Althouse: "It was an absolute bloodbath."

August 6, 2011

"It was an absolute bloodbath."

The stock market.

31 comments:

G Joubert said...: This comment has been removed by the author.; 8/6/11, 2:34 PM
coketown said...: Our AAA rating will never be downgraded, and the stock market will react positively to a debt ceiling increase. In the words of Evelyn Waugh, history has not taken what once seemed its natural course. That seems to be the theme of this post-racial, post-Guantanamo, post-special interest presidency.; 8/6/11, 2:37 PM
Fen said...: Love the avatar, Coke.; 8/6/11, 2:40 PM
roesch-voltaire said...: Those in my age bracket with whom I spoke all wondered if their portfolios would regain their value to support their retirement, or if they would transpire first. Locker room humor, but all of us agreed at least our SS wasn't tied to the market as those in favor of privatizing it would like. Clearly along with bringing down medical costs, we also need to let the Bush tax cuts expire for starters.; 8/6/11, 2:40 PM
mesquito said...: There is no chance that the U.S. will lose its top credit rating, Geithner said, forcefully disputing the notion that S&P or other ratings services might downgrade U.S. bonds from their current AAA rating.

"No risk of that, no risk," Geithner said on the Fox Business Network.

-The Hill, 4/19/11

Heckuva job, Timmy.; 8/6/11, 2:41 PM
Chip S. said...: all of us agreed at least our SS wasn't tied to the market as those in favor of privatizing it would like.

Instead, it's tied up in an "asset" that's guaranteed to give you a negative rate of return.; 8/6/11, 2:44 PM
Shouting Thomas said...: Clearly along with bringing down medical costs, we also need to let the Bush tax cuts expire for starters.

Oh, Jesus! That is really clear! Amazingly clear!

That'll do it!

Go get those corporate jets, Obama!; 8/6/11, 2:55 PM
Trooper York said...: Roachy, roachy baby I love you.

You are one consistent dude.; 8/6/11, 2:58 PM
coketown said...: Clearly along with bringing down medical costs, we also need to let the Bush tax cuts expire for starters.

Don't worry. Obamacare is doing a sterling job of that. Oh wait...

And it might have escaped your notice, but the Progressive tax policy of soaking the rich and plundering capital gains makes social security's solvency just as dependent on market performance as Bush's "privatization" plan would have.; 8/6/11, 3:03 PM
Seeing Red said...: Locker room humor, but all of us agreed at least our SS wasn't tied to the market as those in favor of privatizing it would like.

Privatization was 2%.

Let me keep 2% more of my money.

So compute 2% more of the $106,800

And just who said it was going to be mandated to put it into the stock market?

Couldn't buy bonds? CDs?

Nice try, tho.; 8/6/11, 3:03 PM
Seeing Red said...: Clearly along with bringing down medical costs

then tell your friends to tough it out.; 8/6/11, 3:05 PM
Dust Bunny Queen said...: but all of us agreed at least our SS wasn't tied to the market as those in favor of privatizing it would like.

Investing in the stock market is a long term program. The SS privatization proposed was for a very small portion of your social security contributions. Not the entire thing. So you are worrying about nothing.

The biggest advantage of privatizing SS is that it becomes an asset that YOU own and can pass to whomever you want. Now, when you die early or without a spouse to pass your benefits to, you lose it. Privatizing it allows you to keep your asset instead of the government getting it.

Even in this current melt down (I expect at least another 20% or more downward) if you had been systematically investing over time you would still be to the good. The DJIA was in the 3000 to 4000 range when I first became an investment advisor.

Social Security assumes that you have been investing into your fund/retirement for many many years.

These are the biggest problems about the uninformed investor. They think short term. They buy and sell on emotion instead of using their brains. Buying when the market is going up and at the peak because everyone else is doing it and the media is hyping the market. Selling out at the bottom or through fear again because everyone is and them media is wailing about a crash.

If you want an even bigger crash, raise taxes on those few people left who are still working and creating jobs.

