STOCKS END LOWEST SINCE 1997

  • HndsmKansan

    Posts: 16311

    Feb 23, 2009 9:58 PM GMT
    At this rate, the market is going to be lower than when I got into this business! Good grief!

    icon_mad.gif

    Stocks close at lowest point since 1997
    The Dow and S&P 500 tumbled to levels not seen in nearly 12 years today, as investors continue to worry that the government's efforts to slow the recession won't be sufficient. The Dow Jones industrial average lost 250 points, or 3.4 percent, according to early tallies, ending at the lowest point since May 1997. The S&P 500 lost 26 points ending at the lowest point since April 1997, CNNMoney reports.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 10:01 PM GMT
    Just the panic. I personally think it is a good time to invest (carefully). This of all the money to be made when the market rebounds and goes up, and it will. It has always done so in the past.

    I bought some Disney stock last week and happy I did.
  • HndsmKansan

    Posts: 16311

    Feb 23, 2009 10:03 PM GMT
    Cowboiway saidJust the panic. I personally think it is a good time to invest (carefully). .


    Absolutely. All those "dollar cost averagers" out there.. very prudent.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 10:11 PM GMT
    It is time to look for the bargain. A secure company that has a proven track record. teh market is not going to go under. It will rise and smart people like Warren Buffet, who already made a statement he is buying will make money.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 10:21 PM GMT
    Good, let corrupt Republican capitalists go bankrupt, and the socialist revolution begin. It should have happened in the 1930s. I'll be happy when there's a Republican hanging from every street sign.

    The government is considering nationalizing the banks, that were instrumental in causing this disaster. As part of that, they should insist that every banker be publicly stripped naked and paraded in front of the banks they ruined. And let the public take whatever revenge on them they like.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 10:39 PM GMT
    jprichva said
    Cowboiway saidJust the panic.


    But the point is, if this is correct, there is no good reason for these prices to rise again for a very long time. The 1929 pre-crash market highs were not achieved again until 1954---fully 25 years.


    So you summed it up. you think it has hit about as low as it will go. It will remain ther and at some point rise. Sweet. While it is down there I will buy good stable companies stock. Wait as it rises and as it does make money.

    So it may take 5-10-15 years, but guess what, no one said making money in the stock market was ever going to be fast. it's the steady preformers that one really makes the money on.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 10:40 PM GMT
    uh-oh.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 11:01 PM GMT
    Unfortunately, it has most Investors who are wealthy worried. Even the small investor has to be wondering and may not even have the funds to invest. I studied Economics a few years back so I knew we were headed for a RECESSION in October, 2007. This was when so many in office kept trying to lie and fool us how good the economy was doing, when in fact it was NOT.

    There is a total lack of confidence in many sectors of the economy. What it needs now is more than any good stimulus (which I doubt will work) It need prozack LOL...Time really, and I do believe it is going to get worse. MUCH worse. so buckle down boys...I actually read that one cure for feeling better...MORE SEX!! LOL

    My suggestion: Gold, It will continue to rise and be more and more attractive and in demand as inflation or disinflation come and goes...it's also a safety issue and the returns have been very good over the last few years....BUY while you can!!
    http://www.usagold.com/

    OR>>>>>>

    Have More Sex to Beat the Crunch

    In pinched times like these, there is one way to boost your happiness without spending a penny, since the more you have sex with your spouse or partner, the happier you become, according to U.S. psychiatrist Daniel Amen.

    Amen’s book “Sex on the Brain” is full of scientific yet interesting stories. The increase of happiness from upping sex from once a month to once a week is equivalent to the satisfaction from earning US$50,000 more a year, he says. And increasing sex to three times a week will make people look 10 years younger. The happiness index for married people who enjoy sex 30 percent more often than those who are single is therefore higher.

