going to say GREAT things about it! And you are going to tell as many people as possible. And that is if you are honest. Of course this isn't what has been happening. Instead Wall Street in Greenspan's own words - most of the growth we have seen is based on dramatically fully leveraged markets..... he said this in 2000. The markets grew another 5000 still, after falling 8000 points and getting $trillions of tax payer money and depending on the government to loan the markets taxpayer money (at no interest) - obviously the markets are going to have a fantastic recovery.

    And they are talking about another infusion of government money.
     
  5. Mr Clean
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    Mr Clean Gold Member

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    And there's no place else to put money for a decent return.
     
  6. Mr. H.
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    Mr. H. Diamond Member

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    I thought it was earnings reports that are fueling the market. Earnings. Not talk.
     

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