Short sighted ignorant economic policies by people who have no understanding of business, of economics and who aren't smart enough to balance their own checkbooks.; 8/6/11, 3:07 PM
Seeing Red said...: And don't forget to pay for Obamacare's bringing down medical costs most everyone's medical benefit increased.

So we've already had a tax increase this year for a policy.; 8/6/11, 3:10 PM
Dust Bunny Queen said...: @ RV

And by the way. In my many years of investment advising, I have come to the conclusion that teachers (with the exception of a few science and math teachers) are about the dumbest people on this earth.

They have no understanding of economics, investing or much of anything else and when faced with investment choices, they get the deer in the headlights look.....or worse...decide to make investment decisions on their almost universally crackpot liberal political leanings.

They are misinformed, half baked ideas and refuse to listen.

Generally, when I would have a prospect that was a teacher, I would refer them to someone else.

Too stupid to help.; 8/6/11, 3:11 PM
edutcher said...: Somebody tell Seeing Red, one day - or one month - is not how the market works. You're in for the long haul, as DBQ says, and, if we get the small c communists out of the damned government and grow the economy again, it will still be better than trusting Social Security to the likes of Slobbering Barney and the Friend of Angelo.

PS Friday only proves my theory that the smart people have been out of the market since Spring of '08 and the ones there now haven't a clue.

Just like the Administration.; 8/6/11, 3:12 PM
Seeing Red said...: Wow, RV's friends must be part of "the rich" since they have "portfolios."

Are those private above & beyond their company retirement plan?; 8/6/11, 3:12 PM
Sal said...: PS Friday only proves my theory that the smart people have been out of the market since Spring of '08 and the ones there now haven't a clue

It's been a bull market for over two years now. I think the smart people were in it.; 8/6/11, 3:20 PM
Anonymous said...: we also need to let the Bush tax cuts expire for starters.

Indeed.

It's very sound economics.

Every manufacturer knows that if cash flow is down because he's not selling enough units, the prudent thing to do is raise the price of the unit.; 8/6/11, 3:25 PM
edutcher said...: MarkG said...

PS Friday only proves my theory that the smart people have been out of the market since Spring of '08 and the ones there now haven't a clue

It's been a bull market for over two years now. I think the smart people were in it.

Not necessarily.

I once had a conversation with a guy heavily in the markets who said all the smart people had gotten out a year before the big swoon in '87. He then said, "There's bulls, and there's bears, but hogs, they get slaughtered".

The market's been chasing every halfway optimistic headline for 2 1/2 years, over-inflating itself. The actual conditions, with Little Zero and Company playing games with the country, have been uncertain enough I don't doubt a lot of the people in the know have been hedging their bets.; 8/6/11, 4:19 PM
Joe said...: Oh bore me; we had a market correction that got out of hand due to automatic trading. (Especially in ETFs which don't look at the underlying value of individual stocks.)

I bought into the fall, just like I did the last one. I would have bought in more, but simply don't have the cash on hand. (No, I'm not day or short-term trading; I'm buying long term bargains and there are plenty.); 8/6/11, 4:43 PM
Seeing Red said...: Every manufacturer knows that if cash flow is down because he's not selling enough units, the prudent thing to do is raise the price of the unit.

Worked for GM in the mid-80s.

Japanese cars cost more so they decided to raise their prices.; 8/6/11, 4:51 PM
Seeing Red said...: Somebody tell Seeing Red, one day - or one month - is not how the market works.

I worked for a financial firm during the 87 melt down.

Been in the market for gosh, that long?

erk.; 8/6/11, 4:53 PM
BJM said...: Everything Obama touches turns to shit.

@rv

You haven't read the debt deal have you? If the Super Congressional panel can't agree to targeted spending reductions by the next expiry date in 2013, the Bush tax cuts roll off and across the board spending cuts are triggered.

A heckuva deal the three dwarves, Bammy, Boner and Dingy carved out.; 8/6/11, 4:57 PM
BJM said...: @G Joubert

Okay, I absolutely assure that you will be screwed in every way possible, including the govt eventually clawing back the tax break entirely.