    Amen says food is a crucial part of people’s sex life. Almonds stimulate the sexual desire of women and bananas increase sexual drive of men, he claims. Eating an apple before kissing cleanses the mouth and stimulates secretion of saliva. And asparagus, which is rich in Vitamin E, stimulates production of sex hormones. The capsaicin in pepper is a natural stimulant, facilitating discharge of endorphin, he adds.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 11:14 PM GMT
    HndsmKansan saidAt this rate, the market is going to be lower than when I got into this business! Good grief!

    icon_mad.gif

    Stocks close at lowest point since 1997
    The Dow and S&P 500 tumbled to levels not seen in nearly 12 years today, as investors continue to worry that the government's efforts to slow the recession won't be sufficient. The Dow Jones industrial average lost 250 points, or 3.4 percent, according to early tallies, ending at the lowest point since May 1997. The S&P 500 lost 26 points ending at the lowest point since April 1997, CNNMoney reports.


    I can hardly watch CNN these days. I find much of the news REALLY depressing. It appears old money is hunkering down, and new money is hunkering down, and folks on the edge are hunkering down, and folks with a little money are hunkering down, and credit has hunkered down, and savings is up, and folks are scared, and things are still throttling. At least that's what I hear the experts saying.

    Definitely a buyer's market on real estate, if you can get the credit, or have money.

    I know we've hunkered down. Lots of our friends are hunkered down.

    Hope it gets better soon, but, my intuition says it's going to get a bit worse, first.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 23, 2009 11:23 PM GMT
    My friends parents are buying up real estate. Just cause they pulled all of their money out of stocks before shit hit the fan. Its a college town, so, investing in rentals seems to be working for them. And the upside for me, I get cheap rent out of the deal by living with their son.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 1:30 AM GMT
    Red_Vespa saidGood, let corrupt Republican capitalists go bankrupt, and the socialist revolution begin. It should have happened in the 1930s. I'll be happy when there's a Republican hanging from every street sign.

    The government is considering nationalizing the banks, that were instrumental in causing this disaster. As part of that, they should insist that every banker be publicly stripped naked and paraded in front of the banks they ruined. And let the public take whatever revenge on them they like.


    Oh boy. icon_rolleyes.gif
  • DCEric

    Posts: 3713

    Feb 24, 2009 1:33 AM GMT
    Matterych saidMy friends parents are buying up real estate. Just cause they pulled all of their money out of stocks before shit hit the fan. Its a college town, so, investing in rentals seems to be working for them. And the upside for me, I get cheap rent out of the deal by living with their son.


    Is he hot?

    Meh, the stock market was for risk takers, and while my 401K is rapidly becoming a 101K, we will get through this. The world hasn't come to an end during any previous crisis in human history. I highly doubt it will now.

    I'm buying a house in the next few months. The way I see it, everything is on sale, 50% off, so I am going to party like its 1997.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 1:38 AM GMT
    The stock market is fragile these days due to the uncertainty surrounding the US banking system. Unlike the late 1980s when the Savings & Loan rescure occurred, today's crisis has the biggest banks at the centre of the turmoil. Bank of America, Citigroup, J.P. Morgan are all potentially in trouble. Nationalization is only a short-term solution, since the Government does not have the expertise (or the money) to run these banks on an ongoing basis.

    President Obama stated today that he would cut the budget deficit by 50% within four years. That is nice. No politician should make such promises at the spur of the moment unless he has been thoroughly briefed by his budget chief, Treasury Secretary and other economic advisors. It gives the opposition a great target to fire at in the coming years.

    Twenty years from now historians may look back at 2008-2010 as the period in which the USA started in earnest its' long descent into #2 as the world's great economic power. Only time will.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 2:18 AM GMT
    Can we just make it clear that the down jones industrial average is a sumation of only 30 of the largest stocks. In my financial experience I have come to the conclusion that you can't trust the DJIA. Its a speculative market for day traders to try to make a buck!
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 2:47 AM GMT
    The S&P 500 is down 52.5% from its peak and at its lowest since early 1997--not much different than DJIA. But yes the difference between the equity markets and a casino is pretty hard to see.

    Whenever and wherever this slide finally stops the bigger question is the one Paul Krugman put this week: What is going to be the engine of the recovery? He doesn't see it and no one else does either. The economy will eventually begin to climb again, of course, but the timing and speed of that recovery is very uncertain. It could, and probably will, take a very long time, especially since a quick "bubble" recovery is not going to be an option this time.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 2:48 AM GMT

    Most of you guys seem pretty level headed with the exception of one "red head." Lol. The word "beserk" comes to mind for the latter.

