Stock Market Continues Slide Despite Increase in Retail Sales

Discussion in 'Stock Market' started by auditor0007, Feb 12, 2009.

  1. auditor0007
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    auditor0007 Gold Member

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    Stocks slide as investors worry about economy By TIM PARADIS, AP
    posted: 57 MINUTES AGOcomments: 79PrintShare
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    NEW YORK -Investors' concerns about the U.S. economy aren't letting up even as Congress has reached a deal on a $789 billion economic stimulus plan.
    Stocks tumbled early Thursday as a surprise jump in retail sales failed to lift the market's downcast mood. Investors looked past the stimulus plan and economic reports to cautious earnings forecasts and lingering questions about the health of the banking sector.
    After an intense focus on Washington this week on the stimulus plan and the Treasury Department's revision to its financial rescue plan, investors find little reason to be optimistic.

    Investors remain concerned about the prospects for businesses and are hoping the stimulus plan's mix of spending and tax cuts will be able to help revive an economy mired in its worst recession in generations. But the plan, if passed, likely won't help immediately.
    The House could vote on the measure as soon as Thursday, though Friday seemed more likely. The Senate would follow.

    "The stimulus bill looks like a little bit of a wet blanket," said Randy Frederick, director of trading and derivatives at Charles Schwab . "There is some concern that maybe this thing won't work as well as expected."

    Stocks slide as investors worry about economy - AOL Money & Finance

    Wet blanket you say? If investors aren't very positive about the stimulus bill, what should that tell us?
     
  2. xsited1
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    xsited1 Agent P

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    Ah, the stimulus bill. I guess the people who matter realize it's just a pork bill to make the government bigger and has little to do with stimulating the economy. I find it amazing that there are some who criticized GWB's deficit spending yet support this bill. Go figure.
     
  3. editec
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    editec Mr. Forgot-it-All

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    That the stock market mavens know how completely fucked-up things are obviously.

    But before you hang you hat on the brilliance of the STOCK MARKET MAVENS , do recall that the stock market also kept telling us how wonderful things were just a year ago, too, right?

    Translate the above to read: The Market is as clueless as the rest of us are.
     
  4. Neubarth
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    Neubarth At the Ballpark July 30th

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    The reality of the situation out there is that the Bib Mutual Funds can move the market any direction they want. When I was in the industry, they called it "Shaking out the tree." or "Getting the nervous investors to sell."

    The idea is to take the market down in the morning and those people who are at their breaking point will panic sell. That will get others to sell and then the mutual funds can come in and BUY BUY BUY at the end of the day. There are large bonuses for Mutual Fund managers who turn in impressive profits. That being said, most of the MF managers are totally unethical. They can use investor money to move the market to their advantage.

    The SEC does nothing about it.
     
  5. auditor0007
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    auditor0007 Gold Member

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    When the market hit 14,000, I told my girlfriend to sell all of her stock. Of course her financial people said "oh no, things are looking great". This was when anyone with half a brain new the market was going to tank. Well, now she's lost over $200,000. At least she only has a quarter of her money in the market. The rest is tied up in municipal bonds. Those, for the time being, are a much safer bet. Of course with decreasing tax revenues, even those could be jeapordized.
     
  6. editec
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    editec Mr. Forgot-it-All

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    You know, I do NOT doubt that for a second, Nar.

    But what I DO doubt is that even the big boys actually know what the market will look like next week, next month, or next year, either.

    They can shake the tree on invdividual stocks or maybe even classes of stocks, but as to knowing what the real direction of the market is going to take?

    They're clueless.

    Seriously, read DRUNKARDS WALK where they essantially PROVE that yesterdays' big geniuses running mutual funds are statistically speaking, not more likely to be winners the next year than a monkey throwing darts at the NYSE page of the WSJ.

    That book pierced the myth (that I actually believed) that anybody knows anything about the tomorrow's market (who isn't an insider trader, of course)
     
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  7. xsited1
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    xsited1 Agent P

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    When the Democrats took control of Congress, I moved my money to safer investments.
     
  8. auditor0007
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    auditor0007 Gold Member

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    If these financial people were so brilliant, they'd make money for their clients all the time. But they are more interested in collecting their fees. Yes, they'll help you make money when the market is good, but they are not very good about directing investors in the right direction when things go bad.

    I swear if I hear another investment person say "you're in it for the long haul", I'm going to puke.
     
  9. DavidS
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    DavidS Anti-Tea Party Member

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    Goodbye Dow 7000 before June.
     
  10. wimpy77
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    wimpy77 Member

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    read the underlining current folk. the market is moving where it is because wall street doesn't think the obama package is big enough and they are in some ways still spanking geithner for tuesday's debacle.
     

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