@rv

I cashed out my IRA, took the tax hit and bought AAPL at $22. How you doing with your chump "investment" in social security? This well?; 8/6/11, 5:18 PM
roesch-voltaire said...: Gee Dust, I hate to tell you but the locker room is not full of teachers but includes doctors, lawyers, a manager of an investment firm and several folks who own property on our Capitol square. All long term investors, but all around 65 and aware of how long it will take for their portfolios to bounce back. Look investors who are make billions like William Gross are saying the same thing-- lower medical costs, and raise taxes for starters-- no brainer really.; 8/6/11, 5:24 PM
Saint Croix said...: Locker room humor, but all of us agreed at least our SS wasn't tied to the market as those in favor of privatizing it would like.

I find it so frickin' bizarre for somebody to think that the government will take care of their retirement when the stock market is in the toilet. Where do you think money comes from, clueless? It comes from the private sector. Tax dollars come from workers. This delusion that government somehow makes money, like all they need to do is print it, is frightening.

If the government had given everybody IRAs and started putting our retirement money into the market--which is what union-backed government worker retirement plans do, jackass--then and only then would we know that government is indeed serious about social security, about using those tax dollars for our actual retirement, instead of the fucking ponzi scheme it has always been. And if we had that sort of responsible government, the markets wouldn't be in this current crisis.; 8/6/11, 5:59 PM
Saint Croix said...: "Privitizing social security" means you get to control your own retirement. That's why liberals hate it so much. They hate the idea of empowered citizens.

Democrats accumulate power. And more and more and more. You are irrelevant to them, just a cog in the machine.

Social security is just the carrot/stick they use to bribe/threaten voters to do what they want.

Hence, when Obama doesn't get his way, "we might not be able to make our social security payments." It's like a protection racket. "Vote for me or you won't get your retirement."

Do you not see the threat involved, the scare tactics that he is using?

The Obama administration goes beyond the typical liberal agenda of using a crisis to accumulate more power, to actually creating a crisis. Hence Obama does little or nothing to make the economy better.

He wants you to be afraid.; 8/6/11, 6:12 PM
edutcher said...: Seeing Red said...

Somebody tell Seeing Red, one day - or one month - is not how the market works.

I worked for a financial firm during the 87 melt down.

Been in the market for gosh, that long?

Doesn't mean he learned anything.; 8/6/11, 6:47 PM
Dust Bunny Queen said...: I cashed out my IRA, took the tax hit and bought AAPL at $22.

Why would you cash out your IRA to buy AAPL? Just move your account to a self directed IRA at a brokerage or on line broker and buy what you want.

All long term investors, but all around 65 and aware of how long it will take for their portfolios to bounce back.

Well, they have a reason to be worried about getting back if they were still in the market and in risky investments.

Lowering Medicaid for sure, eliminate the fraud and waste and STOP covering illegal aliens. Medicare can also be fixed by eliminating the fraud, means testing and partially privatizing it as Ryan suggested with a voucher system and making it REAL insurance.

Taxes should be raised by making the 50% of the population that pays NO INCOME TAXES pay something. Unless they do that, I would never ever EVER support raising taxes on the productive sectors of the economy.

I stand by my experience with teachers.; 8/6/11, 7:29 PM
chickelit said...: Clearly along with bringing down medical costs, we also need to let the Bush tax cuts expire for starters.

Yes. Let's bring them down shall we? Let's start by disqualifying HSA's and high deductible healthcare plans because those folks "don't pay their fair share."

Then let's make more things "free" with no co-pay, shall we?
_____
wv = blogrl: a nubile blogress.; 8/6/11, 10:25 PM
Paul said...: How is that Hoppie Changie thing working out for you Obots?

I don't know why anyone is unhappy with Obama, the majority voted for him and hence they deserve him.

Next time you vote remember your vote has consequences. You are paying for that vote now, and paying big time.; 8/7/11, 12:49 AM