The Official Dow 7000 thread

Down 85 points right now to 7279.73. Another 279.73 and we're at 7000. I think we're getting close to 7000. If you look at trends - if we close below 7250 today, we're guaranteed to get to 7000 within the next few weeks.

http://finance.yahoo.com/q?s=^DJI

 

I fear its going to go to Dow 5000

 

i heard cramer saying, it is bs that buying the market at this time is a good bargain....that the reason the stock market is down 50% is because PROFITS are down 50% for many of these companies...

so if profits are down 50% for most all the companies on the stock market...will our unemployment rise to such? seems impossible but is it really?

I realize that 80% of our businesses are small businesses not on the stock market so maybe, this does translate to 50% of the 20% are off 50% on their profits and the small businesses are doing much better so the unemployment would not go up as much???

 

Many businesses are opperating at a loss right now. If it doesnt start moving (the eoncomy) in a year or so those businesses will go under.

This is why we need a stimulus so bad right now, to stem the damage from spreading further.

Anyone who is against the stimulus efforts are against their own jobs staying in exsistance.

 

The problem with 80% of the small businesses is that they employ less than half of the country. Our economy is far too dependent upon large corporations - thus if a few small businesses were doing badly in one sector, you could take your skills and move to another sector. With large corporations who are dependent upon their stock price and a littany of the same factors, one falls all the rest fall.

I would support some kind of bill limiting the size that a business can grow to in terms of overall revenue and number of employees. Once a business grows too big, spin it off and create another one. And thus you'll have more corporations that are small businesses in the economy and the economy will be much resistent to fads such as housing, railroad or dot-com bubbles. Of course this will never happen because large corporations donate heavily to politicians so congress can pass bills that will favor large corporations.

This country was founded upon the principles that only rich, white men had influence in our government. Not much has changed, unfortunately.

 

no David, they employ 80% of the country.

BIG Corporations employ only 20%

 

Yup.

Basically that'll be the 20% who simply cannot understand what the rest of us are bitching about, too.

I don't think that, according to what the SBA calls a big business, I've ever worked for a big business.

Done some outside contracting for some of them, but never got a ride on their gravy train.

I'm betting that if you looked at where the profits go, you'd find the same lopsided outcomes, too.

The large coporations making 80% of the profits, while the 20% eek out a living on the remaining 20%.

Sort of mirrors the asset distribution, too doesn't it?

The one that informs us that the lowest 80% of the income scales also only own about 15% of the nation's assets.

My!.. how coincidental!

 

cramer says he thinks 6000 is certain in his opinion. he says geithner needs to either start doing his job or resign. i checked the market and from the looks of it the financials aren't the cause today. they aren't doing all that badly atm. its everyone else including the tech stocks.

 

A large part of the problem is a perceived failure of leadership from the Obama administration on financial recovery. Because Obama-Geithner failed to tell investors exactly what they planned to do, Dodd's loose talk on Friday sent the stock markets into a tail spin, and now a Wall Street Journal article saying the administration will put more capital into Citi and will not allow any of the major banks fail along with repeated reassurances from the administration has turned Friday's losers into today's winners.

But while the administration's perceived confusion about how to handle this crisis has been taking the markets on a roller coaster ride, a load of economic data comes out today and with it revised estimates about how long the recession will be and how deep. Within the last week I was reading that the recession was expected to begin easing late this year, but now I'm reading estimates that ti won't begin to recover until some time in 2010. Since the trend has been that analysts keep telling us it is worse than they had previously thought, I'm guessing we'll soon hear the recovery won't begin until late 2010 pretty soon.

 

The problem is that the markets hate uncertainty and right now the Obama administration isn't really providing details on their fiscal plans. They're saying "Oh, let's do this!" but not saying how - so the markets sell on speculative uncertainty. Of course, Obama hasn't been in office 45 days, yet and the markets are looking for results NOW NOW NOW.