    That said, the same rules generally apply that have been around for a long time. Do your research, use your head, and don't take stupid gambles with big chunks of your cash. Keep a good solid cash cushion to keep the household going for awhile even though cash returns rates rediculously low these days.

    Depending on your price range in real estate, there are some incredible deals. 1 CPW, 15 CPW, and Park or Fifth come to mind in NYC. There are a few foreclosures there in fact.

    Have fun!!
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 3:16 AM GMT
    I really have only one thing to say about this...

    YAY college loans!
  • SkyMiles

    Posts: 963

    Feb 24, 2009 3:17 AM GMT
    It might not be so bad if most of America's retirement programs weren't stock market based.
    We all got screwed letting them switch guaranteed benefit retirements to 401k.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 3:18 AM GMT
    Here is an interesting chart that puts it all in perspective .. the four bears ..

    http://dshort.com/charts/bears/four-bears-large.gif
  • DCEric

    Posts: 3713

    Feb 24, 2009 3:18 AM GMT
    Colbert_Nation saidIt might not be so bad if most of America's retirement programs weren't stock market based.
    We all got screwed letting them switch guaranteed benefit retirements to 401k.


    Are you kidding? Everything is on sale! Buy now! When this turns around in the next couple of years BOOM!

    The market always comes back.
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 3:31 AM GMT
    buy LOW and sell HIGH.

    Here are my rules.

    Do not watch the Financial Porn : A Short-term focus by the media on a financial topic can create excitement that does little to help investors make smart, long-term financial decisions, and in many cases clouds investors' decision-making ability.
    I just stole that from http://dshort.com/articles/addicted-to-porn.html#more

    Blue Chips that pay dividends. I know some have cut dividends.
    If they offer a dividend reinvestment plan. it is like planting a seed and letting it grow. And buy direct. Cut out the broker. https://www.directinvesting.com/


  • Mikeylikesit

    Posts: 1021

    Feb 24, 2009 3:51 AM GMT
    DCEric said
    Colbert_Nation saidIt might not be so bad if most of America's retirement programs weren't stock market based.
    We all got screwed letting them switch guaranteed benefit retirements to 401k.


    Are you kidding? Everything is on sale! Buy now! When this turns around in the next couple of years BOOM!

    The market always comes back.


    I hate to tell its gonna be more then a couple of years....try more like 10,15-20 years.......I feel Really bad for all the people that are about to retire & lost all their IRA money......But are they supost to do!.....icon_twisted.gif
  • metta

    Posts: 39144

    Feb 24, 2009 7:26 AM GMT
    Mikeylikesit said
    DCEric said
    Colbert_Nation saidIt might not be so bad if most of America's retirement programs weren't stock market based.
    We all got screwed letting them switch guaranteed benefit retirements to 401k.


    Are you kidding? Everything is on sale! Buy now! When this turns around in the next couple of years BOOM!

    The market always comes back.


    I hate to tell its gonna be more then a couple of years....try more like 10,15-20 years.......I feel Really bad for all the people that are about to retire & lost all their IRA money......But are they supost to do!.....icon_twisted.gif


    Your the second person that I have heard that from. My friend that teaches economics to students working on masters degrees told me a couple years ago that the economy was so bad that it would most likely take 15-20 years to recover. I was hoping that he was wrong and I'm still hoping that it wont be that long. But I also find the so called analysts to be a big joke the way they keep predicting a recover in 6 months....then say 6 months later.....then 6 months after that..... icon_rolleyes.gif
  • metta

    Posts: 39144

    Feb 24, 2009 7:35 AM GMT
    ActiveAndFit saidHere is an interesting chart that puts it all in perspective .. the four bears ..

    http://dshort.com/charts/bears/four-bears-large.gif


    Did you see the chart adjusted for inflation? icon_eek.gif


    http://dshort.com/charts/bears-nominal-real.html?four-bears-alternate-real


    four-bears-alternate-real.gif
  • Posted by a hidden member.
    Log in to view his profile

    Feb 24, 2009 8:18 AM GMT
    Mikeylikesit said
    DCEric said
    Colbert_Nation saidIt might not be so bad if most of America's retirement programs weren't stock market based.
    We all got screwed letting them switch guaranteed benefit retirements to 401k.


    Are you kidding? Everything is on sale! Buy now! When this turns around in the next couple of years BOOM!

    The market always comes back.


    I hate to tell its gonna be more then a couple of years....try more like 10,15-20 years.......I feel Really bad for all the people that are about to retire & lost all their IRA money......But are they supost to do!.....icon_twisted.gif


    i agree on your projections for how many years until there will be a bounce-back.

    the crisis has barely begun, and people are talking as if the "recession" will be done with by 2010.

    hate to break it to you all, but the IMF recently stated that the western developed nations are now in a depression. only thing is, we havent figured it out yet.

    the recession took so long for the media to acknowledge, when do you think we will be told we are in a depression... waiting in bread lines? hopefully we figure it out by then.

    from my perspective the only worthy investments are:

    - physical hard metals - gold, silver... in hand, not stocks, certificates, etc... in HAND - as a hedge against inflation
    - storable foods - for obvious reasons

    in case you are wondering why a little runt like myself thinks he can speak on these matters to those who are in the "business" of stocks, etc... i am a global political economy major, as well as history student, and my job is working for a think tank in researching and analyzing world trends/events, specifically as of late, the financial crisis.

    top economists and even politicians in Europe and North America have been warning that there will be riots in the US and other western nations... there are even preparations on the part of governments to declare martial law in this event.

    this is not a "housing" crisis... that was simply the FISRT bubble to burst. there are many more... the biggest of which... the DEBT bubble. the US is $45 trillion in debt, that is total government, corporate and personal debt. this is impossible to pay back...

    governments keep giving out "stimulus" packages in a vain effort to delay the inevitable. printing more money in the hopes that they can position the wealthy to be ready for the collapse. with every dollar more that is printed, more interest is owed to the Federal Reserve, which is not a "public" agency, as it is generally perceived.

    central banks caused this crisis, as they caused the Great Depression, and the recession in 79 and the debt crisis that followed. the neoliberal era of the 80s onward (of which we are witnessing the collapse), was marked by the rise of speculative assaults against nations (Mexican Peso crisis, 94; East Asian FInancial Crisis, 97; Russia, 98; etc).

    we now have the dangerous mix:

    - a debt-inflated economy courtesy of central bank monetary policies
    - a massive speculative market in currency

    --> nations around the world are already realizing that the US dollar is a bad investment (long run)... they are leaving the dollar
    - eventually, there will likely be a massive speculative onslaught against the dollar, when this happens --> hyperinflation (see: Weimar Germany)

    two years ago, the Bank of International Settlements (BIS), the central bank of the central banks, where they meet and determine and coordinate (with no oversight) world monetary policies of the major industrialized western nations - warned that we are headed for a Great Depression... they would know... they caused it

    buying any stock in anything is a bad idea. and to say that the "market will be back, because it always has been" ignores the big picture here.

    we are about to witness the greatest financial disaster in world history (almost definitely), out of which we will witness the greatest restructuring of the global political economy (international system) ever witnessed... being restructured by the very ones that caused its collapse.

    time to make secure, yourself and loved ones. the media will lie to the bitter end, because they are owned by the very banks that are being bailed out and they want to keep the people in the dark as long as humanly possible.


    so... either, see me as a crackpot, pessimist, crazy person, just plain wrong, totally misinformed, or.... do a little research, and maybe, just maybe, re-think "investing".


    --> it helps to look back at the causes of the Great Depression. do not use one "official" source for this. it is best to examine several different perspectives, (as the causes are still up for discussion), and dont simply fall into the "over-production, lack of buying power" thesis... there is much more to it than that.

    cheers, and good luck

    (p.s. - if enough people want info/sources, etc... including where this crisis is "leading" - i would be happy to start a thread with this information available.)

    All the best